Wheeler Real Estate Investment Trust Reports Q2 2025 Financial Results with Revenue Decline and Improved Net Loss

Wheeler Real Estate Investment Trust, Inc. reported its financial results for the second quarter of 2025, revealing total revenues of $26.1 million, a slight decrease of 0.8% from $26.3 million in the same period last year. For the first half of 2025, revenues totaled $50.5 million, down 3.3% from $52.2 million in the prior year. The decline in revenue was primarily attributed to a decrease in rental revenues and tenant reimbursements from properties sold in 2024 and 2025, although this was partially offset by increased revenues from same-center properties.

The company’s operating income for the second quarter increased to $15.0 million, compared to $11.5 million in the prior year, driven by a gain on the disposal of properties, which amounted to $5.2 million, significantly higher than the $2.9 million recorded in the same quarter of 2024. Despite these gains, Wheeler reported a net loss of $1.0 million for the quarter, an improvement from a net loss of $2.4 million in the previous year. For the six months ended June 30, 2025, the company recorded a net income of $1.4 million, a notable recovery from a net loss of $8.4 million in the same period of 2024.

In terms of operational developments, Wheeler continues to manage a portfolio of 69 properties, including 66 retail shopping centers across various states. The company has been actively engaged in strategic asset management, including the sale of several properties, which contributed to a total gain of $10.9 million from property disposals in the first half of 2025. The company also processed redemptions of 257,111 shares of Series D Preferred Stock, issuing 226,571 shares of common stock in settlement, reflecting its ongoing strategy to manage its capital structure.

Wheeler's total assets decreased to $625.9 million as of June 30, 2025, down from $653.7 million at the end of 2024, primarily due to the sale of properties and a reduction in cash and cash equivalents. The company reported total liabilities of $534.3 million, slightly down from $537.0 million at the end of the previous year. The company’s equity also improved, with total shareholders’ deficit narrowing to $18.5 million from $25.4 million at the end of 2024.

Looking ahead, Wheeler Real Estate Investment Trust remains focused on optimizing its capital allocation and enhancing financial stability through strategic asset management and potential acquisitions. The company plans to continue its efforts in managing its debt prudently while exploring opportunities for growth and expansion in its retail property portfolio.