Why Brandywine Realty Trust Stock Popped While the Market Flopped on Wednesday

Just after market close on Tuesday, Brandywine Realty Trust (BDN +11.70%) unveiled its latest set of financial figures. Buoyed by a double beat on analyst estimates, the real estate investment trust (REIT) enjoyed a nearly 12% increase in price the following day.

Getting out of the office

Brandywine, which focuses on office properties but is pivoting into other segments, published its fourth-quarter and full-year 2025 results. These showed that the company’s revenue for the quarter was just under $121 million, down marginally from the same period of 2024.

On a brighter note, it narrowed its net loss under generally accepted accounting principles (GAAP) to $36.9 million, or $0.21 per share, from the year-ago quarter’s $44.8 million deficit. Funds from operations (FFO), generally considered a more revealing metric for REITs, fell to $14.6 million ($0.08 per share) from $29.9 million in the fourth quarter of 2024.

Both figures were higher than the consensus analyst estimates. Brandywine-tracking pundits were collectively modeling $116.6 million for revenue, and a non-GAAP (adjusted) net loss of $0.23 per share.

Encouraging guidance

In its earnings release, Brandywine said it met many of its 2025 objectives, including that for tenant retention — no mean feat in an office segment that has struggled in recent years. It proffered FFO guidance of $0.51 to $0.59 per share for the full year. This indicates management expects notable performance improvement over the coming quarters, making it a REIT worth watching in the months ahead.