Revenue growth of 3.2% year-over-year in 2026Q2 is entirely overshadowed by a catastrophic collapse in NOI margin to 1.1%, down from 53.0% a year prior, signaling that property-level costs or non-recurring charges are overwhelming top-line gains.
Empire State Realty Trust, Inc. (ESRT) annual income statement — 17-year revenue, gross profit & net income history
| 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 | Dec'10 | Dec'09 |
|---|
| Revenue | 784.18M | 768.27M | 763.15M | 739.57M | 707.01M | 607.86M | 609.23M | 731.34M | 731.51M | 712.47M | 678M | 657.63M | 635.33M | 311.85M | 260.29M | 294.79M | 246.54M | 232.31M |
| Revenue Growth % | 2.1% | 0.67% | 3.19% | 4.61% | 16.31% | -0.22% | -16.7% | -0.02% | 2.67% | 5.08% | 3.1% | 3.51% | 103.73% | 19.81% | -11.7% | 19.57% | 6.13% | - |
| Property Operating Expenses | 964.1M | 754.54M | 354.16M | 339.02M | 321.35M | 279.49M | 291.11M | 333.99M | 319.47M | 305.6M | 289.07M | 296.52M | 306.15M | 145.44M | 105.7M | 86.26M | 87.94M | 87.79M |
| Net Operating Income (NOI) | -179.92M | 13.73M | 408.99M | 400.56M | 385.65M | 328.38M | 318.12M | 397.36M | 412.04M | 406.87M | 388.93M | 361.11M | 329.17M | 166.41M | 154.59M | 208.53M | 158.6M | 144.53M |
| NOI Margin % | -22.94% | 1.79% | 53.59% | 54.16% | 54.55% | 54.02% | 52.22% | 54.33% | 56.33% | 57.11% | 57.36% | 54.91% | 51.81% | 53.36% | 59.39% | 70.74% | 64.33% | 62.21% |
| Operating Expenses | -311.06M | -121.92M | 250.28M | 253.85M | 258.63M | 249.25M | 259.45M | 242.65M | 221.18M | 211.03M | 204.29M | 209.55M | 184.47M | 107.97M | 65.9M | 97.43M | 75.55M | 62.75M |
| G&A Expenses | 80.43M | 72.84M | 70.23M | 63.94M | 61.77M | 55.95M | 62.24M | 61.06M | 52.67M | 50.31M | 49.08M | 38.07M | 39.04M | 42.57M | 23.21M | 18.53M | 14.73M | 33.43M |
| EBITDA | 329.27M | 330.41M | 343.53M | 336.62M | 343.92M | 280.94M | 249.67M | 347.19M | 359.37M | 356.56M | 339.75M | 322.84M | 286.75M | 2.78M | 131.38M | 147.01M | 119.08M | 112.64M |
| EBITDA Margin % | 41.99% | 43.01% | 45.01% | 45.52% | 48.64% | 46.22% | 40.98% | 47.47% | 49.13% | 50.05% | 50.11% | 49.09% | 45.13% | 0.89% | 50.47% | 49.87% | 48.3% | 48.48% |
| Depreciation & Amortization | 197.67M | 194.76M | 184.82M | 189.91M | 216.89M | 201.81M | 191.01M | 192.49M | 168.51M | 160.71M | 155.21M | 171.47M | 145.43M | 66.34M | 42.69M | 38.76M | 36.02M | 30.86M |
| D&A / Revenue % | 25.21% | 25.35% | 24.22% | 25.68% | 30.68% | 33.2% | 31.35% | 26.32% | 23.04% | 22.56% | 22.89% | 26.07% | 22.89% | 21.27% | 16.4% | 13.15% | 14.61% | 13.28% |
| Operating Income | 131.6M | 135.65M | 158.71M | 146.71M | 127.03M | 79.13M | 58.66M | 154.71M | 190.86M | 195.84M | 184.54M | 151.37M | 141.32M | -63.56M | 88.69M | 108.25M | 83.06M | 81.78M |
| Operating Margin % | 16.78% | 17.66% | 20.8% | 19.84% | 17.97% | 13.02% | 9.63% | 21.15% | 26.09% | 27.49% | 27.22% | 23.02% | 22.24% | -20.38% | 34.07% | 36.72% | 33.69% | 35.2% |
| Interest Expense | 4M | 103.78M | 109.71M | 101.48M | 101.21M | 94.39M | 89.91M | 79.25M | 79.62M | 68.47M | 71.15M | 65.74M | 66.46M | 63.81M | 54.39M | 54.75M | 52.26M | 50.74M |
| Interest Coverage | - | 1.73x | 1.76x | 1.86x | 1.64x | 0.84x | 0.67x | 2.09x | 2.53x | 2.82x | 2.58x | 2.30x | 2.13x | 3.43x | 1.63x | 2.05x | 1.57x | 1.61x |
| Non-Operating Income | 14.46M | -43.67M | -34.05M | -41.9M | -38.94M | -490K | -1.39M | 0 | 12.1M | 2.94M | 0 | 0 | 0 | -282.44M | 0 | -3.89M | 0 | 0 |
| Pretax Income | 10.13M | 75.54M | 83.05M | 87.12M | 64.76M | -14.77M | -29.86M | 86.72M | 121.89M | 124.93M | 113.4M | 83.88M | 74.86M | 155.07M | 48.64M | 57.4M | 45.31M | 31.04M |
| Pretax Margin % | 1.29% | 9.83% | 10.88% | 11.78% | 9.16% | -2.43% | -4.9% | 11.86% | 16.66% | 17.53% | 16.73% | 12.75% | 11.78% | 49.73% | 18.69% | 19.47% | 18.38% | 13.36% |
| Income Tax | 870K | 2.56M | 2.69M | 2.71M | 1.55M | -1.73M | -6.97M | 2.43M | 4.64M | 6.67M | 6.15M | 3.95M | 4.66M | -1.13M | 0 | 0 | -15.32M | -10.8M |
| Effective Tax Rate % | 8.59% | 3.39% | 3.24% | 3.12% | 2.39% | 11.74% | 23.35% | 2.8% | 3.81% | 5.34% | 5.42% | 4.71% | 6.22% | -0.73% | 0% | 0% | -33.82% | -34.8% |
| Net Income | 7.27M | 47.6M | 51.64M | 53.24M | 40.64M | -6.51M | -12.52M | 51.19M | 66.54M | 63.58M | 52.39M | 34.67M | 27.14M | 38.01M | 48.64M | 57.4M | 46.12M | 41.84M |
| Net Margin % | 0.93% | 6.2% | 6.77% | 7.2% | 5.75% | -1.07% | -2.05% | 7% | 9.1% | 8.92% | 7.73% | 5.27% | 4.27% | 12.19% | 18.69% | 19.47% | 18.71% | 18.01% |
| Net Income Growth % | -83.71% | -7.83% | -3.01% | 31.01% | 724.32% | 47.98% | -124.45% | -23.07% | 4.65% | 21.36% | 51.13% | 27.72% | -28.6% | -21.85% | -15.25% | 24.46% | 10.23% | - |
| Funds From Operations (FFO) | 204.94M | 242.36M | 236.46M | 243.16M | 257.54M | 195.3M | 178.49M | 243.68M | 235.05M | 224.29M | 207.6M | 206.14M | 172.57M | 104.35M | 91.33M | 96.16M | 82.14M | 72.7M |
| FFO Margin % | 26.14% | 31.55% | 30.98% | 32.88% | 36.43% | 32.13% | 29.3% | 33.32% | 32.13% | 31.48% | 30.62% | 31.35% | 27.16% | 33.46% | 35.09% | 32.62% | 33.32% | 31.29% |
| FFO Growth % | -50.22% | 2.5% | -2.75% | -5.58% | 31.87% | 9.41% | -26.75% | 3.67% | 4.79% | 8.04% | 0.71% | 19.45% | 65.38% | 14.25% | -5.02% | 17.06% | 12.99% | - |
| FFO per Share | 0.76 | 0.90 | 0.88 | 0.92 | 0.95 | 0.71 | 0.63 | 0.82 | 0.79 | 0.75 | 0.75 | 0.77 | 0.68 | 1.09 | 1.00 | 1.05 | 0.90 | 0.79 |
| FFO Payout Ratio % | 11.71% | 9.79% | 9.82% | 9.33% | 8.97% | 9.27% | 20.83% | 30.86% | 30.14% | 29.78% | 26.88% | 19.01% | 19.47% | 155.93% | 68.87% | 48.56% | 49.52% | 67.16% |
| EPS (Diluted) | 0.03 | 0.18 | 0.28 | 0.30 | 0.22 | -0.05 | -0.10 | 0.28 | 0.39 | 0.21 | 0.38 | 0.29 | 0.27 | 0.79 | 0.53 | 0.66 | 0.49 | 0.46 |
| EPS Growth % | -112.13% | -35.71% | -6.67% | 36.36% | 564.13% | 52.6% | -135.71% | -28.21% | 85.71% | -44.74% | 31.03% | 7.41% | -65.82% | 49.06% | -19.7% | 34.69% | 6.52% | - |
| EPS (Basic) | - | 0.26 | 0.29 | 0.30 | 0.22 | -0.08 | -0.13 | 0.28 | 0.39 | 0.40 | 0.38 | 0.30 | 0.27 | 0.79 | 0.53 | 0.66 | 0.49 | 0.46 |
| Diluted Shares Outstanding | 268.95M | 270.04M | 269.02M | 265.63M | 269.95M | 274.98M | 283.84M | 297.8M | 297.26M | 298.05M | 277.57M | 266.62M | 254.51M | 95.61M | 91.66M | 91.66M | 91.66M | 91.66M |
Quick answers to the most common questions about buying ESRT stock.
For fiscal year 2025, Empire State Realty Trust, Inc. (ESRT) reported total revenue of $768.3M. This represents a 230.7% increase compared to $232.3M in 2009.
Empire State Realty Trust, Inc. (ESRT) is profitable, generating $47.6M in net income for the fiscal year ending 2025 with a net profit margin of 6.2%.
Empire State Realty Trust, Inc. (ESRT) reported an operating income of $135.6M, resulting in an operating profit margin of 17.7%. This margin reflects the operational efficiency of the business before interest and taxes.
Empire State Realty Trust, Inc. (ESRT) generated $13.7M in gross profit for the year, representing a gross profit margin of 1.8%. This demonstrates the company's core pricing power and production efficiency.
Key Metrics
Top Statement Risk
Office market structural headwinds
Metrics are mathematically derived from official filings.
Revenue Growth Masks Severe NOI Volatility
While ESRT's revenue grew 3.2% year-over-year in 2026Q2, its NOI margin collapsed to just 1.1%, a stark deterioration from the 50-55% range maintained throughout 2024, suggesting significant property-level cost pressures or non-recurring charges are overwhelming top-line gains.
The revenue trajectory appears stable with modest growth, but the underlying profitability is highly erratic. The swing from a $164.5M NOI in 2025Q3 to a $2.1M figure in 2026Q2 indicates that reported NOI is being driven by large, non-cash items or portfolio adjustments rather than consistent operational performance. This volatility makes it difficult to assess the true organic earnings power of the portfolio.
NOI Margin Collapse Signals Operational Stress
ESRT's NOI margin plummeted to 1.1% in 2026Q2, a dramatic fall from the 53.0% reported in 2025Q2, indicating that property-level operating expenses or non-recurring charges have escalated to consume nearly all rental revenue, severely straining core profitability.
The historical NOI margins in the low-to-mid 50% range are more representative of a typical office REIT's property-level economics. The recent collapse suggests either a significant increase in operating expenses (e.g., property taxes, insurance, utilities) that is not being passed through to tenants, or the recognition of substantial non-cash charges within the NOI line. This margin erosion warrants close monitoring as it directly impacts the cash flow available for debt service and distributions.
FFO Per Share Erodes Amidst Cash Flow Divergence
FFO per share declined 54.7% year-over-year to $0.10 in 2026Q2, while AFFO turned sharply negative at -$23.6M, a stark divergence that suggests significant non-cash adjustments or capital expenditures are severely impacting the quality and sustainability of reported earnings.
The FFO per share trajectory is deteriorating, falling from a peak of $0.26 in 2025Q4. More concerning is the persistent and widening gap between FFO and AFFO, which turned deeply negative in 2026Q2. This indicates that the cash flow available for distribution after accounting for recurring capital expenditures is under severe pressure, raising questions about the long-term sustainability of the dividend at the current 0.4% yield.
Organic Growth Overwhelmed by Cost Pressures
Despite modest revenue growth of 3.2% in 2026Q2, the collapse in NOI margin to 1.1% suggests that any positive same-store rental growth is being entirely offset by escalating property-level operating costs, resulting in negligible organic profitability improvement.
The revenue growth figures imply some positive leasing activity or rent escalations are occurring. However, the inability to translate this into stable NOI margins indicates that the cost structure is not scalable. This could point to above-market increases in non-recoverable expenses or inefficiencies in the property management structure that are eroding the benefits of top-line growth.
2025Q4 Marked a Severe Profitability Inflection
The fourth quarter of 2025 represented a critical negative inflection point, with ESRT reporting a massive negative NOI of -$343.9M, which appears to be a non-recurring event that fundamentally reset the company's profitability profile into 2026.
The -$343.9M NOI in 2025Q4 is a clear outlier and likely represents a significant non-cash charge, such as an impairment or write-down. This event appears to have marked a transition from a period of stable, mid-50% NOI margins to the current environment of near-zero margins. The subsequent quarters in 2026 have not shown a recovery to prior profitability levels, suggesting the inflection may have lasting operational or balance sheet implications.
Earnings Quality Challenged by NOI-FFO Disconnect
The extreme volatility in reported NOI, swinging from $164.5M to $2.1M in two quarters, while FFO remains positive but declining, suggests that key earnings metrics are being distorted by non-cash items, challenging the reliability of any single period's profitability assessment.
The most significant challenge to ESRT's earnings quality is the lack of correlation between its NOI and FFO trends. In a typical REIT, these metrics should move in tandem. The divergence here implies that material non-cash adjustments are flowing through the income statement in unpredictable ways. Investors should scrutinize the footnotes for details on straight-line rent adjustments, tenant improvement amortization, and any one-time items that may be obscuring the true cash-generating ability of the portfolio.