Innovative Industrial Properties profits exceed expectations

LootboxPhobia · 2026-02-24T00:31:51+00:00

Innovative Industrial Properties Inc. announced a Q4 earnings of $1.06 per share, exceeding expectations. Revenue was $67.7 million, down 13% year-over-year. The company made progress in resolving tenant issues and new leasing, with total revenue reaching $266 million in 2025. The stock price increased by 3.2%.

LootboxPhobia

2026-02-24 00:31:51

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Investing.com – Innovative Industrial Properties Inc. (NYSE:IIPR) announced that its adjusted earnings per share for the fourth quarter were $1.06, exceeding analysts’ expectations of $0.99. The company made progress in resolving tenant issues and new leasing activities.

Total revenue for the quarter was $67.7 million, a 13% decrease from $76.7 million in the same period last year. The revenue decline was mainly due to rent reductions of $8.5 million caused by tenant defaults from PharmaCann, TILT, and 4Front. For the full year 2025, total revenue reached $266 million, with net income attributable to common shareholders of $114.4 million, or $3.93 per share. Full-year adjusted operating funds were $205.4 million, or $7.24 per share. In after-hours trading on Monday, the stock rose 3.2%.

IIP Executive Chairman Alan Gold stated, “During 2025, we made significant progress in executing our portfolio diversification strategy, strengthening our balance sheet, and actively resolving tenant-related matters.”

The company signed 337,000 square feet of leases in the fourth quarter and so far in the first quarter of 2026, including a lease in January 2026 for a 204,000-square-foot building in Desert Hot Springs, California, with Gramlin. IIP received $4 million from defaulted tenants Gold Flora and PharmaCann in the fourth quarter, equivalent to $0.14 per share.

Since October 2025, the company has raised $146 million through debt and preferred equity financing, with net proceeds from preferred stock issuance since the beginning of the fourth quarter totaling $45.4 million. IIP completed a new three-year, $100 million secured revolving credit facility in October, with an interest rate of 6.1% as of December 31, 2025.

As of the end of the year, the company’s debt-to-total assets ratio was 14%, with total liquidity of $107.6 million. IIP announced a total dividend of $7.60 per share for 2025.

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