Top-line performance remains under pressure, evidenced by a 12.0% year-over-year revenue decline in 2025Q3 and a contraction in NOI margins to 58.1%.
| Metric | TTM | 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 | 163.79M | 171.13M | 179.1M | 180.49M | 164.04M | 160.84M | 156.3M | 129.48M | 106.49M | 72.46M | 55.05M | 36.9M | 20.49M | 11.52M | 9.17M |
| Revenue Growth % | -5.61% | -4.45% | -0.77% | 10.02% | 1.99% | 2.91% | 20.71% | 21.6% | 46.96% | 31.62% | 49.21% | 80.06% | 77.92% | 25.53% | - |
| Property Operating Expenses | 64.64M | 69.46M | 70M | 67.74M | 58.01M | 58.31M | 57.32M | 49.87M | 42.89M | 28.3M | 20.42M | 14.33M | 6.02M | 4.11M | 3.08M |
| Net Operating Income (NOI) | 99.15M | 101.67M | 109.1M | 112.75M | 106.04M | 102.53M | 98.98M | 79.61M | 63.6M | 44.16M | 34.63M | 22.56M | 14.47M | 7.41M | 6.09M |
| NOI Margin % | 60.54% | 59.41% | 60.92% | 62.47% | 64.64% | 63.75% | 63.33% | 61.48% | 59.73% | 60.94% | 62.91% | 61.16% | 70.61% | 64.31% | 66.43% |
| Operating Expenses | 186.14M | 82.98M | 77.83M | 76.28M | 72.81M | 71.06M | 70.22M | 60.49M | 48.39M | 36.72M | 26.65M | 17.82M | 10.22M | 5.9M | 4.52M |
| G&A Expenses | 15.71M | 15.2M | 14.84M | 13.78M | 15.49M | 10.69M | 11.07M | 8.14M | 6.79M | 6.54M | 5.03M | 3.09M | 1.06M | 969.5K | 675.87K |
| EBITDA | -30.32M | 78M | 94.26M | 179.27M | 164.04M | 160.84M | 156.3M | 125.99M | 106.49M | 72.46M | 26.15M | 17.34M | 10.55M | 5.25M | 4.71M |
| EBITDA Margin % | -18.51% | 45.58% | 52.63% | 99.33% | 100% | 100% | 100% | 97.3% | 100% | 100% | 47.5% | 47.01% | 51.47% | 45.63% | 51.35% |
| Depreciation & Amortization | 56.67M | 59.32M | 62.99M | 144.02M | 130.81M | 129.37M | 127.54M | 110.36M | 91.27M | 72.76M | 21.62M | 14.73M | 7.78M | 3.96M | 3.13M |
| D&A / Revenue % | 34.6% | 34.67% | 35.17% | 79.79% | 79.74% | 80.43% | 81.6% | 85.23% | 85.71% | 100.41% | 39.28% | 39.92% | 37.95% | 34.35% | 34.14% |
| Operating Income | -86.99M | 18.68M | 31.27M | 35.25M | 33.23M | 31.47M | 28.76M | 15.63M | 15.21M | -297K | 4.53M | 2.62M | 2.77M | 1.3M | 1.58M |
| Operating Margin % | -53.11% | 10.92% | 17.46% | 19.53% | 20.26% | 19.57% | 18.4% | 12.07% | 14.29% | -0.41% | 8.22% | 7.09% | 13.52% | 11.27% | 17.2% |
| Interest Expense | 4M | 32.96M | 31.88M | 25.78M | 23.27M | 26.36M | 28.4M | 0 | 0 | 0 | 0 | 0 | 5.37M | 0 | 2.19M |
| Interest Coverage | - | 0.48x | 0.94x | 1.69x | 1.43x | 1.19x | 1.09x | - | - | - | - | - | 0.16x | - | 0.69x |
| Non-Operating Income | 4.13M | 2.85M | 1.43M | -20.44M | 0 | -21K | -2.09M | -45.36M | -12.66M | -14.48M | 1.59M | -329K | 1.9M | 826K | 53.14K |
| Pretax Income | -121.14M | -17.13M | -2.04M | 17.68M | 485.28M | 5.13M | 2.44M | 38.67M | 9.16M | 376K | -7.67M | -4.91M | -4.18M | -1.88M | -669.59K |
| Pretax Margin % | -73.96% | -10.01% | -1.14% | 9.8% | 295.83% | 3.19% | 1.56% | 29.86% | 8.6% | 0.52% | -13.93% | -13.31% | -20.39% | -16.34% | -7.3% |
| Income Tax | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 329K | -1.58M | 505.88K | 0 |
| Effective Tax Rate % | 0% | 0% | 0% | 0% | 0% | 0% | 0% | 0% | 0% | 0% | 0% | -6.7% | 37.83% | -26.89% | 0% |
| Net Income | -121.55M | -17.68M | -2.68M | 25.2M | 484.39M | -21.84M | -26.6M | 38.17M | 5.76M | -843K | -6.59M | -3.04M | -4.13M | -1.6M | -617.45K |
| Net Margin % | -74.21% | -10.33% | -1.5% | 13.96% | 295.29% | -13.58% | -17.02% | 29.48% | 5.41% | -1.16% | -11.97% | -8.23% | -20.17% | -13.85% | -6.73% |
| Net Income Growth % | -1160.5% | -559.21% | -110.64% | -94.8% | 2318.33% | 17.92% | -169.7% | 563.1% | 782.8% | 87.21% | -117.02% | 26.52% | -159.1% | -158.34% | - |
| Funds From Operations (FFO) | -64.88M | 41.64M | 60.3M | 169.22M | 615.21M | 107.53M | 100.94M | 148.53M | 97.03M | 71.92M | 15.03M | 11.69M | 3.64M | 2.36M | 2.51M |
| FFO Margin % | -39.61% | 24.33% | 33.67% | 93.76% | 375.03% | 66.86% | 64.58% | 114.71% | 91.12% | 99.25% | 27.31% | 31.69% | 17.78% | 20.5% | 27.41% |
| FFO Growth % | -1040.81% | -30.95% | -64.36% | -72.49% | 472.11% | 6.53% | -32.04% | 53.08% | 34.92% | 378.38% | 28.58% | 221.01% | 54.26% | -6.12% | - |
| FFO per Share | -1.61 | 1.04 | 1.51 | 3.95 | 13.94 | 2.28 | 2.29 | 3.94 | 3.21 | 3.51 | 1.21 | 1.38 | 0.45 | 0.29 | 0.31 |
| FFO Payout Ratio % | -36.26% | 56.34% | 51.97% | 24.44% | 5.45% | 38.29% | 47.72% | 28.38% | 37.37% | 28.98% | 95.82% | 52.44% | 41.16% | 583.24% | 8.73% |
| EPS (Diluted) | -3.01 | -0.63 | -0.25 | 0.59 | 10.80 | -0.46 | -0.60 | 1.01 | -0.05 | -0.04 | -0.53 | -0.36 | -0.52 | -0.20 | -0.08 |
| EPS Growth % | -736.63% | -152% | -142.37% | -94.54% | 2447.83% | 23.33% | -159.41% | 2120% | -21.36% | 92.23% | -47.22% | 30.77% | -160% | -159.4% | - |
| EPS (Basic) | - | -0.63 | -0.25 | 0.60 | 10.97 | -0.46 | -0.60 | 1.02 | -0.05 | -0.04 | -0.53 | -0.36 | -0.54 | -0.20 | -0.08 |
| Diluted Shares Outstanding | 40.36M | 40.14M | 39.92M | 42.87M | 44.15M | 47.22M | 44M | 37.67M | 30.2M | 20.46M | 12.41M | 8.48M | 8.01M | 8.01M | 8.01M |
Persistent revenue and FFO erosion
As reported in recent financial filings, City Office REIT experienced a significant revenue decline of 12.0% in 2025Q3, reflecting a broader trend of top-line pressure that has persisted across multiple quarters as the company struggles to maintain occupancy levels within its secondary market office portfolio.
The consistent year-over-year revenue decline suggests that the company's leasing efforts are failing to offset lease expirations or potential tenant downsizing. Investors should monitor whether this downward trajectory in top-line performance is a result of aggressive rent concessions or a fundamental loss of pricing power in key Sunbelt markets.
Based on the company's reported figures, FFO per share plummeted to $0.17 in 2025Q3 from $0.37 in 2023Q3, indicating a sharp deterioration in core operating performance that raises questions regarding the long-term viability of current dividend distributions amidst ongoing earnings volatility.
The erratic nature of FFO growth, highlighted by a 44% decline in the most recent quarter, suggests that the REIT's underlying cash generation is highly sensitive to operational disruptions. This instability warrants further investigation into whether management can stabilize cash flows without resorting to dilutive capital raises or further asset liquidations.
According to quarterly data, NOI margins have compressed from 61.3% in 2023Q2 to 58.1% in 2025Q3, suggesting that rising operating expenses and maintenance requirements are increasingly consuming a larger portion of rental income before accounting for corporate overhead or interest obligations.
The erosion of property-level margins appears to reflect the difficulty of passing through rising utility and insurance costs to tenants in a soft leasing environment. This trend may indicate that the company is forced to absorb higher operating costs to retain existing tenants, thereby limiting the potential for margin expansion.
Financial statements reveal a persistent pattern of GAAP net losses, culminating in a $3.8 million deficit for 2025Q3, which underscores the significant impact of non-cash depreciation charges and interest expenses that continue to weigh heavily on the company's reported bottom-line profitability.
While REITs are often evaluated on FFO, the consistent GAAP losses suggest that the company's capital structure and asset base may be inefficiently positioned for the current interest rate environment. Investors should be cautious, as these losses may imply that the economic value of the properties is not keeping pace with the depreciation charges being recorded.
Quick answers to the most common questions about buying CIO stock.
For fiscal year 2024, City Office REIT, Inc. (CIO) reported total revenue of $171.1M. This represents a 1765.3% increase compared to $9.2M in 2011.
City Office REIT, Inc. (CIO) reported a net loss of $17.7M for the fiscal year ending 2024.
City Office REIT, Inc. (CIO) reported an operating income of $18.7M, resulting in an operating profit margin of 10.9%. This margin reflects the operational efficiency of the business before interest and taxes.
City Office REIT, Inc. (CIO) generated $101.7M in gross profit for the year, representing a gross profit margin of 59.4%. This demonstrates the company's core pricing power and production efficiency.