Hudson Pacific Properties, Inc. (HPP)

Hudson Pacific Properties, Inc. (NYSE:HPP ) Q2 2025 Earnings Call August 5, 2025 5:00 PM ET Company Participants Arthur X. Suazo - Executive Vice President of Leasing Harout Krikor Diramerian - Chief Financial Officer Laura Campbell - Executive Vice President of Investor Relations & Marketing Mark T.

Although the revenue and EPS for Hudson Pacific (HPP) give a sense of how its business performed in the quarter ended June 2025, it might be worth considering how some key metrics compare with Wall Street estimates and the year-ago numbers.

Hudson Pacific Properties (HPP) came out with quarterly funds from operations (FFO) of $0.04 per share, beating the Zacks Consensus Estimate of $0.03 per share. This compares to FFO of $0.17 per share a year ago.

Hudson Pacific Properties offers high-quality office and studio spaces to tech and media tenants but faces significant market and credit risk. Despite $8 billion in assets, HPP's low market cap and asset coverage ratio reflect investor concerns about debt and earnings quality. Credit ratings are weak due to high leverage and low EBITDA coverage, with Moody's assigning a B1 equivalent rating after adjustments.

U.S. equity markets closed the Independence Day week at record highs after Congress approved the GOP's sweeping tax cut and spending megabill, while employment data indicated "Goldilocks" labor market trends. The Big Beautiful Bill extends and enhances key elements of the 2017 tax cuts and boosts State and Local Tax ("SALT") deductions, while overhauling eligibility requirements for government benefits programs. The real estate and homebuilding industry scored some key "wins" in the legislation, which made permanent the 20% QBI deduction for REIT dividend income and relaxed some REIT tax rules.

Publicly listed US equity REITs ended June at a median 19.1% discount to their consensus NAV per share estimates, according to S&P Global Market Intelligence data. The hotel sector traded at the largest median discount to NAV at 35.5%, down from a 35.7% median discount to NAV as of May 30. Healthcare REITs continued to trade at the highest median premium, 19.3%, which is about 1.4 percentage points down from the 20.6% median premium to NAV as of May 30.

LOS ANGELES--(BUSINESS WIRE)--Hudson Pacific Properties, Inc. (NYSE: HPP), a unique provider of end-to-end real estate solutions for tech and media tenants, today announced changes to its Board of Directors ("Board"), reducing the size from 10 to 8 members. In support of these efforts, two directors, Ebs Burnough and Christy Haubegger, voluntarily resigned from the Board. Victor Coleman, Hudson Pacific's CEO and Chairman, said, "This more efficient board structure maintains the experience neede.

U.S. equity markets surged to fresh record-highs as investors cheered a confluence of positive headlines: a temporary ceasefire in the Middle East, productive trade talks, and progress on tax cuts. Oil prices tumbled after the U.S. destroyed a trio of Iranian nuclear facilities in a formidable and decisive show of force, eliciting a ceasefire between Israel and Iran. Traders priced in additional rate cuts as tumbling oil prices and economic data that remains devoid of meaningful inflation prompted dovish dissents from several Fed officials.

U.S. equity markets posted a second-straight week of declines after the U.S. Federal Reserve indicated that it remains in "no rush" to ease its "modestly restrictive" policy stance. Raising questions on whether the Fed can continue to claim itself "data dependent," Fed Chair Powell dismissed recent economic data while doubling-down on forecasts of "meaningful" tariff-driven inflation. Benchmark interest rates ticked lower this week as traders digested the Federal Reserve's rate decision alongside a generally downbeat slate of economic data and heightened geopolitical uncertainty.

Ron Kamdem, Morgan Stanley head of U.S. REITS and commercial real estate research, joins 'The Exchange' to discuss AI in CRE and the future of real estate.

NEW YORK , June 16, 2025 /PRNewswire/ -- Cohen & Steers, Inc. (NYSE: CNS), announced today that the firm, on behalf of its clients' accounts, has invested $300 million in Hudson Pacific Properties, Inc, (NYSE: HPP), a leading West Coast office REIT, as a cornerstone investor to support HPP's balance sheet recapitalization. The purchase reflects 43% of HPP's $690 million offering.

US equity markets retreated from the cusp of record-highs this week as encouraging inflation data showing surprisingly muted tariff-related inflation was spoiled by a sudden escalation in Middle East tensions. The critical CPI and PPI reports both showed cooler-than-expected inflation in May for a third-straight month, as lower oil prices and moderating shelter costs more than offset the tariff uplift. Upsetting the key disinflationary offset that has kept overall inflation suppressed in recent months, the exchange of attacks between Iran and Israel sent global oil prices surging to four-month highs.

LOS ANGELES--(BUSINESS WIRE)--Hudson Pacific Properties, Inc. (“Hudson Pacific” or the “Company”) (NYSE: HPP) today announced the pricing of an underwritten public offering of 197,194,698 shares of its common stock and pre-funded warrants to purchase 71,863,597 shares of its common stock. The shares of common stock are being sold at a public offering price of $2.23 per share and the pre-funded warrants are being sold at a public offering price of $2.22 per warrant, which represents the per shar.

LOS ANGELES--(BUSINESS WIRE)--Hudson Pacific Properties, Inc. (“Hudson Pacific” or the “Company”) (NYSE: HPP) today announced it has commenced a $600 million underwritten public offering of shares of its common stock and pre-funded warrants to purchase shares of its common stock pursuant to an effective registration statement filed with the Securities and Exchange Commission. The Company intends to grant the underwriters a 30-day option to purchase up to an additional $90 million of common stoc.

Squarepoint Ops LLC lessened its holdings in Hudson Pacific Properties, Inc. (NYSE:HPP – Free Report) by 86.9% during the 4th quarter, according to its most recent filing with the Securities & Exchange Commission. The firm owned 18,216 shares of the real estate investment trust’s stock after selling 120,322 shares during the period. Squarepoint Ops LLC’s holdings in Hudson Pacific Properties were worth $55,000 at the end of the most recent reporting period. Other institutional investors have also recently made changes to their positions in the company. Asset Management One Co. Ltd. grew its holdings in Hudson Pacific Properties by 9.7% during the 4th quarter. Asset Management One Co. Ltd. now owns 206,656 shares of the real estate investment trust’s stock valued at $614,000 after buying an additional 18,279 shares in the last quarter. Sanctuary Advisors LLC bought a new position in shares of Hudson Pacific Properties during the 4th quarter valued at approximately $45,000. Union Bancaire Privee UBP SA bought a new position in shares of Hudson Pacific Properties during the 4th quarter valued at approximately $436,000. Y Intercept Hong Kong Ltd boosted its position in shares of Hudson Pacific Properties by 197.5% during the 4th quarter. Y Intercept Hong Kong Ltd now owns 368,175 shares of the real estate investment trust’s stock valued at $1,116,000 after acquiring an additional 244,410 shares during the last quarter. Finally, Versor Investments LP bought a new position in shares of Hudson Pacific Properties during the 4th quarter valued at approximately $97,000. Institutional investors own 97.58% of the company’s stock. Hudson Pacific Properties Price Performance Shares of NYSE HPP opened at $2.45 on Wednesday. The company has a current ratio of 1.26, a quick ratio of 1.26 and a debt-to-equity ratio of 1.47. Hudson Pacific Properties, Inc. has a twelve month low of $1.78 and a twelve month high of $6.29. The stock has a 50 day moving average of $2.17 and a two-hundred day moving average of $2.76. The stock has a market cap of $345.70 million, a P/E ratio of -0.95 and a beta of 1.43. Hudson Pacific Properties (NYSE:HPP – Get Free Report) last released its quarterly earnings results on Wednesday, May 7th. The real estate investment trust reported $0.09 EPS for the quarter, hitting the consensus estimate of $0.09. Hudson Pacific Properties had a negative return on equity of 12.64% and a negative net margin of 44.01%. The business had revenue of $198.46 million during the quarter, compared to analysts’ expectations of $199.95 million. On average, research analysts forecast that Hudson Pacific Properties, Inc. will post 0.45 earnings per share for the current year. Wall Street Analyst Weigh In A number of analysts recently issued reports on the company. The Goldman Sachs Group lowered their price target on Hudson Pacific Properties from $3.40 to $2.30 and set a “neutral” rating for the company in a research report on Tuesday, April 22nd. Wells Fargo & Company lowered their price target on Hudson Pacific Properties from $4.00 to $3.40 and set an “overweight” rating for the company in a research report on Monday, May 19th. BMO Capital Markets upgraded Hudson Pacific Properties from a “market perform” rating to an “outperform” rating and raised their price target for the stock from $4.00 to $5.00 in a research report on Friday, March 28th. Wedbush restated a “neutral” rating on shares of Hudson Pacific Properties in a research report on Monday, May 5th. Finally, Piper Sandler set a $2.00 price target on Hudson Pacific Properties and gave the stock a “neutral” rating in a research report on Friday, May 23rd. Two investment analysts have rated the stock with a sell rating, seven have given a hold rating and three have given a buy rating to the company’s stock. According to data from MarketBeat.com, Hudson Pacific Properties presently has a consensus rating of “Hold” and a consensus price target of $3.52. View Our Latest Report on Hudson Pacific Properties About Hudson Pacific Properties (Free Report) Hudson Pacific Properties (NYSE: HPP) is a real estate investment trust serving dynamic tech and media tenants in global epicenters for these synergistic, converging and secular growth industries. Hudson Pacific's unique and high-barrier tech and media focus leverages a full-service, end-to-end value creation platform forged through deep strategic relationships and niche expertise across identifying, acquiring, transforming and developing properties into world-class amenitized, collaborative and sustainable office and studio space.

LOS ANGELES--(BUSINESS WIRE)--Hudson Pacific Properties, Inc. (NYSE: HPP) (the “Company”), a unique provider of end-to-end real estate solutions for tech and media tenants, today announced that its Board of Directors has declared a dividend for the second quarter of 2025 on its 4.750% Series C cumulative preferred stock of $0.296875 per share, equivalent to an annual rate of $1.18750 per share, which will be paid on June 30, 2025 to preferred stockholders of record on June 20, 2025. About Hudso.