Brandywine Realty Trust (NYSE: BDN) reported its financial results for the three and nine-month periods ended September 30, 2026, and announced adjustments to its 2026 guidance. The company reported a net loss of $(22.3) million, or $(0.13) per share, for the third quarter of 2026, compared to a net loss of $(26.2) million, or $(0.15) per share, in the prior year period.
Management highlighted the execution of its capital markets plan, having completed $681 million in sales versus a business plan target of $305 million. This activity included the sale of the Solaris residential project in Austin, Texas, for a gross sales price of $136 million. Additionally, the company repurchased approximately 4.7 million common shares during the quarter at an average price of $3.19 per share.
Regarding leverage, the company reduced its combined debt by $390 million during the quarter, primarily through the repurchase of $140 million of its 2028 and 2029 Bonds at a weighted-average rate of 8.67%. Following these transactions, the company reported a Net Debt/EBITDA ratio of 7.6x, an improvement from 9.0x in the previous quarter. As of September 30, 2026, the company held $313 million in cash and cash equivalents and had no outstanding balance on its $600 million unsecured line of credit.
Brandywine adjusted its 2026 guidance based on current plans. The company revised its loss per share guidance from $(0.45) to $(0.41) to a range of $(0.64) to $(0.62). It also adjusted its FFO guidance from $0.53 to $0.57 per diluted share to a Core FFO range of $0.54 to $0.56 per diluted share, which excludes losses on the early extinguishment of debt.
Portfolio metrics for the third quarter included a Core Portfolio occupancy rate of 89.0% and a leased rate of 90.5%. The company signed new and renewal leases totaling 930,000 square feet and reported a tenant retention ratio of 50%. Rental rates increased 10.8% on an accrual basis and 5.7% on a cash basis.
