AI Takeaway
REG delivered solid FY2025 results with revenue growing 6.9% to $1.55B and net income surging 31.7% to $527.5M, supported by a stable 72.3% operating margin and strong operating cash flow of $827.7M.
Revenue
$1.55B
++6.85% YoY
Operating Income
$1.12B
++7.26% YoY
Filed · Analysis updated · Source: SEC EDGAR 10-K filing
REG grew total revenue by 6.9% year-over-year to $1.55B in FY2025, up from $1.45B in FY2024, reflecting continued demand strength across its portfolio and disciplined asset management.
Source: Source: 10-K Income Statement (XBRL Financial Data)
Net income jumped 31.7% to $527.5M from $400.4M in the prior year, a notably faster pace than revenue growth, suggesting meaningful improvement in non-operating items, tax efficiency, or reduced interest expense.
Source: Source: 10-K Income Statement (XBRL Financial Data)
Operating margin remained exceptionally high at 72.3% (vs. 72.0% prior year), indicating REG's cost structure is well-controlled and its business model generates highly efficient earnings from revenue.
Source: Source: 10-K Key Ratios (XBRL Financial Data)
2 more insights available
Upgrade to unlockLong-term debt increased 7.5% to $4.74B in FY2025, outpacing asset growth of 4.9%. In a higher-for-longer interest rate environment, refinancing this debt at elevated rates could pressure future earnings and cash flow available for distribution.
Source: Source: 10-K Balance Sheet (XBRL Financial Data)
Unlock 4 more detailed risk analysis
Upgrade to unlockReported EPS of $0.68 versus the $0.59 analyst consensus — a +15.3% beat for FY2025.
| Metric | Current | Previous | YoY Change |
|---|---|---|---|
Revenue | $1.55B | $1.45B | +6.85% |
Operating Income | $1.12B | $1.05B | +7.26% |
Net Income | $527.46M | $400.39M | +31.74% |
| Metric | Current | Previous | YoY Change |
|---|---|---|---|
Total Assets | $13B | $12.39B | +4.92% |
Total Liabilities | $5.82B | $5.49B | +5.97% |
Stockholders' Equity | $6.91B | $6.72B | +2.72% |
Long-Term Debt | $4.74B | $4.41B | +7.50% |
| Metric | Current | Previous | YoY Change |
|---|---|---|---|
Operating Cash Flow | $827.69M | $790.2M | +4.74% |
Investing Cash Flow | $-421.14M | $-326.64M | -28.93% |
Financing Cash Flow | $-347.77M | $-493.02M | +29.46% |
D&A | $405.04M | $394.71M | +2.62% |
| Metric | Current | Previous | YoY Change |
|---|---|---|---|
Operating Margin | 72.3% | 72.0% | +0.28% |
Net Margin | 34.0% | — | — |
ROE | 7.6% | — | — |
ROA | 4.1% | — | — |
Debt to Equity | $0.843 | — | — |
Other companies in Retail REITs
REG's revenue grew 6.9% year-over-year to $1.55B in FY2025, up from $1.45B in FY2024. This growth reflects continued strength in the company's retail real estate portfolio and stable rental income streams.
The standout result in REG's FY2025 earnings was a 31.7% surge in net income to $527.5M, well ahead of the 6.9% revenue growth, suggesting significant improvement in profitability below the operating line. Operating margin held steady at 72.3% and operating cash flow grew to $827.7M, reinforcing the quality of earnings.
Based on the financial data, key risks include rising long-term debt (up 7.5% to $4.74B), increased investing outflows (up 28.9% to -$421.1M), and exposure to retail tenant health. Leverage is gradually increasing as liabilities grow faster than equity, which could limit financial flexibility in a high-interest-rate environment.
REG's financial health appears solid: it holds $13.0B in total assets, generates $827.7M in operating cash flow, and maintains a 72.3% operating margin. The debt-to-equity ratio of 0.84x is manageable, though long-term debt of $4.74B warrants monitoring given the current interest rate environment.
REG's net income grew 31.7% to $527.5M while revenue grew only 6.9%, a significant divergence that suggests favorable non-operating factors such as gains on property dispositions, lower interest expense, or tax benefits contributed materially to the bottom line. Investors should review the full 10-K for a detailed breakdown of non-operating income items.