Seven Hills Realty Trust (NASDAQ:SEVN) reported its second-quarter 2025 earnings, missing analyst expectations on both revenue and earnings per share (EPS). The company’s financial results, released on July 28, 2025, showed revenue of $7.39 million, falling short of the consensus estimate of $8.03 million. Similarly, EPS came in at $0.31, below the projected $0.35.
Key Takeaways from the Earnings Report
- Revenue Miss: Reported revenue of $7.39 million was 7.9% below the estimated $8.03 million.
- EPS Shortfall: Earnings per share of $0.31 lagged behind the $0.35 forecast.
- Market Reaction: The stock has declined 1.13% over the past month, with a 3.7% drop in the last two weeks, suggesting investor disappointment ahead of the earnings release.
Market Performance and Investor Sentiment
The muted after-hours reaction (0.0% change) indicates that the market had already priced in weaker-than-expected results, given the stock’s recent downward trend. The broader underperformance over the past month suggests that investors may have anticipated a miss, possibly due to macroeconomic pressures or sector-specific challenges affecting commercial real estate lending.
Looking Ahead: Full-Year and Q3 Estimates
Analysts expect SEVN to post revenue of $8.11 million and EPS of $0.35 in Q3 2025. For the full year, revenue is projected at $32.07 million, with earnings estimated at $1.39 per share. The company did not provide an explicit outlook in its press release, leaving investors to rely on these consensus figures.
Additional Highlights from the Press Release
- SEVN will host an earnings call on July 29, 2025, at 11:00 a.m. ET, where management may address the earnings miss and provide further clarity on future performance.
- The REIT specializes in first mortgage loans for transitional commercial real estate, with a portfolio of 21 floating-rate loans averaging 2.6 years to maturity.
- SEVN is managed by Tremont Realty Capital, an affiliate of The RMR Group, which oversees approximately $40 billion in assets.
For a deeper dive into SEVN’s earnings history and future estimates, visit the earnings and estimates page.
Disclaimer: This article is for informational purposes only and should not be construed as investment advice.
