#United States #Indianapolis #Simon Property Group #Quarter Results #Real Estate FFO

Simon Property Group Reports Strong Q2 2026 Results

INDIANAPOLIS – Simon Property Group, a leading real estate investment trust known for its premier shopping, dining, entertainment, and mixed-use venues, announced its impressive financial results for the second quarter of 2026, showcasing both growth and an optimistic outlook for the remainder of the year.

Financial Highlights for Q2 2026

Simon reported a year-over-year increase in Real Estate Funds from Operations (FFO) per share by 7.9%. This growth was fueled by stable leasing demand, increased customer traffic, and robust retailer sales alongside contributions from acquisitions made in the past year. Eli Simon, CEO, stated, "Our financial and operational results this quarter were outstanding, reaffirming our market position and future potential."

Key results include:

• - Net Income: $483.1 million or $1.49 per diluted share, a slight decline from $556.1 million or $1.70 per diluted share in 2025, which had benefited from a non-cash gain of $0.21 per diluted share in investment activities.
• - Real Estate FFO: $1.249 billion, or $3.29 per diluted share, compared to $1.154 billion, or $3.05 per diluted share last year. This reflects an overall increase in performance, backed by a solid operational framework.
• - Domestic NOI Growth: A notable increase of 8.5% in domestic property Net Operating Income (NOI) and an 8.3% increase in portfolio NOI compared to the previous year.

Year-to-Date Performance

Looking at the first six months of 2026, Simon reported:

• - Net income remained steady at $962.7 million, consistent with last year's figures.
• - Year-to-Date Real Estate FFO reached $2.457 billion, marking a 7.5% increase over the previous year’s $2.268 billion.
• - FFO totaled $2.293 billion, with an increase from the $2.194 billion reported in 2025.

Retail Developments and Metrics

In terms of occupancy and rental metrics:

• - Occupancy rate as of June 30, 2026, stood at 96.0%, unchanged from last year.
• - Base minimum rent per square foot rose to $62.42, a 6.3% increase from $58.70.
• - Retailer sales per square foot grew by 13.9%, reaching $838 from $736 in the previous year, indicating a strong retail environment.

Shareholder Returns

Simon's Board of Directors also announced a quarterly common stock dividend of $2.25 for the third quarter of 2026, reflecting a 4.7% year-over-year increase, payable on September 30, 2026. In addition, the Quarter also saw a significant stock buyback where Simon repurchased approximately 793,077 shares.

Capital Markets and Liquidity

Regarding capital management, Simon completed several transactions aimed at bolstering its liquidity:

• - Eight secured loan transactions totaling around $1.4 billion were completed, characterized by a competitive weighted average interest rate of 5.36%.
• - The company successfully issued €500 million in Euro-denominated senior notes with a <3.65%> coupon, set for a five-year term, to fund corporate needs.
• - As of mid-2026, Simon boasts roughly $9.3 billion in liquidity, including $1.7 billion in cash and approximately $7.6 billion available capital via its revolving credit lines.

Updated Guidance for 2026

Simon Property Group has revised its guidance for the full year 2026, now expecting Real Estate FFO per diluted share to be in the range of $13.20 to $13.30, up by $0.08 per diluted share from previous estimates. This positive adjustment showcases Simon's confidence in maintaining strong performance as they navigate market challenges and opportunities.

Conclusion

With its strategic positioning and operational efficiencies, Simon Property Group remains well-equipped to thrive in the evolving retail landscape. The upcoming conference call on August 10, 2026, detailed in their investor relations website, will provide further insights into their financial strategies and market outlook.

For more information about Simon Property Group and its latest financial updates, visit investors.simon.com.