{"success":true,"data":{"pressRelease":{"id":"97337","rtpr_id":"nGNX8rkyrV","ticker":"PECO","exchange":"NASDAQ","all_tickers":["PECO"],"title":"Phillips Edison & Company Reports Second Quarter 2026 Results","author":"Globe Newswire","published_at":"2026-07-23T20:16:03.554Z","article_body":"CINCINNATI, July 23, 2026 (GLOBE NEWSWIRE) -- Phillips Edison & Company, Inc.\n(Nasdaq: PECO) (“PECO” or the “Company”), one of the nation’s\nlargest owners and operators of high-quality, grocery-anchored neighborhood\nshopping centers, today reported financial and operating results for the\nperiod ended June 30, 2026 and provided updated 2026 earnings guidance. For\nthe three and six months ended June 30, 2026, net income attributable to\nstockholders was $41.1 million, or $0.33 per diluted share, and $71.5 million,\nor $0.56 per diluted share, \nrespectively.\n\nHighlights for the Second Quarter and Subsequent\n* Reported Nareit FFO of $0.67 per diluted share, representing 8.1%\nyear-over-year growth\n* Reported Core FFO of $0.69 per diluted share, representing 7.8%\nyear-over-year growth\n* Increased same-center NOI year-over-year by 3.8%\n* The increased midpoint of full year 2026 Nareit FFO per diluted share\nguidance represents 6.3% year-over-year growth\n* The increased midpoint of full year 2026 Core FFO per diluted share guidance\nrepresents 6.2% year-over-year growth\n* The increased midpoint of full year 2026 same-center NOI guidance represents\n3.7% year-over-year growth\n* Increased full year 2026 gross acquisitions guidance reflects a range of\n$500 million to $600 million\n* Reported strong leased portfolio occupancy of 97.3% and same-center leased\nportfolio occupancy of 97.5%\n* Reported record-high leased inline occupancy and record-high same-center\nleased inline occupancy of 95.5%\n* Executed comparable portfolio new leases at a rent spread of 33.7% and\ncomparable inline new leases at a rent spread of 32.2% during the quarter\n* Executed comparable portfolio and inline renewal leases at a rent spread of\n21.2% during the quarter\n* Acquired six shopping centers and one outparcel for a total of $152.4\nmillion at PECO’s total prorated share and sold $64.6 million in assets\n* Generated net proceeds of $85.3 million through the issuance of 2.0 million\ncommon shares at a gross weighted average price of $42.06 per common share\nthrough PECO’s ATM program\n* Subsequent to quarter end, sold $39.7 million in assets\n* Subsequent to quarter end, generated net proceeds of $6.4 million through\nthe issuance of 0.2 million common shares at a gross weighted average price\nof $42.20 per common share through PECO’s ATM program\nManagement Commentary\n\nJeff Edison, Chairman and Chief Executive Officer of PECO stated: “Our\nsecond quarter results demonstrate the strength of PECO’s high-quality\nportfolio and our ability to convert strong operating fundamentals into\nlong-term earnings growth. We continue to generate Alpha through occupancy\ngains, acquisitions, rent spreads, retention, development, redevelopment and\nportfolio recycling. We are able to do this while maintaining balance sheet\ndiscipline and a thoughtful approach to investing that have always defined\nPECO.”\n\nEdison added: “Our confidence in our business is reflected in our increased\nguidance. The increased midpoint of 2026 Core FFO per diluted share guidance\nrepresents 6.2% year-over-year growth, and increased 2026 gross acquisitions\nguidance reflects a range of $500 million to $600 million. We are well\npositioned for strong growth in 2027 and beyond. We believe PECO offers\ninvestors a compelling opportunity for more Alpha with less Beta.”\n\nFinancial Results\n\nNet Income\n\nSecond quarter 2026 net income attributable to stockholders totaled $41.1\nmillion, or $0.33 per diluted share, compared to net income of $12.8 million,\nor $0.10 per diluted share, during the second quarter of 2025.\n\nFor the six months ended June 30, 2026, net income attributable to\nstockholders totaled $71.5 million, or $0.56 per diluted share, compared to\nnet income of $39.1 million, or $0.31 per diluted share, for the same period\nin 2025.\n\nNareit FFO\nSecond quarter 2026 funds from operations attributable to stockholders and\noperating partnership (“OP”) unit holders as defined by Nareit (“Nareit\nFFO”) increased 9.0% to $93.7 million, or $0.67 per diluted share, compared\nto $86.0 million, or $0.62 per diluted share, during the second quarter of\n2025.\n\nFor the six months ended June 30, 2026, Nareit FFO increased 6.6% to $186.6\nmillion, or $1.34 per diluted share, compared to $175.1 million, or $1.26 per\ndiluted share, during the same period in 2025.\n\nCore FFO\n\nSecond quarter 2026 core funds from operations attributable to stockholders\nand OP unit holders (“Core FFO”) increased 8.3% to $95.5 million, or $0.69\nper diluted share, compared to $88.2 million, or $0.64 per diluted share,\nduring the second quarter of 2025.\n\nFor the six months ended June 30, 2026, Core FFO increased 7.2% to $191.9\nmillion, or $1.38 per diluted share, compared to $179.0 million, or $1.29 per\ndiluted share, for the same period in 2025.\n\nSame-Center NOI\n\nSecond quarter 2026 same-center net operating income (“NOI”) increased\n3.8% to $120.6 million, compared to $116.2 million during the second quarter\nof 2025.\n\nFor the six months ended June 30, 2026, same-center NOI increased 3.7% to\n$242.1 million, compared to $233.6 million during the same period in 2025.\n\nPortfolio Overview\n\nPortfolio Statistics\n\nAs of June 30, 2026, PECO’s wholly-owned portfolio consisted of 302\nproperties, totaling approximately 33.9 million square feet, located in 31\nstates. This compared to 303 properties, totaling approximately 34.0 million\nsquare feet, located in 31 states as of June 30, 2025.\n\nLeased portfolio occupancy was 97.3% as of June 30, 2026, compared to 97.4%\nas of June 30, 2025. Same-center leased portfolio occupancy was 97.5% as of\nJune 30, 2026, compared to 97.6% as of June 30, 2025.\n\nLeased anchor occupancy was 98.4% as of June 30, 2026, compared to 98.9% as\nof June 30, 2025. Same-center leased anchor occupancy was 98.5% as of\nJune 30, 2026, compared to 99.0% as of June 30, 2025.\n\nLeased inline occupancy was a record-high 95.5% as of June 30, 2026, compared\nto 94.8% as of June 30, 2025. Same-center leased inline occupancy was a\nrecord-high of 95.5% as of June 30, 2026, compared to 95.0% as of June 30,\n2025.\n\nLeasing Activity\n\nDuring the second quarter of 2026, a record-high 304 leases were executed\ntotaling approximately 1.2 million square feet. This compared to 276 leases\nexecuted totaling approximately 1.4 million square feet during the second\nquarter of 2025.\n\nFor the six months ended June 30, 2026, 550 leases were executed totaling\napproximately 2.8 million square feet. This compared to 510 leases executed\ntotaling approximately 2.9 million square feet during the same period in 2025.\n\nDuring the second quarter of 2026, comparable rent spreads, which represent\nthe percentage increase of a lease to the expiring lease of a unit that was\noccupied within the past twelve months, were 21.2% for renewal leases, 33.7%\nfor new leases and 24.8% combined.\n\nComparable rent spreads during the six months ended June 30, 2026 were 34.5%\nfor new leases, 21.2% for renewal leases and 24.6% combined.\n\nTransaction Activity - Wholly-Owned\n\nDuring the second quarter of 2026, the Company acquired $141.4 million in\nassets, which included five shopping centers. The Company expects to drive\nvalue in these assets through occupancy increases and rent growth, as well as\npotential future development of ground-up outparcel retail spaces.\n\nThe second quarter 2026 acquisitions included:\n* Renton Highlands Shopping Center, a 54,008 square foot shopping center\nanchored by Safeway located in a Seattle, Washington suburb.\n* Prairieview Center, a 118,171 square foot shopping center anchored by Lunds\n& Byerlys located in a Minneapolis, Minnesota suburb.\n* Firethorne Plaza, a 29,986 square foot Everyday Retail™ center located in\na Houston, Texas suburb.\n* Shops at Prosper Trail, a 86,698 square foot shopping center anchored by\nKroger located in a Dallas, Texas suburb.\n* Chaska Commons, a 155,543 square foot shopping center anchored by Cub Foods\nlocated in a Minneapolis, Minnesota suburb.\nDuring the same period, the Company sold $64.6 million in assets, which\nincluded two shopping centers and one land parcel.\n\nFor the six months ended June 30, 2026, the Company acquired $266.9 million\nin assets, which included ten shopping centers and one land parcel. During the\nsame period, $86.9 million in assets were sold, which included four shopping\ncenters and one land parcel.\n\nSubsequent to quarter end, the Company sold three shopping centers for $39.7\nmillion.\n\nTransaction Activity - Joint Venture\n\nDuring the second quarter of 2026, the Company acquired $11.0 million in\nassets at PECO’s total prorated share, which included one shopping center\nand one outparcel.\n\nThe second quarter 2026 acquisition included:\n* Oracle Crossing, a 265,148 square foot shopping center anchored by Sprouts\nlocated in a Tucson, Arizona suburb, acquired through Necessity Retail Venture\nLLC.\nBalance Sheet Highlights\n\nAs of June 30, 2026, the Company had approximately $857.3 million of total\nliquidity, comprised of $30.0 million of cash, cash equivalents and\nrestricted cash, plus $827.3 million of borrowing capacity available on its\n$1.0 billion revolving credit facility.\n\nAs of June 30, 2026, the Company’s trailing twelve month net debt to\nannualized adjusted EBITDAre was 5.1x. This compared to 5.2x at December 31,\n2025. As of June 30, 2026, the Company’s outstanding debt had a\nweighted-average interest rate of 4.4% and a weighted-average maturity of 5.6\nyears when including all extension options, and 95.9% of the Company’s total\ndebt was fixed-rate debt, which includes PECO’s total prorated share of debt\nfor its joint ventures.\n\nDuring the second quarter of 2026, the Company generated net proceeds of $85.3\nmillion after commissions through the issuance of 2.0 million common shares\nat a gross weighted average price of $42.06 per common share through its ATM\nprogram.\n\nSubsequent to quarter end, the Company generated net proceeds of $6.4 million\nafter commissions through the issuance of 0.2 million common shares at a\ngross weighted average price of $42.20 per common share through its ATM\nprogram.\n\n2026 Guidance\n\nPECO updated its 2026 earnings guidance, as summarized in the table below,\nwhich is based upon the Company’s current view of existing market conditions\nand assumptions for the year ending December 31, 2026. The following\nstatements are forward-looking and actual results could differ materially\ndepending on market conditions and the factors set forth under\n\"Forward-Looking Statements\" below.\n\n (in thousands, except per share amounts) Q2 2026 YTD Updated Full Year 2026 Guidance Previous Full Year 2026 Guidance \n Net income per share - diluted $0.56 $0.95 - $0.97 $0.79 - $0.81 \n Nareit FFO per share - diluted $1.34 $2.67 - $2.72 $2.66 - $2.71 \n Core FFO per share - diluted $1.38 $2.73 - $2.79 $2.72 - $2.78 \n Same-Center NOI growth 3.7% 3.40% - 4.00% 3.00% - 4.00% \n Portfolio Activity: \n Acquisitions, gross ((1)) $277,940 $500,000 - $600,000 $400,000 - $500,000 \n Other: \n Interest expense, net $59,166 $117,000 - $127,000 $117,000 - $127,000 \n G&A expense $25,518 $49,000 - $53,000 $49,000 - $53,000 \n Non-cash revenue items ((2)) $11,218 $21,000 - $23,000 $19,000 - $21,000 \n Adjustments for collectibility $2,464 $4,000 - $7,000 $5,000 - $8,000 \n\n((1)   )Includes the prorated portion owned through the Company’s\nunconsolidated joint ventures.\n\n((2)   )Represents straight-line rental income and net amortization of\nabove- and below-market leases.\n\nThe Company does not provide a reconciliation for same-center NOI estimates on\na forward-looking basis because it is unable to provide a meaningful or\nreasonably accurate calculation or estimation of certain reconciling items\nwhich could be significant to the Company’s results without unreasonable\neffort.\n\nThe following table provides a reconciliation of the range of the Company's\n2026 estimated net income to estimated Nareit FFO and Core FFO:\n\n (Unaudited) Low End High End \n Net income per share attributable to stockholders - diluted $ 0.95 $ 0.97 \n Depreciation and amortization of real estate assets 1.87 1.89 \n Gain on disposal of property, net (0.19 ) (0.19 ) \n Adjustments related to unconsolidated joint ventures 0.04 0.05 \n Nareit FFO attributable to stockholders and OP unit holders per share - diluted $ 2.67 $ 2.72 \n Depreciation and amortization of corporate assets 0.01 0.01 \n Loss on extinguishment or modification of debt and other, net 0.01 0.01 \n Transaction costs and other 0.04 0.05 \n Core FFO attributable to stockholders and OP unit holders per share - diluted $ 2.73 $ 2.79 \n\n\n\nConference Call and Webcast Details\n\nPECO will host a conference call and webcast on Friday, July 24, 2026 at\n12:00 p.m. Eastern Time to discuss second quarter 2026 results and provide\nfurther business updates. Chairman and Chief Executive Officer Jeff Edison,\nPresident Bob Myers and Chief Financial Officer John Caulfield will host the\nconference call and webcast. Dial-in and webcast information is below.\n\nSecond Quarter 2026 Earnings Conference Call and Webcast Details:\n\nDate: Friday, July 24, 2026\nTime: 12:00 p.m. ET\nToll-Free Dial-In Number: (800) 715-9871\nInternational Dial-In Number: (646) 307-1963\nConference ID: 4551083\nWebcast: Second Quarter 2026 Webcast Link\n(https://www.globenewswire.com/Tracker?data=Kvina--yj-AFuPohkFcHMpNLm9IHgSC5paBNYDoSkZmmx3Xpca-xalP75TO4GrfJHLd5J9Nr_YwO4Tu0lnkyx0BoMEIvnzOBiHsP7qSjjgqyAlJLRwGwAAjPZeIU6JQhERwIJa9CzqLcAOfXlZ7u4w==)\n\nReplay:\n\nAn audio replay will be available approximately one hour after the conclusion\nof the conference call using the webcast link above. The replay will be\narchived on PECO’s Investor Relations website under Events & Presentations.\n\nFor more information on the Company’s financial results, please refer to the\nCompany’s Form 10-Q for the quarter ended June 30, 2026.\n\nConnect with PECO\n\nFor additional information, please visit https://www.phillipsedison.com/\n\nFollow PECO on:\n* X at https://x.com/PhillipsEdison\n* LinkedIn at https://www.linkedin.com/company/phillipsedison&company\nAbout Phillips Edison & Company\n\nPhillips Edison & Company, Inc. (“PECO”) is one of the nation’s largest\nowners and operators of high-quality, grocery-anchored neighborhood shopping\ncenters. Founded in 1991, PECO has generated strong results through its\nvertically-integrated operating platform and national footprint of\nwell-occupied shopping centers. PECO’s centers feature a mix of national and\nregional retailers providing necessity-based goods and services in\nfundamentally strong markets throughout the United States. PECO’s top\ngrocery anchors include Kroger, Publix, Albertsons and Ahold Delhaize. As of\nJune 30, 2026, PECO managed 330 shopping centers, including 302 wholly-owned\ncenters comprising 33.9 million square feet across 31 states and 28 shopping\ncenters owned in three institutional joint ventures. PECO is focused on\ncreating great grocery-anchored shopping experiences and improving\ncommunities, one neighborhood shopping center at a time.\n\nPECO uses, and intends to continue to use, its Investors website, which can be\nfound at https://investors.phillipsedison.com, as a means of disclosing\nmaterial nonpublic information and for complying with its disclosure\nobligations under Regulation FD.\n\n\n\nPHILLIPS EDISON & COMPANY, INC.\nCONSOLIDATED BALANCE SHEETS\nAS OF JUNE 30, 2026 AND DECEMBER 31, 2025 \n(Condensed and Unaudited)\n(In thousands, except per share amounts)\n\n June 30, 2026 December 31, 2025 \n ASSETS \n Investment in real estate: \n Land and improvements $ 1,997,878 $ 1,963,735 \n Building and improvements 4,437,900 4,305,174 \n In-place lease assets 549,076 538,324 \n Above-market lease assets 78,645 77,551 \n Total investment in real estate assets 7,063,499 6,884,784 \n Accumulated depreciation and amortization (2,020,828 ) (1,957,569 ) \n Net investment in real estate assets 5,042,671 4,927,215 \n Investment in unconsolidated joint ventures 47,675 42,561 \n Total investment in real estate assets, net 5,090,346 4,969,776 \n Cash and cash equivalents 7,132 3,544 \n Restricted cash 22,824 39,768 \n Goodwill 29,066 29,066 \n Other assets, net 256,157 244,284 \n Real estate investments and other assets held for sale 39,388 — \n Total assets $ 5,444,913 $ 5,286,438 \n \n LIABILITIES AND EQUITY \n Liabilities: \n Debt obligations, net $ 2,450,755 $ 2,375,328 \n Below-market lease liabilities, net 134,020 118,356 \n Accounts payable and other liabilities 155,303 180,332 \n Deferred income 35,585 23,044 \n Liabilities of real estate investments held for sale 1,095 — \n Total liabilities 2,776,758 2,697,060 \n Equity: \n Preferred stock, $0.01 par value per share, 10,000 shares authorized, zero shares issued and outstanding at June 30, 2026 and December 31, 2025 — — \n Common stock, $0.01 par value per share, 1,000,000 shares authorized, 128,425 and 125,788 shares issued and outstanding at June 30, 2026 and December 31, 2025, respectively 1,284 1,258 \n Additional paid-in capital 3,762,738 3,664,205 \n Accumulated other comprehensive income 286 358 \n Accumulated deficit (1,390,016 ) (1,379,252 ) \n Total stockholders’ equity 2,374,292 2,286,569 \n Noncontrolling interests 293,863 302,809 \n Total equity 2,668,155 2,589,378 \n Total liabilities and equity $ 5,444,913 $ 5,286,438 \n\n\n\n\n\nPHILLIPS EDISON & COMPANY, INC.\nCONSOLIDATED STATEMENTS OF OPERATIONS\nFOR THE THREE AND SIX MONTHS ENDED JUNE 30, 2026 AND 2025 \n(Condensed and Unaudited)\n(In thousands, except per share amounts)\n\n Three Months Ended June 30, Six Months Ended June 30, \n 2026 2025 2026 2025 \n Revenues: \n Rental income $ 184,451 $ 173,467 $ 370,732 $ 347,650 \n Fees and management income 4,054 3,316 7,499 6,099 \n Other property income 1,114 970 2,129 2,315 \n Total revenues 189,619 177,753 380,360 356,064 \n Operating Expenses: \n Property operating 32,083 29,322 65,073 59,258 \n Real estate taxes 22,513 21,279 44,580 42,358 \n General and administrative 13,575 12,922 25,518 25,008 \n Depreciation and amortization 66,840 71,203 132,371 136,477 \n Total operating expenses 135,011 134,726 267,542 263,101 \n Other: \n Interest expense, net (29,394 ) (27,719 ) (59,166 ) (53,391 ) \n Gain (loss) on disposal of property, net 19,390 (66 ) 26,207 5,543 \n Other income (expense), net 650 (990 ) (1,363 ) (1,970 ) \n Net income 45,254 14,252 78,496 43,145 \n Net income attributable to noncontrolling interests (4,137 ) (1,468 ) (7,001 ) (4,052 ) \n Net income attributable to stockholders $ 41,117 $ 12,784 $ 71,495 $ 39,093 \n Earnings per share of common stock: \n Net income per share attributable to stockholders - basic $ 0.33 $ 0.10 $ 0.57 $ 0.31 \n Net income per share attributable to stockholders - diluted $ 0.33 $ 0.10 $ 0.56 $ 0.31 \n\n\n\nDiscussion and Reconciliation of Non-GAAP Measures\n\nSame-Center Net Operating Income\n\nThe Company presents Same-Center NOI as a supplemental measure of its\nperformance. The Company defines NOI as total operating revenues, adjusted to\nexclude non-cash revenue items and lease buyout income, less property\noperating expenses and real estate taxes. For the three and six months ended\nJune 30, 2026 and 2025, Same-Center NOI represents the NOI for the 280\nproperties that were wholly-owned for the entirety of both calendar year\nperiods being compared. The Company believes Same-Center NOI provides useful\ninformation to its investors about its financial and operating performance\nbecause it provides a performance measure of the revenues and expenses\ndirectly involved in owning and operating real estate assets and provides a\nperspective not immediately apparent from net income (loss). Because\nSame-Center NOI excludes the change in NOI from properties acquired or\ndisposed of after December 31, 2024, it highlights operating trends such as\noccupancy levels, rental rates, and operating costs for the Company’s same\ncenter portfolio. Other REITs may use different methodologies for calculating\nSame-Center NOI, and accordingly, PECO’s Same-Center NOI may not be\ncomparable to other REITs.\n\nSame-Center NOI should not be viewed as an alternative measure of the\nCompany’s financial performance as it does not reflect the operations of its\nentire portfolio, nor does it reflect the impact of general and administrative\nexpenses, depreciation and amortization, interest expense, other income\n(expense), or the level of capital expenditures and leasing costs necessary to\nmaintain the operating performance of the Company’s properties that could\nmaterially impact its results from operations.\n\nNareit Funds from Operations and Core Funds from Operations\n\nNareit FFO is a non-GAAP financial performance measure that is widely\nrecognized as a measure of REIT operating performance. The National\nAssociation of Real Estate Investment Trusts (“Nareit”) defines FFO as net\nincome (loss) computed in accordance with GAAP, excluding: (i) gains (or\nlosses) from sales of property and gains (or losses) from change in control;\n(ii) depreciation and amortization related to real estate; and (iii)\nimpairment losses on real estate and impairments of in-substance real estate\ninvestments in investees that are driven by measurable decreases in the fair\nvalue of the depreciable real estate held by the unconsolidated partnerships\nand joint ventures. Adjustments for unconsolidated partnerships and joint\nventures are calculated to reflect Nareit FFO on the same basis. The Company\ncalculates Nareit FFO in a manner consistent with the Nareit definition.\n\nCore FFO is an additional financial performance measure used by the Company as\nNareit FFO includes certain non-comparable items that affect its performance\nover time. The Company believes that Core FFO is helpful in assisting\nmanagement and investors with the assessment of the sustainability of\noperating performance in future periods, and that it is more reflective of its\ncore operating performance and provides an additional measure to compare\nPECO’s performance across reporting periods on a consistent basis by\nexcluding items that may cause short-term fluctuations in net income (loss).\nTo arrive at Core FFO, the Company adjusts Nareit FFO to exclude certain\nrecurring and non-recurring items including, but not limited to: (i)\ndepreciation and amortization of corporate assets; (ii) changes in the fair\nvalue of the earn-out liability; (iii) adjustments related to its investments\nin unconsolidated joint ventures; (iv) gains or losses on the extinguishment\nor modification of debt and other; (v) other impairment charges; (vi)\ntransaction and acquisition expenses; and (vii) realized performance income.\n\nNareit FFO and Core FFO should not be considered alternatives to net income\n(loss) under GAAP, as an indication of the Company’s liquidity, nor as an\nindication of funds available to cover its cash needs, including its ability\nto fund distributions. Core FFO may not be a useful measure of the impact of\nlong-term operating performance on value if the Company does not continue to\noperate its business plan in the manner currently contemplated.\n\nAccordingly, Nareit FFO and Core FFO should be reviewed in connection with\nother GAAP measurements, and should not be viewed as more prominent measures\nof performance than net income (loss) or cash flows from operations prepared\nin accordance with GAAP. The Company’s Nareit FFO and Core FFO, as\npresented, may not be comparable to amounts calculated by other REITs.\n\nEarnings Before Interest, Taxes, Depreciation, and Amortization for Real\nEstate and Adjusted EBITDAre\n\nNareit defines Earnings Before Interest, Taxes, Depreciation, and Amortization\nfor Real Estate (“EBITDAre”) as net income (loss) computed in accordance\nwith GAAP before: (i) interest expense; (ii) income tax expense; (iii)\ndepreciation and amortization; (iv) gains or losses from disposition of\ndepreciable property; and (v) impairment write-downs of depreciable property.\nAdjustments for unconsolidated partnerships and joint ventures are calculated\nto reflect EBITDAre on the same basis.\n\nAdjusted EBITDAre is an additional performance measure used by the Company as\nEBITDAre includes certain non-comparable items that affect the Company’s\nperformance over time. To arrive at Adjusted EBITDAre, the Company excludes\ncertain recurring and non-recurring items from EBITDAre, including, but not\nlimited to: (i) changes in the fair value of the earn-out liability; (ii)\nother impairment charges; (iii) adjustments related to its investments in\nunconsolidated joint ventures; (iv) transaction and acquisition expenses; and\n(v) realized performance income.\n\nThe Company uses EBITDAre and Adjusted EBITDAre as additional measures of\noperating performance which allow it to compare earnings independent of\ncapital structure, determine debt service and fixed cost coverage, and measure\nenterprise value. Additionally, the Company believes they are a useful\nindicator of its ability to support its debt obligations. EBITDAre and\nAdjusted EBITDAre should not be considered as alternatives to net income\n(loss), as an indication of the Company’s liquidity, nor as an indication of\nfunds available to cover its cash needs, including its ability to fund\ndistributions. Accordingly, EBITDAre and Adjusted EBITDAre should be reviewed\nin connection with other GAAP measurements, and should not be viewed as more\nprominent measures of performance than net income (loss) or cash flows from\noperations prepared in accordance with GAAP. The Company’s EBITDAre and\nAdjusted EBITDAre, as presented, may not be comparable to amounts calculated\nby other REITs.\n\nSame-Center Net Operating Income—The table below compares Same-Center NOI\n(dollars in thousands):\n\n Three Months Ended June 30, Favorable (Unfavorable) Six Months Ended June 30, Favorable (Unfavorable) \n 2026 2025 $ Change % Change 2026 2025 $ Change % Change \n Revenues: \n Rental income ((1)) $ 125,739 $ 121,384 $ 4,355 $ 252,456 $ 244,460 $ 7,996 \n Tenant recovery income 39,571 38,615 956 80,634 78,485 2,149 \n Reserves for uncollectibility ((2)) (818 ) (1,275 ) 457 (1,704 ) (2,499 ) 795 \n Other property income 642 826 (184 ) 1,620 2,033 (413 ) \n Total revenues 165,134 159,550 5,584 3.5 % 333,006 322,479 10,527 3.3 % \n Operating expenses: \n Property operating expenses 23,963 23,737 (226 ) 50,042 49,170 (872 ) \n Real estate taxes 20,553 19,580 (973 ) 40,818 39,752 (1,066 ) \n Total operating expenses 44,516 43,317 (1,199 ) (2.8 )% 90,860 88,922 (1,938 ) (2.2 )% \n Total Same-Center NOI $ 120,618 $ 116,233 $ 4,385 3.8 % $ 242,146 $ 233,557 $ 8,589 3.7 % \n\n((1)   )Excludes straight-line rental income, net amortization of above-\nand below-market leases, and lease buyout income.\n\n((2)   )Includes billings that will not be recognized as revenue until cash\nis collected or the Neighbor resumes regular payments and/or the Company deems\nit appropriate to resume recording revenue on an accrual basis, rather than on\na cash basis.\n\n\n\nSame-Center Net Operating Income Reconciliation—Below is a reconciliation of\nNet Income to NOI and Same-Center NOI (in thousands):\n\n Three Months Ended June 30, Six Months Ended June 30, \n 2026 2025 2026 2025 \n Net income $ 45,254 $ 14,252 $ 78,496 $ 43,145 \n Adjusted to exclude: \n Fees and management income (4,054 ) (3,316 ) (7,499 ) (6,099 ) \n Straight-line rental income ((1)) (3,259 ) (2,279 ) (6,142 ) (4,954 ) \n Net amortization of above- and below-market leases (2,632 ) (2,128 ) (5,083 ) (4,072 ) \n Lease buyout income (84 ) (179 ) (1,793 ) (1,918 ) \n General and administrative expenses 13,575 12,922 25,518 25,008 \n Depreciation and amortization 66,840 71,203 132,371 136,477 \n Interest expense, net 29,394 27,719 59,166 53,391 \n (Gain) loss on disposal of property, net (19,390 ) 66 (26,207 ) (5,543 ) \n Other (income) expense, net (650 ) 990 1,363 1,970 \n Property operating expenses related to fees and management income 1,910 1,007 3,991 1,903 \n NOI for real estate investments 126,904 120,257 254,181 239,308 \n Less: Non-same-center NOI ((2)) (6,286 ) (4,024 ) (12,035 ) (5,751 ) \n Total Same-Center NOI $ 120,618 $ 116,233 $ 242,146 $ 233,557 \n \n Period-end Same-Center Leased Occupancy % 97.5 % 97.6 % \n\n((1)   )Includes straight-line rent adjustments for Neighbors for whom\nrevenue is being recorded on a cash basis.\n\n((2)   )Includes operating revenues and expenses from non-same-center\nproperties, which includes properties acquired or sold, and corporate\nactivities.\n\n\n\nNareit FFO and Core FFO—The following table presents the Company’s\ncalculation of Nareit FFO and Core FFO and provides additional information\nrelated to its operations (in thousands, except per share amounts):\n\n Three Months Ended June 30, Six Months Ended June 30, \n 2026 2025 2026 2025 \n Calculation of Nareit FFO Attributable to Stockholders and OP Unit Holders \n Net income $ 45,254 $ 14,252 $ 78,496 $ 43,145 \n Adjustments: \n Depreciation and amortization of real estate assets 66,471 70,806 131,653 135,703 \n (Gain) loss on disposal of property, net (19,390 ) 66 (26,207 ) (5,543 ) \n Adjustments related to unconsolidated joint ventures 1,387 892 2,702 1,759 \n Nareit FFO attributable to stockholders and OP unit holders $ 93,722 $ 86,016 $ 186,644 $ 175,064 \n Calculation of Core FFO Attributable to Stockholders and OP Unit Holders \n Nareit FFO attributable to stockholders and OP unit holders $ 93,722 $ 86,016 $ 186,644 $ 175,064 \n Adjustments: \n Depreciation and amortization of corporate assets 369 397 718 774 \n Transaction and acquisition expenses 1,402 1,789 3,479 3,111 \n Loss on extinguishment or modification of debt and other, net — — 1,080 1 \n Adjustments related to unconsolidated joint ventures (3 ) 7 (28 ) 32 \n Core FFO attributable to stockholders and OP unit holders $ 95,490 $ 88,209 $ 191,893 $ 178,982 \n \n Nareit FFO/Core FFO Attributable to Stockholders and OP Unit Holders per Diluted Share \n Weighted-average shares of common stock outstanding - diluted 139,193 138,910 139,133 138,929 \n Nareit FFO attributable to stockholders and OP unit holders per share - diluted $ 0.67 $ 0.62 $ 1.34 $ 1.26 \n Core FFO attributable to stockholders and OP unit holders per share - diluted $ 0.69 $ 0.64 $ 1.38 $ 1.29 \n\n\n\nEBITDAre and Adjusted EBITDAre—The following table presents the Company’s\ncalculation of EBITDAre and Adjusted EBITDAre (in thousands):\n\n Three Months Ended June 30, Six Months Ended June 30, Year Ended December 31, \n 2026 2025 2026 2025 2025 \n Calculation of EBITDA re \n Net income $ 45,254 $ 14,252 $ 78,496 $ 43,145 $ 122,968 \n Adjustments: \n Depreciation and amortization 66,840 71,203 132,371 136,477 266,374 \n Interest expense, net 29,394 27,719 59,166 53,391 110,338 \n (Gain) loss on disposal of property, net (19,390 ) 66 (26,207 ) (5,543 ) (38,790 ) \n Federal, state, and local tax expense 242 234 484 380 1,307 \n Adjustments related to unconsolidated joint ventures 2,150 1,366 4,198 2,644 6,200 \n EBITDA re $ 124,490 $ 114,840 $ 248,508 $ 230,494 $ 468,397 \n Calculation of Adjusted EBITDA re \n EBITDA re $ 124,490 $ 114,840 $ 248,508 $ 230,494 $ 468,397 \n Adjustments: \n Transaction and acquisition expenses 1,402 1,789 3,479 3,111 5,523 \n Adjustments related to unconsolidated joint ventures 45 7 24 32 60 \n Realized performance income ((1)) — — — — (30 ) \n Adjusted EBITDA re $ 125,937 $ 116,636 $ 252,011 $ 233,637 $ 473,950 \n\n((1)   )Realized performance income includes fees received related to the\nachievement of certain performance targets in the Company’s Necessity Retail\nPartners joint venture, which was dissolved in December 2025.\n\n\n\nFinancial Leverage Ratios—The Company believes its net debt to Adjusted\nEBITDAre, net debt to total enterprise value, and debt covenant compliance as\nof June 30, 2026 allow it access to future borrowings as needed in the near\nterm. The following table presents the Company’s calculation of net debt and\ntotal enterprise value, inclusive of its prorated portion of net debt and cash\nand cash equivalents owned through its unconsolidated joint ventures, as of\nJune 30, 2026 and December 31, 2025 (in thousands):\n\n June 30, 2026 December 31, 2025 \n Net debt: \n Total debt, excluding discounts, market adjustments, and deferred financing expenses $ 2,538,370 $ 2,456,933 \n Less: Cash and cash equivalents 9,439 5,124 \n Total net debt $ 2,528,931 $ 2,451,809 \n \n Enterprise value: \n Net debt $ 2,528,931 $ 2,451,809 \n Total equity market capitalization ((1)(2)) 5,859,597 4,926,872 \n Total enterprise value $ 8,388,528 $ 7,378,681 \n\n((1)   )Total equity market capitalization is calculated as diluted shares\nmultiplied by the closing market price per share, which includes 140.8 million\nand 138.5 million diluted shares as of June 30, 2026 and December 31, 2025,\nrespectively, and the closing market price per share of $41.62 and $35.57 as\nof June 30, 2026 and December 31, 2025, respectively.\n\n((2)   )Fully diluted shares include common stock and OP units.\n\n\n\nThe following table presents the Company’s calculation of net debt to\nAdjusted EBITDAre and net debt to total enterprise value as of June 30, 2026\nand December 31, 2025 (dollars in thousands):\n\n June 30, 2026 December 31, 2025 \n Net debt to Adjusted EBITDA re - annualized : \n Net debt $ 2,528,931 $ 2,451,809 \n Adjusted EBITDA re - annualized ((1)) 492,324 473,950 \n Net debt to Adjusted EBITDA re - annualized 5.1x 5.2x \n \n Net debt to total enterprise value: \n Net debt $ 2,528,931 $ 2,451,809 \n Total enterprise value 8,388,528 7,378,681 \n Net debt to total enterprise value 30.1 % 33.2 % \n\n((1)   )Adjusted EBITDAre is based on a trailing twelve month period.\n\nForward-Looking Statements\n\nThis press release contains certain forward-looking statements within the\nmeaning of Section 27A of the Securities Act of 1933, as amended, and Section\n21E of the Securities Exchange Act of 1934, as amended. Phillips Edison &\nCompany, Inc. (the “Company”) intends such forward-looking statements to\nbe covered by the safe harbor provisions for forward-looking statements\ncontained in the Private Securities Litigation Reform Act of 1995 and includes\nthis statement for purposes of complying with the safe harbor provisions. Such\nforward-looking statements can generally be identified by the Company’s use\nof forward-looking terminology such as “may,” “will,” “expect,”\n“intend,” “anticipate,” “estimate,” “believe,” “continue,”\n“seek,” “objective,” “goal,” “strategy,” “plan,”\n“focus,” “priority,” “should,” “could,” “potential,”\n“possible,” “look forward,” “optimistic,” “commit,” or other\nsimilar words. Readers are cautioned not to place undue reliance on these\nforward-looking statements, which speak only as of the date of this earnings\nrelease. Such statements include, but are not limited to: (a) statements about\nthe Company’s plans, strategies, initiatives, and prospects; (b) statements\nabout the Company’s underwritten incremental yields; and (c) statements\nabout the Company’s future results of operations, capital expenditures, and\nliquidity. Such statements are subject to known and unknown risks and\nuncertainties, which could cause actual results to differ materially from\nthose projected or anticipated, including, without limitation: (i) changes in\nnational, regional, or local economic climates; (ii) local market conditions,\nincluding an oversupply of space in, or a reduction in demand for, properties\nsimilar to those in the Company’s portfolio; (iii) vacancies, changes in\nmarket rental rates, and the need to periodically repair, renovate, and re-let\nspace; (iv) competition from other available shopping centers and the\nattractiveness of properties in the Company’s portfolio to its tenants; (v)\nthe financial stability of the Company’s tenants, including, without\nlimitation, their ability to pay rent; (vi) the Company’s ability to pay\ndown, refinance, restructure, or extend its indebtedness as it becomes due;\n(vii) increases in the Company’s borrowing costs as a result of changes in\ninterest rates and other factors; (viii) potential liability for environmental\nmatters; (ix) damage to the Company’s properties from catastrophic weather\nand other natural events, and the physical effects of climate change; (x) the\nCompany’s ability and willingness to maintain its qualification as a REIT in\nlight of economic, market, legal, tax, and other considerations; (xi) changes\nin tax, real estate, environmental, and zoning laws; (xii) information\ntechnology security breaches; (xiii) the Company’s corporate responsibility\ninitiatives; (xiv) loss of key executives; (xv) the concentration of the\nCompany’s portfolio in a limited number of industries, geographies, or\ninvestments; (xvi) the economic, political, and social impact of, and\nuncertainty relating to, pandemics or other health crises; (xvii) the\nCompany’s ability to re-lease its properties on the same or better terms, or\nat all, in the event of non-renewal or in the event the Company exercises its\nright to replace an existing tenant; (xviii) the loss or bankruptcy of the\nCompany’s tenants; (xix) to the extent the Company is seeking to dispose of\nproperties, the Company’s ability to do so at attractive prices or at all;\nand (xx) the impact of heightened geopolitical instability, international\nconflicts, tariffs and global trade disruptions on the Company, its tenants,\nand consumers, including the impact on inflation, supply chains, and consumer\nsentiment. Additional important factors that could cause actual results to\ndiffer are described in the filings made from time to time by the Company with\nthe SEC and include the risk factors and other risks and uncertainties\ndescribed in the Company’s 2025 Annual Report on Form 10-K, filed with the\nSEC on February 10, 2026, as updated from time to time in the Company’s\nperiodic and/or current reports filed with the SEC, which are accessible on\nthe SEC’s website at www.sec.gov. Therefore, such statements are not\nintended to be a guarantee of the Company’s performance in future periods.\nExcept as required by law, the Company does not undertake any obligation to\nupdate or revise any forward-looking statement, whether as a result of new\ninformation, future events, or otherwise.\n\nInvestors:\n\nKimberly Green, Head of Investor Relations\n(513) 692-3399\nkgreen@phillipsedison.com\n\nHannah Harper, Director of Investor Relations\n(513) 824-7122\nhharper@phillipsedison.com\n\n(https://www.globenewswire.com/NewsRoom/AttachmentNg/77ddac0f-a244-4bc1-80d9-18cdd76205eb)\n\n\n\nGlobeNewswire, Inc. 2026","article_body_html":"","raw_payload":{"data":{"id":"nGNX8rkyrV","title":"Phillips Edison & Company Reports Second Quarter 2026 Results","author":"Globe Newswire","ticker":"PECO","created":"2026-07-23T20:16:03.554Z","tickers":["PECO"],"exchange":"NASDAQ","article_body":"CINCINNATI, July 23, 2026 (GLOBE NEWSWIRE) -- Phillips Edison & Company, Inc.\n(Nasdaq: PECO) (“PECO” or the “Company”), one of the nation’s\nlargest owners and operators of high-quality, grocery-anchored neighborhood\nshopping centers, today reported financial and operating results for the\nperiod ended June 30, 2026 and provided updated 2026 earnings guidance. For\nthe three and six months ended June 30, 2026, net income attributable to\nstockholders was $41.1 million, or $0.33 per diluted share, and $71.5 million,\nor $0.56 per diluted share, \nrespectively.\n\nHighlights for the Second Quarter and Subsequent\n* Reported Nareit FFO of $0.67 per diluted share, representing 8.1%\nyear-over-year growth\n* Reported Core FFO of $0.69 per diluted share, representing 7.8%\nyear-over-year growth\n* Increased same-center NOI year-over-year by 3.8%\n* The increased midpoint of full year 2026 Nareit FFO per diluted share\nguidance represents 6.3% year-over-year growth\n* The increased midpoint of full year 2026 Core FFO per diluted share guidance\nrepresents 6.2% year-over-year growth\n* The increased midpoint of full year 2026 same-center NOI guidance represents\n3.7% year-over-year growth\n* Increased full year 2026 gross acquisitions guidance reflects a range of\n$500 million to $600 million\n* Reported strong leased portfolio occupancy of 97.3% and same-center leased\nportfolio occupancy of 97.5%\n* Reported record-high leased inline occupancy and record-high same-center\nleased inline occupancy of 95.5%\n* Executed comparable portfolio new leases at a rent spread of 33.7% and\ncomparable inline new leases at a rent spread of 32.2% during the quarter\n* Executed comparable portfolio and inline renewal leases at a rent spread of\n21.2% during the quarter\n* Acquired six shopping centers and one outparcel for a total of $152.4\nmillion at PECO’s total prorated share and sold $64.6 million in assets\n* Generated net proceeds of $85.3 million through the issuance of 2.0 million\ncommon shares at a gross weighted average price of $42.06 per common share\nthrough PECO’s ATM program\n* Subsequent to quarter end, sold $39.7 million in assets\n* Subsequent to quarter end, generated net proceeds of $6.4 million through\nthe issuance of 0.2 million common shares at a gross weighted average price\nof $42.20 per common share through PECO’s ATM program\nManagement Commentary\n\nJeff Edison, Chairman and Chief Executive Officer of PECO stated: “Our\nsecond quarter results demonstrate the strength of PECO’s high-quality\nportfolio and our ability to convert strong operating fundamentals into\nlong-term earnings growth. We continue to generate Alpha through occupancy\ngains, acquisitions, rent spreads, retention, development, redevelopment and\nportfolio recycling. We are able to do this while maintaining balance sheet\ndiscipline and a thoughtful approach to investing that have always defined\nPECO.”\n\nEdison added: “Our confidence in our business is reflected in our increased\nguidance. The increased midpoint of 2026 Core FFO per diluted share guidance\nrepresents 6.2% year-over-year growth, and increased 2026 gross acquisitions\nguidance reflects a range of $500 million to $600 million. We are well\npositioned for strong growth in 2027 and beyond. We believe PECO offers\ninvestors a compelling opportunity for more Alpha with less Beta.”\n\nFinancial Results\n\nNet Income\n\nSecond quarter 2026 net income attributable to stockholders totaled $41.1\nmillion, or $0.33 per diluted share, compared to net income of $12.8 million,\nor $0.10 per diluted share, during the second quarter of 2025.\n\nFor the six months ended June 30, 2026, net income attributable to\nstockholders totaled $71.5 million, or $0.56 per diluted share, compared to\nnet income of $39.1 million, or $0.31 per diluted share, for the same period\nin 2025.\n\nNareit FFO\nSecond quarter 2026 funds from operations attributable to stockholders and\noperating partnership (“OP”) unit holders as defined by Nareit (“Nareit\nFFO”) increased 9.0% to $93.7 million, or $0.67 per diluted share, compared\nto $86.0 million, or $0.62 per diluted share, during the second quarter of\n2025.\n\nFor the six months ended June 30, 2026, Nareit FFO increased 6.6% to $186.6\nmillion, or $1.34 per diluted share, compared to $175.1 million, or $1.26 per\ndiluted share, during the same period in 2025.\n\nCore FFO\n\nSecond quarter 2026 core funds from operations attributable to stockholders\nand OP unit holders (“Core FFO”) increased 8.3% to $95.5 million, or $0.69\nper diluted share, compared to $88.2 million, or $0.64 per diluted share,\nduring the second quarter of 2025.\n\nFor the six months ended June 30, 2026, Core FFO increased 7.2% to $191.9\nmillion, or $1.38 per diluted share, compared to $179.0 million, or $1.29 per\ndiluted share, for the same period in 2025.\n\nSame-Center NOI\n\nSecond quarter 2026 same-center net operating income (“NOI”) increased\n3.8% to $120.6 million, compared to $116.2 million during the second quarter\nof 2025.\n\nFor the six months ended June 30, 2026, same-center NOI increased 3.7% to\n$242.1 million, compared to $233.6 million during the same period in 2025.\n\nPortfolio Overview\n\nPortfolio Statistics\n\nAs of June 30, 2026, PECO’s wholly-owned portfolio consisted of 302\nproperties, totaling approximately 33.9 million square feet, located in 31\nstates. This compared to 303 properties, totaling approximately 34.0 million\nsquare feet, located in 31 states as of June 30, 2025.\n\nLeased portfolio occupancy was 97.3% as of June 30, 2026, compared to 97.4%\nas of June 30, 2025. Same-center leased portfolio occupancy was 97.5% as of\nJune 30, 2026, compared to 97.6% as of June 30, 2025.\n\nLeased anchor occupancy was 98.4% as of June 30, 2026, compared to 98.9% as\nof June 30, 2025. Same-center leased anchor occupancy was 98.5% as of\nJune 30, 2026, compared to 99.0% as of June 30, 2025.\n\nLeased inline occupancy was a record-high 95.5% as of June 30, 2026, compared\nto 94.8% as of June 30, 2025. Same-center leased inline occupancy was a\nrecord-high of 95.5% as of June 30, 2026, compared to 95.0% as of June 30,\n2025.\n\nLeasing Activity\n\nDuring the second quarter of 2026, a record-high 304 leases were executed\ntotaling approximately 1.2 million square feet. This compared to 276 leases\nexecuted totaling approximately 1.4 million square feet during the second\nquarter of 2025.\n\nFor the six months ended June 30, 2026, 550 leases were executed totaling\napproximately 2.8 million square feet. This compared to 510 leases executed\ntotaling approximately 2.9 million square feet during the same period in 2025.\n\nDuring the second quarter of 2026, comparable rent spreads, which represent\nthe percentage increase of a lease to the expiring lease of a unit that was\noccupied within the past twelve months, were 21.2% for renewal leases, 33.7%\nfor new leases and 24.8% combined.\n\nComparable rent spreads during the six months ended June 30, 2026 were 34.5%\nfor new leases, 21.2% for renewal leases and 24.6% combined.\n\nTransaction Activity - Wholly-Owned\n\nDuring the second quarter of 2026, the Company acquired $141.4 million in\nassets, which included five shopping centers. The Company expects to drive\nvalue in these assets through occupancy increases and rent growth, as well as\npotential future development of ground-up outparcel retail spaces.\n\nThe second quarter 2026 acquisitions included:\n* Renton Highlands Shopping Center, a 54,008 square foot shopping center\nanchored by Safeway located in a Seattle, Washington suburb.\n* Prairieview Center, a 118,171 square foot shopping center anchored by Lunds\n& Byerlys located in a Minneapolis, Minnesota suburb.\n* Firethorne Plaza, a 29,986 square foot Everyday Retail™ center located in\na Houston, Texas suburb.\n* Shops at Prosper Trail, a 86,698 square foot shopping center anchored by\nKroger located in a Dallas, Texas suburb.\n* Chaska Commons, a 155,543 square foot shopping center anchored by Cub Foods\nlocated in a Minneapolis, Minnesota suburb.\nDuring the same period, the Company sold $64.6 million in assets, which\nincluded two shopping centers and one land parcel.\n\nFor the six months ended June 30, 2026, the Company acquired $266.9 million\nin assets, which included ten shopping centers and one land parcel. During the\nsame period, $86.9 million in assets were sold, which included four shopping\ncenters and one land parcel.\n\nSubsequent to quarter end, the Company sold three shopping centers for $39.7\nmillion.\n\nTransaction Activity - Joint Venture\n\nDuring the second quarter of 2026, the Company acquired $11.0 million in\nassets at PECO’s total prorated share, which included one shopping center\nand one outparcel.\n\nThe second quarter 2026 acquisition included:\n* Oracle Crossing, a 265,148 square foot shopping center anchored by Sprouts\nlocated in a Tucson, Arizona suburb, acquired through Necessity Retail Venture\nLLC.\nBalance Sheet Highlights\n\nAs of June 30, 2026, the Company had approximately $857.3 million of total\nliquidity, comprised of $30.0 million of cash, cash equivalents and\nrestricted cash, plus $827.3 million of borrowing capacity available on its\n$1.0 billion revolving credit facility.\n\nAs of June 30, 2026, the Company’s trailing twelve month net debt to\nannualized adjusted EBITDAre was 5.1x. This compared to 5.2x at December 31,\n2025. As of June 30, 2026, the Company’s outstanding debt had a\nweighted-average interest rate of 4.4% and a weighted-average maturity of 5.6\nyears when including all extension options, and 95.9% of the Company’s total\ndebt was fixed-rate debt, which includes PECO’s total prorated share of debt\nfor its joint ventures.\n\nDuring the second quarter of 2026, the Company generated net proceeds of $85.3\nmillion after commissions through the issuance of 2.0 million common shares\nat a gross weighted average price of $42.06 per common share through its ATM\nprogram.\n\nSubsequent to quarter end, the Company generated net proceeds of $6.4 million\nafter commissions through the issuance of 0.2 million common shares at a\ngross weighted average price of $42.20 per common share through its ATM\nprogram.\n\n2026 Guidance\n\nPECO updated its 2026 earnings guidance, as summarized in the table below,\nwhich is based upon the Company’s current view of existing market conditions\nand assumptions for the year ending December 31, 2026. The following\nstatements are forward-looking and actual results could differ materially\ndepending on market conditions and the factors set forth under\n\"Forward-Looking Statements\" below.\n\n (in thousands, except per share amounts) Q2 2026 YTD Updated Full Year 2026 Guidance Previous Full Year 2026 Guidance \n Net income per share - diluted $0.56 $0.95 - $0.97 $0.79 - $0.81 \n Nareit FFO per share - diluted $1.34 $2.67 - $2.72 $2.66 - $2.71 \n Core FFO per share - diluted $1.38 $2.73 - $2.79 $2.72 - $2.78 \n Same-Center NOI growth 3.7% 3.40% - 4.00% 3.00% - 4.00% \n Portfolio Activity: \n Acquisitions, gross ((1)) $277,940 $500,000 - $600,000 $400,000 - $500,000 \n Other: \n Interest expense, net $59,166 $117,000 - $127,000 $117,000 - $127,000 \n G&A expense $25,518 $49,000 - $53,000 $49,000 - $53,000 \n Non-cash revenue items ((2)) $11,218 $21,000 - $23,000 $19,000 - $21,000 \n Adjustments for collectibility $2,464 $4,000 - $7,000 $5,000 - $8,000 \n\n((1)   )Includes the prorated portion owned through the Company’s\nunconsolidated joint ventures.\n\n((2)   )Represents straight-line rental income and net amortization of\nabove- and below-market leases.\n\nThe Company does not provide a reconciliation for same-center NOI estimates on\na forward-looking basis because it is unable to provide a meaningful or\nreasonably accurate calculation or estimation of certain reconciling items\nwhich could be significant to the Company’s results without unreasonable\neffort.\n\nThe following table provides a reconciliation of the range of the Company's\n2026 estimated net income to estimated Nareit FFO and Core FFO:\n\n (Unaudited) Low End High End \n Net income per share attributable to stockholders - diluted $ 0.95 $ 0.97 \n Depreciation and amortization of real estate assets 1.87 1.89 \n Gain on disposal of property, net (0.19 ) (0.19 ) \n Adjustments related to unconsolidated joint ventures 0.04 0.05 \n Nareit FFO attributable to stockholders and OP unit holders per share - diluted $ 2.67 $ 2.72 \n Depreciation and amortization of corporate assets 0.01 0.01 \n Loss on extinguishment or modification of debt and other, net 0.01 0.01 \n Transaction costs and other 0.04 0.05 \n Core FFO attributable to stockholders and OP unit holders per share - diluted $ 2.73 $ 2.79 \n\n\n\nConference Call and Webcast Details\n\nPECO will host a conference call and webcast on Friday, July 24, 2026 at\n12:00 p.m. Eastern Time to discuss second quarter 2026 results and provide\nfurther business updates. Chairman and Chief Executive Officer Jeff Edison,\nPresident Bob Myers and Chief Financial Officer John Caulfield will host the\nconference call and webcast. Dial-in and webcast information is below.\n\nSecond Quarter 2026 Earnings Conference Call and Webcast Details:\n\nDate: Friday, July 24, 2026\nTime: 12:00 p.m. ET\nToll-Free Dial-In Number: (800) 715-9871\nInternational Dial-In Number: (646) 307-1963\nConference ID: 4551083\nWebcast: Second Quarter 2026 Webcast Link\n(https://www.globenewswire.com/Tracker?data=Kvina--yj-AFuPohkFcHMpNLm9IHgSC5paBNYDoSkZmmx3Xpca-xalP75TO4GrfJHLd5J9Nr_YwO4Tu0lnkyx0BoMEIvnzOBiHsP7qSjjgqyAlJLRwGwAAjPZeIU6JQhERwIJa9CzqLcAOfXlZ7u4w==)\n\nReplay:\n\nAn audio replay will be available approximately one hour after the conclusion\nof the conference call using the webcast link above. The replay will be\narchived on PECO’s Investor Relations website under Events & Presentations.\n\nFor more information on the Company’s financial results, please refer to the\nCompany’s Form 10-Q for the quarter ended June 30, 2026.\n\nConnect with PECO\n\nFor additional information, please visit https://www.phillipsedison.com/\n\nFollow PECO on:\n* X at https://x.com/PhillipsEdison\n* LinkedIn at https://www.linkedin.com/company/phillipsedison&company\nAbout Phillips Edison & Company\n\nPhillips Edison & Company, Inc. (“PECO”) is one of the nation’s largest\nowners and operators of high-quality, grocery-anchored neighborhood shopping\ncenters. Founded in 1991, PECO has generated strong results through its\nvertically-integrated operating platform and national footprint of\nwell-occupied shopping centers. PECO’s centers feature a mix of national and\nregional retailers providing necessity-based goods and services in\nfundamentally strong markets throughout the United States. PECO’s top\ngrocery anchors include Kroger, Publix, Albertsons and Ahold Delhaize. As of\nJune 30, 2026, PECO managed 330 shopping centers, including 302 wholly-owned\ncenters comprising 33.9 million square feet across 31 states and 28 shopping\ncenters owned in three institutional joint ventures. PECO is focused on\ncreating great grocery-anchored shopping experiences and improving\ncommunities, one neighborhood shopping center at a time.\n\nPECO uses, and intends to continue to use, its Investors website, which can be\nfound at https://investors.phillipsedison.com, as a means of disclosing\nmaterial nonpublic information and for complying with its disclosure\nobligations under Regulation FD.\n\n\n\nPHILLIPS EDISON & COMPANY, INC.\nCONSOLIDATED BALANCE SHEETS\nAS OF JUNE 30, 2026 AND DECEMBER 31, 2025 \n(Condensed and Unaudited)\n(In thousands, except per share amounts)\n\n June 30, 2026 December 31, 2025 \n ASSETS \n Investment in real estate: \n Land and improvements $ 1,997,878 $ 1,963,735 \n Building and improvements 4,437,900 4,305,174 \n In-place lease assets 549,076 538,324 \n Above-market lease assets 78,645 77,551 \n Total investment in real estate assets 7,063,499 6,884,784 \n Accumulated depreciation and amortization (2,020,828 ) (1,957,569 ) \n Net investment in real estate assets 5,042,671 4,927,215 \n Investment in unconsolidated joint ventures 47,675 42,561 \n Total investment in real estate assets, net 5,090,346 4,969,776 \n Cash and cash equivalents 7,132 3,544 \n Restricted cash 22,824 39,768 \n Goodwill 29,066 29,066 \n Other assets, net 256,157 244,284 \n Real estate investments and other assets held for sale 39,388 — \n Total assets $ 5,444,913 $ 5,286,438 \n \n LIABILITIES AND EQUITY \n Liabilities: \n Debt obligations, net $ 2,450,755 $ 2,375,328 \n Below-market lease liabilities, net 134,020 118,356 \n Accounts payable and other liabilities 155,303 180,332 \n Deferred income 35,585 23,044 \n Liabilities of real estate investments held for sale 1,095 — \n Total liabilities 2,776,758 2,697,060 \n Equity: \n Preferred stock, $0.01 par value per share, 10,000 shares authorized, zero shares issued and outstanding at June 30, 2026 and December 31, 2025 — — \n Common stock, $0.01 par value per share, 1,000,000 shares authorized, 128,425 and 125,788 shares issued and outstanding at June 30, 2026 and December 31, 2025, respectively 1,284 1,258 \n Additional paid-in capital 3,762,738 3,664,205 \n Accumulated other comprehensive income 286 358 \n Accumulated deficit (1,390,016 ) (1,379,252 ) \n Total stockholders’ equity 2,374,292 2,286,569 \n Noncontrolling interests 293,863 302,809 \n Total equity 2,668,155 2,589,378 \n Total liabilities and equity $ 5,444,913 $ 5,286,438 \n\n\n\n\n\nPHILLIPS EDISON & COMPANY, INC.\nCONSOLIDATED STATEMENTS OF OPERATIONS\nFOR THE THREE AND SIX MONTHS ENDED JUNE 30, 2026 AND 2025 \n(Condensed and Unaudited)\n(In thousands, except per share amounts)\n\n Three Months Ended June 30, Six Months Ended June 30, \n 2026 2025 2026 2025 \n Revenues: \n Rental income $ 184,451 $ 173,467 $ 370,732 $ 347,650 \n Fees and management income 4,054 3,316 7,499 6,099 \n Other property income 1,114 970 2,129 2,315 \n Total revenues 189,619 177,753 380,360 356,064 \n Operating Expenses: \n Property operating 32,083 29,322 65,073 59,258 \n Real estate taxes 22,513 21,279 44,580 42,358 \n General and administrative 13,575 12,922 25,518 25,008 \n Depreciation and amortization 66,840 71,203 132,371 136,477 \n Total operating expenses 135,011 134,726 267,542 263,101 \n Other: \n Interest expense, net (29,394 ) (27,719 ) (59,166 ) (53,391 ) \n Gain (loss) on disposal of property, net 19,390 (66 ) 26,207 5,543 \n Other income (expense), net 650 (990 ) (1,363 ) (1,970 ) \n Net income 45,254 14,252 78,496 43,145 \n Net income attributable to noncontrolling interests (4,137 ) (1,468 ) (7,001 ) (4,052 ) \n Net income attributable to stockholders $ 41,117 $ 12,784 $ 71,495 $ 39,093 \n Earnings per share of common stock: \n Net income per share attributable to stockholders - basic $ 0.33 $ 0.10 $ 0.57 $ 0.31 \n Net income per share attributable to stockholders - diluted $ 0.33 $ 0.10 $ 0.56 $ 0.31 \n\n\n\nDiscussion and Reconciliation of Non-GAAP Measures\n\nSame-Center Net Operating Income\n\nThe Company presents Same-Center NOI as a supplemental measure of its\nperformance. The Company defines NOI as total operating revenues, adjusted to\nexclude non-cash revenue items and lease buyout income, less property\noperating expenses and real estate taxes. For the three and six months ended\nJune 30, 2026 and 2025, Same-Center NOI represents the NOI for the 280\nproperties that were wholly-owned for the entirety of both calendar year\nperiods being compared. The Company believes Same-Center NOI provides useful\ninformation to its investors about its financial and operating performance\nbecause it provides a performance measure of the revenues and expenses\ndirectly involved in owning and operating real estate assets and provides a\nperspective not immediately apparent from net income (loss). Because\nSame-Center NOI excludes the change in NOI from properties acquired or\ndisposed of after December 31, 2024, it highlights operating trends such as\noccupancy levels, rental rates, and operating costs for the Company’s same\ncenter portfolio. Other REITs may use different methodologies for calculating\nSame-Center NOI, and accordingly, PECO’s Same-Center NOI may not be\ncomparable to other REITs.\n\nSame-Center NOI should not be viewed as an alternative measure of the\nCompany’s financial performance as it does not reflect the operations of its\nentire portfolio, nor does it reflect the impact of general and administrative\nexpenses, depreciation and amortization, interest expense, other income\n(expense), or the level of capital expenditures and leasing costs necessary to\nmaintain the operating performance of the Company’s properties that could\nmaterially impact its results from operations.\n\nNareit Funds from Operations and Core Funds from Operations\n\nNareit FFO is a non-GAAP financial performance measure that is widely\nrecognized as a measure of REIT operating performance. The National\nAssociation of Real Estate Investment Trusts (“Nareit”) defines FFO as net\nincome (loss) computed in accordance with GAAP, excluding: (i) gains (or\nlosses) from sales of property and gains (or losses) from change in control;\n(ii) depreciation and amortization related to real estate; and (iii)\nimpairment losses on real estate and impairments of in-substance real estate\ninvestments in investees that are driven by measurable decreases in the fair\nvalue of the depreciable real estate held by the unconsolidated partnerships\nand joint ventures. Adjustments for unconsolidated partnerships and joint\nventures are calculated to reflect Nareit FFO on the same basis. The Company\ncalculates Nareit FFO in a manner consistent with the Nareit definition.\n\nCore FFO is an additional financial performance measure used by the Company as\nNareit FFO includes certain non-comparable items that affect its performance\nover time. The Company believes that Core FFO is helpful in assisting\nmanagement and investors with the assessment of the sustainability of\noperating performance in future periods, and that it is more reflective of its\ncore operating performance and provides an additional measure to compare\nPECO’s performance across reporting periods on a consistent basis by\nexcluding items that may cause short-term fluctuations in net income (loss).\nTo arrive at Core FFO, the Company adjusts Nareit FFO to exclude certain\nrecurring and non-recurring items including, but not limited to: (i)\ndepreciation and amortization of corporate assets; (ii) changes in the fair\nvalue of the earn-out liability; (iii) adjustments related to its investments\nin unconsolidated joint ventures; (iv) gains or losses on the extinguishment\nor modification of debt and other; (v) other impairment charges; (vi)\ntransaction and acquisition expenses; and (vii) realized performance income.\n\nNareit FFO and Core FFO should not be considered alternatives to net income\n(loss) under GAAP, as an indication of the Company’s liquidity, nor as an\nindication of funds available to cover its cash needs, including its ability\nto fund distributions. Core FFO may not be a useful measure of the impact of\nlong-term operating performance on value if the Company does not continue to\noperate its business plan in the manner currently contemplated.\n\nAccordingly, Nareit FFO and Core FFO should be reviewed in connection with\nother GAAP measurements, and should not be viewed as more prominent measures\nof performance than net income (loss) or cash flows from operations prepared\nin accordance with GAAP. The Company’s Nareit FFO and Core FFO, as\npresented, may not be comparable to amounts calculated by other REITs.\n\nEarnings Before Interest, Taxes, Depreciation, and Amortization for Real\nEstate and Adjusted EBITDAre\n\nNareit defines Earnings Before Interest, Taxes, Depreciation, and Amortization\nfor Real Estate (“EBITDAre”) as net income (loss) computed in accordance\nwith GAAP before: (i) interest expense; (ii) income tax expense; (iii)\ndepreciation and amortization; (iv) gains or losses from disposition of\ndepreciable property; and (v) impairment write-downs of depreciable property.\nAdjustments for unconsolidated partnerships and joint ventures are calculated\nto reflect EBITDAre on the same basis.\n\nAdjusted EBITDAre is an additional performance measure used by the Company as\nEBITDAre includes certain non-comparable items that affect the Company’s\nperformance over time. To arrive at Adjusted EBITDAre, the Company excludes\ncertain recurring and non-recurring items from EBITDAre, including, but not\nlimited to: (i) changes in the fair value of the earn-out liability; (ii)\nother impairment charges; (iii) adjustments related to its investments in\nunconsolidated joint ventures; (iv) transaction and acquisition expenses; and\n(v) realized performance income.\n\nThe Company uses EBITDAre and Adjusted EBITDAre as additional measures of\noperating performance which allow it to compare earnings independent of\ncapital structure, determine debt service and fixed cost coverage, and measure\nenterprise value. Additionally, the Company believes they are a useful\nindicator of its ability to support its debt obligations. EBITDAre and\nAdjusted EBITDAre should not be considered as alternatives to net income\n(loss), as an indication of the Company’s liquidity, nor as an indication of\nfunds available to cover its cash needs, including its ability to fund\ndistributions. Accordingly, EBITDAre and Adjusted EBITDAre should be reviewed\nin connection with other GAAP measurements, and should not be viewed as more\nprominent measures of performance than net income (loss) or cash flows from\noperations prepared in accordance with GAAP. The Company’s EBITDAre and\nAdjusted EBITDAre, as presented, may not be comparable to amounts calculated\nby other REITs.\n\nSame-Center Net Operating Income—The table below compares Same-Center NOI\n(dollars in thousands):\n\n Three Months Ended June 30, Favorable (Unfavorable) Six Months Ended June 30, Favorable (Unfavorable) \n 2026 2025 $ Change % Change 2026 2025 $ Change % Change \n Revenues: \n Rental income ((1)) $ 125,739 $ 121,384 $ 4,355 $ 252,456 $ 244,460 $ 7,996 \n Tenant recovery income 39,571 38,615 956 80,634 78,485 2,149 \n Reserves for uncollectibility ((2)) (818 ) (1,275 ) 457 (1,704 ) (2,499 ) 795 \n Other property income 642 826 (184 ) 1,620 2,033 (413 ) \n Total revenues 165,134 159,550 5,584 3.5 % 333,006 322,479 10,527 3.3 % \n Operating expenses: \n Property operating expenses 23,963 23,737 (226 ) 50,042 49,170 (872 ) \n Real estate taxes 20,553 19,580 (973 ) 40,818 39,752 (1,066 ) \n Total operating expenses 44,516 43,317 (1,199 ) (2.8 )% 90,860 88,922 (1,938 ) (2.2 )% \n Total Same-Center NOI $ 120,618 $ 116,233 $ 4,385 3.8 % $ 242,146 $ 233,557 $ 8,589 3.7 % \n\n((1)   )Excludes straight-line rental income, net amortization of above-\nand below-market leases, and lease buyout income.\n\n((2)   )Includes billings that will not be recognized as revenue until cash\nis collected or the Neighbor resumes regular payments and/or the Company deems\nit appropriate to resume recording revenue on an accrual basis, rather than on\na cash basis.\n\n\n\nSame-Center Net Operating Income Reconciliation—Below is a reconciliation of\nNet Income to NOI and Same-Center NOI (in thousands):\n\n Three Months Ended June 30, Six Months Ended June 30, \n 2026 2025 2026 2025 \n Net income $ 45,254 $ 14,252 $ 78,496 $ 43,145 \n Adjusted to exclude: \n Fees and management income (4,054 ) (3,316 ) (7,499 ) (6,099 ) \n Straight-line rental income ((1)) (3,259 ) (2,279 ) (6,142 ) (4,954 ) \n Net amortization of above- and below-market leases (2,632 ) (2,128 ) (5,083 ) (4,072 ) \n Lease buyout income (84 ) (179 ) (1,793 ) (1,918 ) \n General and administrative expenses 13,575 12,922 25,518 25,008 \n Depreciation and amortization 66,840 71,203 132,371 136,477 \n Interest expense, net 29,394 27,719 59,166 53,391 \n (Gain) loss on disposal of property, net (19,390 ) 66 (26,207 ) (5,543 ) \n Other (income) expense, net (650 ) 990 1,363 1,970 \n Property operating expenses related to fees and management income 1,910 1,007 3,991 1,903 \n NOI for real estate investments 126,904 120,257 254,181 239,308 \n Less: Non-same-center NOI ((2)) (6,286 ) (4,024 ) (12,035 ) (5,751 ) \n Total Same-Center NOI $ 120,618 $ 116,233 $ 242,146 $ 233,557 \n \n Period-end Same-Center Leased Occupancy % 97.5 % 97.6 % \n\n((1)   )Includes straight-line rent adjustments for Neighbors for whom\nrevenue is being recorded on a cash basis.\n\n((2)   )Includes operating revenues and expenses from non-same-center\nproperties, which includes properties acquired or sold, and corporate\nactivities.\n\n\n\nNareit FFO and Core FFO—The following table presents the Company’s\ncalculation of Nareit FFO and Core FFO and provides additional information\nrelated to its operations (in thousands, except per share amounts):\n\n Three Months Ended June 30, Six Months Ended June 30, \n 2026 2025 2026 2025 \n Calculation of Nareit FFO Attributable to Stockholders and OP Unit Holders \n Net income $ 45,254 $ 14,252 $ 78,496 $ 43,145 \n Adjustments: \n Depreciation and amortization of real estate assets 66,471 70,806 131,653 135,703 \n (Gain) loss on disposal of property, net (19,390 ) 66 (26,207 ) (5,543 ) \n Adjustments related to unconsolidated joint ventures 1,387 892 2,702 1,759 \n Nareit FFO attributable to stockholders and OP unit holders $ 93,722 $ 86,016 $ 186,644 $ 175,064 \n Calculation of Core FFO Attributable to Stockholders and OP Unit Holders \n Nareit FFO attributable to stockholders and OP unit holders $ 93,722 $ 86,016 $ 186,644 $ 175,064 \n Adjustments: \n Depreciation and amortization of corporate assets 369 397 718 774 \n Transaction and acquisition expenses 1,402 1,789 3,479 3,111 \n Loss on extinguishment or modification of debt and other, net — — 1,080 1 \n Adjustments related to unconsolidated joint ventures (3 ) 7 (28 ) 32 \n Core FFO attributable to stockholders and OP unit holders $ 95,490 $ 88,209 $ 191,893 $ 178,982 \n \n Nareit FFO/Core FFO Attributable to Stockholders and OP Unit Holders per Diluted Share \n Weighted-average shares of common stock outstanding - diluted 139,193 138,910 139,133 138,929 \n Nareit FFO attributable to stockholders and OP unit holders per share - diluted $ 0.67 $ 0.62 $ 1.34 $ 1.26 \n Core FFO attributable to stockholders and OP unit holders per share - diluted $ 0.69 $ 0.64 $ 1.38 $ 1.29 \n\n\n\nEBITDAre and Adjusted EBITDAre—The following table presents the Company’s\ncalculation of EBITDAre and Adjusted EBITDAre (in thousands):\n\n Three Months Ended June 30, Six Months Ended June 30, Year Ended December 31, \n 2026 2025 2026 2025 2025 \n Calculation of EBITDA re \n Net income $ 45,254 $ 14,252 $ 78,496 $ 43,145 $ 122,968 \n Adjustments: \n Depreciation and amortization 66,840 71,203 132,371 136,477 266,374 \n Interest expense, net 29,394 27,719 59,166 53,391 110,338 \n (Gain) loss on disposal of property, net (19,390 ) 66 (26,207 ) (5,543 ) (38,790 ) \n Federal, state, and local tax expense 242 234 484 380 1,307 \n Adjustments related to unconsolidated joint ventures 2,150 1,366 4,198 2,644 6,200 \n EBITDA re $ 124,490 $ 114,840 $ 248,508 $ 230,494 $ 468,397 \n Calculation of Adjusted EBITDA re \n EBITDA re $ 124,490 $ 114,840 $ 248,508 $ 230,494 $ 468,397 \n Adjustments: \n Transaction and acquisition expenses 1,402 1,789 3,479 3,111 5,523 \n Adjustments related to unconsolidated joint ventures 45 7 24 32 60 \n Realized performance income ((1)) — — — — (30 ) \n Adjusted EBITDA re $ 125,937 $ 116,636 $ 252,011 $ 233,637 $ 473,950 \n\n((1)   )Realized performance income includes fees received related to the\nachievement of certain performance targets in the Company’s Necessity Retail\nPartners joint venture, which was dissolved in December 2025.\n\n\n\nFinancial Leverage Ratios—The Company believes its net debt to Adjusted\nEBITDAre, net debt to total enterprise value, and debt covenant compliance as\nof June 30, 2026 allow it access to future borrowings as needed in the near\nterm. The following table presents the Company’s calculation of net debt and\ntotal enterprise value, inclusive of its prorated portion of net debt and cash\nand cash equivalents owned through its unconsolidated joint ventures, as of\nJune 30, 2026 and December 31, 2025 (in thousands):\n\n June 30, 2026 December 31, 2025 \n Net debt: \n Total debt, excluding discounts, market adjustments, and deferred financing expenses $ 2,538,370 $ 2,456,933 \n Less: Cash and cash equivalents 9,439 5,124 \n Total net debt $ 2,528,931 $ 2,451,809 \n \n Enterprise value: \n Net debt $ 2,528,931 $ 2,451,809 \n Total equity market capitalization ((1)(2)) 5,859,597 4,926,872 \n Total enterprise value $ 8,388,528 $ 7,378,681 \n\n((1)   )Total equity market capitalization is calculated as diluted shares\nmultiplied by the closing market price per share, which includes 140.8 million\nand 138.5 million diluted shares as of June 30, 2026 and December 31, 2025,\nrespectively, and the closing market price per share of $41.62 and $35.57 as\nof June 30, 2026 and December 31, 2025, respectively.\n\n((2)   )Fully diluted shares include common stock and OP units.\n\n\n\nThe following table presents the Company’s calculation of net debt to\nAdjusted EBITDAre and net debt to total enterprise value as of June 30, 2026\nand December 31, 2025 (dollars in thousands):\n\n June 30, 2026 December 31, 2025 \n Net debt to Adjusted EBITDA re - annualized : \n Net debt $ 2,528,931 $ 2,451,809 \n Adjusted EBITDA re - annualized ((1)) 492,324 473,950 \n Net debt to Adjusted EBITDA re - annualized 5.1x 5.2x \n \n Net debt to total enterprise value: \n Net debt $ 2,528,931 $ 2,451,809 \n Total enterprise value 8,388,528 7,378,681 \n Net debt to total enterprise value 30.1 % 33.2 % \n\n((1)   )Adjusted EBITDAre is based on a trailing twelve month period.\n\nForward-Looking Statements\n\nThis press release contains certain forward-looking statements within the\nmeaning of Section 27A of the Securities Act of 1933, as amended, and Section\n21E of the Securities Exchange Act of 1934, as amended. Phillips Edison &\nCompany, Inc. (the “Company”) intends such forward-looking statements to\nbe covered by the safe harbor provisions for forward-looking statements\ncontained in the Private Securities Litigation Reform Act of 1995 and includes\nthis statement for purposes of complying with the safe harbor provisions. Such\nforward-looking statements can generally be identified by the Company’s use\nof forward-looking terminology such as “may,” “will,” “expect,”\n“intend,” “anticipate,” “estimate,” “believe,” “continue,”\n“seek,” “objective,” “goal,” “strategy,” “plan,”\n“focus,” “priority,” “should,” “could,” “potential,”\n“possible,” “look forward,” “optimistic,” “commit,” or other\nsimilar words. Readers are cautioned not to place undue reliance on these\nforward-looking statements, which speak only as of the date of this earnings\nrelease. Such statements include, but are not limited to: (a) statements about\nthe Company’s plans, strategies, initiatives, and prospects; (b) statements\nabout the Company’s underwritten incremental yields; and (c) statements\nabout the Company’s future results of operations, capital expenditures, and\nliquidity. Such statements are subject to known and unknown risks and\nuncertainties, which could cause actual results to differ materially from\nthose projected or anticipated, including, without limitation: (i) changes in\nnational, regional, or local economic climates; (ii) local market conditions,\nincluding an oversupply of space in, or a reduction in demand for, properties\nsimilar to those in the Company’s portfolio; (iii) vacancies, changes in\nmarket rental rates, and the need to periodically repair, renovate, and re-let\nspace; (iv) competition from other available shopping centers and the\nattractiveness of properties in the Company’s portfolio to its tenants; (v)\nthe financial stability of the Company’s tenants, including, without\nlimitation, their ability to pay rent; (vi) the Company’s ability to pay\ndown, refinance, restructure, or extend its indebtedness as it becomes due;\n(vii) increases in the Company’s borrowing costs as a result of changes in\ninterest rates and other factors; (viii) potential liability for environmental\nmatters; (ix) damage to the Company’s properties from catastrophic weather\nand other natural events, and the physical effects of climate change; (x) the\nCompany’s ability and willingness to maintain its qualification as a REIT in\nlight of economic, market, legal, tax, and other considerations; (xi) changes\nin tax, real estate, environmental, and zoning laws; (xii) information\ntechnology security breaches; (xiii) the Company’s corporate responsibility\ninitiatives; (xiv) loss of key executives; (xv) the concentration of the\nCompany’s portfolio in a limited number of industries, geographies, or\ninvestments; (xvi) the economic, political, and social impact of, and\nuncertainty relating to, pandemics or other health crises; (xvii) the\nCompany’s ability to re-lease its properties on the same or better terms, or\nat all, in the event of non-renewal or in the event the Company exercises its\nright to replace an existing tenant; (xviii) the loss or bankruptcy of the\nCompany’s tenants; (xix) to the extent the Company is seeking to dispose of\nproperties, the Company’s ability to do so at attractive prices or at all;\nand (xx) the impact of heightened geopolitical instability, international\nconflicts, tariffs and global trade disruptions on the Company, its tenants,\nand consumers, including the impact on inflation, supply chains, and consumer\nsentiment. Additional important factors that could cause actual results to\ndiffer are described in the filings made from time to time by the Company with\nthe SEC and include the risk factors and other risks and uncertainties\ndescribed in the Company’s 2025 Annual Report on Form 10-K, filed with the\nSEC on February 10, 2026, as updated from time to time in the Company’s\nperiodic and/or current reports filed with the SEC, which are accessible on\nthe SEC’s website at www.sec.gov. Therefore, such statements are not\nintended to be a guarantee of the Company’s performance in future periods.\nExcept as required by law, the Company does not undertake any obligation to\nupdate or revise any forward-looking statement, whether as a result of new\ninformation, future events, or otherwise.\n\nInvestors:\n\nKimberly Green, Head of Investor Relations\n(513) 692-3399\nkgreen@phillipsedison.com\n\nHannah Harper, Director of Investor Relations\n(513) 824-7122\nhharper@phillipsedison.com\n\n(https://www.globenewswire.com/NewsRoom/AttachmentNg/77ddac0f-a244-4bc1-80d9-18cdd76205eb)\n\n\n\nGlobeNewswire, Inc. 2026"},"type":"article","timestamp":"2026-07-23T20:16:03.815072779Z","server_sent_at_ms":1784837763815},"received_at":"2026-07-23T20:16:04.065Z","source_url":"https://www.globenewswire.com/news-release/2026/07/23/3332599/0/en/Phillips-Edison-Company-Reports-Second-Quarter-2026-Results.html"},"analysis":{"id":"86377","press_release_id":"97337","analysis_json":{"industry":{"label":"Equity Real Estate Investment Trusts (REITs)","sector":"Real Estate"},"redFlags":[],"eventType":"earnings","narrative":"Phillips Edison & Company reported Q2 Core FFO of $0.69 per share, up 8.3% year-over-year, driven by record-high inline occupancy of 95.5% and strong rent spreads.\n\nManagement raised full-year 2026 Core FFO guidance to $2.73-$2.79 per share and increased gross acquisitions guidance to $500 million-$600 million.\n\nThe company maintained a solid balance sheet with $857.3 million in total liquidity and a net debt to adjusted EBITDAre ratio of 5.1x.","sentiment":"bullish","agentHooks":{"shouldPost":true,"suggestedAngle":"Guidance raise and record occupancy highlight strong execution in the grocery-anchored retail segment."},"keyFigures":{"eps":0.33,"revenue":189619000,"guidance":"FY2026 Core FFO $2.73-$2.79 (raised from $2.72-$2.78); Gross acquisitions $500M-$600M (raised from $400M-$500M)","revenueYoy":"6.7%","customDimensions":{"core_ffo":0.69,"nareit_ffo":0.67,"core_ffo_yoy":"8.3%","nareit_ffo_yoy":"9.0%","same_center_noi":120618000,"same_center_noi_yoy":"3.8%","new_lease_rent_spread":"33.7%","leased_inline_occupancy":"95.5%","renewal_lease_rent_spread":"21.2%","net_debt_to_adjusted_ebitdare":"5.1x"}},"quotedText":"Our confidence in our business is reflected in our increased guidance. The increased midpoint of 2026 Core FFO per diluted share guidance represents 6.2% year-over-year growth, and increased 2026 gross acquisitions guidance reflects a range of $500 million to $600 million.","namedEntities":{"people":[{"name":"Jeff Edison","role":"Chairman and CEO"},{"name":"Bob Myers","role":"President"},{"name":"John Caulfield","role":"CFO"},{"name":"Kimberly Green","role":"Head of Investor Relations"},{"name":"Hannah Harper","role":"Director of Investor Relations"}],"products":["Renton Highlands Shopping Center","Prairieview Center","Firethorne Plaza","Shops at Prosper Trail","Chaska Commons","Oracle Crossing"],"companies":[{"name":"Phillips Edison & Company, Inc.","ticker":"PECO"},{"name":"Necessity Retail Venture LLC","relationship":"joint venture"},{"name":"Safeway","relationship":"anchor tenant"},{"name":"Lunds & Byerlys","relationship":"anchor tenant"},{"name":"Kroger","relationship":"anchor tenant"},{"name":"Cub Foods","relationship":"anchor tenant"},{"name":"Sprouts","relationship":"anchor tenant"},{"name":"Publix","relationship":"anchor tenant"},{"name":"Albertsons","relationship":"anchor tenant"},{"name":"Ahold Delhaize","relationship":"anchor tenant"}],"dollarAmounts":[{"amount":"$41.1 million","context":"Q2 2026 net income attributable to stockholders"},{"amount":"$0.33","context":"Q2 2026 diluted EPS"},{"amount":"$93.7 million","context":"Q2 2026 Nareit FFO"},{"amount":"$0.67","context":"Q2 2026 Nareit FFO per diluted share"},{"amount":"$95.5 million","context":"Q2 2026 Core FFO"},{"amount":"$0.69","context":"Q2 2026 Core FFO per diluted share"},{"amount":"$120.6 million","context":"Q2 2026 Same-Center NOI"},{"amount":"$152.4 million","context":"Q2 2026 total prorated share acquisitions"},{"amount":"$85.3 million","context":"Q2 2026 ATM program net proceeds"},{"amount":"$42.06","context":"Q2 2026 ATM gross weighted average price per share"},{"amount":"$857.3 million","context":"Total liquidity as of June 30, 2026"},{"amount":"$500 million to $600 million","context":"Full year 2026 gross acquisitions guidance"}]},"materialImpact":{"score":4,"reasoning":"Core FFO grew 8.3% year-over-year and the company raised full-year guidance for Core FFO and acquisitions. Record-high occupancy and strong rent spreads (33.7% on new leases) indicate robust operating momentum."},"tickerRelevance":{"others":[],"primary":"PECO"},"globalImportance":25,"audienceRelevance":30,"eventTypeSecondary":["guidance_update"],"importanceComponents":{"tickerTier":"mid-cap","eventGravity":"earnings beat + guidance raise","sectorWeight":"Real Estate"}},"event_type":"earnings","event_type_secondary":["guidance_update"],"sentiment":"bullish","material_impact_score":4,"narrative":"Phillips Edison & Company reported Q2 Core FFO of $0.69 per share, up 8.3% year-over-year, driven by record-high inline occupancy of 95.5% and strong rent spreads.\n\nManagement raised full-year 2026 Core FFO guidance to $2.73-$2.79 per share and increased gross acquisitions guidance to $500 million-$600 million.\n\nThe company maintained a solid balance sheet with $857.3 million in total liquidity and a net debt to adjusted EBITDAre ratio of 5.1x.","key_figures":{"eps":0.33,"revenue":189619000,"guidance":"FY2026 Core FFO $2.73-$2.79 (raised from $2.72-$2.78); Gross acquisitions $500M-$600M (raised from $400M-$500M)","revenueYoy":"6.7%","customDimensions":{"core_ffo":0.69,"nareit_ffo":0.67,"core_ffo_yoy":"8.3%","nareit_ffo_yoy":"9.0%","same_center_noi":120618000,"same_center_noi_yoy":"3.8%","new_lease_rent_spread":"33.7%","leased_inline_occupancy":"95.5%","renewal_lease_rent_spread":"21.2%","net_debt_to_adjusted_ebitdare":"5.1x"}},"named_entities":{"people":[{"name":"Jeff Edison","role":"Chairman and CEO"},{"name":"Bob Myers","role":"President"},{"name":"John Caulfield","role":"CFO"},{"name":"Kimberly Green","role":"Head of Investor Relations"},{"name":"Hannah Harper","role":"Director of Investor Relations"}],"products":["Renton Highlands Shopping Center","Prairieview Center","Firethorne Plaza","Shops at Prosper Trail","Chaska Commons","Oracle Crossing"],"companies":[{"name":"Phillips Edison & Company, Inc.","ticker":"PECO"},{"name":"Necessity Retail Venture LLC","relationship":"joint venture"},{"name":"Safeway","relationship":"anchor tenant"},{"name":"Lunds & Byerlys","relationship":"anchor tenant"},{"name":"Kroger","relationship":"anchor tenant"},{"name":"Cub Foods","relationship":"anchor tenant"},{"name":"Sprouts","relationship":"anchor tenant"},{"name":"Publix","relationship":"anchor tenant"},{"name":"Albertsons","relationship":"anchor tenant"},{"name":"Ahold Delhaize","relationship":"anchor tenant"}],"dollarAmounts":[{"amount":"$41.1 million","context":"Q2 2026 net income attributable to stockholders"},{"amount":"$0.33","context":"Q2 2026 diluted EPS"},{"amount":"$93.7 million","context":"Q2 2026 Nareit FFO"},{"amount":"$0.67","context":"Q2 2026 Nareit FFO per diluted share"},{"amount":"$95.5 million","context":"Q2 2026 Core FFO"},{"amount":"$0.69","context":"Q2 2026 Core FFO per diluted share"},{"amount":"$120.6 million","context":"Q2 2026 Same-Center NOI"},{"amount":"$152.4 million","context":"Q2 2026 total prorated share acquisitions"},{"amount":"$85.3 million","context":"Q2 2026 ATM program net proceeds"},{"amount":"$42.06","context":"Q2 2026 ATM gross weighted average price per share"},{"amount":"$857.3 million","context":"Total liquidity as of June 30, 2026"},{"amount":"$500 million to $600 million","context":"Full year 2026 gross acquisitions guidance"}]},"model_name":"glm-4.7","prompt_hash":"sha256:727b4b9429a443af","schema_hash":"sha256:05005c02d9cffac9","created_at":"2026-07-23T23:57:10.338Z","global_importance":25,"audience_relevance":30,"importance_components":{"tickerTier":"mid-cap","eventGravity":"earnings beat + guidance raise","sectorWeight":"Real Estate"}},"durationMs":239140,"modelName":"glm-4.7"}}