Federal Realty Investment Trust reported Q3 2025 revenue of USD 322.3 million, up ~6.1% year over year and ~3.4% quarter over quarter, with gross profit of USD 216.6 million and a gross margin of 67.2%. Operating income reached USD 110.7 million, yielding an operating margin of 34.3%, while net income was USD 61.6 million and basic EPS stood at USD 0.72. The company maintains a historically strong dividend culture (USD 0.72 per share in Q3, consistent with a long-standing payout tradition), but the quarterly metrics show a mixed margin trajectory: YoY gross profit and operating income advanced modestly, yet QoQ operating income and net income declined sharply (QoQ operating income down ~45%, net income down ~60%), driven by higher other expenses and seasonality factors. Free cash flow per share was USD 3.17, and operating cash flow per share was USD 1.72, underscoring robust cash generation relative to reported earnings. Leverage remains moderate with total debt to capitalization at 22.5% and a debt ratio of ~10.6%, supporting a conservative balance sheet stance. The current ratio and quick ratio both sit at 0.375, indicating tighter near-term liquidity, though the REIT’s asset quality and stable rent base help cushion near-term liquidity needs. The stock trades at elevated valuation metrics (P/B 2.71, P/E 35.32, P/FCF 31.98), reflecting investor confidence in high-quality coastal assets and long-term cash-flow durability, albeit with sensitivity to cap rates and interest rates during a tightening cycle.