EPR raises 2026 earnings forecast as Q3 FFO climbs 8.8%

EPR Properties (EPR) raised its 2026 earnings forecast on Oct. 28, when it reported third-quarter results. The company said in a press release furnished to the SEC that its funds from operations as adjusted (FFOAA) per diluted share forecast now runs from $5.49 to $5.57.

EPR Properties is a diversified experiential net lease real estate investment trust with total assets of about $6.2 billion across 43 states and Canada, the company said.

Here's how the company did:

• Revenue: $204.1 million vs. $182.3 million a year earlier
• Net income per diluted share: $1.22 vs. 79 cents a year earlier
• FFOAA per diluted share: $1.49 vs. $1.37 a year earlier
• AFFO per diluted share: $1.54 vs. $1.39 a year earlier

For the nine months ended Sept. 30, revenue was $581.4 million, up from $535.4 million a year earlier. The company changed its definition of AFFO in the quarter and recast prior periods to reflect the change.

Guidance raised

The company raised the low end of its FFOAA per diluted share range to $5.49 from $5.41 and kept the top at $5.57. The midpoint represents an increase of 8.0% over 2025.

It also raised 2026 investment spending guidance to $675 million to $725 million, from $600 million to $700 million, and set disposition proceeds guidance at $86 million, against a prior range of $50 million to $100 million.

"Our third quarter reflects continued momentum across the business, with both strong earnings growth and a robust pace of investment activity," said Greg Silvers, Chairman and CEO of EPR Properties.

Investments and capital

The company spent $172.4 million on investments in the third quarter, bringing nine-month spending to $664.5 million. The quarter included $102.1 million to acquire two eat & play properties and two fitness and wellness properties, one of them an existing Life Time fitness property in Irvine, California.

In July, the company entered into an amended and restated credit agreement that extended the maturity of its $1.0 billion revolving credit facility to July 17, 2030. It also established a $600.0 million delayed draw term loan facility, fully drawn as of Sept. 30, that matures on Jan. 17, 2032.

The company repaid $179.6 million of Series B senior unsecured notes at maturity on Aug. 24. It said it had $52.4 million of unrestricted cash at Sept. 30.

During the quarter, the company entered into two forward sale agreements under its at-the-market program, with initial gross sales proceeds of $66.6 million at an average forward price of $60.79 per share.

Dividend

The board declared monthly cash dividends of $0.31 per common share. The monthly rate annualizes to $3.72 per share, a 5.1% increase over the annualized dividend at the end of the prior year, the company said.

Portfolio

Total investments were $7.6 billion at Sept. 30, with experiential investments totaling $7.2 billion, or 95%. The wholly-owned portfolio was 99% leased or operated, the company said.