Revenue volatility remains a primary concern, highlighted by an 8.90% decline in 2025Q3 and a 2026Q1 net loss of $18.7 million, despite a temporary recovery in NOI margins to 62.2%.
| Revenue | 505.51M | 498.6M | 547.31M | 604.2M | 605.82M | 634.36M | 602.72M | 646.38M | 644.18M | 543.01M | 478.52M | 470.61M | 472.92M |
| Revenue Growth % | -3.31% | -8.9% | -9.42% | -0.27% | -4.5% | 5.25% | -6.75% | 0.34% | 18.63% | 13.48% | 1.68% | -0.49% | - |
| Property Operating Expenses | 557.29M | 570.71M | 273.48M | 290.67M | 306.7M | 328.62M | 331.41M | 321.61M | 308.96M | 229.41M | 173.64M | 175.68M | 171.05M |
| Net Operating Income (NOI) | -51.77M | -72.11M | 273.83M | 313.53M | 299.12M | 305.74M | 271.31M | 324.76M | 335.22M | 313.61M | 304.88M | 294.93M | 301.87M |
| NOI Margin % | -10.24% | -14.46% | 50.03% | 51.89% | 49.37% | 48.2% | 45.01% | 50.24% | 52.04% | 57.75% | 63.71% | 62.67% | 63.83% |
| Operating Expenses | -128.81M | -65.67M | 266.97M | 265.58M | 277.44M | 306.45M | 271.31M | 88.98M | 281.19M | 238.04M | 185.61M | 192.33M | 163.25M |
| G&A Expenses | 29.93M | 0 | 58.79M | 55.39M | 63.67M | 70.14M | 78.31M | 88.98M | 69.76M | 76.38M | 52.27M | 47.35M | 51.21M |
| EBITDA | 129.44M | 183.63M | 214.44M | 263.58M | 239.52M | 239.75M | 213.52M | 426.57M | 671.78M | 545.3M | 479.11M | 249.58M | 251.82M |
| EBITDA Margin % | 25.6% | 36.83% | 39.18% | 43.62% | 39.54% | 37.79% | 35.43% | 65.99% | 104.28% | 100.42% | 100.12% | 53.03% | 53.25% |
| Depreciation & Amortization | 185.99M | 190.06M | 208.18M | 215.63M | 217.84M | 240.45M | 225.6M | 190.79M | 617.76M | 597.48M | 366.31M | 146.99M | 113.2M |
| D&A / Revenue % | 36.79% | 38.12% | 38.04% | 35.69% | 35.96% | 37.9% | 37.43% | 29.52% | 95.9% | 110.03% | 76.55% | 31.23% | 23.94% |
| Operating Income | -2.3M | -6.44M | 6.26M | 47.95M | 21.68M | -705K | 0 | 235.78M | 54.03M | -52.17M | 112.79M | 102.6M | 138.62M |
| Operating Margin % | -0.45% | -1.29% | 1.14% | 7.94% | 3.58% | -0.11% | 0% | 36.48% | 8.39% | -9.61% | 23.57% | 21.8% | 29.31% |
| Interest Expense | 2M | 151.66M | 116.58M | 91.06M | 75.93M | 67.96M | 62.95M | 52.7M | 74.45M | 58.14M | 50.05M | 50.82M | 55.98M |
| Interest Coverage | - | -0.13x | 0.05x | -0.01x | 2.35x | -0.33x | -0.19x | 0.84x | 1.57x | -0.56x | 2.26x | 1.98x | 2.46x |
| Non-Operating Income | -4.88M | 13.8M | 0 | 48.9M | -157.02M | 21.47M | 12.08M | 191.58M | -62.7M | -19.63M | -1.4M | 1.73M | 1.1M |
| Pretax Income | -141.03M | -171.89M | -176.99M | -92M | 100.25M | -86.18M | -71.53M | 72.84M | 45.88M | -89M | 63.06M | 46.71M | 81.54M |
| Pretax Margin % | -27.9% | -34.47% | -32.34% | -15.23% | 16.55% | -13.59% | -11.87% | 11.27% | 7.12% | -16.39% | 13.18% | 9.93% | 17.24% |
| Income Tax | -3.64M | -3.83M | 762K | -296K | 1.26M | 3.54M | -4.26M | -1.3M | -738K | -9.91M | 1.08M | 420K | 242K |
| Effective Tax Rate % | 2.58% | 2.23% | -0.43% | 0.32% | 1.26% | -4.11% | 5.96% | -1.79% | -1.61% | 11.14% | 1.72% | 0.9% | 0.3% |
| Net Income | -112.04M | -139.06M | -143.53M | -79.98M | 85.37M | -79.26M | -62.3M | 65.57M | 39.92M | -71.75M | 61.97M | 46.29M | 81.3M |
| Net Margin % | -22.16% | -27.89% | -26.22% | -13.24% | 14.09% | -12.49% | -10.34% | 10.14% | 6.2% | -13.21% | 12.95% | 9.84% | 17.19% |
| Net Income Growth % | 28.62% | 3.11% | -79.46% | -193.68% | 207.71% | -27.21% | -195.02% | 64.24% | 155.64% | -215.78% | 33.88% | -43.06% | - |
| Funds From Operations (FFO) | 73.95M | 51M | 64.65M | 135.65M | 303.21M | 161.2M | 163.29M | 256.36M | 657.68M | 525.73M | 428.29M | 193.28M | 194.5M |
| FFO Margin % | 14.63% | 10.23% | 11.81% | 22.45% | 50.05% | 25.41% | 27.09% | 39.66% | 102.1% | 96.82% | 89.5% | 41.07% | 41.13% |
| FFO Growth % | 665.79% | -21.12% | -52.34% | -55.26% | 88.1% | -1.28% | -36.3% | -61.02% | 25.1% | 22.75% | 121.6% | -0.63% | - |
| FFO per Share | 1.25 | 0.76 | 0.73 | 1.29 | 2.55 | 1.23 | 1.22 | 1.96 | 5.52 | 4.99 | 3.61 | 1.63 | 1.64 |
| FFO Payout Ratio % | 45.5% | 94.97% | 95.91% | 69.3% | 35.52% | 73.27% | 73.49% | 50.65% | 16.33% | 5.05% | 0.88% | 0% | 32.55% |
| EPS (Diluted) | -1.90 | -2.09 | -1.65 | -0.78 | 0.70 | -0.63 | -0.49 | 0.48 | 0.34 | -0.68 | 0.52 | 0.42 | 0.69 |
| EPS Growth % | -0.54% | -26.67% | -111.54% | -211.43% | 211.11% | -28.57% | -202.08% | 41.18% | 150% | -230.77% | 23.81% | -39.13% | - |
| EPS (Basic) | - | -2.09 | -1.65 | -0.78 | 0.70 | -0.63 | -0.49 | 0.48 | 0.34 | -0.68 | 0.52 | 0.42 | 0.69 |
| Diluted Shares Outstanding | 59.07M | 67.36M | 88.33M | 105.09M | 119M | 130.84M | 133.45M | 130.69M | 119.18M | 105.36M | 118.5M | 118.5M | 118.5M |
Concentrated DC Office Exposure
According to the provided quarterly data, JBGS experienced a revenue decline of 8.90% in 2025Q3, reflecting the structural headwinds facing its DC-centric office portfolio as the company attempts to pivot toward a more diversified, mixed-use model centered on the National Landing submarket development pipeline.
The revenue trajectory appears inconsistent, oscillating between growth and contraction as the company navigates the transition from traditional office leasing to a development-heavy model. This volatility suggests that the firm's reliance on project-based development fees may be creating lumpy revenue streams that fail to offset the underlying erosion in core office rental income.
As reported in financial statements, the company's NOI margin reached 62.2% in 2026Q1, yet this follows a period of extreme instability, including a negative 2.0% margin in 2025Q4, which highlights the significant operational risks inherent in maintaining a massive, amenitized office portfolio during a downturn.
The wide variance in NOI margins suggests that property-level expenses are not scaling efficiently with revenue, potentially due to the high fixed costs of maintaining Class A assets in a supply-constrained market. Investors should monitor whether the recent margin recovery is sustainable or merely a temporary result of accounting adjustments rather than improved operational efficiency.
Based on reported figures, FFO per share has fluctuated wildly, dropping to a low of -$0.10 in 2024Q4 before rebounding to $0.45 in 2026Q1, a trend that underscores the difficulty in generating consistent, high-quality earnings while managing a capital-intensive development pipeline in a high-interest-rate environment.
The erratic FFO trajectory suggests that the company's earnings quality is heavily influenced by non-recurring items or the timing of development milestones. The persistent negative AFFO figures across most periods indicate that the company is likely struggling to cover its capital expenditure requirements through internal cash flow alone.
Financial data indicates that JBGS consistently reports negative net income, with a loss of $18.7M in 2026Q1, a figure that remains fundamentally misleading for investors because it includes substantial non-cash depreciation charges that do not reflect the actual economic value of the company's real estate assets.
The gap between GAAP net income and FFO highlights the necessity of focusing on cash-based metrics to evaluate the company's performance. The recurring nature of these losses warrants further investigation into whether the depreciation charges are masking a deeper, structural inability to generate positive cash flow after accounting for necessary maintenance CAPEX.
Analysis of the provided income statement suggests that the company's reliance on capitalized interest may be artificially inflating earnings, as evidenced by the discrepancy between reported FFO and the consistently negative AFFO figures observed throughout the 2024-2026 period, which warrants significant caution regarding true cash generation.
The persistent negative AFFO suggests that the company's development activities are consuming cash at a rate that exceeds the income generated by the stabilized portfolio. This implies that the company may be overly dependent on external financing or asset sales to sustain its operations, rather than relying on organic rental growth.
Quick answers to the most common questions about buying JBGS stock.
For fiscal year 2025, JBG SMITH Properties (JBGS) reported total revenue of $498.6M. This represents a 5.4% increase compared to $472.9M in 2014.
JBG SMITH Properties (JBGS) reported a net loss of $139.1M for the fiscal year ending 2025.
JBG SMITH Properties (JBGS) reported an operating income of $-6.4M, resulting in an operating profit margin of -1.3%. This margin reflects the operational efficiency of the business before interest and taxes.
JBG SMITH Properties (JBGS) generated $-72.1M in gross profit for the year, representing a gross profit margin of -14.5%. This demonstrates the company's core pricing power and production efficiency.