Image source: The Motley Fool. Wednesday, July 30, 2025, at 11 a.m. EDT CALL PARTICIPANTS Need a quote from one of our analysts? Email [email protected] TAKEAWAYS President and Chief Executive Officer — Lisa Palmer Chief Financial Officer — Mike Mas East Region President and Chief Operating Officer — Alan Roth West Region President and Chief Investment Officer — Nick Wibbenmeyer Senior Vice President, Capital Markets — Christy McElroy Same-property NOI Growth: Same-property NOI growth exceeded 7%, with base ...

Core Insights - Regency Centers Corporation (REG) reported a second-quarter 2025 NAREIT funds from operations (FFO) per share of $1.16, exceeding the Zacks Consensus Estimate of $1.12, and reflecting a 9.4% increase from the prior-year quarter [1][9] - The company experienced strong leasing activity, with improvements in same-property net operating income (NOI) and base rents, leading to an increased 2025 NAREIT FFO per share outlook [1][10] Financial Performance - Total revenues reached $380.8 million, marking a 6.6% increase from the previous year and surpassing the Zacks Consensus Estimate of $377.4 million [2] - Same-property NOI, excluding lease termination fees, rose 7.4% year-over-year to $274.8 million, with base rent growth contributing 4.5% to this increase [4][9] Leasing Activity - In Q2 2025, Regency Centers executed approximately 1.9 million square feet of comparable new and renewal leases at a blended cash rent spread of 10% [3] - As of June 30, 2025, the same property portfolio was 96.5% leased, remaining flat sequentially but increasing by 100 basis points year-over-year [3] Portfolio Management - The company strategically deployed over $600 million into accretive investments year-to-date, including the acquisition of five high-quality shopping centers in Southern California [2] - In Q2 2025, REG acquired Armonk Square, a 48,000 square foot neighborhood center in Armonk, NY, for approximately $5 million, and disposed of Van Houten Plaza in Passaic, NJ, for about $6 million [6] - Following the quarter end, REG acquired a portfolio of five shopping centers in Rancho Mission Viejo, CA, for $357 million and disposed of 101 7th Avenue in New York, NY, for $11 million [7] Balance Sheet - As of June 30, 2025, Regency Centers had nearly $1.5 billion of capacity under its revolving credit facility, with a pro-rata net debt and preferred stock to trailing 12 months operating EBITDAre ratio of 5.3X [8] 2025 Outlook - The company raised its 2025 NAREIT FFO per share guidance to a range of $4.59-$4.63, compared to the previous guidance of $4.52-$4.58, with the current Zacks Consensus Estimate at $4.54 [10]

Financial Data and Key Metrics Changes - The company reported same property NOI growth exceeding 7%, with base rent contributing 4.5% [9] - Full year guidance for same property NOI growth was raised to 4.5% to 5%, an increase of 115 basis points at the midpoint [17] - NAREIT FFO range was raised by $0.06 per share at the midpoint, representing full year growth of more than 7% [17] - Core operating earnings per share were raised by $0.05 at the midpoint, indicating growth north of 6% [17] Business Line Data and Key Metrics Changes - The company achieved cash rent spreads of 10% and GAAP rent spreads of nearly 20% for new and renewal leasing [10] - The lease to commenced occupancy spread was 260 basis points at quarter end, representing an S and O pipeline of $38 million of incremental base rent [10] - The company maintained a same property leased rate and continued to grow shop occupancy, driven by strong tenant demand across various categories [9] Market Data and Key Metrics Changes - The company successfully deployed over $600 million of capital year to date, with a recent acquisition of five shopping centers for $357 million [6][12] - The acquisition portfolio is 97% leased and includes over 600,000 square feet of high-quality retail GLA in a sought-after market [12] - The company continues to see strong demand from leading grocers and retailers for expansion in its markets [15] Company Strategy and Development Direction - The company is focused on enhancing its presence in supply-constrained markets, particularly in Southern California [6] - The ongoing commitment to corporate responsibility is a foundational strategy for the company, reflecting its dedication to sustainable growth [7] - The company aims to capitalize on persistent demand for high-quality shopping centers while driving NOI higher through effective merchandising [12] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the strength of operating fundamentals and the ability to sustain growth opportunities into 2026 [8] - The company is optimistic about the future, citing strong tenant health and positive consumer trends [80] - Management noted that the current operating environment is favorable, with limited supply and high demand for quality retail spaces [11] Other Important Information - The company has a strong balance sheet with low leverage and dependable access to low-cost capital, enabling it to pursue strategic growth opportunities [8] - The company has successfully executed a $400 million bond offering, demonstrating a clear cost of capital advantage [19] - The company is committed to maintaining a leverage ratio comfortably within its target range of 5 to 5.5 times [20] Q&A Session Summary Question: Contribution to same store NOI growth in the second half - Management indicated that base rent will continue to be the largest contributor, but there may be a slight increase in uncollectible lease income in the second half [23][25] Question: State property NOI growth algorithm and future components - Management noted that while peak leased occupancy has been reached, there is still room for growth in commenced occupancy, which will positively impact NOI [31][34] Question: Insights on the SoCal acquisition and competitive edge - The acquisition was described as off-market, with the seller valuing the quality of the company's operations and future development opportunities [42][45] Question: Development opportunities and retailer discussions - Management confirmed ongoing discussions with national retailers about new developments, with expectations for continued high yields [50][52] Question: Sustainability of improved expense recovery rates - Management anticipates a slight deceleration in recovery rates but expects continued improvement due to higher average in-place occupancy [55][56] Question: Tenant health and turnover rates - Management reported strong tenant health, with a retention rate of about 77%, attributed to supply constraints and productive stores [77][80] Question: Credit loss assumptions and potential troubled tenants - Management narrowed credit loss guidance, citing improved clarity on bankruptcy outcomes and strong tenant health [84][86] Question: Future occupancy levels and potential for growth - Management expressed confidence in the ability to push occupancy levels higher, with no ceiling identified for future growth [108][111]

Financial Data and Key Metrics Changes - The company reported same property NOI growth exceeding 7%, with base rent contributing 4.5% [10][19] - Full year growth outlook for same property NOI, core operating earnings, and NAREIT FFO has been raised due to strong performance [8][19] - NAREIT FFO range increased by $0.06 per share at the midpoint, representing full year growth of more than 7% [19][21] Business Line Data and Key Metrics Changes - The company achieved cash rent spreads of 10% and GAAP rent spreads of nearly 20% for new and renewal leasing [11] - The commenced occupancy rate increased by 40 basis points quarter over quarter, indicating strong leasing activity [11][12] - The S and O pipeline represents $38 million of incremental base rent, showcasing ongoing leasing momentum [11] Market Data and Key Metrics Changes - The company successfully acquired five shopping centers in South Orange County, California, enhancing its presence in a supply-constrained market [6][14] - The acquisition portfolio is 97% leased and includes over 600,000 square feet of high-quality retail GLA [13][14] Company Strategy and Development Direction - The company emphasizes its commitment to corporate responsibility as a foundational strategy, which aligns with its business objectives [7] - The strategic focus remains on high-quality grocery-anchored shopping centers in desirable suburban areas, driving value creation [9][10] - The company plans to continue capitalizing on persistent demand for its shopping centers and enhancing its merchandising [12][18] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the operating environment, citing strong tenant demand and favorable bankruptcy outcomes [10][18] - The company anticipates continued above-trend growth opportunities into 2026, supported by a strong balance sheet and access to low-cost capital [9][21] - Management narrowed credit loss guidance to 75 to 85 basis points, reflecting improved clarity on bankruptcy outcomes [20][21] Other Important Information - The company has successfully executed a $400 million bond offering, demonstrating a clear cost of capital advantage [20][21] - The average in-place occupancy is expected to increase by over 100 basis points in 2025, contributing to higher expense recovery rates [53] Q&A Session Summary Question: Contribution from various components into the second half for same store NOI cadence - Management indicated that base rent will continue to be the largest contributor, but there may be a slight increase in uncollectible lease income in the second half [24][26] Question: Shift away from occupancy into other components of same property NOI growth - Management confirmed that while peak leased occupancy is being reached, there is still room for growth in commenced occupancy and redevelopment opportunities will positively impact NOI growth [31][34] Question: Competitive edge in the SoCal acquisition - The acquisition was described as off-market, with the seller valuing the quality of currency and operations, as well as future development opportunities [41][44] Question: Development opportunities and discussions with national retailers - Management confirmed ongoing discussions with leading grocers about expanding their physical presence in the markets [48][49] Question: Sustainability of better expense recovery rates - Management expects a slight deceleration in recovery rates but attributes the current high rates to increased average in-place occupancy [53] Question: Future growth opportunities within the SoCal acquisition portfolio - Management highlighted potential for small redevelopments and rent increases, projecting growth rates north of 3% moving forward [60][61] Question: Plans for settling remaining forward equity - Management indicated that the capital will be used for development and acquisition opportunities, with a focus on rolling up smaller joint ventures [66] Question: Tenant health on the small shop side - Management reported strong tenant health, with retention rates at about 77%, and positive feedback from tenants regarding their ability to adapt to market conditions [77][81] Question: Credit loss assumptions for 2025 - Management narrowed credit loss guidance due to improved clarity on bankruptcy outcomes, with expectations for a retention rate of 75 to 80 basis points [85][88]

Financial Data and Key Metrics Changes - The company reported same property NOI growth exceeding 7%, with base rent contributing 4.5% [10][19] - Full year growth outlook for same property NOI, core operating earnings, and NAREIT FFO has been raised due to strong performance [8][19] - NAREIT FFO range increased by $0.06 per share at the midpoint, representing full year growth of more than 7% [19][21] Business Line Data and Key Metrics Changes - The company achieved record low shop move outs and sustained robust leasing activity with strong rent growth [6][10] - Cash rent spreads of 10% and GAAP rent spreads of nearly 20% were achieved for both new and renewal leasing [11][19] - The S and O pipeline represents $38 million of incremental base rent, with a lease to commenced occupancy spread of 260 basis points [11][12] Market Data and Key Metrics Changes - The company successfully acquired five shopping centers in South Orange County, California for $357 million, enhancing its presence in a supply-constrained market [6][14] - The acquisition portfolio is 97% leased and includes over 600,000 square feet of high-quality retail GLA [13][14] Company Strategy and Development Direction - The company is focused on high-quality grocery-anchored shopping centers in desirable suburban trade areas, emphasizing essential retail offerings [9][10] - The ongoing commitment to corporate responsibility is highlighted as a foundational strategy [7] - The company plans to continue capitalizing on persistent demand for its shopping centers and is optimistic about future growth opportunities [12][19] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the strength of the operating fundamentals and the ability to sustain growth into 2026 and beyond [9][19] - The company is raising its earnings guidance based on strong first-half performance and greater conviction about the remainder of the year [18][19] - Management noted that the current year lease commencements are largely derisked, allowing for continued growth momentum [12][19] Other Important Information - The company has a strong balance sheet with low leverage and dependable access to low-cost capital, enabling it to pursue strategic growth opportunities [9][21] - The company has successfully executed a $400 million bond offering, demonstrating a clear cost of capital advantage [21] Q&A Session Summary Question: Contribution from various components into the second half for same store NOI cadence - Management indicated that base rent will continue to be the largest contributor, but there may be a slight increase in uncollectible lease income in the second half [24][26] Question: Shift away from occupancy into other components of same property NOI growth - Management confirmed that while peak leased occupancy is being reached, there is still room for growth in commenced occupancy, which will positively impact NOI [31][34] Question: State property NOI growth algorithm and contractual rent steps - Management highlighted that redevelopments are expected to positively impact same property NOI growth, with continued strong contractual rent steps [32][34] Question: Health of tenants and turnover rates - Management reported strong tenant health with a retention rate of about 77%, attributing this to supply constraints and productive stores [76][78] Question: Credit loss assumptions for 2025 - Management narrowed the credit loss guidance due to increased clarity on bankruptcy outcomes, indicating a positive outlook for tenant health [85][86] Question: Development opportunities and retailer discussions - Management confirmed ongoing discussions with national retailers about new developments, with a bullish outlook on finding attractive opportunities [48][49] Question: Future acquisition strategies and portfolio cap rates - Management noted that there is strong demand for grocery-anchored assets, with cap rates remaining stable in the low fives to low sixes [71][72]

Financial Performance and Guidance - The company forecasts approximately 7% year-over-year growth in Nareit FFO (Funds From Operations) per share at the midpoint of guidance, driven by same-property NOI (Net Operating Income) growth of +4.5% to +5.0%[29] - Nareit FFO guidance was raised by +6 cents at the midpoint from the previous quarter[30] - The company expects non-cash revenues of approximately $49 million[26] - The company anticipates general and administrative expenses between $93 million and $96 million[26] - The company projects interest expense, net, and preferred stock dividends between $235 million and $237 million[26] Portfolio and Occupancy - The company's signed-not-occupied (SNO) pipeline reflects a 260 basis point leased-to-occupied spread, representing approximately $38 million of base rent[39] - Of the $38 million in base rent represented by leases signed within the current SNO pipeline, 64% is expected to commence by year-end 2025, and 100% by year-end 2026[43] Acquisition and Capital Structure - The company acquired a five-property portfolio of premier shopping centers in Rancho Mission Viejo for $357 million[50] - The company assumed $150 million of debt at a 4.2% weighted average interest rate with the RMV acquisition[56] - The company's net debt and preferred stock to trailing 12-month EBITDAre is 5.3x, with approximately $1.5 billion revolver availability as of June 30, 2025[20]

Regency Centers (REG) came out with quarterly funds from operations (FFO) of $1.16 per share, beating the Zacks Consensus Estimate of $1.12 per share. This compares to FFO of $1.06 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an FFO surprise of +3.57%. A quarter ago, it was expected that this shopping center real estate investment trust would post FFO of $1.14 per share when it actually produced FFO of $1.15, delivering a surprise of +0.88%. Inve ...

Exhibit 99.2 Table of Contents June 30, 2025 | Safe Harbor Language | i | | --- | --- | | Earnings Press Release | ii | | Summary Information: | | | Financial Results Summary | 1 | | Real Estate Portfolio Summary | 2 | | Financial Information: | | | Consolidated Balance Sheets | 3 | | Supplemental Details of Assets and Liabilities (Real Estate Partnerships Only) | 4 | | Consolidated Statements of Operations | 5 | | Supplemental Details of Operations (Consolidated Only) | 6 | | Supplemental Details of Operat ...

Core Insights - Regency Centers Corporation reported a net income attributable to common shareholders of $102.6 million, or $0.56 per diluted share, for the quarter ended June 30, 2025, compared to $99.3 million, or $0.54 per diluted share, for the same period in 2024 [4][26] - The company raised its 2025 earnings guidance, projecting Nareit FFO in the range of $4.59 to $4.63 per diluted share, representing over 7% year-over-year growth [7][17] Financial Performance - Nareit FFO for the quarter was $212.1 million, or $1.16 per diluted share, up from $196.4 million, or $1.06 per diluted share, in the same quarter of 2024 [5][26] - Core Operating Earnings reached $202.2 million, or $1.10 per diluted share, compared to $189.3 million, or $1.02 per diluted share, for the same period in 2024 [6][26] - Same Property NOI increased by 7.4% year-over-year for the quarter, with a year-to-date growth of 5.8% [7][13] Leasing and Occupancy - The same property percent leased at the end of the quarter was 96.5%, an increase of 100 basis points year-over-year [7][13] - The company executed 1.9 million square feet of comparable new and renewal leases during the quarter, achieving blended rent spreads of +10.0% on a cash basis and +19.3% on a straight-lined basis [7][13] Capital Allocation - Regency strategically deployed over $600 million into accretive investments year-to-date, including the acquisition of five shopping centers in Southern California for $357 million [3][7] - As of June 30, 2025, the company's in-process development and redevelopment projects had estimated net project costs of $518 million at a blended estimated yield of 9% [7][14] Corporate Responsibility - The company issued its annual Corporate Responsibility report on May 21, 2025, highlighting its commitment to corporate responsibility initiatives [10]

Core Viewpoint - Regency Centers Corporation has announced the acquisition of a portfolio of five suburban shopping centers in the Rancho Mission Viejo community of Orange County, CA, totaling approximately 630,000 square feet [1][2]. Acquisition Details - The acquisition includes Bridgepark Plaza, Mercantile West, Mercantile East, Terrace Shops, and Sendero Marketplace, enhancing Regency's presence in a supply-constrained coastal market [1][2]. - The total purchase price for the portfolio is $357 million, funded through a combination of operating partnership units, assumption of secured mortgage debt, and cash [3]. Financial Metrics - The portfolio is 97% leased, with grocer sales nearing $800 per square foot, and the average household income within a 3-mile radius is approximately $200,000 [2]. - The assumed mortgage debt amounts to $150 million, with a weighted average interest rate of 4.2% and a term to maturity of about 12 years [3]. Strategic Alignment - The acquisition aligns with Regency's capital allocation objectives, aiming for earnings accretion, quality, and growth [3]. - The transaction is expected to be accretive to Regency's 2025 Core Operating Earnings per share [3]. Advisory Information - BofA Securities acted as the financial advisor, while EY served as the tax advisor to the seller, and legal matters were handled by Latham & Watkins for the seller and Paul Hastings for Regency [4]. Company Overview - Regency Centers is a leading national owner, operator, and developer of shopping centers, focusing on suburban trade areas with strong demographics [6]. - The company operates as a fully integrated real estate investment trust (REIT) and is a member of the S&P 500 Index [6].