$BDN

BRANDYWINE REALTY TRUST

CIK:0000790816|SEC Filings

CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2026	Jun. 30, 2025	Jun. 30, 2026	Jun. 30, 2025
Revenue
Total revenue	$ 128,920	$ 120,571	$ 255,924	$ 242,087
Operating expenses
Property operating expenses	38,568	31,365	77,094	64,891
Real estate taxes	11,681	11,507	23,006	22,939
Third party management expenses	2,265	2,484	4,433	5,117
Depreciation and amortization	47,749	43,762	96,980	88,115
General and administrative expenses	9,263	9,325	21,598	26,795
Provision for impairment	0	63,369	11,909	63,369
Total operating expenses	109,526	161,812	235,020	271,226
Gain (loss) on sale of real estate
Net gain (loss) on disposition of real estate	63	(86)	63	2,973
Total gain (loss) on sale of real estate	63	(86)	63	2,973
Operating income (loss)	19,457	(41,327)	20,967	(26,166)
Other income (expense):
Interest and investment income	1,068	850	1,734	2,036
Interest expense	(41,931)	(32,345)	(82,820)	(64,190)
Interest expense - amortization of deferred financing costs	(1,345)	(1,197)	(2,732)	(2,427)
Equity in loss of unconsolidated real estate ventures	(8,738)	(14,832)	(17,440)	(25,343)
Net gain on real estate venture transactions	0	0	0	183
Loss on early extinguishment of debt	(24)	0	(24)	0
Net loss before income taxes	(31,513)	(88,851)	(80,315)	(115,907)
Income tax provision	(22)	(85)	(24)	(85)
Net loss	(31,535)	(88,936)	(80,339)	(115,992)
Net loss attributable to noncontrolling interests	125	267	338	348
Net loss attributable to Brandywine Realty Trust	(31,410)	(88,669)	(80,001)	(115,644)
Nonforfeitable dividends allocated to unvested restricted shareholders	(248)	(322)	(566)	(751)
Net loss attributable to Common Shareholders of Brandywine Realty Trust	$ (31,658)	$ (88,991)	$ (80,567)	$ (116,395)
Basic loss per Common Share (in dollars per share)	$ (0.18)	$ (0.51)	$ (0.46)	$ (0.67)
Diluted loss per Common Share (in dollars per share)	$ (0.18)	$ (0.51)	$ (0.46)	$ (0.67)
Basic weighted average shares outstanding (in shares)	174,384,600	173,532,583	174,072,403	173,225,737
Diluted weighted average shares outstanding (in shares)	174,384,600	173,532,583	174,072,403	173,225,737
Rents
Revenue
Total revenue	$ 122,698	$ 114,196	$ 243,355	$ 228,624
Third party management fees, labor reimbursement and leasing
Revenue
Total revenue	4,063	4,873	8,788	10,702
Other
Revenue
Total revenue	$ 2,159	$ 1,502	$ 3,781	$ 2,761

CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2026	Jun. 30, 2025
Cash flows from operating activities:
Net loss	$ (80,339)	$ (115,992)
Adjustments to reconcile net income to net cash from operating activities:
Depreciation and amortization	96,980	88,115
Amortization of deferred financing costs	2,732	2,427
Amortization of debt discount/(premium), net	(935)	240
Amortization of stock compensation costs	5,959	13,912
Straight-line rent income	(2,736)	(1,465)
Amortization of acquired above (below) market leases, net	(329)	(404)
Ground rent expense	625	387
Total gain on sale of real estate	(63)	0
Provision for impairment	11,909	63,369
Loss from unconsolidated real estate ventures, including income distributions	17,440	25,344
Income tax provision	24	85
Changes in assets and liabilities:
Accounts receivable	2,432	(3,289)
Other assets	(4,725)	(1,059)
Accounts payable and accrued expenses	(3,811)	(10,580)
Deferred income, gains and rent	(617)	(18,182)
Other liabilities	1,275	(2,204)
Net cash provided by operating activities	45,821	40,704
Cash flows from investing activities:
Acquisition of real estate investments	(1,663)	0
Proceeds from the sale of properties	15,525	17,260
Capital expenditures for tenant improvements	(33,162)	(39,524)
Capital expenditures for redevelopments	(1,872)	(4,766)
Capital expenditures for developments	(26,632)	(17,656)
Advances for the purchase of tenant assets, net of repayments	(194)	(247)
Investment in unconsolidated real estate ventures	(45,997)	(7,248)
Capital distributions from unconsolidated real estate ventures	6,031	2,422
Leasing costs paid	(9,886)	(6,726)
Net cash used in investing activities	(97,850)	(56,485)
Cash flows from financing activities:
Proceeds from credit facility borrowings	295,000	110,000
Repayments of credit facility borrowings	(146,000)	(110,000)
Proceeds from unsecured notes	0	159,000
Repayments of unsecured term loan	0	(70,000)
Proceeds from construction loan	0	10,636
Repayments of construction loan	(179,847)	0
Proceeds from secured term loan	90,000	0
Debt financing costs paid	(625)	(2,141)
Shares used for employee taxes upon vesting of share awards	470	(1,404)
Repurchase and retirement of common shares	(2,163)	0
Distributions paid to shareholders	(28,284)	(52,574)
Distributions to noncontrolling interest	(124)	(154)
Net cash provided by financing activities	28,427	43,363
Increase/(Decrease) in cash and cash equivalents and restricted cash	(23,602)	27,582
Cash and cash equivalents and restricted cash at beginning of period	62,302	96,177
Cash and cash equivalents and restricted cash at end of period	38,700	123,759
Reconciliation of cash and cash equivalents and restricted cash:
Cash and cash equivalents, beginning of period	32,284	90,229
Restricted cash, beginning of period	30,018	5,948
Cash and cash equivalents and restricted cash at beginning of period	62,302	96,177
Cash and cash equivalents, end of period	37,870	122,645
Restricted cash, end of period	830	1,114
Cash and cash equivalents and restricted cash at end of period	38,700	123,759
Supplemental disclosure:
Cash paid for interest, net of capitalized interest during the six months ended June 30, 2026 and 2025 of $1,625 and $6,342, respectively	81,874	58,031
Cash paid for income taxes	24	1
Supplemental disclosure of non-cash activity:
Dividends and distributions declared but not paid	14,203	26,457
Change in capital expenditures financed through accounts payable at period end	(5,230)	(10,714)
Change in capital expenditures financed through retention payable at period end	$ 1,176	$ 426

CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands	Jun. 30, 2026	Dec. 31, 2025
Real estate investments:
Operating properties	$ 3,527,129	$ 3,753,780
Accumulated depreciation	(1,241,465)	(1,259,090)
Prepaid ground leases, net	34,156	51,399
Right of use asset - operating leases, net	12,266	17,806
Operating real estate investments, net	2,332,086	2,563,895
Construction-in-progress	85,569	118,543
Land held for development	75,134	70,405
Prepaid leasehold interests in land held for development, net	27,762	27,762
Total real estate investments, net	2,520,551	2,780,605
Cash and cash equivalents	37,870	32,284
Restricted cash and escrows	830	30,018
Accounts receivable	19,916	22,154
Assets held for sale, net	232,921	0
Accrued rent receivable, net of allowance of $369 and $424 as of June 30, 2026 and December 31, 2025, respectively	169,267	182,651
Investment in unconsolidated real estate ventures	336,851	314,326
Deferred costs, net	69,222	79,549
Intangible assets, net	13,832	22,426
Other assets	134,707	122,227
Total assets	3,535,967	3,586,240
LIABILITIES AND BENEFICIARIES' EQUITY
Secured term loans, net	144,260	234,079
Unsecured credit facility	149,000	0
Accounts payable and accrued expenses	136,663	143,826
Distributions payable	14,203	14,108
Deferred income, gains and rent	21,845	22,569
Intangible liabilities, net	12,355	12,713
Liabilities related to assets held for sale, net	6,775	0
Lease liability - operating leases	17,031	23,720
Other liabilities	14,189	14,588
Total liabilities	2,840,067	2,788,386
Commitments and contingencies (See Note 14)
Brandywine Realty Trust's Equity:
Common Shares of Brandywine Realty Trust's beneficial interest, $0.01 par value; shares authorized 400,000,000; 174,611,856 and 173,699,039 issued and outstanding as of June 30, 2026 and December 31, 2025, respectively	1,740	1,733
Additional paid-in-capital	3,204,718	3,199,838
Deferred compensation payable in common shares	25,467	23,069
Common shares in grantor trust, 2,376,607 and 1,583,000 issued and outstanding as of June 30, 2026 and December 31, 2025, respectively	(25,467)	(23,069)
Cumulative earnings	525,251	605,252
Accumulated other comprehensive income (loss)	573	(1,437)
Cumulative distributions	(3,041,100)	(3,012,654)
Total Brandywine Realty Trust's equity	691,182	792,732
Noncontrolling interests	4,718	5,122
Total beneficiaries' equity	695,900	797,854
Total liabilities and beneficiaries' equity	3,535,967	3,586,240
Unsecured term loans, net
LIABILITIES AND BENEFICIARIES' EQUITY
Unsecured loans, net	249,593	249,389
Unsecured senior notes, net
LIABILITIES AND BENEFICIARIES' EQUITY
Unsecured loans, net	$ 2,074,153	$ 2,073,394