BXP (BXP) Q3 2026 Earnings Report
MX:BXP Q3 2026 EPS Results
- Actual EPS
- MXN 13.34
- Consensus EPS
- MXN 9.47
- Beat/Miss
- Beat by +MXN 3.87
- One Year Ago EPS
- -MXN 14.47
MX:BXP Q3 2026 Revenue Results
- Actual Revenue
- MXN 17.13B
- Expected Revenue
- MXN 16.77B
- Beat/Miss
- Beat by +MXN 354.91M
- YoY Revenue Growth
- +4.58%
Earnings Announcement Details
- Quarter
- Q3 2026
- Date
- 10/27/2026
- Time
- After Close
- Conference Call
- Tuesday, October 27, 2026
MX:BXP Upcoming Earnings
BXP's next earnings date is estimated for February 2, 2027, based on past reporting schedules.
Q3 2026 Earnings Call Audio
MX:BXP Q3 2026 Earnings Call
0:00 / 0:00
Q3 2026 Earnings Slide Deck
No slide deck is available for this earnings event.
Q3 2026 Earnings Call Summary
Earnings Call Sentiment|Positive
The call was strongly positive overall. BXP exceeded quarterly FFO expectations, raised 2026 guidance, accelerated occupancy gains and asset dispositions, and reported robust demand and improving pricing across most premier workplace markets. The principal challenges were higher interest rates, limited real estate equity capital, weak West Los Angeles demand, negative leasing spreads in Boston and San Francisco, and expected dilution and refinancing headwinds in 2027. These lowlights were outweighed by operational and financial outperformance and management's expectation of continued FFO growth.
Company Guidance
BXP raised 2026 FFO guidance by $0.05 per share at the midpoint to a range of $7.06 to $7.08 per share, expects FFO per share to grow more than 3% in 2026 and deliver 3.2% FFO growth at the midpoint, expects year-end occupancy of approximately 90% versus an 89% occupancy goal, and increased 2026 same property NOI growth guidance to 2.35% to 2.75%; BXP expects occupancy to improve in 2027, FFO to grow again, same property NOI growth to be higher than this year, and approximately $0.08 per share of dilution in 2027 compared to 2026, excluding approximately $0.06 per share of additional dilution if Times Square Tower closes at the end of the first quarter of 27; termination income is expected to total approximately $24 million in 2026 versus a historical average closer to $15 million, transaction costs are expected to be somewhere around $550 million, plus or minus, by the end of this year, 343 Madison is expected to deliver in 2029, 725 12th Street delivers in 2028, and BXP expects FFO growth to have the potential to accelerate by 2028.
- FFO Beat and Raised 2026 OutlookThird-quarter FFO was $1.89 per share, exceeding the midpoint of prior guidance and consensus estimates by $0.08 per share. BXP raised the midpoint of 2026 FFO guidance by $0.05 to a range of $7.06 to $7.08 per share and expects FFO to grow 3.2% in 2026, or more than 3%.
- Strong Occupancy ImprovementIn-service portfolio occupancy rose for the fourth consecutive quarter to 89.4%, above the previously provided 89% year-end 2026 forecast. Occupancy increased 100 basis points during the quarter and 270 basis points since the beginning of the year. BXP expects to end 2026 at approximately 90% occupied.
- Robust Leasing Volume and PipelineBXP completed 1.2 million square feet of leasing in the third quarter and more than 4 million square feet year to date. During 2026, it executed 1.5 million square feet of leases on vacant in-service space, including 375,000 square feet during the quarter. The current pipeline includes approximately 1.3 million square feet of leases in negotiation and more than 2.8 million square feet of active discussions, up from approximately 1.7 million square feet last quarter.
- Improving Rents and Leasing SpreadsPortfolio leasing spreads were up 6.5% on a gross basis and 9.3% on a net basis in the third quarter. BXP said rents are growing and reaching record levels in New York City, Boston's Back Bay, Reston Town Center, and new Washington, DC CBD developments. Market rents across the portfolio's key markets have generally increased by double digits in less than 12 months, and the portfolio mark-to-market has grown by approximately 10% over the last couple of quarters.
- Favorable Premier Workplace Market FundamentalsPremier workplaces, representing roughly the top 14% of space and 8% of buildings in BXP's four major CBD markets, had direct vacancy of 8% versus 13% for the broader office market. Asking rents for premier workplaces command a premium of more than 60% over non-premier buildings. BXP cited strong demand, limited new office construction, and minimal new supply as support for future rent and occupancy growth.
- AI-Driven Office DemandManagement said investment in AI and associated infrastructure is driving US GDP and corporate growth, creating leasing demand from AI companies as well as financial, legal, and business services companies expanding headcount. In San Francisco, technology accounted for approximately 62% of roughly 8.6 million square feet of total demand, and nearly 50% of the tenant demand in the market was described as net growth from growing or newly formed organizations.
- Successful Leasing in New York and Washington, DCBXP completed a 206,000-square-foot long-term lease with Google at 500 North Capitol Street, backfilling 100% of McDermott's space more than two years before its expiration. It also completed six other Reston leases totaling 120,000 square feet. In New York, Midtown office transactions were up 23% on a net basis, and BXP renewed an anchor tenant at 250 West 55th Street through 2045.
- Momentum in San Francisco and SeattleBXP leased more than 300,000 square feet on the West Coast during the quarter, including 140,000 square feet at Madison Center. At 680 Folsom, it leased the last full-floor availability and increased taking rents on vacant space from the mid-$60s to the mid-$80s over the last 12 months, an increase of more than 25%. At Salesforce Tower, one client is growing by 10,000 square feet, and market rents were described as 30% to 60% higher than expiring rents.
- Strong Tenant Expansion and Retention ActivityTen existing clients expanded by more than 160,000 square feet during the quarter, and BXP completed 74 total transactions, with renewals representing approximately 47%. Third-quarter retention was over 60%. Management said it is already negotiating two of the three largest 2027 expirations and expects to address a significant portion of 2027 and 2028 expirations before those years end.
- Accelerated Asset Disposition ProgramBXP has generated more than $520 million of net sale proceeds in 2026 and $1.37 billion since its investor conference. Including four assets under contract, total dispositions could reach approximately $1.45 billion, ahead of the $1.9 billion aggregate net sale proceeds objective set for 2028. The company also agreed terms and is negotiating a contract to sell Times Square Tower, which could allow it to achieve the 2028 disposition target well ahead of schedule.
- 343 Madison Development Progress343 Madison remains on time and on budget and is now 56% leased after BXP signed a two-floor lease with a business services company. A lease under negotiation for five additional podium floors could bring the building to 70% leased. BXP completed the sale of a 10.6% interest in the project to a subsidiary of Starr at a price above its base case and is pursuing the sale of a total 30% to 50% interest. Management expects the project's yield to be toward the higher end of the previously discussed 7.5% to 8% range.
- Development Pipeline and Future GrowthBXP's development pipeline comprises three office and four residential projects totaling 3.5 million square feet and $2.9 billion of BXP investment, with approximately $750 million of equity remaining to be funded. The three office developments are 70% pre-leased. BXP is selectively pursuing pre-leased office developments and multifamily projects, including a potential Washington, DC office development expected to commence in 2028 and three apartment projects planned to start in 2027 subject to site plan approval and required equity.
- Improved Same-Property NOI GuidanceBXP increased its 2026 same-property NOI growth expectation to 2.35% to 2.75%, an increase of 35 basis points, or $0.04 per share, from the prior guidance. The improvement reflected occupancy gains pulled forward into the third quarter, partially offset by operating expenses deferred into the fourth quarter.
- Proactive Financing and Liquidity ManagementBXP completed a $700 million 10-year bond offering at a 6.05% interest rate before the October maturity of its $1 billion bond. Management said waiting until maturity could have resulted in an interest rate closer to 6.75%; reducing the refinancing size and using cash reduced annualized net interest expense by $0.02 per share. The company continues to have access to unsecured bonds, bank debt, convertible debt, and CMBS markets.
- Operating Portfolio OutperformanceStronger operating portfolio performance contributed $0.10 per share to third-quarter outperformance. Higher occupancy from earlier lease commencements and higher service income contributed $0.03 per share, while higher termination income contributed $0.02 per share. Lower operating expenses, including benefits from the tax appeal program and lower repair and maintenance expense, accounted for approximately half of the outperformance.
- Expected 2027 Cash Flow BenefitsManagement expects higher same-property NOI growth in 2027, a significant amount of free rent from 2026 leasing to burn off, and improved cash FFO. BXP also expects incremental NOI from 290 Benning and the Reservoir Place redevelopment, which is leased to Boston Dynamics, while two residential projects are expected to deliver during the middle of 2027.
MX:BXP Earnings History
| Report Date | Fiscal Quarter | Forecast / EPS | Last Year's EPS | EPS YoY Change | Press Release |
|---|---|---|---|---|---|
| Feb 02, 2027 | 2026 (Q4) | 10.58- | 29.32 | ― | ― |
| Oct 27, 2026 | 2026 (Q3) | 9.4713.34 | -14.47 | 192.21% (+27.81) | |
| Jul 28, 2026 | 2026 (Q2) | 7.578.08 | 10.52 | -23.21% (-2.44) | |
| Apr 28, 2026 | 2026 (Q1) | 5.1912.03 | 7.33 | 64.10% (+4.70) | |
| Jan 27, 2026 | 2025 (Q4) | 10.5829.32 | -27.25 | 207.59% (+56.56) | |
| Oct 28, 2025 | 2025 (Q3) | 7.74-14.47 | 9.96 | -245.28% (-24.43) | |
| Jul 29, 2025 | 2025 (Q2) | 7.7010.52 | 9.58 | 9.80% (+0.94) | |
| Apr 29, 2025 | 2025 (Q1) | 7.787.33 | 9.58 | -23.53% (-2.26) | |
| Jan 28, 2025 | 2024 (Q4) | 9.19-27.25 | 14.28 | -290.79% (-41.53) | |
| Oct 29, 2024 | 2024 (Q3) | 10.009.96 | -13.34 | 174.65% (+23.30) |
The table shows recent earnings report dates and whether the forecast was beat or missed. See the change in forecast and EPS from the previous year.
Beat Missed
