Essex Property Trust, Inc. · NYSE:ESS
Essex Property Trust — Q1 2026 Earnings Presentation
31 slides from Essex Property Trust's earnings presentation, Apr 29, 2026
Slide 1: First Quarter 2026 Earnings Release & Supplemental Data
Maxwell | Sunnyvale, CA FIRST QUARTER 2026 EARNINGS RELEASE & SUPPLEMENTAL DATA
Slide 2: Table of Contents
FIRST QUARTER 2026 EARNINGS RELEASE AND SUPPLEMENTAL DATA Table of Contents Earnings Press Release ........................................................................................................ Pages 1 - 8 Consolidated Operating Results .....................................................
Slide 3: Essex Announces First Quarter 2026 Results
ESSEX ANNOUNCES FIRST QUARTER 2026 RESULTS San Mateo, California—April 28, 2026—Essex Property Trust, Inc. (NYSE: ESS) (the “Company”) announced today its first quarter 2026 earnings results and related business activities. Net Income, Funds from Operations (“FFO”), and Core FFO per diluted share fo
Slide 4: Same-Property Operations
Table of Contents SAME-PROPERTY OPERATIONS Same-property operating results exclude any properties that are not comparable for the periods presented. The table below illustrates the percentage change in same-property revenue on a year-over-year and sequential basis for the three-month period ended Ma
Slide 5: Year-Over-Year Change, Sequential Change and Occupancies
Table of Contents Year-Over-Year Change Q1 2026 compared to Q1 2025 Operating Revenue Expenses NOI Southern California 2.2% 1.9% 2.3% Northern California 3.9% 0.2% 5.6% Seattle Metro 2.3% -3.4% 4.9% Same-Property Portfolio 2.9% 0.2% 4.1% Sequential Change Q1 2026 compared to Q4 2025 Operating Revenu
Slide 6: Guidance
Table of Contents GUIDANCE For the first quarter of 2026, the Company exceeded the midpoint of the guidance range provided in its fourth quarter 2025 earnings release for Core FFO by $0.11 per diluted share, of which $0.08 is attributable to same- property NOI. The following table provides a reconci
Slide 7: Upcoming Events and Corporate Profile
Table of Contents 512-2921 using the replay pin number 13759660. If you are unable to access the information via the Company’s website, please contact the Investor Relations Department at investors@essex.com or calling (650) 655-7800. UPCOMING EVENTS The Company is scheduled to participate in the Na
Slide 8: FFO and Core FFO Calculation
Table of Contents to all periods presented. However, there is judgment involved and other REITs’ calculation of FFO may vary from the Nareit definition for this measure, and thus their disclosures of FFO may not be comparable to the Company’s calculation. The following table sets forth the Company’s
Slide 9: NOI Reconciliation and Safe Harbor Statement
Table of Contents operating expenses, including property taxes. Please see the reconciliation of earnings from operations to NOI and same-property NOI, which in the table below is the NOI for stabilized properties consolidated by the Company for the periods presented (dollars in thousands): Three Mo
Slide 10: Forward-Looking Statements Risk Factors
Table of Contents markets; the Company’s failure to successfully operate acquired properties; unforeseen consequences from cyber-intrusion; government approvals, actions and initiatives, including the need for compliance with environmental requirements; and those further risks, special consideration
Slide 11: Consolidated Operating Results
Table of Contents Three Months Ended March 31, 2026 2025 Revenues: Rental and other property $ 482,443 $ 462,089 Management and other fees from affiliates 2,313 2,494 484,756 464,583 Expenses: Property operating 141,256 138,621 Corporate-level property management expenses 13,398 12,332 Depreciation
Slide 12: Consolidated Operating Results Detail
Table of Contents Three Months Ended March 31, 2026 2025 Rental and other property Rental income $ 475,812 $ 455,860 Other property 6,631 6,229 Rental and other property $ 482,443 $ 462,089 Property operating expenses Real estate taxes $ 52,125 $ 52,594 Utilities 32,662 29,774 Personnel costs 26,522
Slide 13: Consolidated Funds from Operations
Table of Contents Three Months Ended March 31, 2026 2025 % Change Funds from operations attributable to common stockholders and unitholders (FFO) Net income available to common stockholders $ 106,186 $ 203,110 Adjustments: Depreciation and amortization 154,895 151,287 Gains not included in FFO - (11
Slide 14: Consolidated Balance Sheets
Table of Contents March 31, 2026 December 31, 2025 Real estate investments: Land and land improvements $ 3,363,169 $ 3,363,169 Buildings and improvements 15,121,705 15,073,416 18,484,874 18,436,585 Less: accumulated depreciation (6,684,573) (6,532,003) 11,800,301 11,904,582 Real estate under develop
Slide 15: Debt Summary
Table of Contents Scheduled principal payments, unamortized premiums (discounts) and (debt issuance costs) are as follows - excludes lines of credit and commercial paper: Weighted Weighted Average Average Percentage Balance Interest Maturity Interest of Total Outstanding Rate in Years Unsecured Secu
Slide 16: Capitalization Data, Bond Covenants and Credit Ratings
Table of Contents Capitalization Data Public Bond Covenants (1) Actual Requirement Total debt, net $ 6,806,496 Common stock and potentially dilutive securities Debt to Total Assets: 34% < 65% Common stock outstanding 64,310 Limited partnership units (1) 2,184 Secured Debt to Total Assets: 4% < 40% O
Slide 17: Portfolio Summary by County
Table of Contents Apartment Homes Average Monthly Rental Rate (1) Percent of NOI (2) Apartment Unconsolidated Homes in Unconsolidated Unconsolidated Region - County Consolidated Co-investments Development (3) Total Consolidated Co-investments (4) Total (4) Consolidated Co-investments (4) Total (4) S
Slide 18: Operating Income by Quarter
Table of Contents Apartment Homes Q1 '26 Q4 '25 Q3 '25 Q2 '25 Q1 '25 Rental and other property revenues: Same-property 52,135 $ 442,572 $ 439,591 $ 437,290 $ 434,370 $ 430,009 Acquisitions (2) 2,140 20,761 17,712 13,398 11,099 4,570 Non-residential/other, net (3) 1,341 19,225 19,093 19,939 21,974 27
Slide 19: Same-Property Revenue Results by County
Table of Contents Sequential Gross Q1 '26 Average Monthly Rental Rate Financial Occupancy Gross Revenues Revenues Apartment % of % % % % Region - County Homes Actual NOI Q1 '26 Q1 '25 Change Q1 '26 Q1 '25 Change Q1 '26 Q1 '25 Change Q4 '25 Change Southern California Los Angeles County 9,189 16.0% $
Slide 20: Same-Property Operating Expenses
Table of Contents Based on 52,135 apartment homes % of Operating Q1 '26 Q1 '25 % Change Expense Same-property operating expenses: Real estate taxes $ 47,229 $ 48,541 -2.7% 36.5% Utilities 29,658 27,530 7.7% 22.9% Personnel costs 24,318 24,346 -0.1% 18.8% Maintenance and repairs 12,976 13,576 -4.4% 1
Slide 21: Development Pipeline
Table of Contents Estimated Estimated Cost per Ownership Apartment Commercial Incurred to Remaining Estimated Apartment Construction Initial Stabilized Project Name - Location % Homes sq. feet Date (1) Costs Total Cost Home (2) Start Occupancy Operations Development Projects - Consolidated 7 South L
Slide 22: Capital Expenditures
Table of Contents Trailing 4 Revenue Generating Capital Expenditures (2) Q1 '26 Quarters Same-property portfolio $ 7,814 $ 72,326 Non-same property portfolio 880 5,117 Total revenue generating capital expenditures $ 8,694 $ 77,443 Number of same-property interior renovations 150 2,316 Number of tota
Slide 23: Co-Investments and Preferred Equity Investments
Table of Contents Weighted Average Weighted Three Months Essex Total Average Remaining Ended Ownership Apartment Undepreciated Debt Essex Borrowing Term of Debt March 31, Percentage Homes Book Value Amount Book Value Rate (1) (in Years) 2026 Operating and Other Unconsolidated Joint Ventures NOI Wesc
Slide 24: Apartment Community Acquisitions and Dispositions Activity
Table of Contents Acquisitions Essex Total Contract Apartment Ownership Price at Price per Average Property Name Location Homes Year Built Percentage Entity Date Pro Rata Share Apartment Home Monthly Rent Neither Essex nor its unconsolidated joint ventures acquired any apartment communities during t
Slide 25: Assumptions for 2026 FFO Guidance Range
Table of Contents The guidance projections below are based on current expectations and are forward-looking. The guidance on this page is given for Net Operating Income ("NOI") and Total and Core FFO. See pages S-17.1 to S-17.4 for the definitions of non-GAAP financial measures and other terms. Three
Slide 26: Reconciliation of Projected EPS, FFO and Core FFO
Table of Contents With respect to the Company's guidance regarding its projected FFO and Core FFO, which guidance is set forth in the earnings release and on page S-15 of this supplement, a reconciliation of projected net income per share to projected FFO per share and projected Core FFO per share,
Slide 27: MSA Level Supply Forecast: 2025A - 2026E
Table of Contents ESSEX PROPERTY TRUST, INC. MSA Level Supply Forecast: 2025A - 2026E Residential Supply Forecast (1) 2025A 2026E Total MF/SF Total Supply as a Multifamily Total MF/SF Total Supply as a Supply % of Stock Supply Supply % of Stock Market Los Angeles 14,900 0.4% 6,300 12,100 0.3% Orange
Slide 28: Adjusted EBITDAre Reconciliation
Table of Contents Adjusted EBITDAre Reconciliation The National Association of Real Estate Investment Trusts ("Nareit”) defines earnings before interest, taxes, depreciation and amortization for real estate ("EBITDAre") (September 2017 White Paper) as net income (computed in accordance with U.S. gen
Slide 29: Definitions of Non-GAAP Financial Measures and Other Terms
Table of Contents Annualized Turnover Annualized turnover is defined as the number of apartment homes turned over during the quarter, annualized, divided by the total number of apartment homes. Financial Occupancy Financial occupancy is defined as the percentage resulting from dividing actual rental
Slide 30: Net Indebtedness Divided by Adjusted EBITDAre
Table of Contents Net Indebtedness Divided by Adjusted EBITDAre This credit ratio is presented on page S-6 in the section titled "Selected Credit Ratios." This credit ratio is calculated by dividing net indebtedness by Adjusted EBITDAre, as annualized based on the most recent quarter, and adjusted f
Slide 31: Public Bond Covenants
Table of Contents Public Bond Covenants Public Bond Covenants refer to certain covenants set forth in instruments governing the Company's unsecured indebtedness. These instruments require the Company to meet specified financial covenants, including covenants relating to net worth, fixed charge cover