8-K
NNN REIT, INC. (NNN)
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the
Securities Exchange Act of 1934
Date of Report (Date of earliest event reported): February 11, 2026
NNN REIT, INC.
(exact name of registrant as specified in its charter)
| Maryland | 001-11290 | 56-1431377 |
|---|---|---|
| (State or other jurisdiction of<br><br>incorporation or organization) | (Commission<br><br>File Number) | (I.R.S. Employer<br><br>Identification No.) |
450 South Orange Avenue, Suite 900, Orlando, Florida 32801
(Address of principal executive offices, including zip code)
(407) 265-7348
(Registrant’s telephone number, including area code)
Not applicable
(Former name or former address, if changed since last report)
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
| ☐ | Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) |
|---|---|
| ☐ | Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) |
| --- | --- |
| ☐ | Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) |
| --- | --- |
| ☐ | Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) |
| --- | --- |
Securities registered pursuant to Section 12(b) of the Act:
| Title of each class | Trading Symbol(s) | Name of exchange on which registered |
|---|---|---|
| Common Stock, $0.01 par value | NNN | New York Stock Exchange |
Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).
Emerging growth company ☐
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition
period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐
Item 2.02. Results of Operations and Financial Condition.
On February 11, 2026, NNN REIT, Inc. (the "Company"), issued a press release announcing its results of operations and financial condition for the quarter and year ended December 31, 2025. The press release is attached hereto as Exhibit 99.1 to this report and the supplemental data is attached hereto as Exhibit 99.2 to this report. The press release and the supplemental data are available on the Company's website.
The information in this Form 8-K is being furnished and shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934 (the “Exchange Act”), as amended, or otherwise subject to the liabilities of such section, nor shall such information be deemed to be incorporated by reference in any filing under the Securities Act of 1933 or the Exchange Act, except as shall be expressly set forth by specific reference in such a filing.
| Item 9.01. | Financial Statements and Exhibits. |
|---|---|
| (d) Exhibits. | |
| 99.1 | Press Release, dated February 11, 2026, of NNN REIT, Inc. |
| 99.2 | Annual Supplemental Data, dated February 11, 2026, of NNN REIT, Inc. |
| 104.1 | Cover Page Interactive Data File (the Cover Page Interactive Data File is embedded within the Inline XBRL document) |
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
| NNN REIT, Inc. | ||
|---|---|---|
| Dated: February 11, 2026 | By: | /s/ Vincent H. Chao |
| Vincent H. Chao | ||
| Executive Vice President and Chief Financial Officer |
EX-99.1
Exhibit 99.1
| NEWS RELEASE | |
|---|---|
| For information contact: | |
| Vincent H. Chao | |
| Chief Financial Officer | |
| (407) 265-7348 | FOR IMMEDIATE RELEASE |
| February 11, 2026 |
NNN REIT, Inc. Announces 2025 Annual Results and Initial 2026 Guidance
Orlando, Florida, February 11, 2026 – NNN REIT, Inc. (NYSE: NNN) (the "Company" or "NNN"), a real estate investment trust, today announced financial and operating results for the quarter and year ended December 31, 2025. Highlights include:
2025 Highlights:
- Reported net earnings of $2.07 per diluted share
- Grew Core FFO and AFFO per diluted share by 2.7% over prior-year results to $3.41 and $3.44, respectively
- Increased ABR by 7.8% over prior-year results to $928.1 million
- Closed on $931.0 million of investments at an initial cash cap rate of 7.4%, with a weighted average remaining lease term of 17.6 years
- Sold 116 properties for $190.5 million, including $90.7 million of income-producing properties, at a weighted average cap rate of 6.4%
- Raised $85.4 million in gross proceeds from the issuance of 1,992,955 common shares at an average price per share of $42.86
- Issued $500 million principal amount of 4.600% senior unsecured notes due February 2031 (the “2031 Notes”)
- Redeemed $400 million principal amount of 4.000% senior unsecured notes due November 2025
- Closed on a $300 million senior unsecured delayed draw term loan facility due February 2029 (the “Term Loan”)
- Maintained balance sheet flexibility with a sector-leading weighted average debt maturity of 10.8 years, no encumbered assets and $1.2 billion of total available liquidity
- Paid an annual dividend per common share of $2.36 in 2025, representing a 3.1% increase over 2024, marking the 36th consecutive year of annual dividend increases – the third longest record of consecutive annual dividend increases of all public REITs
- Delivered a 12.0% total average annual shareholder return over the past 25 years
Fourth Quarter 2025 and Additional Highlights:
- Increased portfolio occupancy by 80 basis points over the prior quarter to 98.3%, with a weighted average remaining lease term of 10.2 years
- Closed on $183.1 million of investments at an initial cash cap rate of 7.4%, with a weighted average remaining lease term of 18.1 years
- Sold 60 properties for $82.1 million, including $30.4 million of income-producing properties, at a weighted average cap rate of 7.6%
- Introduced 2026 AFFO guidance of $3.52 to $3.58 per share, representing an increase of 3.2% over the prior year, at the midpoint
Steve Horn, Chief Executive Officer, commented: "NNN achieved 2.7 percent AFFO growth per share and had a record year deploying over $900 million in real estate investments. Our proactive portfolio management and strategic acquisitions position NNN to deliver solid per share growth in 2026. We remain committed to enhancing value and focusing on increasing per share results, by allocating capital to the disciplined acquisition of freestanding properties and maintaining a conservative and flexible balance sheet."
FINANCIAL RESULTS
| Quarter Ended | Year Ended | |||||||
|---|---|---|---|---|---|---|---|---|
| December 31, | December 31, | |||||||
| (dollars in thousands, except per share data) | 2025 | 2024 | 2025 | 2024 | ||||
| Revenues | $ | 238,398 | $ | 218,482 | $ | 926,213 | $ | 869,266 |
| Net earnings | $ | 95,951 | $ | 97,894 | $ | 389,777 | $ | 396,835 |
| Net earnings per share | $ | 0.51 | $ | 0.52 | $ | 2.07 | $ | 2.15 |
| FFO | $ | 163,797 | $ | 152,689 | $ | 638,382 | $ | 610,501 |
| FFO per share | $ | 0.87 | $ | 0.82 | $ | 3.40 | $ | 3.32 |
| Core FFO | $ | 163,859 | $ | 152,731 | $ | 641,498 | $ | 611,169 |
| Core FFO per share | $ | 0.87 | $ | 0.82 | $ | 3.41 | $ | 3.32 |
| AFFO | $ | 164,977 | $ | 154,057 | $ | 647,578 | $ | 616,613 |
| AFFO per share | $ | 0.87 | $ | 0.82 | $ | 3.44 | $ | 3.35 |
PORTFOLIO SNAPSHOT
| (dollars in thousands) | December 31, 2025 | September 30, 2025 | December 31, 2024 | ||||||
|---|---|---|---|---|---|---|---|---|---|
| Number of properties | 3,692 | 3,697 | 3,568 | ||||||
| Total gross leasable area (square feet) | 39,578,000 | 39,209,000 | 36,557,000 | ||||||
| Occupancy rate | 98.3 | % | 97.5 | % | 98.5 | % | |||
| Weighted average remaining lease term (years) | 10.2 | 10.1 | 9.9 | ||||||
| ABR | $ | 928,081 | $ | 912,218 | $ | 860,562 |
PROPERTY ACQUISITIONS
| (dollars in thousands) | Quarter Ended December 31, 2025 | Year Ended December 31, 2025 | ||||
|---|---|---|---|---|---|---|
| Total dollars invested(1) | $ | 183,060 | $ | 931,017 | ||
| Number of properties | 55 | 239 | ||||
| Gross leasable area (square feet)(2) | 843,000 | 4,193,000 | ||||
| Weighted average cap rate (3) | 7.4 | % | 7.4 | % | ||
| Weighted average lease term (years) | 18.1 | 17.6 | ||||
| (1) | Includes dollars invested in projects under construction or tenant improvements. | |||||
| --- | --- | |||||
| (2) | Includes additional square footage from completed construction on existing properties. | |||||
| (3) | Calculated as the initial cash annual base rent divided by the total purchase price of the properties. |
PROPERTY DISPOSITIONS
| Quarter Ended December 31, 2025 | Year Ended December 31, 2025 | |||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| (dollars in thousands) | Occupied | Vacant | Total | Occupied | Vacant | Total | ||||||||||
| Number of properties | 18 | 42 | 60 | 49 | 67 | 116 | ||||||||||
| Gross leasable area (square feet) | 119,000 | 338,000 | 457,000 | 420,000 | 659,000 | 1,079,000 | ||||||||||
| Net sale proceeds | $ | 30,362 | $ | 51,689 | $ | 82,051 | $ | 90,738 | $ | 99,736 | $ | 190,474 | ||||
| Weighted average cap rate(1) | 7.6 | % | — | 7.6 | % | 6.4 | % | — | 6.4 | % | ||||||
| (1) | Calculated as the cash annual base rent divided by the total gross proceeds received for the occupied properties. | |||||||||||||||
| --- | --- |
CAPITAL MARKETS ACTIVITY
During the year ended 2025, NNN issued 1,992,955 common shares, raising $85.4 million in gross proceeds at an average price per share of $42.86, primarily through the Company's at-the-market equity program.
In November 2025, NNN redeemed $400 million aggregate principal amount of 4.000% notes due November 2025.
In December 2025, NNN closed on the $300 million Term Loan and entered into forward starting swaps totaling $200 million that fix the Secured Overnight Financing Rate (“SOFR”) at 3.22% through January 15, 2029. The Term Loan has a six-month delayed draw feature and an accordion option to increase the aggregate size to up to $500 million. The Term Loan matures in February 2029, with two, one-year extension options. On January 15, 2026, the Company drew $200 million on the Term Loan.
BALANCE SHEET AND LIQUIDITY
As of December 31, 2025, Gross Debt was $4.9 billion with a weighted average interest rate of 4.2% and a weighted average debt maturity of 10.8 years. The Company ended 2025 with $1.2 billion of total available liquidity, including $851.9 million of unused line of credit capacity, $300 million of unused Term Loan capacity and $5.8 million of cash and restricted cash. Net Debt to annualized EBITDAre and fixed charge coverage was 5.6x and 4.1x, respectively, as of December 31, 2025.
DIVIDEND
As previously announced, on January 15, 2026, the Board of Directors of NNN declared a quarterly dividend of $0.60 per share payable on February 13, 2026, to shareholders of record as of January 30, 2026. The quarterly dividend represents an annualized dividend of $2.40 per share and an annualized dividend yield of 6.1% as of December 31, 2025.
INITIAL 2026 GUIDANCE
| (dollars in millions, except per diluted share data) | Initial <br>2026 Guidance |
|---|---|
| Net earnings per share excluding any gains on disposition of real estate, impairment losses and retirement and severance costs | $2.02 - $2.08 |
| Real estate depreciation and amortization per share | $1.45 |
| Core FFO per share | $3.47 - $3.53 |
| AFFO per share | $3.52 - $3.58 |
| General and administrative expenses | $53 - $55 |
| Real estate expenses, net of tenant reimbursements | $14 - $15 |
| Acquisition volume | $550 - $650 |
| Disposition volume | $110 - $150 |
Guidance is based on current plans and assumptions and is subject to risks and uncertainties more fully described in this press release and the Company's reports filed with the Securities and Exchange Commission (the “Commission”).
CONFERENCE CALL INFORMATION
The Company will host a conference call on February 11, 2026, at 10:30 a.m. ET to discuss these results. A live webcast of the conference call will be available on the Company's website at www.nnnreit.com or by using the following link. The conference call can also be accessed by dialing 888-506-0062 in the United States (“U.S.”) or 973-528-0011 for international callers and entering the participant code 423417 or referencing NNN REIT, Inc. A telephonic replay of the call will be available through February 25, 2026, by dialing 877-481-4010 in the U.S. or 919-882-2331 internationally and entering the code 53462.
ABOUT NNN REIT, INC.
NNN invests in high-quality properties subject generally to long-term, net leases with minimal ongoing capital expenditures. As of December 31, 2025, the Company owned 3,692 properties in all 50 states, the District of Columbia and Puerto Rico with a gross leasable area of approximately 39.6 million square feet and a weighted average remaining lease term of 10.2 years. NNN is one of only three publicly traded real estate investment trusts to have increased annual dividends for 36 or more consecutive years. For more information on the Company, visit www.nnnreit.com.
FORWARD-LOOKING STATEMENTS
Statements in this press release that are not strictly historical are “forward-looking” statements. These statements generally are characterized by the use of terms such as "believe," "expect," "intend," "may," "estimated" or other similar words or expressions. Forward-looking statements involve known and unknown risks, which may cause the Company’s actual future results to differ materially from expected results. These risks include, among others, general economic conditions, including inflation, local real estate conditions, changes in interest rates, increases in operating costs, the preferences and financial condition of the Company's tenants, the availability of capital, risks related to the Company's status as a real estate investment trust ("REIT"), and the potential impacts of an epidemic or pandemic on the Company's business operations, financial results and financial position on the world economy. Additional information concerning these and other factors that could cause actual results to differ materially from these forward-looking statements is contained from time to time in the Company’s Commission filings, including, but not limited to, the Company’s Annual Report on Form 10-K. Copies of each filing may be obtained from the Company or the Commission. Such forward-looking statements should be regarded solely as reflections of the Company’s current operating plans and estimates. Actual operating results may differ materially from what is expressed or forecast in this press release. The Company undertakes no obligation to publicly release the results of any revisions to these forward-looking statements that may be made to reflect events or circumstances after the date these statements were made.
DEFINITIONS
Annualized Base Rent (“ABR”) is a non-U.S. generally accepted accounting principles (“GAAP”) measure which represents the monthly cash base rent for all leases in place as of the end of the period multiplied by 12. Accordingly, this methodology produces an annualized amount as of a point in time but does not take into consideration future (i) scheduled rent increases, (ii) leasing activity, or (iii) lease expirations.
Earnings Before Interest, Taxes, Depreciation and Amortization for Real Estate (“EBITDAre”) as defined by the National Association of Real Estate Investment Trusts (“Nareit”) is a metric established by Nareit and commonly used by real estate companies. The measure is a result of net earnings (computed in accordance with GAAP), plus interest expense, income tax expense, depreciation and amortization, excluding any gains (or including any losses) on disposition of real estate, any impairment charges, net of recoveries and after adjustments for income and losses attributable to noncontrolling interests. Management considers the non-GAAP measure of EBITDAre to be an appropriate measure of the Company's performance and should be considered in addition to, net earnings or loss, as a measure of the Company's operating performance.
Funds From Operations ("FFO") is a relative non-GAAP financial measure of operating performance of an equity REIT in order to recognize that income-producing real estate historically has not depreciated on the basis determined under GAAP. FFO is defined by Nareit and is used by the Company as follows: net earnings (computed in accordance with GAAP) plus depreciation and amortization of assets unique to the real estate industry, excluding gains (or including losses), any applicable taxes on the disposition of certain assets and any impairment charges on a depreciable real estate asset, net of recoveries.
FFO is generally considered by industry analysts to be the most appropriate measure of performance of real estate companies. FFO does not necessarily represent cash provided by operating activities in accordance with GAAP and should not be considered an alternative to net earnings as an indication of the Company’s performance or to cash flow as a measure of liquidity or ability to make distributions. Management considers FFO an appropriate measure of performance of an equity REIT because it primarily excludes the assumption that the value of the real estate assets diminishes predictably over time, and because industry analysts have accepted it as a performance measure.
Core Funds From Operations (“Core FFO”) is a non-GAAP measure of operating performance that adjusts FFO to eliminate the impact of certain GAAP income and expense amounts that the Company believes are infrequent and unusual in nature and/or not related to its core real estate operations. Exclusion of these items from similar FFO-type metrics is common within the REIT industry, and management believes that presentation of Core FFO provides investors with a potential metric to assist in their evaluation of the Company’s operating performance across multiple periods and in comparison to the operating performance of its peers because it removes the effect of unusual items that are not expected to impact the Company’s operating performance on an ongoing basis. Core FFO is used by management in evaluating the performance of the Company’s core business operations and is a factor in determining management compensation. Items included in calculating FFO that may be excluded in calculating Core FFO may include items such as transaction related gains, income or expense, impairments on land, retirement and severance costs or other non-core amounts as they occur.
Adjusted Funds From Operations (“AFFO”) is a non-GAAP financial measure of operating performance used by many companies in the REIT industry. AFFO adjusts FFO for certain non-cash items that reduce or increase net earnings in accordance with GAAP. AFFO should not be considered an alternative to net earnings, as an indication of the Company's performance or to cash flow as a measure of liquidity or ability to make distributions. Management considers AFFO a useful supplemental measure of the Company’s performance.
Total Cash is comprised of cash and cash equivalents and restricted cash and cash held in escrow per GAAP as reported on the balance sheet summary.
Gross Assets represents total assets (reported in accordance with GAAP) adjusted to exclude accumulated amortization and depreciation and amortization of direct financing leases. The result provides an estimate of the investments made by the Company.
Total Debt is defined by the Company as total debt per GAAP as reported on the balance sheet summary including line of credit payable, term loan payable, notes payable, net of unamortized discount and unamortized debt costs and mortgages payable, net of unamortized premium and debt costs, as applicable.
Gross Debt is defined by the Company as Total Debt adjusted to exclude unamortized debt discounts and premiums and unamortized debt costs.
Net Debt is defined by the Company as Gross Debt less Total Cash.
Management considers the non-GAAP measures of Gross Debt and Net Debt each to be a key supplemental measure of the Company's overall liquidity, capital structure and leverage.
The Company’s computation of FFO, Core FFO, AFFO, EBITDAre, Total Cash, Gross Assets, Gross Debt and Net Debt may differ from the methodology for calculating these non-GAAP financial measures used by other REITs, and therefore, may not be comparable to such other REITs. Reconciliations of net earnings, Total Debt and total assets (all computed in accordance with GAAP) to FFO, Core FFO, AFFO, EBITDAre, Gross Assets, Gross Debt and Net Debt (each of which is a non-GAAP financial measure), as applicable, are included in the financial information accompanying this release.
NNN REIT, Inc.
Balance Sheet Summary
(dollars in thousands)
(unaudited)
| December 31,<br>2024 | |||
|---|---|---|---|
| Assets: | |||
| Real estate portfolio, net of accumulated depreciation and amortization | 9,239,542 | $ | 8,746,168 |
| Cash and cash equivalents | 5,046 | 8,731 | |
| Restricted cash and cash held in escrow | 776 | 331 | |
| Receivables, net of allowance of 609 and 617, respectively | 3,470 | 2,975 | |
| Accrued rental income, net of allowance of 3,393 and 4,156, respectively | 34,914 | 34,005 | |
| Debt costs, net of accumulated amortization of 29,930 and 27,002, respectively | 8,645 | 8,958 | |
| Other assets | 86,962 | 71,560 | |
| Total assets | 9,379,355 | $ | 8,872,728 |
| Liabilities: | |||
| Line of credit payable | 348,100 | $ | — |
| Notes payable, net of unamortized discount and unamortized debt costs | 4,472,324 | 4,373,803 | |
| Accrued interest payable | 40,557 | 29,699 | |
| Other liabilities | 110,072 | 106,951 | |
| Total liabilities | 4,971,053 | 4,510,453 | |
| Total equity | 4,408,302 | 4,362,275 | |
| Total liabilities and equity | 9,379,355 | $ | 8,872,728 |
| Common shares outstanding | 189,937,404 | 187,540,929 |
All values are in US Dollars.
NNN REIT, Inc.
Income Statement Summary
(dollars in thousands, except per share data)
(unaudited)
| Quarter Ended | Year Ended | |||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| December 31, | December 31, | |||||||||||
| 2025 | 2024 | 2025 | 2024 | |||||||||
| Revenues: | ||||||||||||
| Rental income | $ | 237,535 | $ | 218,348 | $ | 924,380 | $ | 867,468 | ||||
| Interest and other income from real estate transactions | 863 | 134 | 1,833 | 1,798 | ||||||||
| 238,398 | 218,482 | 926,213 | 869,266 | |||||||||
| Operating expenses: | ||||||||||||
| General and administrative | 11,642 | 8,705 | 46,923 | 44,287 | ||||||||
| Real estate | 10,040 | 11,142 | 37,381 | 32,317 | ||||||||
| Depreciation and amortization | 68,221 | 63,194 | 268,439 | 249,681 | ||||||||
| Leasing transaction costs | 151 | 24 | 486 | 99 | ||||||||
| Impairment losses – real estate, net of recoveries | 15,360 | 3,724 | 28,602 | 6,632 | ||||||||
| Retirement and severance costs | 62 | 42 | 3,116 | 668 | ||||||||
| 105,476 | 86,831 | 384,947 | 333,684 | |||||||||
| Gain on disposition of real estate | 15,639 | 12,083 | 48,220 | 42,290 | ||||||||
| Earnings from operations | 148,561 | 143,734 | 589,486 | 577,872 | ||||||||
| Other expenses (revenues): | ||||||||||||
| Interest and other income | (962 | ) | (1,040 | ) | (4,246 | ) | (2,980 | ) | ||||
| Interest expense | 53,572 | 46,880 | 203,955 | 184,017 | ||||||||
| 52,610 | 45,840 | 199,709 | 181,037 | |||||||||
| Net earnings | $ | 95,951 | $ | 97,894 | $ | 389,777 | $ | 396,835 | ||||
| Weighted average shares outstanding: | ||||||||||||
| Basic | 188,832,131 | 186,449,345 | 187,611,451 | 183,688,562 | ||||||||
| Diluted | 189,237,718 | 186,833,150 | 187,986,798 | 184,043,841 | ||||||||
| Net earnings per share: | ||||||||||||
| Basic | $ | 0.51 | $ | 0.52 | $ | 2.07 | $ | 2.16 | ||||
| Diluted | $ | 0.51 | $ | 0.52 | $ | 2.07 | $ | 2.15 |
NNN REIT, Inc.
Other Information
(dollars in thousands)
(unaudited)
| Quarter Ended | Year Ended | |||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| December 31, | December 31, | |||||||||||
| 2025 | 2024 | 2025 | 2024 | |||||||||
| Rental income from operating leases(1)(2) | $ | 231,546 | $ | 212,565 | $ | 902,369 | $ | 846,653 | ||||
| Earned income from direct financing leases(1) | $ | 87 | $ | 115 | $ | 424 | $ | 468 | ||||
| Percentage rent(1) | $ | 168 | $ | 189 | $ | 1,549 | $ | 1,536 | ||||
| Real estate expenses reimbursed from tenants(1) | $ | 5,734 | $ | 5,479 | $ | 20,038 | $ | 18,811 | ||||
| Real estate expenses | (10,040 | ) | (11,142 | ) | (37,381 | ) | (32,317 | ) | ||||
| Real estate expenses, net of tenant reimbursements | $ | (4,306 | ) | $ | (5,663 | ) | $ | (17,343 | ) | $ | (13,506 | ) |
| Amortization of debt costs | $ | 1,644 | $ | 1,455 | $ | 6,218 | $ | 5,993 | ||||
| Non-real estate depreciation expense | $ | 99 | $ | 43 | $ | 229 | $ | 370 |
| (1) | For the quarters ended December 31, 2025 and 2024, the aggregate of such amounts is $237,535 and $218,348, respectively, and $924,380 and $867,468, for the year ended December 31, 2025 and 2024, respectively, and is classified as rental income on the income statement summary. |
|---|---|
| (2) | Includes lease termination fees of $243 and $1,234 for the quarters ended December 31, 2025 and 2024, respectively, and $11,363 and $11,386 for the year ended December 31, 2025 and 2024, respectively. |
NNN REIT, Inc.
Reconciliation of Non-GAAP Financial Measures
(dollars in thousands, except per share data)
(unaudited)
| Quarter Ended | Year Ended | |||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| December 31, | December 31, | |||||||||||
| 2025 | 2024 | 2025 | 2024 | |||||||||
| Net earnings | $ | 95,951 | $ | 97,894 | $ | 389,777 | $ | 396,835 | ||||
| Real estate depreciation and amortization | 68,125 | 63,154 | 268,223 | 249,324 | ||||||||
| Gain on disposition of real estate | (15,639 | ) | (12,083 | ) | (48,220 | ) | (42,290 | ) | ||||
| Impairment losses – depreciable real estate, net of recoveries | 15,360 | 3,724 | 28,602 | 6,632 | ||||||||
| FFO | 163,797 | 152,689 | 638,382 | 610,501 | ||||||||
| Retirement and severance costs | 62 | 42 | 3,116 | 668 | ||||||||
| Core FFO | 163,859 | 152,731 | 641,498 | 611,169 | ||||||||
| Straight-line accrued rent, net of reserves | (1,206 | ) | (302 | ) | (1,921 | ) | (294 | ) | ||||
| Net capital lease rent adjustment | 49 | 58 | 233 | 222 | ||||||||
| Below-market rent amortization | (117 | ) | (144 | ) | (1,898 | ) | (495 | ) | ||||
| Stock based compensation expense | 2,831 | 2,775 | 12,025 | 11,816 | ||||||||
| Capitalized interest expense | (439 | ) | (1,061 | ) | (2,359 | ) | (5,805 | ) | ||||
| AFFO | $ | 164,977 | $ | 154,057 | $ | 647,578 | $ | 616,613 | ||||
| FFO per share: | ||||||||||||
| Basic | $ | 0.87 | $ | 0.82 | $ | 3.40 | $ | 3.32 | ||||
| Diluted | $ | 0.87 | $ | 0.82 | $ | 3.40 | $ | 3.32 | ||||
| Core FFO per share: | ||||||||||||
| Basic | $ | 0.87 | $ | 0.82 | $ | 3.42 | $ | 3.33 | ||||
| Diluted | $ | 0.87 | $ | 0.82 | $ | 3.41 | $ | 3.32 | ||||
| AFFO per share: | ||||||||||||
| Basic | $ | 0.87 | $ | 0.83 | $ | 3.45 | $ | 3.36 | ||||
| Diluted | $ | 0.87 | $ | 0.82 | $ | 3.44 | $ | 3.35 | ||||
| Dividend per share | $ | 0.60 | $ | 0.58 | $ | 2.36 | $ | 2.29 | ||||
| AFFO payout ratio(1) | 68.8 | % | 70.3 | % | 68.4 | % | 68.2 | % | ||||
| (1) | Calculated as total dividends paid as a percentage of AFFO for each respective period. | |||||||||||
| --- | --- |
NNN REIT, Inc.
Reconciliation of Non-GAAP Financial Measures (continued)
(dollars in thousands)
(unaudited)
| Quarter Ended | Year Ended | |||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| December 31, | December 31, | |||||||||||
| 2025 | 2024 | 2025 | 2024 | |||||||||
| Net earnings | $ | 95,951 | $ | 97,894 | $ | 389,777 | $ | 396,835 | ||||
| Interest expense | 53,572 | 46,880 | 203,955 | 184,017 | ||||||||
| Depreciation and amortization | 68,221 | 63,194 | 268,439 | 249,681 | ||||||||
| Gain on disposition of real estate | (15,639 | ) | (12,083 | ) | (48,220 | ) | (42,290 | ) | ||||
| Impairment losses – real estate, net of <br> recoveries | 15,360 | 3,724 | 28,602 | 6,632 | ||||||||
| EBITDAre | $ | 217,465 | $ | 199,609 | $ | 842,553 | $ | 794,875 | ||||
| Interest expense | $ | 53,572 | $ | 46,880 | $ | 203,955 | $ | 184,017 | ||||
| Add back: capitalized interest | 439 | 1,061 | 2,359 | 5,805 | ||||||||
| Fixed charges | $ | 54,011 | $ | 47,941 | $ | 206,314 | $ | 189,822 | ||||
| December 31,<br>2025 | December 31,<br>2024 | |||||||||||
| Total assets | $ | 9,379,355 | $ | 8,872,728 | ||||||||
| Accumulated depreciation & amortization | 2,259,469 | 2,065,520 | ||||||||||
| Amortization of direct financing leases | 2,546 | 2,655 | ||||||||||
| Gross Assets | $ | 11,641,370 | $ | 10,940,903 | ||||||||
| Debt outstanding: | ||||||||||||
| Line of credit | $ | 348,100 | $ | — | ||||||||
| Notes payable, net of unamortized discount and <br> unamortized debt costs | 4,472,324 | 4,373,803 | ||||||||||
| Total Debt | 4,820,424 | 4,373,803 | ||||||||||
| Unamortized note discount | 47,005 | 46,437 | ||||||||||
| Unamortized debt costs | 30,670 | 29,760 | ||||||||||
| Gross Debt | 4,898,099 | 4,450,000 | ||||||||||
| Total Cash | (5,822 | ) | (9,062 | ) | ||||||||
| Net Debt | $ | 4,892,277 | $ | 4,440,938 |
NNN REIT, Inc.
Debt Summary
As of December 31, 2025
(dollars in thousands)
(unaudited)
| Unsecured Debt | Principal | Principal,<br>Net of<br>Unamortized<br>Discount | Stated<br>Rate | Effective<br>Rate | Maturity <br>Date | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Line of credit payable | $ | 348,100 | $ | 348,100 | SOFR + 77.5bps | 4.435 | % | April 2028 | ||||
| Term loan payable(1) | — | — | SOFR + 85 bps | — | February 2029 | |||||||
| Notes payable: | ||||||||||||
| 2026 | 350,000 | 349,566 | 3.600 | % | 3.733 | % | December 2026 | |||||
| 2027 | 400,000 | 399,667 | 3.500 | % | 3.548 | % | October 2027 | |||||
| 2028 | 400,000 | 399,081 | 4.300 | % | 4.388 | % | October 2028 | |||||
| 2030 | 400,000 | 399,413 | 2.500 | % | 2.536 | % | April 2030 | |||||
| 2031 | 500,000 | 496,224 | 4.600 | % | 4.766 | % | February 2031 | |||||
| 2033 | 500,000 | 490,514 | 5.600 | % | 5.905 | % | October 2033 | |||||
| 2034 | 500,000 | 494,598 | 5.500 | % | 5.662 | % | June 2034 | |||||
| 2048 | 300,000 | 296,305 | 4.800 | % | 4.890 | % | October 2048 | |||||
| 2050 | 300,000 | 294,703 | 3.100 | % | 3.205 | % | April 2050 | |||||
| 2051 | 450,000 | 442,410 | 3.500 | % | 3.602 | % | April 2051 | |||||
| 2052 | 450,000 | 440,513 | 3.000 | % | 3.118 | % | April 2052 | |||||
| Total | 4,550,000 | 4,502,994 | ||||||||||
| Total unsecured debt(2) | $ | 4,898,100 | $ | 4,851,094 | ||||||||
| Debt costs | $ | (44,420 | ) | |||||||||
| Accumulated amortization | 13,750 | |||||||||||
| Debt costs, net of accumulated amortization | (30,670 | ) | ||||||||||
| Notes payable, net of unamortized discount and <br> unamortized debt costs | $ | 4,472,324 | ||||||||||
| (1) | On January 15, 2026, the Company drew $200 million on the Term Loan and previously entered into swaps with a notional value of $200 million that fix SOFR at 3.22% through January 15, 2029. | |||||||||||
| --- | --- | |||||||||||
| (2) | Unsecured debt has a weighted average interest rate of 4.2% and a weighted average maturity of 10.8 years. |
NNN REIT, Inc.
Debt Summary – Continued
As of December 31, 2025
(unaudited)
Credit Metrics
| December 31, 2025 | December 31, <br>2024 | |
|---|---|---|
| Gross Debt / Gross Assets | 42.1% | 40.7% |
| Net Debt / EBITDAre (last quarter annualized) | 5.6x | 5.6x |
| EBITDAre / fixed charges | 4.1x | 4.2x |
Credit Facility, Term Loan and Notes Covenants
The following is a summary of key financial covenants for the Company's unsecured credit facility, Term Loan and notes, as defined and calculated per the terms of agreements and indentures governing such debt, which are included in the Company's filings with the Commission. These calculations, which are not based on GAAP measurements, are presented to investors to show that as of December 31, 2025, the Company believes it is in compliance with the covenants.
| Key Covenants | Required | December 31, 2025 |
|---|---|---|
| Unsecured Bank Credit Facility and Term Loan: | ||
| Maximum leverage ratio | < 0.60x | 0.38x |
| Minimum fixed charge coverage ratio | > 1.50x | 4.14x |
| Maximum secured indebtedness ratio | < 0.40x | — |
| Unencumbered asset value ratio | > 1.67x | 2.65x |
| Unencumbered interest ratio | > 1.75x | 4.04x |
| Unsecured Notes: | ||
| Limitation on incurrence of total debt | ≤ 60% | 41% |
| Limitation on incurrence of secured debt | ≤ 40% | — |
| Debt service coverage ratio | ≥ 1.5x | 4.1x |
| Maintenance of total unencumbered assets | ≥ 150% | 241% |
NNN REIT, Inc.
Property Portfolio
As of December 31, 2025
Top 20 Lines of Trade
| % of ABR | |||
|---|---|---|---|
| As of December 31, | |||
| Lines of Trade | 2025 | 2024 | |
| 1. | Automotive service | 18.6% | 17.1% |
| 2. | Convenience stores | 16.3% | 17.0% |
| 3. | Restaurants – limited service | 7.9% | 8.4% |
| 4. | Entertainment | 7.2% | 7.2% |
| 5. | Dealerships | 6.6% | 5.8% |
| 6. | Restaurants – full service | 6.4% | 7.8% |
| 7. | Health and fitness | 3.9% | 3.9% |
| 8. | Theaters | 3.7% | 4.0% |
| 9. | Automotive parts | 3.2% | 2.4% |
| 10. | Equipment rental | 3.1% | 3.2% |
| 11. | Wholesale clubs | 2.3% | 2.4% |
| 12. | Drug stores | 2.0% | 2.2% |
| 13. | Home improvement | 1.9% | 2.1% |
| 14. | Medical service providers | 1.8% | 1.8% |
| 15. | Pet supplies and services | 1.7% | 1.3% |
| 16. | Early childhood education | 1.4% | 1.1% |
| 17. | Discount retail | 1.4% | 1.6% |
| 18. | Furniture | 1.2% | 1.3% |
| 19. | Travel plazas | 1.2% | 1.2% |
| 20. | Consumer electronics | 1.1% | 1.3% |
| Other | 7.1% | 6.9% | |
| Total | 100.0% | 100.0% |
NNN REIT, Inc.
Property Portfolio – Continued
As of December 31, 2025
Top 20 States
| State | # of <br>Properties | % of <br>ABR | |
|---|---|---|---|
| 1. | Texas | 594 | 18.4% |
| 2. | Florida | 270 | 8.7% |
| 3. | Illinois | 179 | 5.1% |
| 4. | Georgia | 172 | 4.5% |
| 5. | Ohio | 215 | 4.2% |
| 6. | Michigan | 136 | 3.8% |
| 7. | Indiana | 165 | 3.7% |
| 8. | Tennessee | 156 | 3.7% |
| 9. | Arizona | 86 | 3.5% |
| 10. | North Carolina | 158 | 3.5% |
| 11. | Virginia | 119 | 3.3% |
| 12. | Alabama | 155 | 2.9% |
| 13. | California | 71 | 2.9% |
| 14. | Pennsylvania | 87 | 2.3% |
| 15. | New Jersey | 33 | 2.3% |
| 16. | Missouri | 102 | 2.2% |
| 17. | Colorado | 46 | 2.0% |
| 18. | Maryland | 50 | 2.0% |
| 19. | South Carolina | 80 | 2.0% |
| 20. | Louisiana | 65 | 1.8% |
| Other | 753 | 17.2% | |
| Total | 3,692 | 100.0% |
NNN REIT, Inc.
Property Portfolio – Continued
As of December 31, 2025
Top 20 Tenants
| Tenant | # of <br>Properties | % of <br>ABR | |
|---|---|---|---|
| 1. | 7-Eleven | 145 | 4.3% |
| 2. | Mister Car Wash | 120 | 3.8% |
| 3. | Dave & Buster's | 34 | 3.6% |
| 4. | Camping World | 46 | 3.5% |
| 5. | Kent Distributors | 64 | 2.6% |
| 6. | Flynn Restaurant Group | 204 | 2.5% |
| 7. | GPM Investments | 143 | 2.5% |
| 8. | AMC Theatres | 20 | 2.4% |
| 9. | BJ's Wholesale Club | 13 | 2.3% |
| 10. | LA Fitness | 25 | 2.2% |
| 11. | Mavis Tire Express Services | 140 | 2.1% |
| 12. | Couche-Tard | 92 | 2.0% |
| 13. | Chuck E. Cheese | 51 | 1.7% |
| 14. | Walgreens | 49 | 1.7% |
| 15. | Sunoco | 53 | 1.7% |
| 16. | United Rentals | 49 | 1.6% |
| 17. | Casey's General Stores | 62 | 1.6% |
| 18. | Tidal Wave Auto Spa | 35 | 1.4% |
| 19. | Super Star Car Wash | 33 | 1.3% |
| 20. | BMW Kar Wash LLC | 40 | 1.2% |
| Other | 2,274 | 54.0% | |
| Total | 3,692 | 100.0% |
Lease Expirations(1)
| # of Properties | Gross Leasable<br>Area(2) | % of<br>ABR | # of Properties | Gross Leasable<br>Area(2) | % of<br>ABR | ||
|---|---|---|---|---|---|---|---|
| 2026 | 117 | 1,019,000 | 2.1% | 2032 | 188 | 1,840,000 | 4.9% |
| 2027 | 203 | 2,714,000 | 6.3% | 2033 | 134 | 1,401,000 | 4.3% |
| 2028 | 221 | 1,970,000 | 4.9% | 2034 | 194 | 2,838,000 | 5.9% |
| 2029 | 137 | 2,043,000 | 4.2% | 2035 | 135 | 1,794,000 | 4.2% |
| 2030 | 184 | 2,417,000 | 4.7% | Thereafter | 1,853 | 17,833,000 | 50.6% |
| 2031 | 261 | 3,086,000 | 7.9% | ||||
| (1) | As of December 31, 2025, the weighted average remaining lease term is 10.2 years. | ||||||
| --- | --- | ||||||
| (2) | Square feet. |
EX-99.2
Exhibit 99.2
ANNUAL SUPPLEMENTAL DATA
As of December 31, 2025
TABLE OF CONTENTS
| PAGE | |
|---|---|
| Financial Summary | |
| Balance Sheet Summary | 4 |
| Income Statement Summary | 5 |
| Funds From Operations (FFO) | 6 |
| Core Funds From Operations (Core FFO) | 6 |
| Adjusted Funds From Operations (AFFO) | 7 |
| Other Information | 8 |
| EBITDAre | 8 |
| Debt Summary | 9 |
| Credit Metrics | 10 |
| Credit Facility and Note Covenants | 10 |
| Long-Term Dividend History | 11 |
| Transaction Summary | |
| Property Acquisitions | 12 |
| Property Dispositions | 12 |
| Property Portfolio | |
| Lease Expirations | 13 |
| Top Lines of Trade | 15 |
| Top States | 16 |
| Top Metropolitan Statistical Areas | 17 |
| Top Tenants | 18 |
| Same Store Rental Income | 19 |
| Leasing Data | 19 |
| Other Property Portfolio Data | 20 |
| Earnings Guidance | 20 |
FORWARD-LOOKING STATEMENTS
Statements in this annual supplemental data that are not strictly historical are “forward-looking” statements. These statements generally are characterized by the use of terms such as "believe," "expect," "intend," "may," "estimated," or other similar words or expressions. Forward-looking statements involve known and unknown risks, which may cause NNN REIT, Inc.’s (“NNN” or the “Company”) actual future results to differ materially from expected results. These risks include, among others, general economic conditions, including inflation, local real estate conditions, changes in interest rates, increases in operating costs, the preferences and financial condition of the Company's tenants, the availability of capital, risks related to the Company's status as a real estate investment trust ("REIT") and the potential impacts of an epidemic or pandemic on the Company's business operations, financial results and financial position and on the world economy. Additional information concerning these and other factors that could cause actual results to differ materially from these forward-looking statements is contained from time to time in the Company’s Securities and Exchange Commission (the “Commission”) filings, including, but not limited to, the Company’s Annual Report on Form 10-K for the year ended December 31, 2025.
Copies of each filing may be obtained from the Company or the Commission. Such forward-looking statements should be regarded solely as reflections of the Company’s current operating plans and estimates. Actual operating results may differ materially from what is expressed or forecast in this annual supplemental data. The Company undertakes no obligation to publicly release the results of any revisions to these forward-looking statements that may be made to reflect events or circumstances after the date these statements were made.
| BALANCE SHEET SUMMARY |
|---|
(dollars in thousands)
(unaudited)
| December 31,<br>2024 | |||
|---|---|---|---|
| Assets: | |||
| Real estate portfolio, net of accumulated depreciation and amortization | 9,239,542 | $ | 8,746,168 |
| Cash and cash equivalents | 5,046 | 8,731 | |
| Restricted cash and cash held in escrow | 776 | 331 | |
| Receivables, net of allowance of 609 and 617, respectively | 3,470 | 2,975 | |
| Accrued rental income, net of allowance of 3,393 and 4,156, respectively | 34,914 | 34,005 | |
| Debt costs, net of accumulated amortization of 29,930 and 27,002, respectively | 8,645 | 8,958 | |
| Other assets | 86,962 | 71,560 | |
| Total assets | 9,379,355 | $ | 8,872,728 |
| Liabilities: | |||
| Line of credit payable | 348,100 | $ | — |
| Notes payable, net of unamortized discount and unamortized debt costs | 4,472,324 | 4,373,803 | |
| Accrued interest payable | 40,557 | 29,699 | |
| Other liabilities | 110,072 | 106,951 | |
| Total liabilities | 4,971,053 | 4,510,453 | |
| Total equity | 4,408,302 | 4,362,275 | |
| Total liabilities and equity | 9,379,355 | $ | 8,872,728 |
| Common shares outstanding | 189,937,404 | 187,540,929 |
All values are in US Dollars.
| INCOME STATEMENT SUMMARY |
|---|
(dollars in thousands, except per share data)
(unaudited)
| Quarter Ended | Year Ended | |||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| December 31, | December 31, | |||||||||||
| 2025 | 2024 | 2025 | 2024 | |||||||||
| Revenues: | ||||||||||||
| Rental income | $ | 237,535 | $ | 218,348 | $ | 924,380 | $ | 867,468 | ||||
| Interest and other income from real estate transactions | 863 | 134 | 1,833 | 1,798 | ||||||||
| 238,398 | 218,482 | 926,213 | 869,266 | |||||||||
| Operating expenses: | ||||||||||||
| General and administrative | 11,642 | 8,705 | 46,923 | 44,287 | ||||||||
| Real estate | 10,040 | 11,142 | 37,381 | 32,317 | ||||||||
| Depreciation and amortization | 68,221 | 63,194 | 268,439 | 249,681 | ||||||||
| Leasing transaction costs | 151 | 24 | 486 | 99 | ||||||||
| Impairment losses – real estate, net of recoveries | 15,360 | 3,724 | 28,602 | 6,632 | ||||||||
| Retirement and severance costs | 62 | 42 | 3,116 | 668 | ||||||||
| 105,476 | 86,831 | 384,947 | 333,684 | |||||||||
| Gain on disposition of real estate | 15,639 | 12,083 | 48,220 | 42,290 | ||||||||
| Earnings from operations | 148,561 | 143,734 | 589,486 | 577,872 | ||||||||
| Other expenses (revenues): | ||||||||||||
| Interest and other income | (962 | ) | (1,040 | ) | (4,246 | ) | (2,980 | ) | ||||
| Interest expense | 53,572 | 46,880 | 203,955 | 184,017 | ||||||||
| 52,610 | 45,840 | 199,709 | 181,037 | |||||||||
| Net earnings | $ | 95,951 | $ | 97,894 | $ | 389,777 | $ | 396,835 | ||||
| Weighted average shares outstanding: | ||||||||||||
| Basic | 188,832,131 | 186,449,345 | 187,611,451 | 183,688,562 | ||||||||
| Diluted | 189,237,718 | 186,833,150 | 187,986,798 | 184,043,841 | ||||||||
| Net earnings per share: | ||||||||||||
| Basic | $ | 0.51 | $ | 0.52 | $ | 2.07 | $ | 2.16 | ||||
| Diluted | $ | 0.51 | $ | 0.52 | $ | 2.07 | $ | 2.15 |
| FUNDS FROM OPERATIONS ("FFO")(1) |
|---|
(dollars in thousands, except per share data)
(unaudited)
| Quarter Ended | Year Ended | |||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| December 31, | December 31, | |||||||||||
| 2025 | 2024 | 2025 | 2024 | |||||||||
| Net earnings | $ | 95,951 | $ | 97,894 | $ | 389,777 | $ | 396,835 | ||||
| Real estate depreciation and amortization | 68,125 | 63,154 | 268,223 | 249,324 | ||||||||
| Gain on disposition of real estate | (15,639 | ) | (12,083 | ) | (48,220 | ) | (42,290 | ) | ||||
| Impairment losses – depreciable real estate, net of recoveries | 15,360 | 3,724 | 28,602 | 6,632 | ||||||||
| Total FFO adjustments | 67,846 | 54,795 | 248,605 | 213,666 | ||||||||
| FFO | $ | 163,797 | $ | 152,689 | $ | 638,382 | $ | 610,501 | ||||
| FFO per share: | ||||||||||||
| Basic | $ | 0.87 | $ | 0.82 | $ | 3.40 | $ | 3.32 | ||||
| Diluted | $ | 0.87 | $ | 0.82 | $ | 3.40 | $ | 3.32 | ||||
| (1) | FFO is a non-GAAP financial measure. Please reference the Company’s earnings press release (included as Exhibit 99.1) for the quarter and year ended December 31, 2025 for the Company's definition and explanation of how the Company utilizes this metric. | |||||||||||
| --- | --- | |||||||||||
| CORE FUNDS FROM OPERATIONS ("Core FFO")(1) | ||||||||||||
| --- | ||||||||||||
| Quarter Ended | Year Ended | |||||||||||
| --- | --- | --- | --- | --- | --- | --- | --- | --- | ||||
| December 31, | December 31, | |||||||||||
| 2025 | 2024 | 2025 | 2024 | |||||||||
| Net earnings | $ | 95,951 | $ | 97,894 | $ | 389,777 | $ | 396,835 | ||||
| Total FFO adjustments | 67,846 | 54,795 | 248,605 | 213,666 | ||||||||
| FFO | 163,797 | 152,689 | 638,382 | 610,501 | ||||||||
| Retirement and severance costs | 62 | 42 | 3,116 | 668 | ||||||||
| Total Core FFO adjustments | 62 | 42 | 3,116 | 668 | ||||||||
| Core FFO | $ | 163,859 | $ | 152,731 | $ | 641,498 | $ | 611,169 | ||||
| Core FFO per share: | ||||||||||||
| Basic | $ | 0.87 | $ | 0.82 | $ | 3.42 | $ | 3.33 | ||||
| Diluted | $ | 0.87 | $ | 0.82 | $ | 3.41 | $ | 3.32 | ||||
| (1) | Core FFO is a non-GAAP financial measure. Please reference the Company’s earnings press release (included as Exhibit 99.1) for the quarter and year ended December 31, 2025 for the Company's definition and explanation of how the Company utilizes this metric. | |||||||||||
| --- | --- |
| ADJUSTED FUNDS FROM OPERATIONS ("AFFO")(1) |
|---|
(dollars in thousands, except per share data)
(unaudited)
| Quarter Ended | Year Ended | |||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| December 31, | December 31, | |||||||||||
| 2025 | 2024 | 2025 | 2024 | |||||||||
| Net earnings | $ | 95,951 | $ | 97,894 | $ | 389,777 | $ | 396,835 | ||||
| Total FFO adjustments | 67,846 | 54,795 | 248,605 | 213,666 | ||||||||
| Total Core FFO adjustments | 62 | 42 | 3,116 | 668 | ||||||||
| Core FFO | 163,859 | 152,731 | 641,498 | 611,169 | ||||||||
| Straight-line accrued rent, net of reserves | (1,206 | ) | (302 | ) | (1,921 | ) | (294 | ) | ||||
| Net capital lease rent adjustment | 49 | 58 | 233 | 222 | ||||||||
| Below-market rent amortization | (117 | ) | (144 | ) | (1,898 | ) | (495 | ) | ||||
| Stock based compensation expense | 2,831 | 2,775 | 12,025 | 11,816 | ||||||||
| Capitalized interest expense | (439 | ) | (1,061 | ) | (2,359 | ) | (5,805 | ) | ||||
| Total AFFO adjustments | 1,118 | 1,326 | 6,080 | 5,444 | ||||||||
| AFFO | $ | 164,977 | $ | 154,057 | $ | 647,578 | $ | 616,613 | ||||
| AFFO per share: | ||||||||||||
| Basic | $ | 0.87 | $ | 0.83 | $ | 3.45 | $ | 3.36 | ||||
| Diluted | $ | 0.87 | $ | 0.82 | $ | 3.44 | $ | 3.35 | ||||
| (1) | AFFO is a non-GAAP financial measure. Please reference the Company’s earnings press release (included as Exhibit 99.1) for the quarter and year ended December 31, 2025 for the Company's definition and explanation of how the Company utilizes this metric. | |||||||||||
| --- | --- |
| OTHER INFORMATION |
|---|
(dollars in thousands)
(unaudited)
| Quarter Ended | Year Ended | |||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| December 31, | December 31, | |||||||||||
| 2025 | 2024 | 2025 | 2024 | |||||||||
| Rental income from operating leases(1)(2) | $ | 231,546 | $ | 212,565 | $ | 902,369 | $ | 846,653 | ||||
| Earned income from direct financing leases(1) | $ | 87 | $ | 115 | $ | 424 | $ | 468 | ||||
| Percentage rent(1) | $ | 168 | $ | 189 | $ | 1,549 | $ | 1,536 | ||||
| Real estate expenses reimbursed from tenants(1) | $ | 5,734 | $ | 5,479 | $ | 20,038 | $ | 18,811 | ||||
| Real estate expenses | (10,040 | ) | (11,142 | ) | (37,381 | ) | (32,317 | ) | ||||
| Real estate expenses, net of tenant reimbursements | $ | (4,306 | ) | $ | (5,663 | ) | $ | (17,343 | ) | $ | (13,506 | ) |
| Amortization of debt costs | $ | 1,644 | $ | 1,455 | $ | 6,218 | $ | 5,993 | ||||
| Non-real estate depreciation expense | $ | 99 | $ | 43 | $ | 229 | $ | 370 | ||||
| (1) | For the quarters ended December 31, 2025 and 2024, the aggregate of such amounts is $237,535 and $218,348, respectively, and $924,380 and $867,468, for the year ended December 31, 2025 and 2024, respectively, and is classified as rental income on the income statement summary. | |||||||||||
| --- | --- | |||||||||||
| (2) | Includes lease termination fees of $243 and $1,234 for the quarters ended December 31, 2025 and 2024, respectively, and $11,363 and $11,386 for the year ended December 31, 2025 and 2024, respectively. | |||||||||||
| EARNINGS BEFORE INTEREST, TAXES, DEPRECIATION AND AMORTIZATION FOR REAL ESTATE ("EBITDAre")(1) | ||||||||||||
| --- | ||||||||||||
| Quarter Ended | Year Ended | |||||||||||
| --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- |
| December 31, | December 31, | |||||||||||
| 2025 | 2024 | 2025 | 2024 | |||||||||
| Net earnings | $ | 95,951 | $ | 97,894 | $ | 389,777 | $ | 396,835 | ||||
| Interest expense | 53,572 | 46,880 | 203,955 | 184,017 | ||||||||
| Depreciation and amortization | 68,221 | 63,194 | 268,439 | 249,681 | ||||||||
| Gain on disposition of real estate | (15,639 | ) | (12,083 | ) | (48,220 | ) | (42,290 | ) | ||||
| Impairment losses – real estate, net of recoveries | 15,360 | 3,724 | 28,602 | 6,632 | ||||||||
| EBITDAre | $ | 217,465 | $ | 199,609 | $ | 842,553 | $ | 794,875 | ||||
| (1) | EBITDAre is non-GAAP financial measure. Please reference the Company’s earnings press release (included as Exhibit 99.1) for the quarter and year ended December 31, 2025 for the Company's definition and explanation of how the Company utilizes this metric. | |||||||||||
| --- | --- |
| DEBT SUMMARY | ||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| As of December 31, 2025 | ||||||||||||
| --- | ||||||||||||
| (dollars in thousands) | ||||||||||||
| (unaudited) | ||||||||||||
| Unsecured Debt | Principal | Principal,<br>Net of<br>Unamortized<br>Discount | Stated<br>Rate | Effective<br>Rate | Maturity <br>Date | |||||||
| --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- |
| Line of credit payable | $ | 348,100 | $ | 348,100 | SOFR + 77.5bps | 4.435 | % | April 2028 | ||||
| Term loan payable(1) | — | — | SOFR + 85 bps | — | February 2029 | |||||||
| Notes payable: | ||||||||||||
| 2026 | 350,000 | 349,566 | 3.600 | % | 3.733 | % | December 2026 | |||||
| 2027 | 400,000 | 399,667 | 3.500 | % | 3.548 | % | October 2027 | |||||
| 2028 | 400,000 | 399,081 | 4.300 | % | 4.388 | % | October 2028 | |||||
| 2030 | 400,000 | 399,413 | 2.500 | % | 2.536 | % | April 2030 | |||||
| 2031 | 500,000 | 496,224 | 4.600 | % | 4.766 | % | February 2031 | |||||
| 2033 | 500,000 | 490,514 | 5.600 | % | 5.905 | % | October 2033 | |||||
| 2034 | 500,000 | 494,598 | 5.500 | % | 5.662 | % | June 2034 | |||||
| 2048 | 300,000 | 296,305 | 4.800 | % | 4.890 | % | October 2048 | |||||
| 2050 | 300,000 | 294,703 | 3.100 | % | 3.205 | % | April 2050 | |||||
| 2051 | 450,000 | 442,410 | 3.500 | % | 3.602 | % | April 2051 | |||||
| 2052 | 450,000 | 440,513 | 3.000 | % | 3.118 | % | April 2052 | |||||
| Total | 4,550,000 | 4,502,994 | ||||||||||
| Total unsecured debt(2) | $ | 4,898,100 | $ | 4,851,094 | ||||||||
| Debt costs | $ | (44,420 | ) | |||||||||
| Accumulated amortization | 13,750 | |||||||||||
| Debt costs, net of accumulated amortization | (30,670 | ) | ||||||||||
| Notes payable, net of unamortized discount and <br> unamortized debt costs | $ | 4,472,324 | ||||||||||
| (1) | On January 15, 2026, the Company drew $200 million on the Term Loan and previously entered into swaps with a notional value of $200 million that fix SOFR at 3.22% through January 15, 2029. | |||||||||||
| --- | --- | |||||||||||
| (2) | Unsecured debt has a weighted average interest rate of 4.2% and a weighted average maturity of 10.8 years. |
| CAPITAL STRUCTURE |
|---|
| As of December 31, 2025<br><br>As a percentage of total capital ($12,425.3 million)<br><ul><li><font>Gross Debt – $4,898.1 million</font></li><li><font>Equity Market Value – $7,527.2 million</font></li></ul> |
| --- |
| CREDIT METRICS (1) |
| --- |
Ratings: Moody's Baa1; S&P BBB+
| 2021 | 2022 | 2023 | 2024 | 2025 | |
|---|---|---|---|---|---|
| Gross Debt / Gross Assets | 41.3% | 40.5% | 42.1% | 40.7% | 42.1% |
| Gross Debt + Preferred / Gross Assets | 41.3% | 40.5% | 42.1% | 40.7% | 42.1% |
| Net Debt / EBITDAre (last quarter annualized) | 5.4x | 5.5x | 5.7x | 5.6x | 5.6x |
| Net Debt + Preferred / EBITDAre (last quarter annualized) | 5.4x | 5.5x | 5.7x | 5.6x | 5.6x |
| EBITDAre / Interest expense (cash) | 4.6x | 4.7x | 4.5x | 4.2x | 4.1x |
| EBITDAre / Fixed charges (cash) | 4.1x | 4.7x | 4.5x | 4.2x | 4.1x |
| (1) | Gross Debt, Gross Assets, Net Debt and EBITDAre are non-GAAP financial measures. Please reference the Company’s earnings press release (included as Exhibit 99.1) for the quarter and year ended December 31, 2025 for the Company's definition and explanation of how the Company utilizes these metrics. | ||||
| --- | --- | ||||
| CREDIT FACILITY, TERM LOAN AND NOTES COVENANTS | |||||
| --- |
The following is a summary of key financial covenants for the Company's unsecured credit facility, term loan and notes, as defined and calculated per the terms of the agreements and indentures governing such debt, respectively, which are included in the Company's filings with the Commission. These calculations, which are not based on GAAP measurements, are presented to investors to show that as of December 31, 2025, the Company believes it is in compliance with the covenants.
| Key Covenants | Required | December 31, 2025 |
|---|---|---|
| Unsecured Bank Credit Facility and Term Loan: | ||
| Maximum leverage ratio | < 0.60x | 0.38x |
| Minimum fixed charge coverage ratio | > 1.50x | 4.14x |
| Maximum secured indebtedness ratio | < 0.40x | — |
| Unencumbered asset value ratio | > 1.67x | 2.65x |
| Unencumbered interest ratio | > 1.75x | 4.04x |
| Unsecured Notes: | ||
| Limitation on incurrence of total debt | ≤ 60% | 41% |
| Limitation on incurrence of secured debt | ≤ 40% | — |
| Debt service coverage ratio | ≥ 1.5x | 4.1x |
| Maintenance of total unencumbered assets | ≥ 150% | 241% |
| LONG-TERM DIVIDEND HISTORY | ||
| --- |
| PROPERTY ACQUISITIONS | ||||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| (dollars in thousands) | Year Ended December 31, | |||||||||||||||
| --- | --- | --- | --- | --- | --- | --- | ||||||||||
| 2025 | 2024 | |||||||||||||||
| Total dollars invested(1) | $ | 931,017 | $ | 565,416 | ||||||||||||
| Number of properties | 239 | 75 | ||||||||||||||
| Gross leasable area (square feet)(2) | 4,193,000 | 1,486,000 | ||||||||||||||
| Weighted average cap rate (3) | 7.4 | % | 7.7 | % | ||||||||||||
| Weighted average lease term (years) | 17.6 | 18.5 | ||||||||||||||
| (1) | Includes dollars invested in projects under construction or tenant improvements for each respective year. | |||||||||||||||
| --- | --- | |||||||||||||||
| (2) | Includes additional square footage from completed construction on existing properties. | |||||||||||||||
| (3) | Calculated as the initial cash annual base rent divided by the total purchase price of the properties. | |||||||||||||||
| PROPERTY DISPOSITIONS | ||||||||||||||||
| --- | ||||||||||||||||
| (dollars in thousands) | Year Ended December 31, | |||||||||||||||
| --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- |
| 2025 | 2024 | |||||||||||||||
| Occupied | Vacant | Total | Occupied | Vacant | Total | |||||||||||
| Number of properties | 49 | 67 | 116 | 27 | 14 | 41 | ||||||||||
| Gross leasable area (square feet) | 420,000 | 659,000 | 1,079,000 | 640,000 | 209,000 | 849,000 | ||||||||||
| Acquisition costs | $ | 77,535 | $ | 149,891 | $ | 227,426 | $ | 117,556 | $ | 30,276 | $ | 147,832 | ||||
| Net book value | $ | 56,668 | $ | 85,586 | $ | 142,254 | $ | 84,212 | $ | 22,294 | $ | 106,506 | ||||
| Net sale proceeds | $ | 90,738 | $ | 99,736 | $ | 190,474 | $ | 115,923 | $ | 32,735 | $ | 148,658 | ||||
| Weighted average cap rate(1) | 6.4 | % | — | 6.4 | % | 7.3 | % | — | 7.3 | % | ||||||
| (1) | Calculated as the cash annual base rent divided by the total gross proceeds received for the occupied properties. | |||||||||||||||
| --- | --- |
| PROPERTY PORTFOLIO | |||||||||
|---|---|---|---|---|---|---|---|---|---|
| (dollars in thousands) | December 31, 2025 | September 30, 2025 | December 31, 2024 | ||||||
| --- | --- | --- | --- | --- | --- | --- | --- | --- | --- |
| Number of properties | 3,692 | 3,697 | 3,568 | ||||||
| Total gross leasable area (square feet) | 39,578,000 | 39,209,000 | 36,557,000 | ||||||
| Occupancy rate | 98.3 | % | 97.5 | % | 98.5 | % | |||
| Weighted average remaining lease term (years) | 10.2 | 10.1 | 9.9 | ||||||
| ABR(1) | $ | 928,081 | $ | 912,218 | $ | 860,562 | |||
| (1) | Annualized Base Rent (“ABR”) is non-GAAP financial measure. Please reference the Company’s earnings press release (included as Exhibit 99.1) for the quarter and year ended December 31, 2025 for the Company's definition and explanation of how the Company utilizes this metric. | ||||||||
| --- | --- | ||||||||
| LEASE EXPIRATIONS(1) | |||||||||
| --- | |||||||||
| # of Properties | Gross Leasable<br>Area(2) | % of<br>ABR | # of Properties | Gross Leasable<br>Area(2) | % of<br>ABR | ||||
| --- | --- | --- | --- | --- | --- | --- | --- | ||
| 2026 | 117 | 1,019,000 | 2.1% | 2032 | 188 | 1,840,000 | 4.9% | ||
| 2027 | 203 | 2,714,000 | 6.3% | 2033 | 134 | 1,401,000 | 4.3% | ||
| 2028 | 221 | 1,970,000 | 4.9% | 2034 | 194 | 2,838,000 | 5.9% | ||
| 2029 | 137 | 2,043,000 | 4.2% | 2035 | 135 | 1,794,000 | 4.2% | ||
| 2030 | 184 | 2,417,000 | 4.7% | Thereafter | 1,853 | 17,833,000 | 50.6% | ||
| 2031 | 261 | 3,086,000 | 7.9% | ||||||
| (1) | As of December 31, 2025, the weighted average remaining lease term is 10.2 years. | ||||||||
| --- | --- | ||||||||
| (2) | Square feet. |
| TOP 20 LINES OF TRADE |
|---|
As of December 31, 2025
| Lines of Trade | # of <br>Tenants | # of <br>Properties | % of <br>ABR | |
|---|---|---|---|---|
| 1. | Automotive service | 48 | 740 | 18.6% |
| 2. | Convenience stores | 30 | 685 | 16.3% |
| 3. | Restaurants – limited service | 61 | 620 | 7.9% |
| 4. | Entertainment | 8 | 97 | 7.2% |
| 5. | Dealerships | 20 | 111 | 6.6% |
| 6. | Restaurants – full service | 72 | 333 | 6.4% |
| 7. | Health and fitness | 8 | 37 | 3.9% |
| 8. | Theaters | 5 | 33 | 3.7% |
| 9. | Automotive parts | 7 | 143 | 3.2% |
| 10. | Equipment rental | 4 | 105 | 3.1% |
| 11. | Wholesale clubs | 1 | 13 | 2.3% |
| 12. | Drug stores | 3 | 60 | 2.0% |
| 13. | Home improvement | 10 | 49 | 1.9% |
| 14. | Medical service providers | 29 | 87 | 1.8% |
| 15. | Pet supplies and services | 12 | 59 | 1.7% |
| 16. | Early childhood education | 6 | 61 | 1.4% |
| 17. | Discount retail | 7 | 67 | 1.4% |
| 18. | Furniture | 14 | 43 | 1.2% |
| 19. | Travel plazas | 4 | 24 | 1.2% |
| 20. | Consumer electronics | 1 | 16 | 1.1% |
| Other | 85 | 309 | 7.1% | |
| Total | 3,692 | 100.0% |
| TOP 20 STATES |
|---|
As of December 31, 2025
| State | # of <br>Tenants | # of <br>Properties | % of <br>ABR | |
|---|---|---|---|---|
| 1. | Texas | 99 | 594 | 18.4% |
| 2. | Florida | 98 | 270 | 8.7% |
| 3. | Illinois | 51 | 179 | 5.1% |
| 4. | Georgia | 64 | 172 | 4.5% |
| 5. | Ohio | 71 | 215 | 4.2% |
| 6. | Michigan | 31 | 136 | 3.8% |
| 7. | Indiana | 44 | 165 | 3.7% |
| 8. | Tennessee | 46 | 156 | 3.7% |
| 9. | Arizona | 35 | 86 | 3.5% |
| 10. | North Carolina | 46 | 158 | 3.5% |
| 11. | Virginia | 45 | 119 | 3.3% |
| 12. | Alabama | 38 | 155 | 2.9% |
| 13. | California | 26 | 71 | 2.9% |
| 14. | Pennsylvania | 39 | 87 | 2.3% |
| 15. | New Jersey | 20 | 33 | 2.3% |
| 16. | Missouri | 33 | 102 | 2.2% |
| 17. | Colorado | 27 | 46 | 2.0% |
| 18. | Maryland | 19 | 50 | 2.0% |
| 19. | South Carolina | 29 | 80 | 2.0% |
| 20. | Louisiana | 30 | 65 | 1.8% |
| Other | 166 | 753 | 17.2% | |
| Total | 3,692 | 100.0% |
| TOP 20 METROPOLITAN STATISTICAL AREAS |
|---|
As of December 31, 2025
| MSA | # of <br>Tenants | # of <br>Properties | % of <br>ABR | |
|---|---|---|---|---|
| 1. | Dallas-Fort Worth-Arlington, TX | 53 | 115 | 4.4% |
| 2. | Chicago-Naperville-Elgin, IL-IN-WI | 44 | 116 | 3.7% |
| 3. | Atlanta-Sandy Springs-Alpharetta, GA | 48 | 103 | 3.2% |
| 4. | Phoenix-Mesa-Chandler, AZ | 26 | 52 | 2.4% |
| 5. | Houston-The Woodlands-Sugar Land, TX | 31 | 72 | 2.3% |
| 6. | Washington-Arlington-Alexandria, DC-VA-MD-WV | 20 | 36 | 1.9% |
| 7. | Detroit-Warren-Dearborn, MI | 18 | 54 | 1.8% |
| 8. | Tampa-St. Petersburg-Clearwater, FL | 28 | 53 | 1.8% |
| 9. | Orlando-Kissimmee-Sanford, FL | 31 | 36 | 1.7% |
| 10. | Philadelphia-Camden-Wilmington, PA-NJ-DE-MD | 18 | 30 | 1.6% |
| 11. | Charlotte-Concord-Gastonia, NC-SC | 24 | 57 | 1.4% |
| 12. | Austin-Round Rock-Georgetown, TX | 17 | 40 | 1.3% |
| 13. | New York-Newark-Jersey City, NY-NJ-PA | 17 | 33 | 1.3% |
| 14. | Denver-Aurora-Lakewood, CO | 16 | 21 | 1.3% |
| 15. | Indianapolis-Carmel-Anderson, IN | 22 | 65 | 1.3% |
| 16. | San Antonio-New Braunfels, TX | 14 | 42 | 1.3% |
| 17. | St. Louis, MO-IL | 23 | 52 | 1.2% |
| 18. | Miami-Fort Lauderdale-Pompano Beach, FL | 20 | 30 | 1.2% |
| 19. | Memphis, TN-MS-AR | 23 | 40 | 1.1% |
| 20. | Midland, TX | 6 | 23 | 1.1% |
| Other | 329 | 2,622 | 62.7% | |
| Total | 3,692 | 100.0% |
| TOP 20 TENANTS |
|---|
As of December 31, 2025
Creditworthy Tenants
- 13.4% of ABR is from tenants with investment grade rated debt
- 63.1% of ABR is from tenants that are publicly traded and/or have rated debt
- Top 20 tenants (46.0% of ABR) operate an average of 1,710 stores each
Top 20 Tenants
| Tenant | Primary Line of Trade | # of <br>Properties | % of <br>ABR | |
|---|---|---|---|---|
| 1. | 7-Eleven | Convenience stores | 145 | 4.3% |
| 2. | Mister Car Wash | Automotive service | 120 | 3.8% |
| 3. | Dave & Buster's | Entertainment | 34 | 3.6% |
| 4. | Camping World | Dealerships | 46 | 3.5% |
| 5. | Kent Distributors | Convenience stores | 64 | 2.6% |
| 6. | Flynn Restaurant Group | Restaurants - limited service | 204 | 2.5% |
| 7. | GPM Investments | Convenience stores | 143 | 2.5% |
| 8. | AMC Theatres | Theaters | 20 | 2.4% |
| 9. | BJ's Wholesale Club | Wholesale clubs | 13 | 2.3% |
| 10. | LA Fitness | Health and fitness | 25 | 2.2% |
| 11. | Mavis Tire Express Services | Automotive service | 140 | 2.1% |
| 12. | Couche-Tard | Convenience stores | 92 | 2.0% |
| 13. | Chuck E. Cheese | Entertainment | 51 | 1.7% |
| 14. | Walgreens | Drug stores | 49 | 1.7% |
| 15. | Sunoco | Convenience stores | 53 | 1.7% |
| 16. | United Rentals | Equipment rental | 49 | 1.6% |
| 17. | Casey's General Stores | Convenience stores | 62 | 1.6% |
| 18. | Tidal Wave Auto Spa | Automotive service | 35 | 1.4% |
| 19. | Super Star Car Wash | Automotive service | 33 | 1.3% |
| 20. | BMW Kar Wash LLC | Automotive service | 40 | 1.2% |
| Other | 2,274 | 54.0% | ||
| Total | 3,692 | 100.0% |
| SAME STORE RENTAL INCOME |
|---|
(dollars in thousands)
| Properties (Cash Basis) (1) | |||
|---|---|---|---|
| Number of properties | 3,306 | ||
| Year ended December 31, 2025 | $ | 788,987 | |
| Year ended December 31, 2024 | $ | 786,167 | |
| Change (in dollars) | $ | 2,820 | |
| Change (percent) (2) | 0.4 | % | |
| (1) | Includes all properties owned for current and prior year period excluding any properties under development or re-development. | ||
| --- | --- | ||
| (2) | Excluding impact of Frisch's Restaurants and Badcock Furniture bankruptcy, change would have been 1.1% | ||
| LEASING DATA | |||
| --- |
(dollars in thousands)
| Year Ended December 31, 2025 | Renewals With<br>Same Tenant(1) | Vacancy Re-Lease<br>To New Tenant | Releasing<br>Totals | |||||||
|---|---|---|---|---|---|---|---|---|---|---|
| Number of leases | 187 | 26 | 213 | |||||||
| New cash rents | $ | 44,752 | $ | 5,056 | $ | 49,808 | ||||
| Prior cash rents | $ | 42,265 | $ | 4,670 | $ | 46,935 | (2) | |||
| Recovery rate | 105.9 | % | 108.3 | % | 106.1 | % | ||||
| Tenant improvements | $ | 8,050 | $ | 8,372 | $ | 16,422 | ||||
| (1) | Long-term renewal rate for the period of 2011 through 2025 was 84.1%. | |||||||||
| --- | --- | |||||||||
| (2) | Represents 5.1% of total ABR as of December 31, 2025. |
| OTHER PROPERTY PORTFOLIO DATA |
|---|
As of December 31, 2025
Tenant Financials
| # of <br>Properties | % of ABR | |||
|---|---|---|---|---|
| Property level financial information | 3,097 | 83% | ||
| Tenant corporate financials | 2,873 | 79% | ||
| Rent Increases | % of ABR | |||
| --- | --- | --- | --- | --- |
| Annual | Five Year | Other | Total | |
| CPI | 37% | 43% | 1% | 81% |
| Fixed | 3% | 12% | 1% | 16% |
| No increases | — | — | 3% | 3% |
| 40% | 55% | 5% | 100% |
Lease Structure - as a percentage of ABR
- 93.2% is from triple net leases
- 95.6% is from triple net leases or double net leases (with roof warranty)
- 31.8% is from master leases
- 98.2% is from leases containing future lease renewal options
- 0.5% is from leases containing purchase options
| INITIAL EARNINGS GUIDANCE |
|---|
Guidance is based on current plans and assumptions and subject to risks and uncertainties more fully described in the Company’s earnings press release for the quarter and year ended December 31, 2025 and the Company's reports filed with the Commission.
| (dollars in millions, except per diluted share data) | Initial <br>2026 Guidance |
|---|---|
| Net earnings per share excluding any gains on disposition of real estate, impairment losses and retirement and severance costs | $2.02 - $2.08 |
| Real estate depreciation and amortization per share | $1.45 |
| Core FFO per share | $3.47 - $3.53 |
| AFFO per share | $3.52 - $3.58 |
| General and administrative expenses | $53 - $55 |
| Real estate expenses, net of tenant reimbursements | $14 - $15 |
| Acquisition volume | $550 - $650 |
| Disposition volume | $110 - $150 |