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Realty Income Announces Operating Results for the Three Months and Year Ended December 31, 2024
SAN DIEGO, Feb. 24, 2025 /PRNewswire/ -- Realty Income Corporation (Realty Income, NYSE: O), The Monthly Dividend Company®, today announced operating results for the three months and year ended December 31, 2024. All per share amounts presented in this press release are on a diluted per common share basis unless stated otherwise.
COMPANY HIGHLIGHTS:
For the three months ended December 31, 2024:
- Net income available to common stockholders was $199.6 million, or $0.23 per share
- Adjusted Funds from Operations ("AFFO") per share increased 4.0% to $1.05 per share, compared to the three months ended December 31, 2023
- Invested $1.7 billion at an initial weighted average cash yield of 7.1%
- Net Debt to Annualized Pro Forma Adjusted EBITDAre was 5.4x
- Raised $947.8 million from the sale of common stock, primarily through our At-The-Market (ATM) program, at a weighted average price of $58.12
- Achieved a rent recapture rate of 107.4% on properties re-leased
For the year ended December 31, 2024:
- Net income available to common stockholder was $847.9 million, or $0.98 per share
- AFFO increased 4.8% to $4.19 per share, compared to the year ended December 31, 2023
- Invested $3.9 billion at an initial weighted average cash yield of 7.4%
- Raised $1.8 billion from the sale of common stock, primarily through our At-The-Market (ATM) program, at a weighted average price of $58.33
- Achieved a rent recapture rate of 105.6% on properties re-leased
Events subsequent to December 31, 2024:
- In February 2025, our Board of Directors authorized a share repurchase program for up to $2.0 billion in shares
CEO Comments "I am pleased with our performance in 2024 as we delivered a 4.8% increase in AFFO per share, representing our 14th consecutive year of annual AFFO per share growth," said Sumit Roy, Realty Income's President and Chief Executive Officer. "Throughout the year, we remained disciplined in our capital deployment strategy, culminating in a successful fourth quarter of high-quality investment activity that was prefunded at attractive investment spreads. Our deep access to capital, global reach for proprietary acquisition opportunities, and track record utilizing predictive analytics tools to enhance portfolio management capabilities represent inherent advantages of our unique business model. Looking forward, we have positioned our platform for continued growth and dependable, long-term returns for our shareholders."
Select Financial Results
The following summarizes our select financial results (dollars in millions, except per share data):
| | | Three months ended December 31, | | Years ended December 31, | ||||
| | | 2024 | | 2023 | | 2024 | | 2023 |
| Total revenue | | $ 1,340.3 | | $ 1,076.3 | | $ 5,271.1 | | $ 4,079.0 |
| Net income available to common stockholders (1) (2) | | $ 199.6 | | $ 218.4 | | $ 847.9 | | $ 872.3 |
| Net income per share | | $ 0.23 | | $ 0.30 | | $ 0.98 | | $ 1.26 |
| Funds from operations available to common | | $ 897.9 | | $ 713.7 | | $ 3,467.7 | | $ 2,822.1 |
| FFO per share | | $ 1.02 | | $ 0.98 | | $ 4.01 | | $ 4.07 |
| Normalized funds from operations available to | | $ 888.7 | | $ 723.6 | | $ 3,564.0 | | $ 2,836.6 |
| Normalized FFO per share | | $ 1.01 | | $ 1.00 | | $ 4.12 | | $ 4.09 |
| Adjusted funds from operations available to common | | $ 921.9 | | $ 731.0 | | $ 3,621.4 | | $ 2,774.9 |
| AFFO per share | | $ 1.05 | | $ 1.01 | | $ 4.19 | | $ 4.00 |
| (1) | The calculation to determine net income attributable to common stockholders includes provisions for impairment, gain on sales of real estate, and foreign currency gain and loss. These items can vary from quarter to quarter and can significantly impact net income available to common stockholders and period to period comparisons. |
| (2) | Our financial results during the three months and year ended December 31, 2024 were impacted by the following: (i) merger, transaction, and other costs, net of $(9.2) million and $96.3 million, respectively, and (ii) provisions for impairment of $143.0 million and $425.8 million, respectively. |
| (3) | FFO, Normalized FFO, and AFFO are non-GAAP financial measures. Normalized FFO is based on FFO and adjusted to exclude merger, transaction, and other costs, net and AFFO further adjusts Normalized FFO for unique revenue and expense items. Please see the Glossary for our definitions and explanations of how we utilize these metrics. Please see pages 9 and 10 herein for reconciliations to the most directly comparable GAAP measure. |
Dividend Increases
In December 2024, we announced the 109th consecutive quarterly dividend increase, which is the 128th increase since our listing on the NYSE in 1994. The annualized dividend amount as of December 31, 2024 was $3.168 per share. The amount of monthly dividends paid per share increased 2.5% to $3.126 in 2024, as compared to $3.051 in 2023, representing 74.6% of our diluted AFFO per share of $4.19 during the year ended December 31, 2024.
In February 2025, we announced an increase in our monthly dividend to $0.268, to be paid in March 2025, which represents a 1.5% month-on-month increase as compared to the February 2025 dividend of $0.264, and a 4.5% year-on-year increase compared to the March 2024 dividend of $0.2565.
Real Estate Portfolio Update
As of December 31, 2024, we owned or held interests in 15,621 properties, which were leased to 1,565 clients doing business in 89 industries. Our diversified portfolio of commercial properties under long-term, net lease agreements is actively managed with a weighted average remaining lease term of approximately 9.3 years. Our portfolio of commercial real estate has historically provided dependable rental revenue supporting the payment of monthly dividends. As of December 31, 2024, portfolio occupancy was 98.7% with 205 properties available for lease or sale, as compared to 98.7% as of September 30, 2024 and 98.6% as of December 31, 2023. Our property-level occupancy rates exclude properties with ancillary leases only, such as cell towers and billboards, and properties with possession pending and include properties owned by unconsolidated joint ventures. Below is a summary of our portfolio activity for the periods indicated below:
Changes in Occupancy
| Three months ended December 31, 2024 | |
| Properties available for lease at September 30, 2024 | 196 |
| Lease expirations (1) | 286 |
| Re-leases to same client | (197) |
| Re-leases to new client | (24) |
| Vacant dispositions | (56) |
| Properties available for lease at December 31, 2024 | 205 |
| | |
| Year ended December 31, 2024 | |
| Properties available for lease at December 31, 2023 | 193 |
| Lease expirations (1) | 928 |
| Re-leases to same client | (638) |
| Re-leases to new client | (56) |
| Vacant dispositions | (222) |
| Properties available for lease at December 31, 2024 | 205 |
| (1) | Includes scheduled and unscheduled expirations (including leases rejected in bankruptcy), as well as future expirations resolved in the periods indicated above. |
During the three months ended December 31, 2024, the new annualized contractual rent on re-leases was $52.5 million, as compared to the previous annual rent of $48.9 million on the same units, representing a rent recapture rate of 107.4% on the units re-leased. Please see the Glossary for our definition of annualized contractual rent.
During the year ended December 31, 2024, the new annualized contractual rent on re-leases was $184.0 million, as compared to the previous annual rent of $174.2 million on the same units, representing a rent recapture rate of 105.6% on the units re-leased.
Investment Summary
The following table summarizes our investments in the U.S. and Europe for the periods indicated below:
| | Number of Properties | | Investment ($ in millions) | | Leasable Square Feet (in thousands) | | Initial Cash Yield (1) | | Weighted Average Term (Years) |
| Three months ended December 31, 2024 | | | | | | | | | |
| Acquisitions - U.S. real estate | 200 | | $ 988.6 | | 1,165 | | 6.4 % | | 14.1 |
| Acquisitions - Europe real estate | 33 | | 327.6 | | 1,806 | | 6.8 % | | 7.5 |
| Total real estate acquisitions | 233 | | $ 1,316.2 | | 2,971 | | 6.5 % | | 12.4 |
| Real estate properties under development (2) | 75 | | 149.4 | | 4,776 | | 7.6 % | | 14.7 |
| Other investments (3) | — | | 254.2 | | — | | 10.1 % | | 6.0 |
| Total investments (4) | 308 | | $ 1,719.8 | | 7,747 | | 7.1 % | | 11.3 |
| | | | | | | | | | |
| Year ended December 31, 2024 | | | | | | | | | |
| Acquisitions - U.S. real estate | 287 | | $ 1,402.9 | | 3,535 | | 6.7 % | | 13.9 |
| Acquisitions - Europe real estate | 62 | | 1,072.0 | | 4,263 | | 7.5 % | | 6.9 |
| Total real estate acquisitions | 349 | | $ 2,474.9 | | 7,798 | | 7.0 % | | 10.7 |
| Real estate properties under development (2) | 197 | | 757.1 | | 7,458 | | 7.4 % | | 15.0 |
| Other investments (3) | — | | 631.7 | | — | | 8.9 % | | 6.0 |
| Total investments (5) | 546 | | $ 3,863.7 | | 15,256 | | 7.4 % | | 10.6 |
| (1) | Initial Weighted Average Cash Yield is a supplemental operating measure. Cash Income used in the calculation of Initial Weighted Average Cash Yield for investments for the three months and year ended December 31, 2024 includes $0.3 million and $1.5 million, respectively, received as settlement credits as reimbursement of free rent periods. Please see the Glossary for our definitions of Initial Weighted Average Cash Yield and Cash Income. |
| (2) | The three months ended December 31, 2024 includes £36.1 million of Sterling-denominated investments, €21.2 million of Euro-denominated investments, and $7.8 million of investments in unconsolidated joint ventures, converted at the applicable exchange rates on the funding dates. The year ended December 31, 2024 includes £86.6 million of Sterling-denominated investments, €60.1 million of Euro-denominated investments, and $66.5 million of investments in unconsolidated joint ventures, converted at the applicable exchange rates on the funding dates. |
| (3) | The three months and year ended December 31, 2024 include £200.0 million and £500.0 million, respectively, of Sterling-denominated investments in senior secured notes. |
| (4) | Clients we have invested in are 95.7% retail, 4.2% industrial, and 0.1% other based on cash income. Approximately 57% of the annualized cash income generated from acquisitions was from investment grade rated clients, their subsidiaries or affiliated companies at the date of acquisition. Please see the Glossary for our definition of Investment Grade Clients and Cash Income. |
| (5) | Clients we have invested in are 89.9% retail, 8.6% industrial, and 1.5% other based on cash income. Approximately 38% of the annualized cash income generated from acquisitions was from investment grade rated clients, their subsidiaries or affiliated companies at the date of acquisition. |
Same Store Rental Revenue
The following summarizes our same store rental revenue for 13,397 and 11,479 properties under lease for the three months and year ended December 31, 2024, respectively (dollars in millions):
| | Three months ended December 31, | | Years ended December 31, | | % Increase | ||||||
| | 2024 | | 2023 | | 2024 | | 2023 | | Three Months | | Year |
| Same store rental revenue | $ 992.8 | | $ 985.2 | | $ 3,319.1 | | $ 3,302.4 | | 0.8 % | | 0.5 % |
For purposes of comparability, same store rental revenue is presented on a constant currency basis using the applicable exchange rate as of December 31, 2024. None of the properties in France, Germany, Ireland or Portugal met our Same Store Pool definition for the periods presented. Beginning with the second quarter of 2024, properties acquired through the merger with Spirit Realty Capital, Inc. ("Spirit") were considered under each element of our Same Store Pool criteria, except for the requirement that the property be owned for the full comparative period. If the property was owned by Spirit for the full comparative period and each of the other criteria were met, the property was included in our Same Store Pool. Accordingly, Spirit properties have been included in the Same Store Pool for the quarter and have been excluded for the year-to-date calculation. Please see the Glossary to see definitions of our Same Store Pool and Same Store Rental Revenue.
Property Dispositions
The following summarizes our property dispositions (dollars in millions):
| | Three months ended December 31, 2024 | | Year ended December 31, 2024 |
| Properties sold | 80 | | 294 |
| Net sales proceeds | $ 138.1 | | $ 589.5 |
| Gain on sale of real estate | $ 25.0 | | $ 117.3 |
Liquidity and Capital Markets
Capital Raising
During the three months ended December 31, 2024, we raised $947.8 million of proceeds from the sale of common stock at a weighted average price of $58.12 per share, primarily through the sale of approximately 16.3 million shares of common stock pursuant to forward sale agreements through our ATM program. As of December 31, 2024, there were approximately 1.8 million shares of unsettled common stock subject to forward sale agreements through our ATM program, representing approximately $91.8 million in expected net proceeds and a weighted average initial gross price of $53.32 per share. ATM net sale proceed amounts assume full physical settlement of all outstanding shares of common stock, subject to such forward sale agreements and certain assumptions made with respect to settlement dates.
Liquidity
As of December 31, 2024, we had $3.7 billion of liquidity, which consists of cash and cash equivalents of $445.0 million, unsettled ATM forward equity of $91.8 million, and $3.1 billion of availability under our $4.25 billion unsecured revolving credit facility, net of $1.1 billion of borrowing on the revolving credit facility and after deducting $67.3 million in borrowings under our commercial paper programs. We use our unsecured revolving credit facility as a liquidity backstop for the repayment of the notes issued under our commercial paper programs.
In February 2025, our Board of Directors authorized a share repurchase program for up to $2.0 billion in shares of our common stock, which will expire in January 2028. Repurchases under the repurchase program may be made at management's discretion from time to time using a variety of methods, which may include open market purchases, privately negotiated transactions, Rule 10b5-1 plans or otherwise, all in accordance with the rules of the SEC and other applicable legal requirements. The share repurchase program does not obligate us to acquire any particular amount of common stock, and the repurchase program may be suspended or discontinued at any time at our discretion.
Earnings Guidance
Summarized below are approximate estimates of the key components of our 2025 earnings guidance:
| Net income per share (1) | | | $1.52 - $1.58 |
| Real estate depreciation per share | | | $2.68 |
| Other adjustments per share (2) | | | $0.02 |
| AFFO per share (3) | | | $4.22 - $4.28 |
| Same store rent growth | | | Approx 1.0% |
| Occupancy | | | Over 98% |
| Cash G&A expenses (% of revenues) (4)(5) | | | Approx 3.0% |
| Property expenses (non-reimbursable) (% of revenues) (4) | | | 1.4% - 1.7% |
| Income tax expenses | | | $80 - $90 million |
| Investment volume | | | Approx $4.0 billion |
| | | | |
| (1) Net income per share excludes impairments and future foreign currency or derivative gains or losses due to the inherent unpredictability of forecasting these items. | |||
| (2) Includes gain on sales of properties and merger, transaction, and other costs, net. | |||
| (3) AFFO per share excludes merger, transaction, and other costs, net. | |||
| (4) Revenue excludes contractually obligated reimbursements by our clients. Cash G&A expenses exclude stock-based compensation expense. | |||
| (5) G&A expenses inclusive of stock-based compensation expense as a percentage of rental revenue, excluding reimbursements, is expected to be approximately 3.4% - 3.7% in 2025. | |||
Conference Call Information
In conjunction with the release of our operating results, we will host a conference call on February 25, 2025 at 11:00 a.m. PDT to discuss the operating results. To access the conference call, dial (833) 816-1264 (United States) or (412) 317-5632 (International). When prompted, please ask for the Realty Income conference call.
A telephone replay of the conference call can also be accessed by calling (877) 344-7529 (United States) or (412) 317-0088 (International) and entering the conference ID 4880545. The telephone replay will be available through March 4, 2025.
A live webcast will be available in listen-only mode by clicking on the webcast link on the company's home page at www.realtyincome.com. A replay of the conference call webcast will be available approximately one hour after the conclusion of the live broadcast. No access code is required for this replay.
Supplemental Materials and Sustainability Report
Supplemental Operating and Financial Data for the three months and year ended December 31, 2024 is available on our corporate website at www.realtyincome.com/investors/quarterly-and-annual-results.
The Sustainability Report for the year ended December 31, 2023 is available on our corporate website at https://realtyincome.com/sustainability/esg-reporting. Our Green Financing Framework is also available on our corporate website at https://realtyincome.com/sustainability/green-financing-framework.
About Realty Income
Realty Income (NYSE: O), an S&P 500 company, is real estate partner to the world's leading companies. Founded in 1969, we invest in diversified commercial real estate and, as of December 31, 2024, have a portfolio of over 15,600 properties in all 50 U.S. states, the U.K., and six other countries in Europe. We are known as "The Monthly Dividend Company®" and have a mission to invest in people and places to deliver dependable monthly dividends that increase over time. Since our founding, we have declared 656 consecutive monthly dividends and are a member of the S&P 500 Dividend Aristocrats® index for having increased our dividend for the last 30 consecutive years. Additional information about the company can be found at www.realtyincome.com.
Forward-Looking Statements
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Exchange Act of 1934, as amended. When used in this press release, the words "estimated," "anticipated," "expect," "believe," "intend," "continue," "should," "may," "likely," "plans," and similar expressions are intended to identify forward-looking statements. Forward-looking statements include discussions of our business and portfolio; growth strategies and intentions to acquire or dispose of properties (including geographies, timing, partners, clients and terms); re-leases, re-development and speculative development of properties and expenditures related thereto; future operations and results; the announcement of operating results, strategy, plans, and the intentions of management; guidance; statements made regarding our share repurchase program; settlement of shares of common stock sold pursuant to forward sale confirmations under our ATM program; dividends, including the amount, timing and payments of dividends; and trends in our business, including trends in the market for long-term leases of freestanding, single-client properties. Forward-looking statements are subject to risks, uncertainties, and assumptions about us, which may cause our actual future results to differ materially from expected results. Some of the factors that could cause actual results to differ materially are, among others, our continued qualification as a real estate investment trust; general domestic and foreign business, economic, or financial conditions; competition; fluctuating interest and currency rates; inflation and its impact on our clients and us; access to debt and equity capital markets and other sources of funding (including the terms and partners of such funding); continued volatility and uncertainty in the credit markets and broader financial markets; other risks inherent in the real estate business including our clients' solvency, client defaults under leases, increased client bankruptcies, potential liability relating to environmental matters, illiquidity of real estate investments, and potential damages from natural disasters; impairments in the value of our real estate assets; changes in domestic and foreign income tax laws and rates; property ownership through co-investment ventures, funds, joint ventures, partnerships and other arrangements which may transfer or limit our control of the underlying investments; epidemics or pandemics including measures taken to limit their spread, the impacts on us, our business, our clients, and the economy generally; the loss of key personnel; the outcome of any legal proceedings to which we are a party or which may occur in the future; acts of terrorism and war; the anticipated benefits from mergers and acquisitions; and those additional risks and factors discussed in our reports filed with the U.S. Securities and Exchange Commission. Readers are cautioned not to place undue reliance on forward-looking statements. Forward-looking statements are not guarantees of future plans and performance and speak only as of the date of this press release. Actual plans and operating results may differ materially from what is expressed or forecasted in this press release and forecasts made in the forward-looking statements discussed in this press release might not materialize. We do not undertake any obligation to update forward-looking statements or publicly release the results of any forward-looking statements that may be made to reflect events or circumstances after the date these statements were made.
| CONSOLIDATED STATEMENTS OF INCOME (in thousands, except per share amounts) (unaudited) | ||||||||
| | ||||||||
| | | Three months ended December 31, | | Years ended December 31, | ||||
| | | 2024 | | 2023 | | 2024 | | 2023 |
| REVENUE | | | | | | | | |
| Rental (including reimbursable) (1) | | $ 1,279,698 | | $ 1,028,710 | | $ 5,043,748 | | $ 3,958,150 |
| Other | | 60,601 | | 47,575 | | 227,394 | | 120,843 |
| Total revenue | | 1,340,299 | | 1,076,285 | | 5,271,142 | | 4,078,993 |
| EXPENSES | | | | | | | | |
| Depreciation and amortization | | 606,671 | | 475,856 | | 2,395,644 | | 1,895,177 |
| Interest | | 268,149 | | 208,313 | | 1,016,955 | | 730,423 |
| Property (including reimbursable) | | 96,309 | | 81,883 | | 377,675 | | 316,964 |
| General and administrative | | 49,114 | | 38,015 | | 176,895 | | 144,536 |
| Provisions for impairment | | 142,966 | | 27,281 | | 425,833 | | 87,082 |
| Merger, transaction, and other costs, net | | (9,176) | | 9,932 | | 96,292 | | 14,464 |
| Total expenses | | 1,154,033 | | 841,280 | | 4,489,294 | | 3,188,646 |
| Gain on sales of real estate | | 24,985 | | 5,992 | | 117,275 | | 25,667 |
| Foreign currency and derivative gain (loss), net | | 535 | | (18,371) | | 3,420 | | (13,414) |
| Equity in earnings of unconsolidated entities | | 2,353 | | 2,135 | | 7,793 | | 2,546 |
| Other income, net | | 7,313 | | 10,804 | | 23,606 | | 23,789 |
| Income before income taxes | | 221,452 | | 235,565 | | 933,942 | | 928,935 |
| Income taxes | | (20,102) | | (15,803) | | (66,601) | | (52,021) |
| Net income | | 201,350 | | 219,762 | | 867,341 | | 876,914 |
| Net income attributable to noncontrolling interests | | (1,738) | | (1,357) | | (6,569) | | (4,605) |
| Net income attributable to the Company | | 199,612 | | 218,405 | | 860,772 | | 872,309 |
| Preferred stock dividends | | — | | — | | (7,763) | | — |
| Excess of redemption value over carrying value of preferred | | — | | — | | (5,116) | | — |
| Net income available to common stockholders | | $ 199,612 | | $ 218,405 | | $ 847,893 | | $ 872,309 |
| Funds from operations available to common stockholders (FFO) | | $ 897,917 | | $ 713,716 | | $ 3,467,659 | | $ 2,822,138 |
| Normalized funds from operations available to common | | $ 888,741 | | $ 723,648 | | $ 3,563,951 | | $ 2,836,602 |
| Adjusted funds from operations available to common | | $ 921,920 | | $ 731,034 | | $ 3,621,437 | | $ 2,774,870 |
| Amounts available to common stockholders per common share: | | | | | | | | |
| Net income, basic and diluted | | $ 0.23 | | $ 0.30 | | $ 0.98 | | $ 1.26 |
| FFO per common share: | | | | | | | | |
| Basic | | $ 1.03 | | $ 0.98 | | $ 4.02 | | $ 4.08 |
| Diluted | | $ 1.02 | | $ 0.98 | | $ 4.01 | | $ 4.07 |
| Normalized FFO per common share: | | | | | | | | |
| Basic | | $ 1.01 | | $ 1.00 | | $ 4.13 | | $ 4.10 |
| Diluted | | $ 1.01 | | $ 1.00 | | $ 4.12 | | $ 4.09 |
| AFFO per common share: | | | | | | | | |
| Basic | | $ 1.05 | | $ 1.01 | | $ 4.20 | | $ 4.01 |
| Diluted | | $ 1.05 | | $ 1.01 | | $ 4.19 | | $ 4.00 |
| Cash dividends paid per common share | | $ 0.7905 | | $ 0.7680 | | $ 3.1255 | | $ 3.0510 |
| (1) | Includes rental revenue (reimbursable) of $75.5 million and $65.6 million for the three months ended December 31, 2024 and 2023, respectively, and $303.1 million and $274.2 million for the year ended December 31, 2024 and 2023, respectively. Additionally, it includes reserves to rental revenue, exclusive of non-cash reserves, of $8.1 million and $24.3 million for the three months and year ended December 31, 2024, respectively, and reserves to rental revenue of $2.5 million and reserve reversals to rental revenue of $4.5 million, exclusive of non-cash reserves, for the three months and year ended December 31, 2023, respectively. |
| FUNDS FROM OPERATIONS (FFO) AND NORMALIZED FUNDS FROM OPERATIONS (Normalized FFO) (in thousands, except per share amounts) (unaudited) | ||||||||
| | ||||||||
| FFO and Normalized FFO are non-GAAP financial measures. Please see the Glossary for our definitions and explanations of how we | ||||||||
| | ||||||||
| | | Three months ended December 31, | | Years ended December 31, | ||||
| | | 2024 | | 2023 | | 2024 | | 2023 |
| | | | | | | | | |
| Net income available to common stockholders | | $ 199,612 | | $ 218,405 | | $ 847,893 | | $ 872,309 |
| Depreciation and amortization | | 606,671 | | 475,856 | | 2,395,644 | | 1,895,177 |
| Depreciation of furniture, fixtures and equipment | | (952) | | (583) | | (2,857) | | (2,239) |
| Provisions for impairment of real estate | | 110,480 | | 22,407 | | 319,032 | | 82,208 |
| Gain on sales of real estate | | (24,985) | | (5,992) | | (117,275) | | (25,667) |
| Proportionate share of adjustments for unconsolidated | | 8,418 | | 4,670 | | 29,124 | | 4,205 |
| FFO adjustments allocable to noncontrolling interests | | (1,327) | | (1,047) | | (3,902) | | (3,855) |
| FFO available to common stockholders | | $ 897,917 | | $ 713,716 | | $ 3,467,659 | | $ 2,822,138 |
| FFO allocable to dilutive noncontrolling interests | | 2,209 | | 1,386 | | 6,611 | | 5,552 |
| Diluted FFO | | $ 900,126 | | $ 715,102 | | $ 3,474,270 | | $ 2,827,690 |
| | | | | | | | | |
| FFO available to common stockholders | | $ 897,917 | | $ 713,716 | | $ 3,467,659 | | $ 2,822,138 |
| Merger, transaction, and other costs, net (1) | | (9,176) | | 9,932 | | 96,292 | | 14,464 |
| Normalized FFO available to common stockholders | | $ 888,741 | | $ 723,648 | | $ 3,563,951 | | $ 2,836,602 |
| Normalized FFO allocable to dilutive noncontrolling interests | | 2,209 | | 1,386 | | 6,611 | | 5,552 |
| Diluted Normalized FFO | | $ 890,950 | | $ 725,034 | | $ 3,570,562 | | $ 2,842,154 |
| | | | | | | | | |
| FFO per common share: | | | | | | | | |
| Basic | | $ 1.03 | | $ 0.98 | | $ 4.02 | | $ 4.08 |
| Diluted | | $ 1.02 | | $ 0.98 | | $ 4.01 | | $ 4.07 |
| Normalized FFO per common share: | | | | | | | | |
| Basic | | $ 1.01 | | $ 1.00 | | $ 4.13 | | $ 4.10 |
| Diluted | | $ 1.01 | | $ 1.00 | | $ 4.12 | | $ 4.09 |
| Distributions paid to common stockholders | | $ 691,861 | | $ 556,114 | | $ 2,691,719 | | $ 2,111,793 |
| FFO available to common stockholders in excess of | | $ 206,056 | | $ 157,602 | | $ 775,940 | | $ 710,345 |
| Normalized FFO available to common stockholders in | | $ 196,880 | | $ 167,534 | | $ 872,232 | | $ 724,809 |
| Weighted average number of common shares used for FFO | | | | | | | | |
| Basic | | 875,710 | | 724,598 | | 862,959 | | 692,298 |
| Diluted | | 879,649 | | 726,859 | | 865,842 | | 694,819 |
| (1) | For the three months ended December 31, 2024, merger, transaction, and other costs, net primarily consists of a $13.1 million adjustment to transfer taxes related to the Spirit merger and $3.9 million of organization costs related to the private fund. For the year ended December 31, 2024, merger, transaction, and other costs, net primarily consists of $86.7 million of transaction and integration-related costs related to the Spirit merger, $5.1 million related to the lease termination of a legacy corporate facility, and $4.5 million of organization costs related to the private fund. |
| ADJUSTED FUNDS FROM OPERATIONS (AFFO) (in thousands, except per share amounts) (unaudited) | ||||||||
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| AFFO is a non-GAAP financial measure. Please see the Glossary for our definition and an explanation of how we utilize this metric. | ||||||||
| | ||||||||
| | | Three months ended December 31, | | Years ended December 31, | ||||
| | | 2024 | | 2023 | | 2024 | | 2023 |
| Net income available to common stockholders | | $ 199,612 | | $ 218,405 | | $ 847,893 | | $ 872,309 |
| Cumulative adjustments to calculate Normalized FFO (1) | | 689,129 | | 505,243 | | 2,716,058 | | 1,964,293 |
| Normalized FFO available to common stockholders | | 888,741 | | 723,648 | | 3,563,951 | | 2,836,602 |
| Excess of redemption value over carrying value of preferred | | — | | — | | 5,116 | | — |
| Amortization of share-based compensation | | 9,821 | | 6,073 | | 32,741 | | 26,227 |
| Amortization of net debt discounts (premiums) and deferred | | 5,500 | | (10,127) | | 15,361 | | (44,568) |
| Amortization of acquired interest rate swap value (2) | | 3,710 | | — | | 13,935 | | — |
| Non-cash change in allowance for credit losses (3) | | 32,486 | | 4,874 | | 106,801 | | 4,874 |
| Leasing costs and commissions | | (2,661) | | (3,010) | | (8,558) | | (9,878) |
| Recurring capital expenditures | | (199) | | (141) | | (402) | | (331) |
| Straight-line rent and expenses, net | | (35,510) | | (27,891) | | (171,887) | | (141,130) |
| Amortization of above and below-market leases, net | | 14,817 | | 17,134 | | 55,870 | | 79,101 |
| Deferred tax expense | | 3,552 | | — | | 3,552 | | — |
| Proportionate share of adjustments for unconsolidated entities | | (308) | | 932 | | (2,078) | | 932 |
| Other adjustments (4) | | 1,971 | | 19,542 | | 7,035 | | 23,041 |
| AFFO available to common stockholders | | $ 921,920 | | $ 731,034 | | $ 3,621,437 | | $ 2,774,870 |
| AFFO allocable to dilutive noncontrolling interests | | 2,186 | | 1,370 | | 6,599 | | 5,540 |
| Diluted AFFO | | $ 924,106 | | $ 732,404 | | $ 3,628,036 | | $ 2,780,410 |
| AFFO per common share: | | | | | | | | |
| Basic | | $ 1.05 | | $ 1.01 | | $ 4.20 | | $ 4.01 |
| Diluted | | $ 1.05 | | $ 1.01 | | $ 4.19 | | $ 4.00 |
| Distributions paid to common stockholders | | $ 691,861 | | $ 556,114 | | $ 2,691,719 | | $ 2,111,793 |
| AFFO available to common stockholders in excess of | | $ 230,059 | | $ 174,920 | | $ 929,718 | | $ 663,077 |
| Weighted average number of common shares used for AFFO: | | | | | | | | |
| Basic | | 875,710 | | 724,598 | | 862,959 | | 692,298 |
| Diluted | | 879,649 | | 726,859 | | 865,842 | | 694,819 |
| (1) | See Normalized FFO calculations on page 9 for reconciling items. |
| (2) | Includes the amortization of the purchase price allocated to interest rate swaps acquired in the Spirit merger. |
| (3) | Credit losses primarily relate to the impairment of financing receivables. |
| (4) | Includes non-cash foreign currency losses (gains) from remeasurement to USD, mark-to-market adjustments on investments and derivatives that are non-cash in nature, straight-line payments from cross-currency swaps, obligations related to financing lease liabilities, adjustments allocable to noncontrolling interests, and gains and losses on the sale of loans receivable. |
| HISTORICAL FFO AND AFFO (in thousands, except per share amounts) (unaudited)
| ||||||||||
| | ||||||||||
| For the three months ended December 31, | | 2024 | | 2023 | | 2022 | | 2021 | | 2020 |
| Net income available to common stockholders | | $ 199,612 | | $ 218,405 | | $ 227,265 | | $ 4,041 | | $ 117,931 |
| Depreciation and amortization, net of furniture, | | 605,719 | | 475,273 | | 437,638 | | 332,877 | | 174,888 |
| Provisions for impairment of real estate | | 110,480 | | 22,407 | | 9,481 | | 7,990 | | 23,790 |
| Gain on sales of real estate | | (24,985) | | (5,992) | | (9,346) | | (20,402) | | (22,667) |
| Proportionate share of adjustments for | | 8,418 | | 4,670 | | — | | 1,931 | | — |
| FFO adjustments allocable to noncontrolling interests | | (1,327) | | (1,047) | | (530) | | (274) | | (242) |
| FFO available to common stockholders | | $ 897,917 | | $ 713,716 | | $ 664,508 | | $ 326,163 | | $ 293,700 |
| Merger, transaction, and other costs, net | | (9,176) | | 9,932 | | 903 | | 137,332 | | — |
| Normalized FFO available to common stockholders | | $ 888,741 | | $ 723,648 | | $ 665,411 | | $ 463,495 | | $ 293,700 |
| FFO per diluted share | | $ 1.02 | | $ 0.98 | | $ 1.05 | | $ 0.63 | | $ 0.83 |
| Normalized FFO per diluted share | | $ 1.01 | | $ 1.00 | | $ 1.05 | | $ 0.89 | | $ 0.83 |
| AFFO available to common stockholders | | $ 921,920 | | $ 731,034 | | $ 633,967 | | $ 486,047 | | $ 297,654 |
| AFFO per diluted share | | $ 1.05 | | $ 1.01 | | $ 1.00 | | $ 0.94 | | $ 0.84 |
| Cash dividends paid per common share | | $ 0.7905 | | $ 0.7680 | | $ 0.7440 | | $ 0.7180 | | $ 0.7020 |
| Weighted average diluted shares outstanding - FFO, | | 879,649 | | 726,859 | | 635,637 | | 519,438 | | 355,051 |
| | | | | | | | | | | |
| For the year ended December 31, | | 2024 | | 2023 | | 2022 | | 2021 | | 2020 |
| Net income available to common stockholders | | $ 847,893 | | $ 872,309 | | $ 869,408 | | $ 359,456 | | $ 395,486 |
| Depreciation and amortization, net of furniture, | | 2,392,787 | | 1,892,938 | | 1,668,375 | | 896,809 | | 676,450 |
| Provisions for impairment of real estate | | 319,032 | | 82,208 | | 25,860 | | 38,967 | | 147,232 |
| Gain on sales of real estate | | (117,275) | | (25,667) | | (102,957) | | (55,798) | | (76,232) |
| Proportionate share of adjustments for | | 29,124 | | 4,205 | | 12,812 | | 1,931 | | — |
| FFO adjustments allocable to noncontrolling interests | | (3,902) | | (3,855) | | (1,605) | | (785) | | (817) |
| FFO available to common stockholders | | $ 3,467,659 | | $ 2,822,138 | | $ 2,471,893 | | $ 1,240,580 | | $ 1,142,119 |
| Merger, transaction, and other costs, net | | 96,292 | | 14,464 | | 13,897 | | 167,413 | | — |
| Normalized FFO available to common stockholders | | $ 3,563,951 | | $ 2,836,602 | | $ 2,485,790 | | $ 1,407,993 | | $ 1,142,119 |
| FFO per diluted share | | $ 4.01 | | $ 4.07 | | $ 4.04 | | $ 2.99 | | $ 3.31 |
| Normalized FFO per diluted share | | $ 4.12 | | $ 4.09 | | $ 4.06 | | $ 3.39 | | $ 3.31 |
| AFFO available to common stockholders | | $ 3,621,437 | | $ 2,774,870 | | $ 2,401,359 | | $ 1,488,753 | | $ 1,172,626 |
| AFFO per diluted share | | $ 4.19 | | $ 4.00 | | $ 3.92 | | $ 3.59 | | $ 3.39 |
| Cash dividends paid per common share | | $ 3.1255 | | $ 3.0510 | | $ 2.9670 | | $ 2.8330 | | $ 2.7940 |
| Weighted average diluted shares outstanding - FFO | | 865,842 | | 694,819 | | 613,473 | | 414,770 | | 345,878 |
| Weighted average diluted shares outstanding - | | 865,842 | | 694,819 | | 613,473 | | 415,270 | | 345,878 |
| | | | | | | | | | | |
| ADJUSTED EBITDAre (dollars in thousands) (unaudited) | ||||
| | ||||
| Adjusted EBITDAre, Annualized Adjusted EBITDAre, Pro Forma Adjusted EBITDAre, Annualized Pro Forma Adjusted EBITDAre, Net | ||||
| | ||||
| | | Three months ended December 31, | ||
| | | 2024 | | 2023 |
| Net income | | $ 201,350 | | $ 219,762 |
| Interest | | 268,149 | | 208,313 |
| Income taxes | | 20,102 | | 15,803 |
| Depreciation and amortization | | 606,671 | | 475,856 |
| Provisions for impairment | | 142,966 | | 27,281 |
| Merger, transaction, and other costs, net | | (9,176) | | 9,932 |
| Gain on sales of real estate | | (24,985) | | (5,992) |
| Foreign currency and derivative (gain) loss, net | | (535) | | 18,371 |
| Proportionate share of adjustments from unconsolidated entities | | 18,991 | | 14,983 |
| Quarterly Adjusted EBITDAre | | $ 1,223,533 | | $ 984,309 |
| Annualized Adjusted EBITDAre (1) | | $ 4,894,132 | | $ 3,937,236 |
| Annualized Pro Forma Adjustments | | $ 79,143 | | $ 74,919 |
| Annualized Pro Forma Adjusted EBITDAre | | $ 4,973,275 | | $ 4,012,155 |
| Total debt per the consolidated balance sheet, excluding deferred financing | | $ 26,510,798 | | $ 21,480,869 |
| Proportionate share of unconsolidated entities debt, excluding deferred | | 659,190 | | 659,190 |
| Less: Cash and cash equivalents | | (444,962) | | (232,923) |
| Net Debt (2) | | $ 26,725,026 Für dich aus unserer Redaktion zusammengestelltDein Kommentar zum Artikel im Forum Jetzt anmelden und diskutieren
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