National Retail Properties, Inc. Earnings Recaps
Q2 2026
Aug 8, 2026
NNN REIT’s shares edged down 0.4% following Q2 results that reflected stable operational performance without notable upside or downside surprises, aligning with market expectations.
Key takeaways
- AFFO was $0.90 per share, up 5.9% year-over-year, supported by lower-than-expected bad debt of 2 basis points of ABR.
- Portfolio occupancy rose to 99.1%, an increase of 50 basis points sequentially and 110 basis points year-over-year, driving NOI margin to 96.6%, up 70 basis points from Q1.
- Acquisitions totaled $290 million in 89 properties with stable cap rates of 7.3% and an average lease duration of nearly 18 years; full-year acquisition guidance raised to $750 million from $600 million.
- Dispositions included 26 properties generating $37 million, focusing on non-core assets sold at cap rates 170 basis points below acquisition levels; disposition guidance lifted to a midpoint of $140 million.
- Balance sheet remains strong with $1.4 billion liquidity and debt maturity of 10.1 years, maintaining financial flexibility for growth and capital deployment.
Q1 2026
May 1, 2026
NNN REIT’s first quarter performance landed in line with market expectations, as the shares closed up 1.0% following results. Modest AFFO growth, improved occupancy, and a slight guidance raise were balanced by flat year-over-year FFO/AFFO per share.
Key takeaways
- AFFO and core FFO per share were flat year-over-year at $0.87 and $0.86, respectively; excluding lower lease termination fees, underlying AFFO was up 4.8%.
- Company raised full-year 2026 AFFO per share guidance to $3.53–$3.59.
- Portfolio occupancy rose 30 basis points sequentially to 98.6%, with rental rates on renewals up 2% and new leases up 10%.
- $145 million deployed into 41 properties at a 7.5% initial cash yield, with a weighted average lease term of 19 years.
- Balance sheet remains well-capitalized, with $1.2 billion in liquidity and 11-year weighted average debt maturity; free cash flow after dividend was $52 million for the quarter.
Q3 2025
Nov 4, 2025
NNN REIT reported strong third-quarter results, with a core FFO of $0.85 per share and a strategic increase in acquisitions, underpinning their commitment to shareholder value and long-term growth.
Key takeaways
- Closed 20 deals totaling 57 assets for $283 million, raising the 2025 acquisition target to $900 million, a record for the company.
- Core FFO per share increased by 1.2% year-over-year, reflecting operational efficiency and robust asset performance.
- Occupancy decreased to 97.5% due to a legal dispute with a tenant, yet management expects to exceed 98% occupancy by year-end through proactive asset resolutions.
- Annualized base rent rose to $912 million, marking over a 7% increase year-over-year, with notable rental rate renewals averaging 108% above previous rents.
- Strong balance sheet with $1.4 billion in total availability and an industry-leading average debt maturity of nearly 11 years, positioning NNN for continued growth.