Alexandria: revenue down 13%, but the company cuts construction and promises to cut leverage to 5.6–6.2x

3 августа 2026 года Alexandria Real Estate Equities раскрыла результаты за второй квартал 2026 года. Выручка упала на 13,0% год к году, до 662,8 млн долл., EBITDA – на 13,0%, до 399,0 млн долл., при этом маржа EBITDA почти не изменилась (49,8% против 49,7% годом ранее). Чистый убыток составил 72,8 млн долл. против убытка 107,0 млн год назад. Акции выглядят скорее привлекательно: компания сокращает капитальные затраты, продаёт активы и нацелена на снижение долговой нагрузки, но падение выручки и неопределённость с заполняемостью сдерживают апсайд.

Key takeaways

— Revenue falls 13% due to lower occupancy, but the company expects improvement in H2

— EBITDA margin holds at 49.8% thanks to cost control, but operating profit is shrinking

— Net loss of $72.8 million is due to impairments and low operating profit

— Debt rose to $12.3 billion, but the company plans to cut leverage to 5.6–6.2x by 4Q26

— Capex of $546 million in 1Q26 was a one-off spike; the company is cutting construction for 2027

— Dividend of $0.72 per share maintained, but payout of 42% leaves little for reinvestment

— The company is selling assets and does not plan an equity issuance – this will support the balance sheet

Attractiveness

Key figures, USD bn

Revenue falls 13% due to lower occupancy, but the company expects improvement in H2

In Q2 2026, revenue was $662.8 million, down 13.0% year-over-year. The decline accelerated compared to previous quarters: 11.5% in 1Q26 and 4.4% in 4Q25. The reason is lower occupancy of operating properties, which fell to 86.9% from 92.6% a year earlier (quarterly average). The company attributes this to previously disclosed key lease expirations with expected downtime: 657,492 RSF in 1Q26 and 260,888 RSF in 2Q26.

However, the company points to 1.4 million RSF of leased but not yet occupied space, which will add +4.0% to occupancy and about $69 million in annual rental revenue. It expects 64% of this space to be occupied by the end of 2026. This creates potential for revenue recovery in H2, but the trend is still negative.

EBITDA margin holds at 49.8% thanks to cost control, but operating profit is shrinking

EBITDA in Q2 2026 was $399.0 million, down 13.0% year-over-year, matching the revenue decline. The EBITDA margin remained almost unchanged at 49.8% versus 49.7% a year earlier. This indicates that the company is successfully controlling operating expenses despite lower revenue.

However, operating profit fell more sharply to $94.6 million from $137.6 million a year earlier (down 31%). The gap between EBITDA and operating profit reflects higher depreciation and possibly impairments. This means the company's ability to generate profit from core operations is deteriorating faster than EBITDA suggests.

Net loss of $72.8 million is due to impairments and low operating profit

In Q2 2026, the net loss was $72.8 million, better than the loss of $107.0 million a year earlier, but still negative. The loss is due to low operating profit and impairments. The report mentions investment losses: the company recognized $9.0 million in impairments on non-real estate investments during the quarter, partially offset by realized and unrealized gains.

For H1 2026, net profit was $286.7 million thanks to a one-off positive effect in 1Q26 (profit of $361.7 million), likely from investment revaluation. But without these one-off items, the company is generating losses, reflecting the weak operating environment.

Debt rose to $12.3 billion, but the company plans to cut leverage to 5.6–6.2x by 4Q26

Net debt at the end of Q2 2026 was $12,342.5 million, up $0.2 billion from the previous quarter, but down $0.4 billion over 12 months. The company maintains a high debt level: net debt and preferred stock to Adjusted EBITDA for 2Q26 annualized was 7.0x, above the target level.

Management confirmed the goal to reduce this metric to 5.6–6.2x by 4Q26 (annualized) through asset sales and lower capex. As of August 3, 2026, completed dispositions totaled $170.4 million, with another $1.16 billion under signed agreements. The company also does not plan to issue common equity in 2026, reducing dilution risk.

Capex of $546 million in 1Q26 was a one-off spike; the company is cutting construction for 2027

In Q1 2026, capital expenditures were $546.0 million – a sharp spike compared to near-zero levels in most previous quarters (e.g., $0 in 4Q25 and 2Q25). In Q2, capex was not disclosed, but the company states it is reducing construction spending.

For 2027, the company expects construction spending to decline by $100–600 million relative to the midpoint of 2026 guidance ($1.75 billion), i.e., to $1.15–1.65 billion. This is part of the strategy to reduce funding needs. The company is also reviewing projects: for example, pivoting 3000 Minuteman Road to advanced technology use cut the budget by $80 million.

Dividend of $0.72 per share maintained, but payout of 42% leaves little for reinvestment

The board declared a dividend of $0.72 per share for Q2 2026, consistent with the previous quarter. The dividend yield is 5.4% as of June 30, 2026, and the payout ratio is 42% of quarterly FFO. This is a moderate level, allowing the company to retain part of cash flow for debt repayment.

The company states that over 2022–2025 and the midpoint of 2026 guidance, it retained $2.60 billion of net operating cash flows for reinvestment. However, given high debt and falling revenue, the dividend appears more maintained than growing.

The company is selling assets and does not plan an equity issuance – this will support the balance sheet

Alexandria is executing a strategy to sell land, non-core assets, and stakes. For 2026, it plans $2.9 billion in such proceeds (midpoint of guidance). Of this, $1.675 billion will go to debt repayment and $1.75 billion to construction. This is a key mechanism to achieve the target leverage.

The absence of plans to issue common equity in 2026 is a positive signal for shareholders, as dilution is avoided. However, success depends on market conditions: if sales are delayed, the company may miss its debt target, increasing pressure on financial stability.

Valuation on the latest reported figures

Bottom line

The report showed an expected 13% decline in revenue and EBITDA, but stable margins and maintained dividend. The strong points are cost control and a clear plan to reduce debt through asset sales and lower construction. However, operating profit is falling faster than revenue, and net losses persist, indicating structural issues. The shares look rather attractive: the company trades at a discount to its history, and occupancy improvement in H2 could be a catalyst. The key question is whether the company can fill vacant space and deliver on its leverage promise.