Q3 2025 Highlights
Funds From Operations ("FFO") of $21.4 million, or $0.29 per diluted share
FFO related to CRE and Corporate of $21.7 million, or $0.30 per diluted share
CRE Same-Store Net Operating Income ("NOI") increased 0.6%
Leased occupancy as of September 30, 2025, was 95.6%
Comparable blended leasing spreads for the improved portfolio were 4.4%
Advanced industrial development projects, with vertical construction underway for a build-to-suit facility at Maui Business Park and the groundbreaking of two new buildings at Komohana Industrial, which will add over 150,000 square feet ("sq. ft.") of gross leasable area ("GLA") upon completion.
Executed a lease renewal with anchor tenant in Kailua Town subsequent to the quarter-end, achieving an 11% lease renewal spread.
Lance Parker, president and chief executive officer, stated: "We are pleased that overall third-quarter results exceeded expectations, and we remain confident in our full-year outlook. As a result, we are raising FFO guidance for the year. Our commercial real estate portfolio performed in line with expectations in the quarter. In addition, we executed a key lease renewal in Kailua Town, reinforcing continued leasing strength. We also advanced construction on two industrial projects, positioning us well for future growth. With increasing momentum in Hawai'i's investment market, we are encouraged by both internal and external growth opportunities."
Consolidated Financial Results for Q3 2025
Below is a summary of select consolidated financial results.
(dollars in thousands, except per share data)
Three Months Ended September 30,
2025
2024
Net income (loss) available to A&B common shareholders
$ 14,337
$ 18,998
Diluted earnings (loss) per share available to A&B shareholders
$ 0.20
$ 0.26
(dollars in thousands, except per share data)
Three Months Ended September 30,
2025
2024
FFO
$ 21,409
$ 28,230
FFO per diluted share
$ 0.29
$ 0.39
FFO per share related to CRE and Corporate
$ 0.30
$ 0.28
Selling, general and administrative expense
$ 6,083
$ 7,436
CRE Financial Results for Q3 2025
Below is a summary of select CRE financial results.
(dollars in thousands)
Three Months Ended September 30,
2025
2024
CRE operating revenue
$ 50,213
$ 49,381
CRE operating profit
$ 22,719
$ 22,829
Same-Store NOI
$ 31,916
$ 31,731
Same-Store NOI Growth
0.6 %
4.1 %
CRE Operating Results for Q3 2025
During the third quarter of 2025, the Company executed 49 improved-property leases totaling approximately 163,800 sq. ft. of GLA, representing $3.3 million of annualized base rent.
Comparable leasing spreads across the improved property portfolio were 4.4% for the third quarter of 2025, which included 2.4% for retail and 6.0% for industrial spaces.
Select occupancy data for the quarters ended September 30, 2025, June 30, 2025, and September 30, 2024, are presented below:
September 30, 2025
June 30, 2025
September 30, 2024
Change from prior quarter
Change from prior year
Leased Occupancy
Total leased occupancy
95.6 %
95.8 %
94.0 %
(20) bps
160 bps
Retail portfolio occupancy
95.5 %
95.4 %
92.9 %
10 bps
260 bps
Industrial portfolio occupancy
97.5 %
98.2 %
97.4 %
(70) bps
10 bps
CRE Investment Activity for Q3 2025
During the third quarter of 2025, the Company recognized selling profit of $2.6 million in connection with a tenant exercising its option to purchase three subdivided units at Kaka'ako Commerce Center, a six-story industrial property. At the time of the exercise, the tenant was leasing two of the three subdivided units it committed to purchase. The sale of the three subdivided units is expected to close in the first quarter of 2026.
Advanced expansion of Komohana Industrial Park with the commencement of vertical construction of two new buildings totaling 121,000 sq. ft. of GLA. The buildings include a 91,000-square-foot build-to-suit distribution center that is pre-leased to Lowe's and a 30,000-square-foot speculative building. Construction is scheduled to be completed in the fourth quarter of 2026.
Construction continues on schedule for the 29,550-square-foot warehouse and distribution center at Maui Business Park. The single-tenant building features 32-foot clear height and can accommodate up to 14 dock-high loading bays. The facility is pre-leased and is expected to be placed in service in the first quarter of 2026.
Balance Sheet, Capital Markets Activities, and Liquidity
As of September 30, 2025, the Company had total liquidity of $284.3 million, consisting of cash on hand of $17.3 million and $267.0 million available on its revolving line of credit.
Net Debt to Trailing Twelve Months ("TTM") Consolidated Adjusted EBITDA was 3.5 times as of September 30, 2025, with TTM Consolidated Adjusted EBITDA of $129.4 million for the twelve months ended September 30, 2025.
Dividend
The Company paid a third quarter 2025 dividend of $0.2250 per share on October 7, 2025.
Consistent with historical practice, the Company's Board of Directors plans to declare a fourth quarter 2025 dividend in December 2025, with payment in January 2026.
2025 Full-Year Guidance
The Company increased its outlook for 2025 as follows.
2025 YTD Actual
Current
Previous
Net Income (Loss) available to A&B common shareholders per diluted share
$0.84
$0.95 to $1.00
$0.91 to $0.96
FFO per diluted share
$1.14
$1.36 to $1.41
$1.35 to $1.40
FFO per share related to CRE and Corporate
$0.88
$1.13 to $1.17
$1.12 to $1.16
CRE Same-Store NOI growth %
3.3 %
3.4% to 3.8%
3.4% to 3.8%
ABOUT ALEXANDER & BALDWIN
Alexander & Baldwin, Inc. (NYSE:ALEX) (A&B) is the only publicly-traded real estate investment trust to focus exclusively on Hawai'i commercial real estate and is the state's largest owner of grocery-anchored, neighborhood shopping centers. A&B owns, operates and manages approximately 4.0 million square feet of commercial space in Hawai'i, including 21 retail centers, 14 industrial assets, and four office properties, as well as 146 acres of ground lease assets. Over its 155-year history, A&B has evolved with the state's economy and played a leadership role in the development of the agricultural, transportation, tourism, construction, residential and commercial real estate industries.
Learn more about A&B at www.alexanderbaldwin.com.
Investor Contact:Clayton Chun(808)
ALEXANDER & BALDWIN, INC. AND SUBSIDIARIESSEGMENT DATA & OTHER FINANCIAL INFORMATION(amounts in thousands, except per share data; unaudited)
Three Months Ended September 30,
Nine Months Ended September 30,
2025
2024
2025
2024
Segment Operating Revenue:
Commercial Real Estate1
$ 50,213
$ 49,387
$ 151,987
$ 147,496
Land Operations
35
12,563
3,701
26,716
Total segment operating revenue
50,248
61,950
155,688
174,212
Operating Profit (Loss):
Commercial Real Estate1
22,719
22,829
68,350
67,421
Land Operations2
(298)
7,881
18,458
15,980
Total operating profit (loss)
22,421
30,710
86,808
83,401
Gain (loss) on commercial real estate transactions
2,556
—
6,659
—
Interest expense
(5,959)
(5,680)
(17,617)
(17,119)
Corporate and other expense
(4,567)
(5,651)
(15,053)
(14,833)
Income (Loss) from Continuing Operations Before Income Taxes
14,451
19,379
60,797
51,449
Income tax benefit (expense)
(75)
(75)
24
(174)
Income (Loss) from Continuing Operations
14,376
19,304
60,821
51,275
Income (loss) from discontinued operations, net of income taxes
(39)
(300)
77
(3,181)
Net Income (Loss)
$ 14,337
$ 19,004
$ 60,898
$ 48,094
Basic Earnings (Loss) Per Share of Common Stock:
Continuing operations available to A&B shareholders
$ 0.20
$ 0.27
$ 0.84
$ 0.71
Discontinued operations available to A&B shareholders
—
(0.01)
—
(0.05)
Net income (loss) available to A&B shareholders
$ 0.20
$ 0.26
$ 0.84
$ 0.66
Diluted Earnings (Loss) Per Share of Common Stock:
Continuing operations available to A&B shareholders
$ 0.20
$ 0.27
$ 0.84
$ 0.70
Discontinued operations available to A&B shareholders
—
(0.01)
—
(0.04)
Net income (loss) available to A&B shareholders
$ 0.20
$ 0.26
$ 0.84
$ 0.66
