Financial Data and Key Metrics Changes - The company invested over $375 million in the first quarter of 2025, marking the largest investment volume since Q3 2023 [6][11] - Core FFO per share was $1.04, a 3.1% increase year-over-year, while AFFO per share was $1.06, representing a 3% year-over-year increase [20][22] - The company raised the low end of its full-year AFFO per share guidance to a range of $4.27 to $4.30, indicating over 3.5% growth at the midpoint [9][20] Business Line Data and Key Metrics Changes - The company acquired 69 properties across three platforms during Q1, with a weighted average cap rate of 7.3% and a weighted average lease term of 13.4 years [11][12] - The acquisition activity focused on necessity-based retailers, with nearly 69% of base rent derived from investment-grade retailers [12][15] - The company commenced four new development projects with anticipated costs of approximately $24 million and continued construction on 14 projects with aggregate costs of about $80 million [12][13] Market Data and Key Metrics Changes - The company reported a decline in pharmacy and dollar store exposure by 20 and 30 basis points, respectively, indicating a proactive approach to managing tenant risk [15] - The portfolio comprised 2,422 properties across all 50 states, with an investment-grade exposure of 68.3% and occupancy at 99.2% [15][16] Company Strategy and Development Direction - The company has increased its investment guidance range for the year from $1.1 billion to $1.5 billion, reflecting a 47% increase over last year's investment volume [9][10] - The focus remains on recession-resistant retailers that have adapted to an omni-channel strategy, with confidence in the portfolio's resilience against economic downturns [8][9] - The company aims to maintain a robust balance sheet with $1.9 billion in liquidity and no material debt maturities until 2028, allowing for flexibility in capital markets [7][19] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's stability and growth potential despite a volatile macroeconomic environment [6][10] - The company anticipates continued opportunities in the retail sector, particularly among dominant grocers and necessity-based retailers, as economic conditions evolve [35][82] - Management highlighted the importance of maintaining a conservative approach to asset underwriting and portfolio construction during uncertain times [9][10] Other Important Information - The company raised $181 million of forward equity via its ATM program and established a $625 million commercial paper program to diversify its balance sheet [17][19] - The monthly cash dividend was increased to $0.0256 per common share for April, representing a 2.4% year-over-year increase [22][23] Q&A Session Summary Question: Why was the AFFO guidance not raised more despite the increase in investment guidance? - Management indicated that the only offset to the investment increase was the anticipated treasury stock method dilution of approximately $0.02 [26][27] Question: What is the current strategy regarding grocery exposure? - Management noted that the increase in grocery exposure was primarily due to a one-off opportunity and emphasized the focus on dominant grocers [34][35] Question: How is the company managing tenant exposure amid tariff concerns? - Management stated that there are no significant concerns regarding tariff impacts on the portfolio, as necessity-based retailers are expected to benefit [36][82] Question: What is the outlook for construction costs and yield requirements? - Management anticipates a 2% to 5% increase in construction costs due to tariffs but does not expect material changes in overall construction costs [90] Question: How does the commercial paper program affect investment strategies? - Management clarified that the commercial paper program provides cheaper short-term capital but does not impact the overall weighted average cost of capital [124]

Core Insights - Agree Realty (ADC) reported a revenue of $169.16 million for the quarter ended March 2025, reflecting a year-over-year increase of 13.2% [1] - The earnings per share (EPS) for the quarter was $1.06, significantly higher than $0.43 in the same quarter last year [1] - The reported revenue exceeded the Zacks Consensus Estimate of $166.19 million, resulting in a positive surprise of 1.79% [1] - The company also delivered an EPS surprise of 0.95%, with the consensus EPS estimate being $1.05 [1] Revenue Breakdown - Rental income was reported at $169.11 million, surpassing the average estimate of $163.98 million by four analysts, marking a 13.2% increase year-over-year [4] - Operating cost reimbursement revenue was $18.09 million, exceeding the average estimate of $16.95 million by two analysts, representing a 9.8% increase compared to the previous year [4] - Other revenues amounted to $0.05 million, slightly above the average estimate of $0.04 million based on two analysts, showing a significant year-over-year change of 51.6% [4] Stock Performance - Shares of Agree Realty have returned +4% over the past month, contrasting with the Zacks S&P 500 composite's decline of -8.9% [3] - The stock currently holds a Zacks Rank 3 (Hold), indicating potential performance in line with the broader market in the near term [3]

Core Insights - Agree Realty (ADC) reported quarterly funds from operations (FFO) of $1.06 per share, exceeding the Zacks Consensus Estimate of $1.05 per share, and up from $1.03 per share a year ago, indicating a 2.91% year-over-year increase [1] - The company achieved revenues of $169.16 million for the quarter ended March 2025, surpassing the Zacks Consensus Estimate by 1.79% and reflecting a 13.19% increase from $149.45 million in the same quarter last year [2] - Agree Realty's stock has increased approximately 11.7% since the beginning of the year, contrasting with a -12.3% decline in the S&P 500 [3] Financial Performance - The FFO surprise for the recent quarter was 0.95%, following a previous quarter where the FFO was $1.04 against an expectation of $1.03, resulting in a surprise of 0.97% [1] - Over the last four quarters, the company has exceeded consensus FFO estimates three times and topped revenue estimates in all four quarters [2] Future Outlook - The current consensus FFO estimate for the upcoming quarter is $1.06 on projected revenues of $170.28 million, while the estimate for the current fiscal year is $4.25 on revenues of $692.66 million [7] - The estimate revisions trend for Agree Realty is currently mixed, leading to a Zacks Rank 3 (Hold), suggesting the stock is expected to perform in line with the market in the near future [6] Industry Context - The REIT and Equity Trust - Retail industry, to which Agree Realty belongs, is currently ranked in the top 24% of over 250 Zacks industries, indicating a favorable outlook compared to lower-ranked industries [8] - Urban Edge Properties (UE), another company in the same industry, is expected to report quarterly earnings of $0.34 per share, reflecting a year-over-year increase of 3% [9]

Financial Performance - Net income for Q1 2025 increased by 5.0% to $45.1 million, while net income per share decreased by 2.0% to $0.42[4] - Core FFO for Q1 2025 rose by 10.5% to $112.7 million, with Core FFO per share increasing by 3.1% to $1.04[5] - AFFO for Q1 2025 increased by 10.4% to $114.0 million, and AFFO per share rose by 3.0% to $1.06[6] - Total revenues for Q1 2025 were $169.16 million, an increase of 13.4% compared to $149.45 million in Q1 2024[52] - Rental income for Q1 2025 was $169.11 million, up from $149.42 million in Q1 2024, reflecting a growth of 13.2%[52] - Net income attributable to common stockholders for Q1 2025 was $45.14 million, compared to $43.00 million in Q1 2024, representing a 5.0% increase[52] - Core Funds from Operations (Core FFO) for Q1 2025 were $112.71 million, a 10.9% increase from $101.99 million in Q1 2024[54] - Adjusted Funds from Operations (AFFO) for Q1 2025 were $113.97 million, compared to $103.25 million in Q1 2024, marking a 10.4% increase[54] - The company reported a total comprehensive income of $36.26 million for Q1 2025, down from $55.74 million in Q1 2024[52] Investment and Guidance - The company raised its 2025 investment guidance to a range of $1.3 billion to $1.5 billion and increased AFFO per share guidance to $4.27 to $4.30[14] - Total acquisition volume for Q1 2025 was approximately $358.9 million, with properties acquired at a weighted-average capitalization rate of 7.3%[18][19] - The company commenced four development projects with total anticipated costs of approximately $23.9 million during Q1 2025[21] - Disposition volume for the full year 2025 is anticipated to be between $10 million and $50 million[20] Portfolio and Assets - The portfolio consisted of 2,422 properties, 99.2% leased, generating 68.3% of annualized base rents from investment grade retail tenants[15] - As of March 31, 2025, the total annualized base rent for the Company is $648,732,000, with Walmart contributing $38,490,000, representing 5.9% of the total[26] - The grocery stores sector accounts for $65,660,000 in annualized base rent, which is 10.1% of the total[29] - Texas is the leading state in annualized base rent at $46,064,000, making up 7.1% of the total[31] - The Company operates a portfolio of 2,422 properties across all 50 states, encompassing approximately 50.3 million square feet of gross leasable area[43] - Total assets as of March 31, 2025, were $8.80 billion, up from $8.49 billion as of December 31, 2024, indicating a growth of 3.7%[50] - Total liabilities increased to $3.16 billion as of March 31, 2025, from $2.98 billion at the end of 2024, reflecting a rise of 6.1%[50] Liquidity and Debt - The company ended Q1 2025 with approximately $1.9 billion of total liquidity, including cash on hand and availability on the revolving credit facility[7] - Total liquidity as of March 31, 2025, is approximately $1.9 billion, including $928 million available under a revolving credit facility[35] - The Company's net debt to recurring EBITDA ratio is 4.9 times, improving to 3.4 times when accounting for anticipated net proceeds from forward equity offerings[36] - The total debt to enterprise value ratio stands at 25.5% as of March 31, 2025[37] - Total Debt as of March 31, 2025, is $2,975.7 million, with a Net Debt of $2,964.5 million[60] - Total Debt to Annualized Net Income ratio stands at 15.8x, while Net Debt to Recurring EBITDA is 4.9x[60] - The Company has outstanding forward equity offerings totaling 18,045,495 shares, with net proceeds received amounting to $350,299,656[34] - The Company has 12,603,999 shares remaining to be settled under Forward Equity Offerings, expected to raise approximately $917.1 million[62] - The anticipated net proceeds from Forward Equity Offerings are expected to enhance the Company's capital structure and future borrowing capacity[61] Dividends and Shareholder Returns - Monthly cash dividends declared for April 2025 increased to $0.256 per common share, reflecting a 2.4% year-over-year increase[9] - The weighted average number of common shares outstanding increased to 107.05 million in Q1 2025 from 100.28 million in Q1 2024[54] Upcoming Events - The Company will host its quarterly analyst and investor conference call on April 23, 2025, at 9:00 AM ET[41]

Revenue and Income - Total revenues for the three months ended March 31, 2025, were $169.16 million, an increase of 13.4% compared to $149.45 million for the same period in 2024[12] - Rental income increased to $169.11 million in Q1 2025, up from $149.42 million in Q1 2024, reflecting a growth of 13.2%[12] - Net income attributable to common stockholders for Q1 2025 was $45.14 million, a 4.9% increase from $43.00 million in Q1 2024[12] - Basic and diluted net income per share attributable to common stockholders remained stable at $0.42 for Q1 2025, compared to $0.43 in Q1 2024[12] - Net income for the three months ended March 31, 2025, was $47,148,000, an increase of 4.7% compared to $45,014,000 for the same period in 2024[17] - Total comprehensive income for Q1 2025 was $36.26 million, down from $55.74 million in Q1 2024, reflecting a decrease of 34.9%[12] Expenses and Dividends - Total operating expenses rose to $91.24 million in Q1 2025, compared to $80.99 million in Q1 2024, marking an increase of 12.5%[12] - Cash dividends declared per common share for Q1 2025 were $0.759, compared to $0.741 for the same period in 2024[13] - The company paid $81,873,000 in common stock dividends during the three months ended March 31, 2025, compared to $74,705,000 in the same period of 2024, reflecting an increase of 9.4%[17] Cash Flow and Investments - Net cash provided by operating activities increased to $126,657,000, up 27.8% from $99,150,000 year-over-year[17] - The company reported a net cash used in investing activities of $380,855,000, which is a 212.5% increase from $121,973,000 in the prior year[17] - The company acquired real estate investments totaling $359,684,000 during the three months ended March 31, 2025, compared to $128,343,000 in the same period of 2024, representing a significant increase of 180%[17] Property and Leasing - As of March 31, 2025, the company owned 2,422 properties with a total gross leasable area of approximately 50.3 million square feet, achieving a portfolio occupancy rate of 99.2%[22] - Approximately 68.3% of the company's annualized base rent was derived from tenants with an investment-grade credit rating[22] - The weighted average remaining lease term for the company's properties was approximately 8.0 years as of March 31, 2025[22] Debt and Financing - The Company reported total gross indebtedness of $2.98 billion as of March 31, 2025, including $2.26 billion of senior unsecured notes and $350 million unsecured term loan[94] - The Company had no mortgage loans with full or partial recourse as of March 31, 2025[98] - The Revolving Credit Facility had an outstanding balance of $322 million as of March 31, 2025, with an interest rate of 5.19%[110] - The total principal of senior unsecured notes was $2.26 billion as of March 31, 2025, with various maturities ranging from May 2025 to June 2034[103] Shareholder Equity and Stock - The weighted average number of common shares outstanding increased to 107.05 million in Q1 2025 from 100.28 million in Q1 2024[12] - The Company completed a public offering of 5,060,000 shares of common stock in October 2024, expected to raise net proceeds of approximately $367.5 million[118] - The Company sold 2,408,201 shares of common stock under the ATM programs during the three months ended March 31, 2025, generating net proceeds of $183.3 million[125] Derivatives and Interest Rates - The Company entered into $350.0 million of forward-starting interest rate swap agreements in June 2023 to hedge against variability in future cash flows[132] - The Company recognized a loss of $9.356 million on interest rate swaps in the three months ended March 31, 2025[138] - The fair value of derivative contracts was in an asset position of $7.7 million as of March 31, 2025[140] Compensation and Employee Benefits - The Company recognized expense related to restricted share grants of $1.7 million for the three months ended March 31, 2025, compared to $1.3 million for the same period in 2024[163] - The Company granted 90 thousand performance units during the three months ended March 31, 2025, with a weighted average grant date fair value of $79.61[173] - The Company recognized expense related to performance units of $0.9 million for the three months ended March 31, 2025, compared to $0.6 million for the same period in 2024[170]

Company Overview - Proactive is a publisher that provides fast, accessible, informative, and actionable business and finance news content to a global investment audience [2] - The news team operates from key finance and investing hubs, including London, New York, Toronto, Vancouver, Sydney, and Perth [2] Expertise and Focus Areas - The company specializes in medium and small-cap markets while also covering blue-chip companies, commodities, and broader investment stories [3] - Proactive delivers news and insights across various sectors, including biotech and pharma, mining and natural resources, battery metals, oil and gas, crypto, and emerging digital and EV technologies [3] Technology Adoption - Proactive is recognized for its forward-looking approach and enthusiastic adoption of technology to enhance workflows [4] - The company utilizes automation and software tools, including generative AI, while ensuring that all content is edited and authored by humans [5]

Group 1 - The 60/40 investment approach was historically considered the gold standard for long-term investing strategies [1] Group 2 - Roberts Berzins has over a decade of experience in financial management, focusing on shaping financial strategies for top-tier corporates and executing large-scale financings [2] - Berzins has contributed to institutionalizing the REIT framework in Latvia to enhance liquidity in pan-Baltic capital markets [2] - His policy-level work includes developing national SOE financing guidelines and frameworks for channeling private capital into affordable housing [2] - Berzins holds a CFA Charter and an ESG investing certificate, and has experience with the Chicago Board of Trade [2] - He is actively involved in thought-leadership activities to support the development of pan-Baltic capital markets [2]

Core Viewpoint - GABO Mining Ltd. has entered into a lease agreement for two advanced-stage uranium exploration projects in Utah and New Mexico, reflecting a strategic shift towards uranium exploration and development, alongside a planned rebranding to GAMMA Resources Ltd. [1][2] Group 1: Lease Agreement Details - The lease agreement grants a four-year lease with an exclusive option to purchase the projects [1] - Initial consideration includes USD 50,000 upon signing and USD 200,000 payable within 120 days of execution [9] - Annual lease payments of USD 250,000 are due on each of the first three anniversaries [9] - The option to purchase both project areas for USD 1.8 million can be exercised at any time during the lease term [9] - No production royalty or minimum work obligation is required from the vendor [9] Group 2: Project Descriptions - The Green River Project in Utah consists of 41 unpatented lode mining claims targeting uranium mineralization in the Morrison Formation [3] - The project is adjacent to Western Uranium Vanadium Corp's San Rafael Project and is located 11 km from a processing plant [3] - Historical data indicates nearby deposits have a combined total indicated resource of 3,404,593 lbs and an inferred resource of 1,859,532 lbs U3O8 [3] - The Mesa Arc Project in New Mexico also includes 41 lode mining claims with historical uranium production documented [3] - An internal resource estimate from 2006 suggested 2.5 to 3.0 million pounds of U3O8 on the Mesa Arc Project claims [3] Group 3: Strategic Focus and Future Plans - The company aims to build a U.S.-based portfolio of high-impact uranium assets with ISR potential [10] - Fieldwork is planned to initiate in Q2 2025 as part of advancing towards North American uranium supply [10] - The rebranding to GAMMA Resources Ltd. aligns with the mission to support U.S. energy security and low-carbon transition [2]

Core Insights - The article discusses the investment landscape in the real estate sector, particularly focusing on the performance and potential of various real estate investment trusts (REITs) and housing-related companies [1][2]. Group 1: Company Insights - Hoya Capital Research & Index Innovations is affiliated with Hoya Capital Real Estate, which provides investment advisory services and focuses on publicly traded securities in the real estate industry [2]. - The commentary emphasizes that the information provided is for educational purposes and does not constitute investment advice [2][3]. Group 2: Industry Insights - The real estate industry is highlighted as having unique risks associated with investments in real estate companies and housing industry companies [2]. - The article notes that past performance of market data does not guarantee future results, indicating the volatile nature of the real estate market [3].

Core Insights - The article emphasizes the importance of dividend investing in quality blue-chip stocks, BDCs, and REITs for building a sustainable retirement income [1][2]. Group 1: Investment Strategy - The company adopts a buy-and-hold investment strategy, focusing on quality over quantity in its portfolio [1]. - The goal is to help lower and middle-class workers build investment portfolios that consist of high-quality, dividend-paying companies [1]. Group 2: Personal Investment Philosophy - The company aims to achieve financial independence through dividend income within the next 5-7 years [1]. - There is a strong emphasis on educating investors to conduct their own due diligence before making investment decisions [1].