Kilroy Realty posts Q3 loss, records strong leasing activity and raises FFO guidance

Kilroy Realty Corp. reported third‑quarter 2026 net income of $15.5 million on revenue of $271.6 million, a sharp decline from the prior year. The REIT signed about 815,000 sq ft of new leases, its strongest quarterly volume since 2019, and raised its full‑year funds‑from‑operations guidance to $3.55‑$3.59 per share. The board also declared a $2.16 per share cash dividend.

The higher FFO guidance suggests improved cash‑flow expectations despite lower occupancy, which may support the dividend and affect valuation models. Investors will watch the leasing pipeline and occupancy trends for future earnings visibility.

  • 1Kilroy reported Q3 2026 net income of $15.5 million.
  • 2Q3 2026 revenue was $271.6 million.
  • 3The company signed approximately 815,000 sq ft of leases during the quarter.
  • 4Funds from operations totaled $104.6 million, or $0.88 per share.
  • 5The stabilized portfolio was 76.9% occupied and 83.0% leased as of September 30, 2026.
  • 6The board declared a quarterly cash dividend of $2.16 per share.

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