Revenue contracted by 54.4% YoY in 2026Q1, while NOI margins plummeted to -3.4%, indicating severe operational stress within the firm's integrated business model.
| Metric | TTM | Dec'25 | Dec'24 | Dec'23 | Dec'22 | Dec'21 | Dec'20 | Dec'19 | Dec'18 | Dec'17 | Dec'16 | Dec'15 | Dec'14 | Dec'13 | Dec'12 | Dec'11 |
|---|
| Revenue | 325.26M | 285.2M | 708.47M | 667.16M | 471.13M | 302.53M | 383.63M | 257.2M | 193.32M | 302.77M | 258.38M | 252.44M | 168.07M | 140.04M | 108.48M | 130.18M |
| Revenue Growth % | -48.34% | -59.74% | 6.19% | 41.61% | 55.73% | -21.14% | 49.16% | 33.04% | -36.15% | 17.18% | 2.35% | 50.2% | 20.02% | 29.09% | -16.67% | - |
| Property Operating Expenses | 223.46M | 92.01M | 505.02M | 478.57M | 299.96M | 156.45M | 266.57M | 150.83M | 112.23M | 222.54M | 184.91M | 192.33M | 121.16M | 97.96M | 67.65M | 89.49M |
| Net Operating Income (NOI) | 101.8M | 193.19M | 203.45M | 188.58M | 171.17M | 146.09M | 117.07M | 106.37M | 81.08M | 80.23M | 73.48M | 60.11M | 46.9M | 42.07M | 40.83M | 40.69M |
| NOI Margin % | 31.3% | 67.74% | 28.72% | 28.27% | 36.33% | 48.29% | 30.51% | 41.36% | 41.94% | 26.5% | 28.44% | 23.81% | 27.91% | 30.05% | 37.64% | 31.26% |
| Operating Expenses | 21.61M | 111.43M | 96.91M | 115M | 36.76M | 86.94M | 68.33M | 63.73M | 49.06M | 40.43M | 16.27M | 33.53M | 25.52M | 22.41M | 16.14M | 16.72M |
| G&A Expenses | 14.9M | 20.34M | 20.23M | 18.12M | 15.69M | 14.61M | 12.9M | 12.39M | 11.43M | 10.44M | 9.55M | 8.4M | 7.71M | 6.94M | 3.23M | 3.73M |
| EBITDA | 171.54M | 173.28M | 197.5M | 171.01M | 208.5M | 129.03M | 93M | 80.85M | 62.42M | 65.78M | 80.67M | 45.26M | 36.36M | 32.47M | 36.29M | 35.68M |
| EBITDA Margin % | 52.74% | 60.76% | 27.88% | 25.63% | 44.25% | 42.65% | 24.24% | 31.44% | 32.29% | 21.73% | 31.22% | 17.93% | 21.64% | 23.18% | 33.45% | 27.41% |
| Depreciation & Amortization | 91.36M | 91.52M | 90.96M | 97.43M | 74.08M | 69.88M | 44.26M | 38.22M | 30.39M | 25.97M | 23.45M | 18.68M | 14.98M | 12.81M | 11.6M | 11.71M |
| D&A / Revenue % | 28.09% | 32.09% | 12.84% | 14.6% | 15.72% | 23.1% | 11.54% | 14.86% | 15.72% | 8.58% | 9.08% | 7.4% | 8.92% | 9.14% | 10.69% | 8.99% |
| Operating Income | 80.19M | 81.76M | 106.54M | 73.59M | 134.41M | 59.15M | 48.74M | 42.64M | 32.02M | 39.8M | 57.21M | 26.58M | 21.38M | 19.66M | 24.69M | 23.97M |
| Operating Margin % | 24.65% | 28.67% | 15.04% | 11.03% | 28.53% | 19.55% | 12.71% | 16.58% | 16.57% | 13.15% | 22.14% | 10.53% | 12.72% | 14.04% | 22.76% | 18.41% |
| Interest Expense | 4M | 85.31M | 78.97M | 53.6M | 39.68M | 33.91M | 31.04M | 31.34M | 19.09M | 17.44M | 16.47M | 13.33M | 10.65M | 12.3M | 16.56M | 18.13M |
| Interest Coverage | - | 0.99x | 1.53x | 1.25x | 3.52x | 1.73x | 2.18x | 2.01x | 2.23x | 2.76x | 3.62x | 3.34x | 2.20x | 2.20x | 1.54x | 1.15x |
| Non-Operating Income | -6.29M | -2.39M | -14.3M | 6.79M | -5.08M | 534K | -18.97M | -20.47M | -10.53M | -8.29M | -2.35M | -17.9M | -2.1M | -7.37M | -777K | 3.19M |
| Pretax Income | 5.49M | -1.15M | 41.88M | 8.99M | 99.81M | 24.71M | 36.68M | 31.77M | 23.46M | 30.65M | 43.1M | 31.15M | 12.83M | 14.73M | 8.91M | 2.65M |
| Pretax Margin % | 1.69% | -0.4% | 5.91% | 1.35% | 21.18% | 8.17% | 9.56% | 12.35% | 12.14% | 10.12% | 16.68% | 12.34% | 7.63% | 10.52% | 8.21% | 2.03% |
| Income Tax | -375K | 0 | -614K | 1.33M | -145K | -742K | -283K | -491K | -29K | 725K | 343K | -34K | 70K | 273K | 0 | 0 |
| Effective Tax Rate % | -6.83% | 0% | -1.47% | 14.78% | -0.15% | -3% | -0.77% | -1.55% | -0.12% | 2.37% | 0.8% | -0.11% | 0.55% | 1.85% | 0% | 0% |
| Net Income | -22.31M | 5.6M | 35.65M | 8.29M | 74.75M | 21.89M | 29.15M | 24.05M | 17.2M | 21.05M | 28.07M | 19.64M | 7.69M | 9.36M | 8.9M | 2.27M |
| Net Margin % | -6.86% | 1.96% | 5.03% | 1.24% | 15.87% | 7.24% | 7.6% | 9.35% | 8.9% | 6.95% | 10.87% | 7.78% | 4.58% | 6.68% | 8.2% | 1.74% |
| Net Income Growth % | -218.86% | -84.28% | 330.13% | -88.91% | 241.44% | -24.9% | 21.2% | 39.82% | -18.26% | -25.03% | 42.93% | 155.39% | -17.8% | 5.16% | 292.63% | - |
| Funds From Operations (FFO) | 69.05M | 97.13M | 126.61M | 105.71M | 148.83M | 91.77M | 73.41M | 62.27M | 47.6M | 47.02M | 51.53M | 38.32M | 22.68M | 22.16M | 20.5M | 13.97M |
| FFO Margin % | 21.23% | 34.06% | 17.87% | 15.85% | 31.59% | 30.33% | 19.14% | 24.21% | 24.62% | 15.53% | 19.94% | 15.18% | 13.49% | 15.83% | 18.9% | 10.73% |
| FFO Growth % | -172.52% | -23.29% | 19.76% | -28.97% | 62.18% | 25.01% | 17.89% | 30.82% | 1.23% | -8.74% | 34.47% | 69% | 2.31% | 8.12% | 46.69% | - |
| FFO per Share | 0.68 | 0.95 | 1.79 | 1.56 | 2.20 | 1.51 | 1.28 | 1.17 | 1.00 | 1.11 | 1.37 | 1.47 | 1.08 | 1.16 | 1.23 | 0.84 |
| FFO Payout Ratio % | 49.81% | 77.45% | 9.12% | 76.05% | 48.76% | 63.98% | 64.85% | 98.77% | 106.93% | 92.76% | 65.68% | 70.52% | 97.45% | 34.89% | 72.16% | 189.01% |
| EPS (Diluted) | -0.22 | -0.13 | 0.34 | -0.05 | 0.94 | 0.17 | 0.38 | 0.41 | 0.36 | 0.29 | 0.75 | 0.76 | 0.37 | 0.39 | 0.53 | 0.14 |
| EPS Growth % | -1542.61% | -138.24% | 780% | -105.32% | 452.94% | -55.26% | -7.32% | 13.89% | 24.14% | -61.33% | -1.32% | 105.41% | -5.13% | -26.42% | 278.57% | - |
| EPS (Basic) | - | -0.12 | 0.24 | -0.04 | 0.94 | 0.12 | 0.38 | 0.41 | 0.36 | 0.29 | 0.75 | 0.76 | 0.37 | 0.39 | 0.53 | 0.14 |
| Diluted Shares Outstanding | 102.03M | 101.92M | 70.66M | 67.69M | 67.58M | 60.65M | 57.33M | 53.12M | 47.51M | 42.42M | 37.49M | 26.01M | 20.95M | 19.05M | 16.7M | 16.7M |
Construction segment earnings volatility
As reported in recent financial filings, Armada Hoffler experienced a severe revenue decline of 54.4% YoY in 2026Q1, suggesting that the company's reliance on transactional construction services is creating significant top-line instability that overshadows the performance of its core rental portfolio assets.
The sharp drop in revenue appears to be driven by the lumpy nature of the construction services segment, which lacks the recurring stability of the office and retail rental streams. Investors should monitor whether this contraction reflects a strategic pivot away from third-party development or simply a cyclical downturn in the construction backlog.
According to the quarterly income statement data, the company's NOI margin plummeted to -3.4% in 2026Q1, a stark reversal from the 53.3% margin observed in 2025Q3, indicating that property-level profitability is currently unable to cover the fixed costs associated with the firm's real estate holdings.
This negative margin suggests that operating expenses and property-level overhead are currently outpacing rental income, likely exacerbated by the high fixed-cost structure of the mixed-use portfolio. Such a rapid deterioration warrants further investigation into whether this is a temporary seasonal anomaly or a structural shift in property-level cost management.
Based on reported figures, FFO per share swung to a negative $0.12 in 2026Q1, representing a 159.6% decline from the prior year and highlighting the extreme sensitivity of the company's earnings to the transactional gains inherent in its integrated construction and development business model.
The erratic FFO trajectory makes it difficult to assess the true recurring earnings power of the REIT, as construction fees often mask the underlying performance of the rental assets. The lack of consistent FFO growth suggests that the dividend may face pressure if the company cannot stabilize its core rental income streams.
As indicated by the historical data, the company's reliance on percentage-of-completion accounting for construction services creates significant noise in the income statement, potentially masking the true economic health of the rental portfolio and complicating the assessment of long-term value creation for institutional shareholders.
The integration of a construction arm provides a unique competitive advantage in theory, but in practice, it introduces earnings volatility that is atypical for a diversified REIT. Analysts should be cautious in valuing the firm based on consolidated metrics, as the construction segment's low-margin, high-volume nature may be distorting the perceived profitability of the entire enterprise.
Quick answers to the most common questions about buying AHH stock.
For fiscal year 2025, Armada Hoffler Properties, Inc. (AHH) reported total revenue of $285.2M. This represents a 119.1% increase compared to $130.2M in 2011.
Armada Hoffler Properties, Inc. (AHH) is profitable, generating $5.6M in net income for the fiscal year ending 2025 with a net profit margin of 2.0%.
Armada Hoffler Properties, Inc. (AHH) reported an operating income of $81.8M, resulting in an operating profit margin of 28.7%. This margin reflects the operational efficiency of the business before interest and taxes.
Armada Hoffler Properties, Inc. (AHH) generated $193.2M in gross profit for the year, representing a gross profit margin of 67.7%. This demonstrates the company's core pricing power and production efficiency.