Real Estate
Simon Property Group reported strong Q1 2026 revenue growth of 19.3% YoY to $1.76B, though operating margin contracted 6 percentage points to 43.4% amid significantly higher leverage with debt-to-equity of 6.85x.
Key risk: High Leverage and Refinancing Risk
With long-term debt of $28.2B and a debt-to-equity ratio of 6.85x, SPG carries substantial financial leverage. In a sustained high-interest-rate environment, refinancing maturing debt at higher rates could materially increase interest expense and compress funds from operations (FFO), a key REIT profitability metric.
Other Retail REITs companies