Key Highlights

  • Net income was USD 27.4 million, or USD 5.33 per diluted share, compared with USD 5.97 million, or USD 1.16.
  • Funds from operations reached USD 36.3 million, or USD 7.07 per diluted share, versus USD 14.9 million, or USD 2.91.
  • Rental revenues rose USD 18.6 million to USD 72.1 million, led by higher Lease revenues of USD 69.3 million.
  • Interest and Debt expense fell USD 3.1 million to USD 10.9 million compared with the third quarter of 2025.

Earnings and FFO Climb

Alexander's, Inc. (NYSE:ALX) reported third-quarter 2026 Net Income of USD 27,404,000, or USD 5.33 per diluted share, compared with USD 5,968,000, or USD 1.16, in the same period last year. Funds from operations, a non-GAAP measure, were USD 36,349,000, or USD 7.07 per diluted share, versus USD 14,920,000, or USD 2.91.

The real estate Investment trust owns four properties in New York City and is managed, and its properties are leased and developed, by Vornado Realty Trust.

Revenue and Expense Drivers

Rental revenues were USD 72,056,000 compared with USD 53,424,000, an increase of USD 18,632,000. Lease revenues were USD 69.3 million versus USD 50.9 million, with fixed lease revenues of USD 52.1 million versus USD 33.9 million. Parking Revenue was USD 1.0 million versus USD 1.2 million and tenant services revenue was USD 1.7 million versus USD 1.3 million.

Operating expenses were USD 25.9 million versus USD 26.7 million, a decrease of USD 808,000. Depreciation and amortization was essentially flat at USD 8.98 million, and general and administrative expenses rose USD 639,000 to USD 1.99 million. Interest and other income fell to USD 3.1 million from USD 3.7 million, while interest and debt expense declined USD 3,145,000 to USD 10.9 million.

Nine-Month Results and the Rego Park I Sale

For nine months, net income was USD 187.4 million, or USD 36.48 per share, against USD 24.4 million, or USD 4.75. On May 28, 2026, the company completed the sale of its Rego Park I property in Queens for USD 235.5 million, with net proceeds of USD 202.75 million, recording a financial statement gain of USD 148.0 million that is excluded from FFO.

Nine-month FFO was USD 65.3 million, or USD 12.70 per diluted share, compared with USD 50.5 million, or USD 9.84. Nine-month rental revenues were USD 180.2 million versus USD 159.9 million, and nine-month interest and debt expense fell USD 5.2 million to USD 32.5 million. At September 30, 2026, Liquidity in cash, cash equivalents and restricted cash was USD 349.1 million versus USD 192.2 million at the end of 2025, and nine-month financing activities used USD 69.4 million, all for dividends.

The company stated that its results depend on economic trends, tenant financial condition, the availability and cost of capital, construction costs, taxes, regulation and its ability to lease or sell properties at profitable levels, and noted that Interest Rate changes, Inflation and the potential for an economic downturn have affected and may continue to affect the business.

Leasing and Financing Indicators

Net income for the three months also benefited from lower interest costs, with interest and other income of USD 3.1 million partly offsetting. Items to watch include the pace of lease revenue growth, interest expense after the Rego Park I proceeds and refinancing needs as debt comes due.