Prologis third quarter 2026 Core FFO beat estimates while full-year cash NOI guidance was raised

Prologis reported third quarter results that surpassed top and bottom-line expectations, driven by sustained rent spreads and the continued build-out of its AI-focused data center infrastructure. While quarterly same-store cash NOI growth was lower than estimated at 5.9%, management raised the full-year outlook for this metric and development starts, indicating confidence in stabilizing industrial occupancy and network utilization.

Key Highlights

• Core FFO per share of $1.60 exceeded the $1.58 consensus estimate on total revenues of $2.39 billion.
• Net effective rent change (Prologis share) reached 38.0%, demonstrating continued pricing power as excess network capacity among customers clears.
• The data center power pipeline reached 5.8 GW, including 1.7 GW of secured power with 680 MW currently under development.
• Management raised the midpoint for 2026 Same Store NOI (cash) guidance to 7.25% from 7.00% and increased the midpoint for development starts to $5.38 billion.