[Operating and Financial Highlights](index=1&type=section&id=Operating%20Results) NNN REIT reported strong Q1 2024 results with year-over-year growth in key financial metrics, high occupancy, and strategic property investments Q1 2024 Operating Results vs. Q1 2023 | Metric | 2024 (in thousands, except per share data) | 2023 (in thousands, except per share data) | |---|---|---| | Revenues | $ 215,407 | $ 204,108 | | Net earnings | $ 94,371 | $ 90,167 | | Net earnings per share | $ 0.52 | $ 0.50 | | FFO | $ 151,261 | $ 145,549 | | FFO per share | $ 0.83 | $ 0.80 | | Core FFO | $ 151,578 | $ 145,972 | | Core FFO per share | $ 0.83 | $ 0.80 | | AFFO | $ 153,259 | $ 148,166 | | AFFO per share | $ 0.84 | $ 0.82 | - FFO and Core FFO per share increased by **3.8%** year-over-year, while AFFO per share increased by **2.4%**[3](index=3&type=chunk) - The company maintained a high occupancy rate of **99.4%** with a weighted average remaining lease term of **10.0 years**[3](index=3&type=chunk) - During the quarter, NNN invested **$124.5 million** in 20 new properties, sold six properties for **$18.5 million**, and raised **$21.5 million** in net proceeds from issuing common shares[3](index=3&type=chunk) - CEO Steve Horn emphasized the quarter's predictable performance, highlighting the **$125 million** in property acquisitions at an **8.0%** initial cash cap rate and an **18-year** weighted average lease term[4](index=4&type=chunk) [Financial Statements](index=4&type=section&id=Financial%20Statements) This section presents the unaudited summary financial statements for Q1 2024, detailing the company's financial performance and position [Income Statement Summary](index=4&type=section&id=Income%20Statement%20Summary) Q1 2024 total revenues increased to **$215.4 million** from **$204.1 million** year-over-year, with net earnings growing to **$94.4 million** Q1 2024 Income Statement Summary (unaudited) | Metric | 2024 (in thousands) | 2023 (in thousands) | |---|---|---| | **Revenues** | **$215,407** | **$204,108** | | Rental income | $214,825 | $203,630 | | **Operating expenses** | **$81,907** | **$81,383** | | Depreciation and amortization | $60,615 | $59,148 | | **Earnings from operations** | **$138,321** | **$129,025** | | Interest expense | $44,069 | $38,891 | | **Net earnings** | **$94,371** | **$90,167** | | **Diluted Net earnings per share** | **$0.52** | **$0.50** | [Balance Sheet Summary](index=8&type=section&id=Balance%20Sheet%20Summary) As of March 31, 2024, total assets were **$8.71 billion**, with liabilities at **$4.53 billion** and equity at **$4.17 billion** Balance Sheet Summary (unaudited) | Metric | March 31, 2024 (in thousands) | December 31, 2023 (in thousands) | |---|---|---| | **Assets** | | | | Real estate portfolio, net | $8,586,856 | $8,535,851 | | Total assets | **$8,705,742** | **$8,661,968** | | **Liabilities** | | | | Line of credit payable | $116,200 | $132,000 | | Notes payable, net | $4,229,933 | $4,228,544 | | Total liabilities | **$4,530,884** | **$4,504,511** | | **Total equity** | **$4,174,858** | **$4,157,457** | | Total liabilities and equity | **$8,705,742** | **$8,661,968** | [Reconciliation of Non-GAAP Financial Measures](index=5&type=section&id=Reconciliation%20of%20Non-GAAP%20Financial%20Measures) This section reconciles GAAP Net Earnings to non-GAAP metrics FFO, Core FFO, and AFFO, detailing per share performance for Q1 2024 Q1 2024 FFO and Core FFO Reconciliation | Metric | 2024 (in thousands, except per share) | 2023 (in thousands, except per share) | |---|---|---| | **Net earnings** | **$94,371** | **$90,167** | | Total FFO adjustments | $56,890 | $55,382 | | **FFO** | **$151,261** | **$145,549** | | Diluted FFO per share | $0.83 | $0.80 | | Total Core FFO adjustments | $317 | $423 | | **Core FFO** | **$151,578** | **$145,972** | | Diluted Core FFO per share | $0.83 | $0.80 | Q1 2024 AFFO Reconciliation | Metric | 2024 (in thousands, except per share) | 2023 (in thousands, except per share) | |---|---|---| | **Core FFO** | **$151,578** | **$145,972** | | Total AFFO adjustments | $1,681 | $2,194 | | **AFFO** | **$153,259** | **$148,166** | | Diluted AFFO per share | $0.84 | $0.82 | [2024 Full-Year Guidance](index=7&type=section&id=2024%20Earnings%20Guidance) NNN REIT provided its full-year 2024 guidance, projecting Core FFO and AFFO per share ranges, alongside acquisition and disposition volumes 2024 Guidance | Metric | 2024 Guidance | |---|---| | Net earnings per share (excluding certain items) | $1.94 - $2.00 per share | | Core FFO per share | $3.25 - $3.31 per share | | AFFO per share | $3.29 - $3.35 per share | | Acquisition volume | $400 - $500 Million | | Disposition volume | $80 - $120 Million | [Debt Summary](index=9&type=section&id=Debt%20Summary) This section details the company's debt profile and covenant compliance as of March 31, 2024, highlighting a strong balance sheet [Debt Composition](index=9&type=section&id=Debt%20Summary) As of March 31, 2024, total unsecured debt was approximately **$4.42 billion** with a **4.0%** weighted average interest rate and **11.8-year** weighted average maturity Unsecured Debt Summary as of March 31, 2024 | Debt Type | Principal (in thousands) | Stated Rate | Maturity Date | |---|---|---|---| | Line of credit payable | $116,200 | SOFR + 87.5 bps | June 2025 | | Unsecured notes payable | $4,300,000 | Various (2.500% - 5.600%) | 2024 - 2052 | | **Total Unsecured Debt** | **$4,416,200** | **(W.A. 4.0%)** | **(W.A. 11.8 years)** | - As of March 31, 2024, the Net Debt / EBITDA ratio based on annualized current quarter EBITDA is **5.5x**[26](index=26&type=chunk) [Key Financial Covenants](index=10&type=section&id=Credit%20Facility%20and%20Note%20Covenants) The company reported full compliance with all key financial covenants for its unsecured credit facility and notes as of March 31, 2024 Covenant Compliance as of March 31, 2024 | Key Covenants (Unsecured Bank Credit Facility) | Required | Actual | |---|---|---| | Maximum leverage ratio | < 0.60 | 0.39 | | Minimum fixed charge coverage ratio | > 1.50 | 4.43 | | Unencumbered asset value ratio | > 1.67 | 2.64 | | **Key Covenants (Unsecured Notes)** | **Required** | **Actual** | | Limitation on incurrence of total debt | ≤ 60% | 40.9% | | Debt service coverage ratio | ≥ 1.50 | 4.4 | [Property Portfolio Analysis](index=11&type=section&id=Property%20Portfolio) As of March 31, 2024, NNN's portfolio comprised **3,546** properties across 49 states, highly diversified by line of trade, geography, and tenancy - As of March 31, 2024, the company owned **3,546** properties in 49 states with a gross leasable area of approximately **36.1 million square feet** and a weighted average remaining lease term of **10.0 years**[4](index=4&type=chunk) [Diversification by Line of Trade and Geography](index=11&type=section&id=Top%2020%20Lines%20of%20Trade) The portfolio demonstrates strong diversification by industry and location, with top lines of trade and key states highlighted Top 5 Lines of Trade by Annual Base Rent (2024) | Lines of Trade | % of Annual Base Rent | |---|---| | 1. Automotive service | 16.3% | | 2. Convenience stores | 16.2% | | 3. Restaurants – full service | 8.6% | | 4. Restaurants – limited service | 8.5% | | 5. Family entertainment centers | 6.7% | Top 5 States by Annual Base Rent | State | % of Total | |---|---| | 1. Texas | 16.9% | | 2. Florida | 9.4% | | 3. Illinois | 5.1% | | 4. Ohio | 4.9% | | 5. Georgia | 4.8% | [Tenant and Lease Expiration Profile](index=12&type=section&id=Top%2020%20Tenants) The tenant base is highly granular, with the largest tenant comprising **4.4%** of annual base rent, and a well-staggered lease expiration schedule Top 5 Tenants by Annual Base Rent | Tenant | % of Total | |---|---| | 1. 7-Eleven | 4.4% | | 2. Mister Car Wash | 4.1% | | 3. Camping World | 3.8% | | 4. Dave & Buster's | 3.5% | | 5. LA Fitness | 3.0% | Lease Expirations by % of Annual Base Rent | Year | % of Total | |---|---| | 2024 | 1.2% | | 2025 | 4.5% | | 2026 | 4.7% | | 2027 | 8.1% | | Thereafter | 50.1% |

ORLANDO, Fla., May 1, 2024 /PRNewswire/ -- NNN REIT, Inc. (NYSE: NNN), a real estate investment trust, today announced its operating results for the quarter ended March 31, 2024. Highlights include: Operating Results: Revenues and net earnings, FFO, Core FFO and AFFO and diluted per share amounts: Quarter EndedMarch 31, 2024 2023 (dollars in thousands, except per share data) Revenues $ 215,407 $ 204,108 Net earnings $ 94,371 $ 90,167 <td colspa ...

A restaurant waitress serves guests. alvarez/E+ via Getty Images Hard truths. Some people avoid them. Some people find liberation in them. I tend to fit in the latter group. One of the tougher truths of life that applies to personal finances is as follows: As long as there is life, bills tend to follow not far behind. Upon entering adulthood, this becomes a distressing reality for many. Unless somebody has someone who sets them up with a carefully constructed multi-million-dollar trust fund, they will pro ...

Funtap Thesis Given the current macroeconomic environment and high interest rates REITs have taken a hit on their valuations. NNN REIT Inc (NYSE:NNN) is a REIT that offers good diversification amongst sectors and tenants, have good debt management as well as debt maturity profile and trades at an attractive valuation which makes NNN a buy. Introduction and Performance NNN is a real estate investment trust (REIT) with a well diversified portfolio of triple net leased properties across the United States. ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D. C. 20549 FORM 10-K (Mark One) ☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15 (d) OF THE SECURITIES EXCHANGE ACT OF 1934. For the fiscal year ended December 31, 2023 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15 (d) OF THE SECURITIES EXCHANGE ACT OF 1934. For the transition period from to . Commission file number 001-11290 NNN REIT, INC. (Exact name of registrant as specified in its charter) Maryland 56-1431377 (State or other jurisdiction o ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D. C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934. For the quarterly period ended September 30, 2023 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934. For the transition period from to Commission file number 001-11290 NNN REIT, INC. (Exact name of registrant as specified in its charter) (State or other jurisdiction of incorporation or organiz ...

Financial Data and Key Metrics Changes - The company reported quarterly core FFO results of $0.80 per share for Q2 2023, an increase of $0.03 or 1.3% over the previous year [11] - Year-to-date core FFO results were $1.60 per share, representing a 2.6% increase over the prior year [11] - The AFFO for the first half of 2023 was $1.62 per share, a 1.3% increase over the previous year [11] - The AFFO dividend payout ratio for the first half of 2023 was approximately 68%, resulting in about $95 million of free cash flow [12] Business Line Data and Key Metrics Changes - The portfolio consists of 3,479 freestanding single-tenant properties with a high occupancy level of 99.4%, maintained for four consecutive quarters [3] - Nearly 90% of leases up for renewal during the quarter were extended at 105% of the prior rent [3] - The company sold 7 properties during the quarter, raising $28 million at a 5.1% cap rate, with year-to-date proceeds from property sales totaling $40 million at a 5.6% cap rate [8] Market Data and Key Metrics Changes - The initial cash cap rate for the first half of 2023 was 7.1%, which is 90 basis points higher year-over-year [4] - The company observed a 20 basis point increase in cap rates from Q1 to Q2 2023, with expectations of a slight increase of 10 to 20 basis points in the second half of the year [4][74] Company Strategy and Development Direction - The company announced an increase in its 2023 core FFO guidance to a range of $3.17 to $3.22 per share, reflecting a long-standing strategy aimed at consistent per share growth [6][13] - NNN has increased its acquisition guidance to $600 million to $700 million for the year, focusing on long-term lease deals with durations of 15 to 20 years [7] - The company maintains a strong balance sheet with over $750 million of liquidity and no material debt maturities until mid-2024 [14][33] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in navigating the current economic and capital market uncertainties, with a focus on maintaining high occupancy and strong lease renewals [40] - The company anticipates a return to a more normal growth cadence in 2024, with expectations of mid-single-digit per share growth [80] - Management noted that the credit watch list remains largely unchanged, with no significant concerns regarding tenant health [72] Other Important Information - The company has a disciplined approach to acquisitions, emphasizing relationship-based business models and targeting sale-leaseback transactions [32] - The company has begun to utilize its bank line more frequently in response to the current interest rate environment, with a weighted average debt maturity of over 12 years [39] Q&A Session All Questions and Answers Question: Can you talk about the new AFFO guidance and what kept the high end of guidance from moving higher? - The capitalized interest from increased split-funded acquisitions is a drag on AFFO for this year relative to prior years [44] Question: What are the bad debt assumptions in your guidance? - The company typically assumes a 1% rent loss annually, but current trends suggest it will be closer to 0.5% this year [46][84] Question: Can you provide an update on the credit watch list and any exposures? - The company has seen no significant changes in the credit watch list, with recent bankruptcies having minimal impact on revenue [72][86] Question: How is the acquisition pipeline evolving compared to 3 to 6 months ago? - The acquisition pipeline is stronger now than it was 3 to 6 months ago, with a robust sale-leaseback market [88]

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D. C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934. For the quarterly period ended June 30, 2023 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934. For the transition period from to Commission file number 001-11290 NNN REIT, INC. (Exact name of registrant as specified in its charter) (State or other jurisdiction of incorporation or organization ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D. C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934. For the quarterly period ended March 31, 2023 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934. For the transition period from to Commission file number 001-11290 NNN REIT, INC. (Exact name of registrant as specified in its charter) (State or other jurisdiction of incorporation or organizatio ...

National Retail Properties, Inc. (NYSE:NNN) Q4 2022 Earnings Conference Call February 9, 2023 10:30 AM ET Company Participants Steve Horn - President and Chief Executive Officer Kevin Habicht - Chief Financial Officer Conference Call Participants Brad Heffern - RBC Capital Markets Spenser Allaway - Green Street Joshua Dennerlein - Bank of America Ronald Kamdem - Morgan Stanley Nick Joseph - Citi Linda Tsai - Jefferies John Massocca - Ladenburg Wes Golladay - Baird Tayo Okusanya - Credit Suisse Operator Good ...