Executive Summary

Q3 2025 GAAP diluted EPS was $(0.13) vs $0.88 in Q2 and $6.07 in Q3 2024, driven by $106.6M impairments, lower gains on sale, reduced rental income from dispositions/Curbline spin‑off, and lower interest income, partially offset by lower interest expense and higher fee/other income .
Operating FFO per diluted share fell to $0.11 (vs $0.16 in Q2; $0.81 in Q3 2024) as NOI declined with asset sales and the Curbline spin‑off .
Portfolio optimization accelerated: four large asset sales in Q3 ($277.2M gross) and Parker Pavilions in November; additional properties under contract ($263.6M aggregate) with planned mortgage repayments (approx. $44.3M total) .
Special cash distributions of $1.50 (July), $3.25 (Aug), and announced $1.00 payable Nov 14; the elevated payout is a near‑term stock catalyst but reduces equity while the company shrinks via dispositions .
Leased rate declined to 87.6% (from 88.1% in Q2; 91.3% YoY) and commenced rate to 86.5%, reflecting transactional activity and remaining asset mix; base rent PSF dipped sequentially .

What Went Well and What Went Wrong

What Went Well

Active portfolio recycling: Sold Sandy Plains Village ($25.0M), Winter Garden Village ($165.0M), Deer Valley Towne Center ($33.7M), and Edgewater Towne Center ($53.5M); a portion of proceeds used to retire $40.4M mortgage debt .
Fee income resilience: JV/other fee income increased YoY (Q3: $2.6M vs $1.3M) supporting earnings diversification amid dispositions .
Shareholder returns: Paid special cash distributions of $1.50 (July) and $3.25 (Aug); announced additional $1.00 distribution payable Nov 14 .
CEO emphasis on maximizing asset value via leasing, asset management, and additional sales indicates a clear strategic focus: “SITE Centers remains focused on maximizing the value of its assets through continued leasing, asset management and potential additional asset sales.” — David R. Lukes, CEO .

What Went Wrong

Occupancy pressure: Leased rate fell to 87.6% and commenced rate to 86.5% (from 91.3% and 89.8% YoY, respectively) due primarily to transactional activity and asset mix, pressuring revenue/NOI .
Large impairment charges: Recorded $106.6M impairments tied to hold period assumption changes for five wholly‑owned assets, driving GAAP EPS negative .
Revenue/NOI contraction: Consolidated revenues declined to $24.5M (from $31.1M in Q2 and $59.7M YoY), with NOI down to $15.1M (vs $20.0M in Q2; $40.3M YoY), reflecting portfolio shrinkage and spin‑off impacts .

Financial Results

Quarterly Actuals (Sequential comparison)

Metric	Q1 2025	Q2 2025	Q3 2025
Revenues ($000s)	$40,345	$31,108	$24,528
Net Operating Income (NOI) ($000s)	$28,492	$19,961	$15,128
Diluted EPS (GAAP)	$0.06	$0.88	$(0.13)
FFO per share – Diluted	$0.31	$0.13	$0.07
Operating FFO per share – Diluted	$0.16	$0.16	$0.11

Year-over-Year (Q3 comparison)

Metric	Q3 2024	Q3 2025
Revenues ($000s)	$59,666	$24,528
Net Operating Income (NOI) ($000s)	$40,270	$15,128
Diluted EPS (GAAP)	$6.07	$(0.13)
Operating FFO per share – Diluted	$0.81	$0.11

Estimates vs Actuals (S&P Global consensus)

Metric	Q1 2025 Estimate	Q1 2025 Actual	Q2 2025 Estimate	Q2 2025 Actual	Q3 2025 Estimate	Q3 2025 Actual
Revenue ($000s)	31,966*	40,345	33,100*	31,108	26,749*	24,528
Primary EPS (GAAP)	-0.11*	$0.06	-0.21*	$0.88	-0.19*	$(0.13)
EBITDA ($000s)	15,570*	N/A (company does not report EBITDA)	16,270*	N/A	7,589*	N/A
Values with asterisk retrieved from S&P Global; company actuals per primary filings. Note: consensus definitions may not align perfectly with REIT reporting categories (e.g., EBITDA not disclosed; revenues reflect consolidated interests) .

Portfolio KPIs

KPI	Q1 2025	Q2 2025	Q3 2025
Leased Rate (Pro Rata)	89.8%	88.1%	87.6%
Commenced Rate (Pro Rata)	89.4%	87.5%	86.5%
Base Rent PSF (Pro Rata)	$19.75	$19.83	$19.62
Cash at Period End ($000s)	$58,155	$153,789	$128,234
Secured Debt ($000s)	$301,643	$288,442	$248,702
Net Debt ($000s)	$332,013	$224,818	$207,684

Guidance Changes

Metric	Period	Previous Guidance	Current Guidance	Change
Formal financial guidance (revenue/FFO/NOI)	FY/Quarter	Not provided	Not provided	Maintained (no formal guidance)
Special cash distributions	Q3/Q4 2025	$1.50 (paid July 15)	$3.25 (paid Aug 29) ; $1.00 payable Nov 14	Raised (aggregate distributions announced/paid)
Disposition pipeline	Q4 2025	N/A	Under contract: East Hanover Plaza, Southmont Plaza, Stow Community Center ($126.0M; repay ~$38.2M mortgage); Nassau Park Pavilion ($137.6M; repay ~$98.4M mortgage incl. ~$7.3M make‑whole)	Initiated/confirmed transactions
Debt actions	Q3/Q4 2025	N/A	Q3: repaid $40.4M mortgage; Nov: repaid ~$6.1M upon Parker Pavilions sale	Deleveraging actions

Earnings Call Themes & Trends

Note: A Q3 2025 earnings call transcript was not available in the document set searched (no “earnings‑call‑transcript” found for SITC between Oct–Dec 2025). Trends below based on press releases and quarterly supplements.

Topic	Previous Mentions (Q-2 and Q-1)	Current Period (Q3 2025)	Trend
Portfolio disposition strategy	Q1: Two properties under contract ($95.3M) and broader pipeline >$350M ; Q2: Sold Brentwood & Chapel Hills ($95.3M); planned Sandy Plains, Winter Garden, Deer Valley sales; special distributions	Executed four major sales ($277.2M); Parker Pavilions sold in Nov; additional assets under contract for Q4	Accelerating dispositions/deleveraging
Shareholder distributions	Q1: none ; Q2: $1.50 special declared	$3.25 special paid Aug; $1.00 special announced for Nov	Elevated capital return
Occupancy and leasing	Q1: Leased 89.8%, commenced 89.4%, base rent PSF $19.75 ; Q2: Leased 88.1%, commenced 87.5%, base rent PSF $19.83	Leased 87.6%, commenced 86.5%, base rent PSF $19.62; 6 new leases, 23 renewals, 237k sf	Softening occupancy; leasing activity steady
Impairments/charges	Q1: no impairments; condemnation proceeds excluded from OFFO	Q3: $106.6M impairments on five assets	One‑time charges impacting GAAP EPS
Debt and liquidity	Q1–Q2: rising cash; dividends payable; net debt declining	Further debt repayment; net debt down to $207.7M	Improving leverage/liquidity

Management Commentary

“Year to date, the Company has sold seven properties for an aggregate price of $380.9 million and declared aggregate dividends of $5.75 per share… SITE Centers remains focused on maximizing the value of its assets through continued leasing, asset management and potential additional asset sales.” — David R. Lukes, President & CEO (Q3 press release) .
“The Company sold five properties over the past two months for an aggregate price of $319.0 million and declared aggregate dividends of $4.75 per share… focused on maximizing value through leasing, asset management and potential additional asset sales.” — David R. Lukes (Q2 press release) .
“SITE Centers continues to see strong demand from private and institutional investors seeking to acquire high-quality, open-air shopping centers… remains focused on maximizing the value of its assets through continued leasing, asset management and potential additional asset sales.” — David R. Lukes (Q1 press release) .

Q&A Highlights

No Q3 2025 earnings call transcript was found in the document set. We searched for “earnings‑call‑transcript” for SITC between Oct–Dec 2025 and found none; highlights and clarifications are therefore unavailable. Consider checking the company’s IR site for audio replays or later postings.

Estimates Context

Versus S&P Global consensus: Q3 2025 revenue of $24.5M was below the $26.7M consensus*, and GAAP diluted EPS of $(0.13) was above the $(0.19)* consensus (less negative), with the variance largely driven by $106.6M impairment charges and lower gains on sale, which are volatile/non‑operating drivers affecting GAAP EPS .
Sequentially, estimates for Q2 and Q1 also diverged from reported GAAP EPS due to transaction‑related gains/losses, non‑cash items, and classification differences typical in REIT reporting (e.g., fee income not in “Revenues” line). Investors should anchor comparisons on company‑reported categories (Revenues, FFO/OFFO) for REITs .
Values with asterisk retrieved from S&P Global.

Key Takeaways for Investors

The strategy is working as designed: accelerated dispositions, net debt down to ~$208M, and significant cash returns to shareholders via specials; near‑term stock catalysts include closing of Q4 asset sales and associated debt repayments .
Core operating metrics are under pressure (lower leased/commenced rates, declining base rent PSF), reflecting portfolio shrinkage and asset mix; watch Q4 occupancy/leasing to gauge stabilization .
GAAP EPS is volatile due to impairments and gains on sale; use OFFO ($0.11 in Q3) and NOI trends to assess core performance .
The announced sale of Nassau Park Pavilion includes a ~$7.3M make‑whole premium; transaction economics and cap rates at closing will inform forward NOI and leverage trajectory .
Continued special distributions signal management’s intent to return capital amid downsizing; evaluate sustainability of payouts against future cash flow post‑dispositions .
Fee income from JVs and SSA with Curbline helps offset revenue decline; monitor durability as assets transact .
Risk factors: macro interest rates, retail tenant health, transaction market depth; occupancy/headline NOI could remain choppy until recycling completes .

Supporting Detail

Significant Q3 transactions: Sandy Plains Village ($25.0M), Winter Garden Village ($165.0M), Deer Valley Towne Center ($33.7M), Edgewater Towne Center ($53.5M) .
November transaction: Parker Pavilions (~$8.4M), with ~$6.1M debt repaid .
Under contract for Q4 2025: East Hanover Plaza, Southmont Plaza, Stow Community Center ($126.0M; repay ~$38.2M mortgage); Nassau Park Pavilion ($137.6M; ~$98.4M mortgage repayment with ~$7.3M make‑whole) .
Q3 impairments: $106.6M on five wholly‑owned assets .
Q3 leasing activity: six new leases and 23 renewals, 237k sf .
Q3 occupancy metrics: leased 87.6%; commenced 86.5%; base rent PSF $19.62 .
Balance sheet: Cash $128.2M; secured debt $248.7M; net debt $207.7M; total assets $653.96M .

SITE Centers Corp. (SITC)·Q3 2025 Earnings Summary