Executive Summary

Core FFO of $1.72/share beat the Q1 midpoint by $0.04 (higher revenues +$0.02, lower interest and timing +$0.02). FY25 Core FFO midpoint was raised to $6.78 (+$0.03) on lower borrowing costs from a new commercial paper (CP) program .
Same-property guidance unchanged on macro uncertainty (Revenues 0.0%-2.0%, Expenses 2.25%-3.75%, NOI -1.5% to +1.5%; midpoints unchanged), but operating KPIs improved: occupancy 95.4% (+10 bps q/q), bad debt 0.6% (down from 0.7% in Q4), blended effective rents -0.1% (vs -1.1% in Q4) .
GAAP EPS was $0.36; versus Wall Street, EPS modestly missed while revenue and EBITDA modestly beat the S&P Global consensus for Q1 2025 (see Estimates Context). Values marked with an asterisk are from S&P Global and include a footnote disclosure below.
Capital allocation added growth option value: two acquisitions ($199M) in Austin/Nashville and one Nashville development start; CP program up to $600M outstanding (Q1-end balance $425.8M) expected to reduce 2025 interest expense by ~50 bps vs LOC, enabling the guidance raise .

What Went Well and What Went Wrong

What Went Well
- Core FFO topped guidance by $0.04 driven by higher revenues and lower interest expense; FY25 Core FFO midpoint raised to $6.78 on CP-driven savings . Quote: “Core FFO exceeded the midpoint of our guidance by $0.04…$0.02 from higher…revenues and $0.02 from lower interest expense and timing” .
- Fundamentals stabilized/firmed: occupancy 95.4%, bad debt improved to 0.6%, blended lease rate improved to -0.1% from -1.1% in Q4; turnover near historic lows (annualized net turnover 31%) .
- Strategic activity supports medium-term growth: $199M of acquisitions in Austin and Nashville; lease-up progress at three 2024 deliveries; CP program adds lower-cost, flexible funding; management sees peak new supply and 13-year-low starts in key markets .
What Went Wrong
- Same-property sequential NOI slipped (-0.5% q/q) on seasonal expense timing; property expenses rose +2.2% q/q .
- New lease trade-out remained negative (-3.1%) despite improvement; Austin and Nashville cited to remain challenged in 2025 (supply pressures), even if positioned for faster upturn post inflection .
- Leverage ticked up: net debt to annualized Adjusted EBITDAre 4.1x (vs 3.9x 1Q24), reflecting higher average debt/cash balances; management balancing acquisition/disposition plan with expected near-term FFO dilution as it upgrades the portfolio mix .

Financial Results

Metric	Q3 2024	Q4 2024	Q1 2025
Property Revenues ($MM)	$387.232	$386.319	$390.565
GAAP EPS (Diluted)	-$0.04	$0.37	$0.36
FFO/Share (Diluted)	$1.65	$1.68	$1.70
Core FFO/Share (Diluted)	$1.71	$1.73	$1.72
Same-Property Revenue Growth YoY	0.6%	0.8%	0.8%
Same-Property NOI Growth YoY	0.0%	1.2%	0.9%
Occupancy	95.5%	95.3%	95.4%

Q1 2025 vs Company Guidance Midpoint

Metric	Q1 2025 Actual	Q1 2025 Guidance Midpoint	Variance
EPS (Diluted)	$0.36	$0.34	+$0.02
FFO/Share (Diluted)	$1.70	$1.66	+$0.04
Core FFO/Share (Diluted)	$1.72	$1.68	+$0.04

Operational KPIs (Same Property)

KPI	Q3 2024	Q4 2024	Q1 2025
Effective New Lease Rates	-2.2%	-4.7%	-3.1%
Effective Renewal Rates	+3.9%	+3.3%	+3.3%
Effective Blended Rates	+0.9%	-1.1%	-0.1%
Bad Debt	0.9%	0.7%	0.6%
Annualized Net Turnover	—	31%	31%
Average Occupancy	95.5%	95.3%	95.4%

Q1 2025 Property Revenue and NOI Mix

Bucket	Property Revenues ($MM)	Property Expenses ($MM)	Property NOI ($MM)
Same Property	$376.324	$132.955	$243.369
Non-Same Property	$7.536	$2.777	$4.759
Development & Lease-Up	$4.023	$2.010	$2.013
Disposition/Other	$2.682	$1.678	$1.004
Total	$390.565	$139.420	$251.145

Balance Sheet and Leverage (Select)

Net Debt to Annualized Adjusted EBITDAre: 4.1x in Q1 (vs 3.9x in Q1’24) .
Adjusted EBITDAre: $227.251MM; EBITDAre: $224.368MM .
Liquidity: ~$772.9MM (cash $26.2MM + $746.7MM availability) .
CP Program: up to $600MM; $425.8MM outstanding at Q1-end .

Guidance Changes

Metric	Period	Previous Guidance (Midpoint)	Current Guidance (Midpoint)	Change
EPS (Diluted)	FY 2025	$1.15	$1.16	Raised +$0.01
FFO/Share (Diluted)	FY 2025	$6.65	$6.68	Raised +$0.03
Core FFO/Share (Diluted)	FY 2025	$6.75	$6.78	Raised +$0.03
Core FFO/Share (Diluted)	Q2 2025	—	$1.67–$1.71	New quarterly guide
EPS/FFO/Core FFO	Same-Property Growth Assumptions	Revenues 1.0%, Expenses 3.0%, NOI 0.0%	Same midpoints unchanged	Maintained
Dividend/Share	Q1 2025	$1.05 declared	$1.05 distributed	Maintained

Note: Non-core charges excluded from Core FFO guidance (~$0.10/share, legal/settlements and pursuit costs) .

Earnings Call Themes & Trends

Topic	Previous Mentions (Q3 & Q4 2024)	Current (Q1 2025)	Trend
New supply and starts	Elevated supply pressure evident in negative blended trade-outs in Q4 (-1.1%)	“New supply has peaked… new starts at 13-year low; down 80% in Austin and 65%-80% in several markets”	Improving supply backdrop
Leasing trade-out	3Q effective blended +0.9% ; 4Q -1.1%	1Q blended -0.1%; renewals +3.3%; preliminary April improving; 2Q blend expected flat to +1%	Sequential improvement
Bad debt	3Q 0.9% ; 4Q 0.7%	1Q 0.6%; technology tightening the “front door”	Improving to ~normalized
Market color (Austin/Nashville)	Supply heavy; cautious development pipeline	Remain challenged in 2025, but best growth potential post-inflexion; buying below replacement cost	Near-term drag; medium-term upside
Financing cost & CP	N/A	CP ~50 bps savings vs LOC; key driver of +$0.03 FY Core FFO raise	Lower cost, flexible
Insurance	N/A	Premiums down >10% at renewal; assuming flat full-year insurance (offset by R&M/utilities)	Cost relief emerging

Management Commentary

“Core FFO exceeded the midpoint of our guidance by $0.04 per share… We are maintaining our guidance for same property growth given recent uncertainty in the macro-economic environment. However, we expect to incur lower than anticipated borrowing costs… resulting in a revised midpoint of $6.78 per share for full-year 2025 Core FFO” – Richard J. Campo, CEO .
“Occupancy… averaged 95.4%… renewal offers for May–July were sent with an average increase of 4.2%… annualized net turnover rate of 31% was one of the lowest in our company’s history” – D. Keith Oden, Executive Vice Chairman .
“We anticipate an average of $565 million outstanding under the commercial paper program for the remainder of the year at an average rate of 4.2%” – Alexander Jessett, President & CFO .
“Nashville and Austin… will continue to be challenged throughout 2025… but once they come out, they’re going to be faster up” – Management .

Q&A Highlights

Same-property guidance held due to macro uncertainty; would consider raising with more visibility. “Wait-and-see mode… haven’t seen cracks in the ice” .
Market outlook: D.C. fundamentals strong (97% occupancy, highest blended lease rates); no evidence of federal job headlines hurting demand .
Portfolio rotation: Expect near-term FFO dilution as older, higher-yield assets are sold into acquisitions of newer, faster-growth assets; AFFO impact expected to be more neutral .
Leasing cadence: Expect positive new lease trade-out in 3Q; 2Q blended flat to +1% .
Costs: Insurance premiums down >10% at renewal; assuming flat full-year insurance as savings may be offset by higher R&M/utilities .

Estimates Context

Q1 2025 vs S&P Global Consensus

Metric	Consensus	Actual	Surprise
GAAP EPS (Diluted)	$0.378*	$0.360*	-$0.018*
Revenue ($MM)	$388.858*	$393.062*	+$4.204*
EBITDA ($MM)	$219.824*	$224.368*	+$4.544*
Net Income Normalized ($MM)	$38.604*	$38.822*	+$0.218*
# of Estimates (Rev/EPS)	9 / 4*	—	—

Values retrieved from S&P Global.
Note: Company-reported Q1 property revenues were $390.565MM, with total non-property income of $3.695MM; S&P Revenue may reflect different definitions (e.g., inclusion of non-property income) .

Key Takeaways for Investors

Underlying fundamentals are stabilizing: occupancy firm, bad debt improving, and blended trade-out trending toward positive; sets the stage for revenue re-acceleration as supply fades into 2H/2026 .
Quality of beat matters: Q1 Core FFO beat came from both revenue and lower interest costs; CP program provides a continuing tailwind and supported the FY25 guidance raise .
Watch same-property trajectory into peak leasing: management targets flat to +1% blended in Q2 and positive new-lease trade-out in Q3; monitor Austin/Nashville healing for a sharper upturn later on .
Expect portfolio upgrade-driven near-term FFO dilution if dispositions close in 2H, with faster growth profile into 2026–2027 as new assets and developments contribute .
Cost levers turning favorable: insurance premiums down >10%; interest expense benefits from CP; offsets seasonal R&M/utilities and macro uncertainty .
Catalysts: additional acquisitions/dispositions at attractive spreads; evidence of positive new-lease trade-out; continued CP savings; market data confirming supply rollover in key Sunbelt MSAs .
Risk checks: macro volatility, lingering negative trade-out in highly supplied markets, and timing of asset sales could influence near-term FFO prints .

Additional Detail (Selected)

Development/leasing updates: Ongoing lease-up at Woodmill Creek (94% leased), Durham (90%), Long Meadow Farms (64%); new construction started at Camden Nations (Nashville); Village District lease-up at 14% .
Q1 liquidity and leverage: ~$773MM liquidity; net debt/annualized Adjusted EBITDAre 4.1x; unencumbered asset coverage 3.6x; 26% floating exposure .
Same-property regional performance (YoY Q1): NOI growth leaders include DC Metro (+3.3%), Tampa (+3.3%), San Diego/IE (+5.6%); laggards include Austin (-5.2%), Phoenix (-3.4%) .

Footnotes:
All company results and guidance cited from Camden’s Q1 2025 8-K/press release and supplemental schedules, and Q1 2025 earnings call transcript .
Values marked with an asterisk (*) are retrieved from S&P Global.

CAMDEN PROPERTY TRUST (CPT)·Q1 2025 Earnings Summary