Kilroy Realty's Q2 results beat expectations, aided by one-time items and improved leasing, but fundamental occupancy and rent growth remain weak. Portfolio sales provide capital flexibility, but high debt and rising refinancing costs continue to pressure long-term cash flow and valuation. Guidance appears higher, but is flattered by nonrecurring benefits; underlying fundamentals suggest ongoing gradual declines in occupancy and FFO.
Kilroy Realty Corporation (NYSE:KRC ) Q2 2025 Earnings Conference Call July 29, 2025 1:00 PM ET Company Participants A. Robert Paratte - Executive VP & Chief Leasing Officer Angela M.
Kilroy Realty (KRC) came out with quarterly funds from operations (FFO) of $1.13 per share, beating the Zacks Consensus Estimate of $1.01 per share. This compares to FFO of $1.1 per share a year ago.
![]() KRC In 1 month Estimated | Quarterly | $0.54 Per Share |
![]() KRC 1 month ago Paid | Quarterly | $0.54 Per Share |
![]() KRC 4 months ago Paid | Quarterly | $0.54 Per Share |
![]() KRC 7 months ago Paid | Quarterly | $0.54 Per Share |
![]() KRC 10 months ago Paid | Quarterly | $0.54 Per Share |
![]() KRC 28 Jun 2024 Paid | Quarterly | $0.54 Per Share |
3 Nov 2025 (In 3 months) Date | | 0.29 Cons. EPS | - EPS |
27 Oct 2025 (In 2 months) Date | | 0.29 Cons. EPS | - EPS |
27 Oct 2025 (In 2 months) Date | | 1 Cons. EPS | - EPS |
6 Aug 2025 (In 1 day) Date | | 0.31 Cons. EPS | - EPS |
29 Jul 2025 Date | | - Cons. EPS | - EPS |
![]() KRC In 1 month Estimated | Quarterly | $0.54 Per Share |
![]() KRC 1 month ago Paid | Quarterly | $0.54 Per Share |
![]() KRC 4 months ago Paid | Quarterly | $0.54 Per Share |
![]() KRC 7 months ago Paid | Quarterly | $0.54 Per Share |
![]() KRC 10 months ago Paid | Quarterly | $0.54 Per Share |
![]() KRC 28 Jun 2024 Paid | Quarterly | $0.54 Per Share |
3 Nov 2025 (In 3 months) Date | | 0.29 Cons. EPS | - EPS |
27 Oct 2025 (In 2 months) Date | | 0.29 Cons. EPS | - EPS |
27 Oct 2025 (In 2 months) Date | | 1 Cons. EPS | - EPS |
6 Aug 2025 (In 1 day) Date | | 0.31 Cons. EPS | - EPS |
29 Jul 2025 Date | | - Cons. EPS | - EPS |
REIT - Office Industry | Real Estate Sector | Angela M. Aman CEO | NYSE Exchange | 49427F108 Cusip |
US Country | 229 Employees | 30 Jun 2025 Last Dividend | 22 Feb 2013 Last Split | 28 Jan 1997 IPO Date |
Kilroy Realty Corporation (KRC) distinguishes itself as a forefront landlord and developer within the United States, with a significant presence across major urban centers such as San Diego, Greater Los Angeles, the San Francisco Bay Area, Greater Seattle, and Austin. The company prides itself on a legacy spanning over seven decades in the real estate domain, focusing on the development, acquisition, and management of office, life science, and mixed-use projects. As a publicly traded Real Estate Investment Trust (REIT) and a member of the S&P MidCap 400 Index, Kilroy has established a commendable reputation for its commitment to sustainability, innovative building operations, and architectural design excellence. This approach has positioned Kilroy as a pioneer in fostering the modern, sustainable real estate industry, ultimately enriching the work environments for leading companies across technology, entertainment, life science, and business services sectors. As of the end of December 2023, the company's achievements in developing productive and creative spaces are reflected in its stabilized portfolio, which comprises about 17.0 million square feet majorly allocated to office and life science use, boasting an 85.0% occupancy rate and 86.4% lease percentage.
Kilroy's core offering includes around 17.0 million square feet of primarily office and life science space, designed to cater to the needs of top-tier technology, entertainment, life science, and business services companies. These spaces are tailored to foster innovation, productivity, and sustainable business practices. With an occupancy rate of 85.0% and a lease rate of 86.4% as of December 31, 2023, these properties represent Kilroy's commitment to creating environments that align with contemporary business needs and environmental considerations.
The corporation also extends its real estate expertise into the residential sector, managing approximately 1,000 units located in strategic urban locales such as Hollywood and San Diego. These units, which achieved a commendable quarterly average occupancy rate of 92.5%, showcase Kilroy's ability to craft living spaces that resonate with modern lifestyle expectations, emphasizing location, convenience, and community.
Kilroy is actively involved in the redevelopment of life science spaces, with two ongoing projects that encapsulate its vision for the future of sustainable and innovative work environments. These projects, encompassing approximately 100,000 square feet, are set to incur an estimated redevelopment cost of $80.0 million. This initiative underscores Kilroy's dedication to advancing the life science industry through facilities that are designed to facilitate cutting-edge research and development activities.
Emphasizing its role as a key player in the real estate development sector, Kilroy is undertaking a significant development project involving approximately 875,000 square feet, with an ambitious total estimated investment of $1.0 billion. This project exemplifies the company’s commitment to innovation, sustainability, and the creation of spaces that meet the evolving demands of modern businesses and communities.