REIT Performance Overview - REITs experienced a significant rebound in August with an average return of +5.48%, recovering most losses from the first seven months of the year [1] - The average REIT outperformed broader market indices, including the Dow Jones Industrial Average (+3.4%), S&P 500 (+2.0%), and NASDAQ (+1.7%) [1] - Year-to-date, the Vanguard Real Estate ETF (VNQ) has outperformed the average REIT, with returns of +5.65% compared to -1.11% for the average REIT [1] Performance by Market Capitalization - Small cap REITs (+7.52%) and mid cap REITs (+7.13%) outperformed large cap REITs (+3.16%) and micro cap REITs (+0.87%) in August [3] - Over the first eight months of 2025, large cap REITs have outperformed small caps by 186 basis points [3] Property Type Performance - 83.33% of REIT property types averaged positive returns in August, with a notable 22.34% total return spread between the best (Malls +12.70%) and worst (Infrastructure -9.64%) performing property types [5][6] - Health Care (+17.97%) and Casino REITs (+10.85%) showed strong performance over the first eight months of 2025, while Hotels (-11.28%) were the worst-performing property type [6][7] Price/FFO Multiples - The average P/FFO (2025Y) for the REIT sector rose from 13.7x to 14.5x in August, with 83% of property types experiencing multiple expansion [7] - Land (26.9x), Data Centers (25.9x), Multifamily (22.1x), and Single Family Housing (21.3x) currently trade at the highest average multiples among REIT property types [7] Individual Security Highlights - Plymouth Industrial REIT (PLYM) surged by +51.52% following an unsolicited acquisition proposal from Sixth Street Partners at $24.10/share [9] - Wheeler REIT (WHLR) was the worst-performing REIT in August with a return of -48.09%, and has seen a staggering -99.62% total return over the first eight months of 2025 [10] Dividend Yield Insights - High dividend yields are a significant attraction for investors in the REIT sector, with many REITs trading below their NAV, leading to attractive yield opportunities [14]

Core Points - Plymouth Industrial REIT, Inc. declared a regular quarterly cash dividend of $0.24 per share for Q3 2025, equating to an annualized rate of $0.96 per share [1] - The dividend is payable on October 31, 2025, to stockholders of record as of September 30, 2025 [1] Company Overview - Plymouth Industrial REIT, Inc. is a full-service, vertically integrated real estate investment company focused on acquiring, owning, and managing single and multi-tenant industrial properties [2] - The company's mission is to provide tenants with cost-effective, functional, flexible, and safe space [2]

Core Insights - Plymouth Industrial REIT (PLYM) has received an unsolicited proposal from Sixth Street Partners, LLC to acquire all outstanding shares for $24.10 per share, leading to a 47.06% increase in share price [1][8] - Sixth Street Partners beneficially owns approximately 9.99% of Plymouth's outstanding common stock, and the company's board will review the proposal with its financial and legal advisors [2][8] - Plymouth focuses on acquiring, owning, and managing industrial properties and is well-positioned for growth despite macroeconomic uncertainties and tariff issues [3][4] Company Performance - Over the past three months, Plymouth's shares have increased by 36.7%, contrasting with a 0.1% decline in the industry [4] - Shareholders are not required to take any action regarding the acquisition proposal at this time [3][8] Related Stocks - Other top-ranked stocks in the REIT sector include Host Hotels & Resorts (HST) and Welltower (WELL), both currently holding a Zacks Rank 2 [6] - The Zacks Consensus Estimate for HST's 2025 FFO per share has increased by 4 cents to $1.95, while WELL's estimate has risen by 2 cents to $5.06 [7]

Core Viewpoint - Plymouth Industrial REIT, Inc. has received an unsolicited proposal from Sixth Street Partners to acquire all outstanding shares for $24.10 per share, with Sixth Street owning approximately 9.99% of the company's stock [1][2]. Group 1: Proposal Details - The proposal from Sixth Street Partners is non-binding and offers cash consideration of $24.10 per share [1]. - Sixth Street beneficially owns about 9.99% of Plymouth's outstanding common stock [1]. Group 2: Company Response - The Board of Directors will evaluate the proposal in consultation with financial and legal advisors to determine the best course of action for shareholders [2]. - Shareholders are not required to take any action at this time regarding the proposal [2]. Group 3: Advisory Support - KeyBanc Capital Markets Inc. is serving as the financial advisor to Plymouth [3]. - Morrison & Foerster LLP is providing legal counsel to the company [3]. Group 4: Company Overview - Plymouth Industrial REIT, Inc. is focused on the acquisition, ownership, and management of single and multi-tenant industrial properties [4]. - The company's mission is to provide tenants with cost-effective, functional, flexible, and safe space [4].

Financial Data and Key Metrics Changes - The company reported strong leasing activity with over 1.4 million square feet leased in Q2, bringing the year-to-date total to nearly 6 million square feet, addressing nearly 70% of 2025 lease expirations and driving blended cash rent spreads of over 13% [6] - Same store NOI grew 4.1% on a cash basis, supported by strong rent growth and renewal activity, with occupancy expected to end the year near 96.5% [7] - The company reaffirmed its full year 2025 core FFO guidance, expecting a stronger second half of the year supported by continued lease-up activity and embedded rent growth [9] Business Line Data and Key Metrics Changes - The company closed on $204 million of acquisitions in Q2, including the Ohio Light Industrial portfolio, acquired at an initial yield of 6.7% with in-place rents approximately 22% below market [6] - The focus remains on acquiring and operating smaller footprint infill industrial properties in dense supply-constrained submarkets, which continue to outperform bulk products with occupancy rates over 400 basis points higher than broader market averages [7] Market Data and Key Metrics Changes - The company noted strong demand from light manufacturing users seeking long-term space commitments in core markets, with particular strength in 3PL activity [6][34] - Market rents have been growing but at a slower pace compared to previous years, particularly for larger box products, which have muted overall results [40] Company Strategy and Development Direction - The strategic focus is on acquiring and operating smaller footprint infill industrial properties, which are well insulated from new supply and positioned to capture strong rent growth [7] - The company is actively engaged in a large off-market portfolio acquisition, which could significantly contribute to its acquisition volume for the year [15] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in tenant retention and renewal activity, with ongoing discussions for lease extensions and a strong pipeline for 2026 [12][13] - The company anticipates that as absorption picks up, interest in build-to-suit opportunities will increase, particularly in infill locations [49] Other Important Information - The company ended the quarter with over $285 million of availability on its unsecured credit line and 74.5% of its debt fixed, maintaining strong balance sheet flexibility [8] - The company executed a share repurchase program, acquiring over 805,000 shares in the quarter and another 225,000 shares post-quarter end [6] Q&A Session Summary Question: Update on lease expirations in Memphis and St. Louis - Management is working on a two-year extension for the Memphis expiration and expects the St. Louis renewal to finalize soon, with no risk of it not happening [12] Question: Expectations for tenant retention in 2026 - Management indicated that 2026 looks light so far, but there are two significant leases in the signature cycle, and they are seeing strong interest in early expirations [13] Question: Additional acquisitions in the second half - The acquisition pipeline currently stands at about $750 million, with a focus on markets where the company already has an operating presence [15] Question: Context on remaining lease expirations - Approximately 80% of the remaining lease expirations are in active discussion, with a mix of active negotiations and ongoing communications with tenants [21][24] Question: Insights on leasing activity and market dynamics - Management noted that manufacturing firms are solidifying long-term space commitments, driven by expectations of future rent increases and strong 3PL activity [33] Question: Capital allocation priorities - The company has about $90 million left to deploy across acquisitions or share repurchases, with a balanced approach to both [45]

Core Insights - Plymouth Industrial reported revenue of $47.2 million for the quarter ended June 2025, reflecting a decrease of 3.1% year-over-year, but a surprise of +1.07% over the Zacks Consensus Estimate of $46.71 million [1] - The company's EPS for the quarter was $0.46, significantly higher than $0.03 in the same quarter last year, and exceeded the consensus estimate of $0.43 by +6.98% [1] Revenue Breakdown - Management fee revenue and other income amounted to $0.15 million, surpassing the average estimate of $0.13 million by two analysts, representing a year-over-year increase of +294.6% [4] - Rental revenue was reported at $47.06 million, slightly above the estimated $46.08 million by two analysts, but down 3.3% compared to the previous year [4] Stock Performance - Over the past month, shares of Plymouth Industrial have declined by -9.6%, contrasting with a +0.5% change in the Zacks S&P 500 composite [3] - The stock currently holds a Zacks Rank 2 (Buy), suggesting potential for outperformance against the broader market in the near term [3]

[PART I. FINANCIAL INFORMATION](index=3&type=section&id=PART%20I.%20FINANCIAL%20INFORMATION) [ITEM 1. FINANCIAL STATEMENTS (Unaudited)](index=3&type=section&id=ITEM%201.%20FINANCIAL%20STATEMENTS%20%28Unaudited%29) This section presents the unaudited condensed consolidated financial statements, including balance sheets, statements of operations, comprehensive income (loss), changes in redeemable non-controlling interest and equity, and cash flows, along with detailed notes explaining the company's business, accounting policies, and specific financial line items [Condensed Consolidated Balance Sheets](index=3&type=section&id=Condensed%20Consolidated%20Balance%20Sheets) | Metric | June 30, 2025 (in thousands) | December 31, 2024 (in thousands) | | :-------------------------------- | :----------------------------- | :------------------------------- | | Total assets | $1,583,742 | $1,368,418 | | Total Liabilities | $962,161 | $781,299 | | Redeemable non-controlling interest | $76,123 | $1,259 | | Total equity | $545,458 | $585,860 | [Condensed Consolidated Statements of Operations](index=4&type=section&id=Condensed%20Consolidated%20Statements%20of%20Operations) | Metric | Three Months Ended June 30, 2025 (in thousands) | Three Months Ended June 30, 2024 (in thousands) | Six Months Ended June 30, 2025 (in thousands) | Six Months Ended June 30, 2024 (in thousands) | | :------------------------------------------------ | :---------------------------------------------- | :---------------------------------------------- | :-------------------------------------------- | :-------------------------------------------- | | Total revenues | $47,204 | $48,686 | $92,775 | $98,914 | | Total operating expenses | $38,433 | $38,796 | $76,617 | $81,170 | | Net income (loss) | $(4,536) | $1,328 | $2,471 | $7,614 | | Net income (loss) attributable to common stockholders | $(6,195) | $1,220 | $(440) | $7,344 | | Basic EPS | $(0.14) | $0.03 | $(0.01) | $0.16 | | Diluted EPS | $(0.14) | $0.03 | $(0.01) | $0.16 | [Condensed Consolidated Statements of Comprehensive Income (Loss)](index=5&type=section&id=Condensed%20Consolidated%20Statements%20of%20Comprehensive%20Income%20%28Loss%29) | Metric | Three Months Ended June 30, 2025 (in thousands) | Three Months Ended June 30, 2024 (in thousands) | Six Months Ended June 30, 2025 (in thousands) | Six Months Ended June 30, 2024 (in thousands) | | :---------------------------------------------------------------- | :---------------------------------------------- | :---------------------------------------------- | :-------------------------------------------- | :-------------------------------------------- | | Net income (loss) | $(4,536) | $1,328 | $2,471 | $7,614 | | Unrealized (loss) gain on interest rate swaps | $(2,862) | $(870) | $(7,465) | $4,817 | | Comprehensive income (loss) attributable to Plymouth Industrial REIT, Inc. | $(8,926) | $453 | $(7,629) | $12,297 | [Condensed Consolidated Statements of Changes in Redeemable Non-controlling Interest and Equity](index=6&type=section&id=Condensed%20Consolidated%20Statements%20of%20Changes%20in%20Redeemable%20Non-controlling%20Interest%20and%20Equity) - Redeemable non-controlling interest significantly increased from **$1,259 thousand** at December 31, 2024, to **$76,123 thousand** at June 30, 2025, primarily due to the issuance of Series C Preferred Units[8](index=8&type=chunk)[17](index=17&type=chunk) - The company repurchased and retired 805,394 shares of common stock during the six months ended June 30, 2025, impacting total stockholders' equity[17](index=17&type=chunk) | Metric | June 30, 2025 (in thousands) | December 31, 2024 (in thousands) | | :-------------------------------- | :----------------------------- | :------------------------------- | | Common stock | $448 | $454 | | Additional paid in capital | $572,496 | $604,839 | | Accumulated deficit | $(43,507) | $(43,262) | | Accumulated other comprehensive income | $10,133 | $17,517 | | Total stockholders' equity | $539,570 | $579,548 | [Condensed Consolidated Statements of Cash Flows](index=8&type=section&id=Condensed%20Consolidated%20Statements%20of%20Cash%20Flows) | Cash Flow Activity | Six Months Ended June 30, 2025 (in thousands) | Six Months Ended June 30, 2024 (in thousands) | | :------------------------------------ | :-------------------------------------------- | :-------------------------------------------- | | Net cash provided by operating activities | $38,978 | $36,477 | | Net cash used in investing activities | $(280,212) | $(811) | | Net cash provided by (used in) financing activities | $235,082 | $(25,741) | | Net (decrease) increase in cash, cash held in escrow, and restricted cash | $(6,152) | $9,925 | - Net cash used in investing activities significantly increased in 2025 due to **$271.5 million** in real estate acquisitions[23](index=23&type=chunk)[220](index=220&type=chunk) - Financing activities shifted from a net cash outflow of **$25.7 million** in 2024 to a net cash inflow of **$235.1 million** in 2025, driven by proceeds from the line of credit and financing transactions[23](index=23&type=chunk)[221](index=221&type=chunk) [Notes to Condensed Consolidated Financial Statements](index=9&type=section&id=Notes%20to%20Condensed%20Consolidated%20Financial%20Statements) [1. Nature of the Business and Basis of Presentation](index=9&type=section&id=1.%20Nature%20of%20the%20Business%20and%20Basis%20of%20Presentation) - Plymouth Industrial REIT, Inc. is a Maryland corporation structured as an UPREIT, owning substantially all assets and conducting business through its Operating Partnership, in which it held a **98.9% equity interest** as of June 30, 2025[25](index=25&type=chunk) - As of June 30, 2025, the Company wholly owned **148 industrial properties** (226 buildings, 32.1 million square feet) and a **35% non-controlling equity interest** in a joint venture accounted for using the equity method[26](index=26&type=chunk) [2. Summary of Significant Accounting Policies](index=9&type=section&id=2.%20Summary%20of%20Significant%20Accounting%20Policies) - The Company's interim condensed consolidated financial statements are prepared in accordance with U.S. GAAP and include adjustments of a normal and recurring nature[27](index=27&type=chunk) - The fair value hierarchy categorizes financial instruments into Level 1 (quoted prices in active markets), Level 2 (observable inputs other than Level 1), and Level 3 (significant unobservable inputs)[39](index=39&type=chunk)[40](index=40&type=chunk)[41](index=41&type=chunk) | Balance Sheet Line Item | Fair Value as of June 30, 2025 (in thousands) | Level 1 (in thousands) | Level 2 (in thousands) | Level 3 (in thousands) | | :------------------------ | :------------------------------------------ | :--------------------- | :--------------------- | :--------------------- | | Interest rate swaps - Asset | $10,295 | $— | $10,295 | $— | | Interest rate swaps - Liability | $(174) | $— | $(174) | $— | | Warrant liability | $(32,502) | $— | $— | $(32,502) | | Forward contract asset | $— | $— | $— | $— | - The forward contract to issue Series C Preferred Units was fully settled on May 28, 2025, upon the issuance of the remaining 79,090 units[43](index=43&type=chunk)[123](index=123&type=chunk) - The FASB issued ASU 2024-03, 'Disaggregation of Income Statement Expenses,' effective for annual periods beginning after December 15, 2026, which the Company is currently evaluating[62](index=62&type=chunk) [3. Real Estate Properties, Net](index=13&type=section&id=3.%20Real%20Estate%20Properties%2C%20Net) | Metric | June 30, 2025 (in thousands) | December 31, 2024 (in thousands) | | :-------------------------- | :----------------------------- | :------------------------------- | | Real estate properties, net | $1,393,447 | $1,156,697 | - The Company acquired **19 properties** totaling **2,852,714 square feet** for **$269,725 thousand** during the six months ended June 30, 2025, with no acquisitions in the prior year period[64](index=64&type=chunk)[66](index=66&type=chunk) - A net gain of **$301 thousand** was recognized from the sale of a **33,688 square foot property** in Memphis, TN, during the six months ended June 30, 2025, compared to an **$849 thousand** gain in the prior year[67](index=67&type=chunk) [4. Investment in Unconsolidated Joint Ventures](index=14&type=section&id=4.%20Investment%20in%20Unconsolidated%20Joint%20Ventures) - The Company holds a **35% non-controlling equity interest** in the Isosceles Joint Venture, accounted for using the equity method, with a carrying amount of **$44,886 thousand** as of June 30, 2025[70](index=70&type=chunk) - An investment of **$2,221 thousand** in AIP OP represents approximately **42% ownership**, also accounted for as an equity method investment, with maximum exposure to loss limited to the equity interest[72](index=72&type=chunk) - Both joint ventures use the hypothetical-liquidation-at-book-value (HLBV) method to determine equity in earnings due to varying liquidation and distribution priorities[71](index=71&type=chunk)[73](index=73&type=chunk) [5. Leases](index=15&type=section&id=5.%20Leases) | Rental Revenue Component | Three Months Ended June 30, 2025 (in thousands) | Three Months Ended June 30, 2024 (in thousands) | Six Months Ended June 30, 2025 (in thousands) | Six Months Ended June 30, 2024 (in thousands) | | :------------------------- | :---------------------------------------------- | :---------------------------------------------- | :-------------------------------------------- | :-------------------------------------------- | | Income from leases | $35,560 | $37,321 | $69,373 | $74,212 | | Straight-line rent adjustments | $168 | $(1,044) | $376 | $(1,029) | | Tenant recoveries | $11,022 | $11,759 | $22,127 | $24,618 | | Total Rental Revenue | $47,058 | $48,329 | $92,476 | $98,412 | - As a lessee, the Company has operating lease liabilities of approximately **$4,504 thousand** (weighted-average remaining term of **7.9 years**, **4.0% incremental borrowing rate**) and a financing lease liability of **$2,302 thousand** (**30.5 years**, **7.8% incremental borrowing rate**) as of June 30, 2025[82](index=82&type=chunk)[87](index=87&type=chunk) [6. Indebtedness](index=18&type=section&id=6.%20Indebtedness) | Debt Type | Outstanding Balance at June 30, 2025 (in thousands) | Outstanding Balance at December 31, 2024 (in thousands) | | :-------------------------- | :-------------------------------------------- | :---------------------------------------------- | | Secured debt, net | $174,485 | $175,980 | | Unsecured debt, net | $448,102 | $447,741 | | Borrowings under line of credit | $214,200 | $20,000 | | Total carrying value | $836,787 | $643,721 | - The Company was in compliance with all financial covenants for its secured and unsecured debt and unsecured revolving line of credit as of June 30, 2025[93](index=93&type=chunk) [7. Derivative Financial Instruments](index=19&type=section&id=7.%20Derivative%20Financial%20Instruments) - The Company uses interest rate swaps as cash flow hedges to manage exposure to interest rate movements, aiming for stability in interest expense[97](index=97&type=chunk) | Metric | June 30, 2025 (in thousands) | December 31, 2024 (in thousands) | | :-------------------------- | :----------------------------- | :------------------------------- | | Interest rate swaps - Asset | $10,295 | $17,760 | | Interest rate swaps - Liability | $(174) | $(520) | - An estimated **$11,672 thousand** will be reclassified as a decrease to interest expense from accumulated other comprehensive income over the next twelve months[102](index=102&type=chunk) [8. Common Stock](index=20&type=section&id=8.%20Common%20Stock) | Quarter | Cash Dividends Declared per Share | Aggregate Amount (in thousands) | | :---------------- | :-------------------------------- | :------------------------------ | | Q1 2025 | $0.2400 | $10,964 | | Q2 2025 | $0.2400 | $10,827 | | Total 2025 (6 months) | $0.4800 | $21,791 | | Total 2024 | $0.9600 | $43,685 | - The Board authorized a **$90.0 million** share repurchase program on February 26, 2025. During the six months ended June 30, 2025, the Company repurchased **805,394 shares** for **$13,110 thousand** at an average price of **$16.28 per share**, with **$76.9 million** remaining under the program[116](index=116&type=chunk)[117](index=117&type=chunk)[251](index=251&type=chunk) - The Company has approximately **$200,000 thousand** available for issuance under its 2024 **$200 Million ATM Program**, with no shares issued in the first six months of 2025[113](index=113&type=chunk)[233](index=233&type=chunk) [9. Non-Controlling Interests](index=21&type=section&id=9.%20Non-Controlling%20Interests) - Operating Partnership Units (OP Units) outstanding remained at **490,299** as of June 30, 2025, with holders entitled to distributions concurrent with common stock dividends[119](index=119&type=chunk) - On May 28, 2025, the Company issued the remaining **79,090 Series C Preferred Units** for **$78,956 thousand** in net proceeds, settling the forward contract asset[123](index=123&type=chunk) - Series C Preferred Units outstanding increased from **60,910** at December 31, 2024, to **140,000** at June 30, 2025, classified as redeemable non-controlling interests due to a redemption feature outside the Company's control[124](index=124&type=chunk) | Series C Preferred Unit Distributions | Q1 2025 (in thousands) | Q2 2025 (in thousands) | Total 2025 (6 months) (in thousands) | | :------------------------------------ | :--------------------- | :--------------------- | :----------------------------------- | | Cash Dividends | $623 | $928 | $1,551 | | PIK Dividends | $455 | $691 | $1,146 | [10. Incentive Award Plan](index=24&type=section&id=10.%20Incentive%20Award%20Plan) | Restricted Stock Activity | Shares | | :------------------------ | :----- | | Unvested at Dec 31, 2024 | 369,675 | | Granted (6 months 2025) | 199,326 | | Forfeited (6 months 2025) | (3,500) | | Vested (6 months 2025) | (147,672) | | Unvested at June 30, 2025 | 417,829 | - Equity-based compensation expense for restricted stock was **$1,675 thousand** for the six months ended June 30, 2025, with **$6,932 thousand** unrecognized and expected to be recognized over **2.9 years**[140](index=140&type=chunk) - **194,712 Performance Stock Units (PSUs)** were granted on April 24, 2025, subject to performance-based criteria over a three-year period, with a fair value of **$2,274 thousand**[141](index=141&type=chunk)[142](index=142&type=chunk) [11. Earnings per Share](index=25&type=section&id=11.%20Earnings%20per%20Share) | Metric | Three Months Ended June 30, 2025 | Three Months Ended June 30, 2024 | Six Months Ended June 30, 2025 | Six Months Ended June 30, 2024 | | :------------------------------------------------ | :------------------------------- | :------------------------------- | :----------------------------- | :----------------------------- | | Net income (loss) attributable to common stockholders | $(6,195) | $1,220 | $(440) | $7,344 | | Basic EPS | $(0.14) | $0.03 | $(0.01) | $0.16 | | Diluted EPS | $(0.14) | $0.03 | $(0.01) | $0.16 | - All unvested restricted shares and warrants were deemed anti-dilutive for the three and six months ended June 30, 2025, due to the net loss attributable to common stockholders[145](index=145&type=chunk) [12. Warrant Liability](index=26&type=section&id=12.%20Warrant%20Liability) - The Operating Partnership issued warrants to purchase up to **11,760,000 OP Units** in three tranches, which are accounted for as derivative liabilities and remeasured at fair value[148](index=148&type=chunk)[150](index=150&type=chunk) | Warrant Tranche | Adjusted Strike Price per Unit (June 30, 2025) | | :---------------- | :--------------------------------------------- | | First tranche | $23.93 | | Second tranche | $24.88 | | Third tranche | $25.83 | - The warrant liability decreased from **$45,908 thousand** at December 31, 2024, to **$32,502 thousand** at June 30, 2025, reflecting an unrealized gain of **$13,406 thousand**[159](index=159&type=chunk) [13. Commitments and Contingencies](index=27&type=section&id=13.%20Commitments%20and%20Contingencies) - The Company has employment agreements with key executives, providing for base salaries, discretionary awards, and termination provisions[160](index=160&type=chunk) - The Company is not currently party to any material legal proceedings[161](index=161&type=chunk) [14. Subsequent Events](index=27&type=section&id=14.%20Subsequent%20Events) - No subsequent events requiring adjustment or disclosure were identified through the filing date of the Quarterly Report on Form 10-Q[162](index=162&type=chunk) [ITEM 2. Management's Discussion and Analysis of Financial Condition and Results of Operations](index=28&type=section&id=ITEM%202.%20Management%27s%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) This section provides management's perspective on the company's financial condition and results of operations, including an overview of its business, factors influencing future results, critical accounting policies, detailed analysis of operating results, supplemental earnings measures, cash flow, liquidity, capital resources, off-balance sheet arrangements, and exposure to inflation and interest rate risks [Cautionary Note Regarding Forward-Looking Statements](index=28&type=section&id=Cautionary%20Note%20Regarding%20Forward-Looking%20Statements) - The report contains forward-looking statements subject to various risks and uncertainties, including inflation, financing risks, competitive environment, real estate fluctuations, and potential defaults[164](index=164&type=chunk)[169](index=169&type=chunk) [Overview](index=28&type=section&id=Overview) - The Company is a vertically integrated REIT focused on acquiring, owning, and managing single and multi-tenant industrial properties in primary and secondary U.S. markets[167](index=167&type=chunk) - As of June 30, 2025, the portfolio included **148 wholly-owned industrial properties** (226 buildings, 32.1 million square feet) and a **35% non-controlling equity interest** in a joint venture[168](index=168&type=chunk) - The Company is evaluating diversifying its portfolio to include origination or acquisition of mortgage, bridge, or mezzanine loans collateralized by properties meeting similar investment criteria[170](index=170&type=chunk) [Factors That May Influence Future Results of Operations](index=30&type=section&id=Factors%20That%20May%20Influence%20Future%20Results%20of%20Operations) - The core investment strategy focuses on acquiring industrial properties in primary and secondary U.S. markets to achieve attractive initial yields and strong cash-on-cash returns[172](index=172&type=chunk) - As of June 30, 2025, the Company's portfolio was approximately **94.6% occupied**[175](index=175&type=chunk) | Lease Activity (6 months ended June 30, 2025) | Square Footage | % of Total | Expiring Rent ($/SF/YR) | New Rent ($/SF/YR) | % Change | | :-------------------------------------------- | :------------- | :--------- | :---------------------- | :----------------- | :------- | | Renewals | 2,700,379 | 69.4% | $4.66 | $5.23 | 12.2% | | New leases | 1,190,645 | 30.6% | $4.69 | $4.89 | 4.3% | | Total/weighted average | 3,891,024 | 100.0% | $4.67 | $5.12 | 9.6% | - **46.9% of annualized base rent leases** are scheduled to expire between July 1, 2025, and December 31, 2027, providing an opportunity to increase rents[176](index=176&type=chunk) [Critical Accounting Policies](index=30&type=section&id=Critical%20Accounting%20Policies) - The preparation of financial statements requires significant estimates and assumptions, particularly for real estate acquisitions, impairments, stock-based compensation, and fair value of warrants and forward contracts[181](index=181&type=chunk)[182](index=182&type=chunk) - There were no material changes to the Company's critical accounting policies during the six months ended June 30, 2025[183](index=183&type=chunk) [Results of Operations](index=32&type=section&id=Results%20of%20Operations) | Metric | Three Months Ended June 30, 2025 (in thousands) | Three Months Ended June 30, 2024 (in thousands) | Change ($) | Change (%) | | :------------------------------------ | :---------------------------------------------- | :---------------------------------------------- | :--------- | :--------- | | Total revenues | $47,204 | $48,686 | $(1,482) | (3.0%) | | Total operating expenses | $38,433 | $38,796 | $(363) | (0.9%) | | Interest expense | $(7,454) | $(9,411) | $1,957 | (20.8%) | | Loss in investment of unconsolidated joint ventures | $(7,222) | $— | $(7,222) | (100.0%) | | Net income (loss) | $(4,536) | $1,328 | $(5,864) | (441.6%) | | Metric | Six Months Ended June 30, 2025 (in thousands) | Six Months Ended June 30, 2024 (in thousands) | Change ($) | Change (%) | | :------------------------------------ | :-------------------------------------------- | :-------------------------------------------- | :--------- | :--------- | | Total revenues | $92,775 | $98,914 | $(6,139) | (6.2%) | | Total operating expenses | $76,617 | $81,170 | $(4,553) | (5.6%) | | Interest expense | $(14,303) | $(19,009) | $4,706 | (24.8%) | | Loss in investment of unconsolidated joint ventures | $(15,270) | $— | $(15,270) | (100.0%) | | Net income (loss) | $2,471 | $7,614 | $(5,143) | (67.5%) | - Rental revenue decreased by **$1,591 thousand (3.3%)** for the three months and **$6,363 thousand (6.4%)** for the six months ended June 30, 2025, primarily due to the contribution of Chicago properties into a joint venture and dispositions in 2024, partially offset by Same Store Portfolio increases[186](index=186&type=chunk)[197](index=197&type=chunk) - General and administrative expenses increased by **$991 thousand (25.5%)** for the three months and **$1,750 thousand (24.2%)** for the six months, mainly due to higher professional fees and non-cash compensation[190](index=190&type=chunk)[200](index=200&type=chunk) [Supplemental Earnings Measures](index=34&type=section&id=Supplemental%20Earnings%20Measures) | Metric | Three Months Ended June 30, 2025 (in thousands) | Three Months Ended June 30, 2024 (in thousands) | Six Months Ended June 30, 2025 (in thousands) | Six Months Ended June 30, 2024 (in thousands) | | :------- | :---------------------------------------------- | :---------------------------------------------- | :-------------------------------------------- | :-------------------------------------------- | | NOI | $33,323 | $35,080 | $64,032 | $68,628 | | EBITDAre | $30,817 | $31,237 | $59,791 | $61,459 | | FFO | $23,847 | $21,826 | $59,299 | $42,450 | | Core FFO | $20,859 | $21,826 | $41,008 | $42,450 | | AFFO | $19,941 | $22,297 | $38,854 | $42,769 | - FFO increased significantly for the six months ended June 30, 2025, to **$59,299 thousand** from **$42,450 thousand** in 2024, while Core FFO and AFFO saw slight decreases[214](index=214&type=chunk)[218](index=218&type=chunk) [Cash Flow](index=37&type=section&id=Cash%20Flow) | Cash Flow Activity | Six Months Ended June 30, 2025 (in thousands) | Six Months Ended June 30, 2024 (in thousands) | | :------------------------------------ | :-------------------------------------------- | :-------------------------------------------- | | Net cash provided by operating activities | $38,978 | $36,477 | | Net cash used in investing activities | $(280,212) | $(811) | | Net cash provided by (used in) financing activities | $235,082 | $(25,741) | - Net cash used in investing activities increased by **$279,401 thousand**, primarily due to **$271,507 thousand** in real estate acquisitions[220](index=220&type=chunk) - Net cash provided by financing activities increased by **$260,823 thousand**, driven by proceeds from the line of credit facility (**$269,200 thousand**) and financing transactions (**$78,956 thousand**)[221](index=221&type=chunk) [Liquidity and Capital Resources](index=37&type=section&id=Liquidity%20and%20Capital%20Resources) - As of June 30, 2025, the Company had **$299.0 million** in available liquidity, comprising **$13.2 million** in cash and **$285.8 million** in borrowing capacity on its KeyBank unsecured line of credit[226](index=226&type=chunk) - The Company anticipates sufficient liquidity to meet current obligations and scheduled debt maturities, and is in compliance with all financial covenants[226](index=226&type=chunk)[229](index=229&type=chunk) - The Company has **$750,000 thousand** available for issuance under its 2024 **$750 Million S-3 Filing** and **$200,000 thousand** under its 2024 **$200 Million ATM Program**[231](index=231&type=chunk)[233](index=233&type=chunk) [Off-Balance Sheet Arrangements](index=39&type=section&id=Off-Balance%20Sheet%20Arrangements) - The Company has an investment in an unconsolidated joint venture with **35% ownership**, accounted for using the equity method[234](index=234&type=chunk) - The joint venture has approximately **$174,205 thousand** in aggregate non-recourse debt, with the Company's proportionate share being **$60,972 thousand** as of June 30, 2025[234](index=234&type=chunk) [Inflation](index=39&type=section&id=Inflation) - The majority of leases include triple net or tenant recovery provisions for property expenses and fixed rent increases, which are expected to partially offset inflationary increases[237](index=237&type=chunk) - Inflation has not had a material impact on the Company's historical financial position or results of operations[237](index=237&type=chunk) [Interest Rate Risk](index=39&type=section&id=Interest%20Rate%20Risk) - The Company uses interest rate swap agreements to manage interest rate risk, with all outstanding variable rate debt fixed through maturity, except for the **$214,200 thousand** balance under the KeyBank unsecured line of credit[238](index=238&type=chunk)[243](index=243&type=chunk) | Interest Rate Swap Counterparty | Notional Value (June 30, 2025, in thousands) | Fair Value (June 30, 2025, in thousands) | | :------------------------------ | :------------------------------------------- | :--------------------------------------- | | Capital One, N.A. | $200,000 | $6,331 | | JPMorgan Chase Bank, N.A. | $100,000 | $2,447 | | JPMorgan Chase Bank, N.A. | $75,000 | $759 | | Wells Fargo Bank, N.A. | $37,500 | $379 | | Capital One, N.A. | $37,500 | $379 | | Wells Fargo Bank, N.A. (de-designated) | $50,000 | $(86) | | JPMorgan Chase Bank, N.A. (de-designated) | $25,000 | $(44) | | Capital One, N.A. (de-designated) | $25,000 | $(44) | - A **25 basis point increase** in the average interest rate on variable rate borrowings would have increased interest expense by approximately **$57 thousand** for the six months ended June 30, 2025[243](index=243&type=chunk) [ITEM 3. Quantitative and Qualitative Disclosures about Market Risk](index=41&type=section&id=ITEM%203.%20Quantitative%20and%20Qualitative%20Disclosures%20about%20Market%20Risk) This section reiterates that the Company's primary market risk exposure is interest rate risk, which is managed through derivative financial instruments, and refers to the detailed discussion in Item 2 - The primary market risk the Company is exposed to is interest rate risk, managed through derivative financial instruments like interest rate swaps[246](index=246&type=chunk) [ITEM 4. Controls and Procedures](index=41&type=section&id=ITEM%204.%20Controls%20and%20Procedures) Management, under the supervision of the CEO and CFO, evaluated the effectiveness of disclosure controls and procedures, concluding they were effective as of June 30, 2025. No material changes to internal control over financial reporting occurred during the quarter - Disclosure controls and procedures were evaluated and deemed effective as of June 30, 2025[247](index=247&type=chunk) - There have been no material changes in internal control over financial reporting during the quarter ended June 30, 2025[248](index=248&type=chunk) [PART II. OTHER INFORMATION](index=42&type=section&id=PART%20II.%20OTHER%20INFORMATION) [ITEM 1. Legal Proceedings](index=42&type=section&id=ITEM%201.%20Legal%20Proceedings) The Company is not currently involved in any material legal proceedings, beyond routine litigation in the ordinary course of business - The Company is not subject to any material litigation[249](index=249&type=chunk) [ITEM 1A. Risk Factors](index=42&type=section&id=ITEM%201A.%20Risk%20Factors) There have been no material changes to the risk factors previously disclosed in the Company's Annual Report on Form 10-K for the year ended December 31, 2024 - No material changes to the risk factors disclosed in the Annual Report on Form 10-K for the year ended December 31, 2024[250](index=250&type=chunk) [ITEM 2. Unregistered Sales of Equity Securities and Use of Proceeds](index=42&type=section&id=ITEM%202.%20Unregistered%20Sales%20of%20Equity%20Securities%20and%20Use%20of%20Proceeds) This section details the Company's common stock repurchase activities during the quarter ended June 30, 2025, under its authorized program | Period | Total number of shares purchased | Average price paid per share | Approximate dollar value of shares that may yet be purchased under the program | | :------------------------------------ | :------------------------------- | :--------------------------- | :--------------------------------------------------------------------------- | | May 1, 2025 - May 31, 2025 | 314,382 | $16.01 | $84,965,875 | | June 1, 2025 - June 30, 2025 | 491,012 | $16.45 | $76,890,083 | | Total for the three months ended June 30, 2025 | 805,394 | $16.28 | | - The Board authorized a **$90.0 million** share repurchase program on February 26, 2025[251](index=251&type=chunk) [ITEM 3. Defaults Upon Senior Securities](index=42&type=section&id=ITEM%203.%20Defaults%20Upon%20Senior%20Securities) The Company reported no defaults upon senior securities during the period - No defaults upon senior securities[252](index=252&type=chunk) [ITEM 4. Mine Safety Disclosures](index=42&type=section&id=ITEM%204.%20Mine%20Safety%20Disclosures) The Company has no mine safety disclosures to report - No mine safety disclosures[253](index=253&type=chunk) [ITEM 5. Other Information](index=42&type=section&id=ITEM%205.%20Other%20Information) No other information requiring disclosure was reported, including any Rule 10b5-1 trading arrangements by directors or executive officers - No directors or executive officers adopted or terminated a Rule 10b5-1 trading arrangement or non-Rule 10b5-1 trading arrangement during the quarter ended June 30, 2025[254](index=254&type=chunk) [ITEM 6. Exhibits](index=43&type=section&id=ITEM%206.%20Exhibits) This section lists all exhibits filed as part of the Quarterly Report on Form 10-Q, including certifications, contracts, and financial information in Inline XBRL format - Exhibits include certifications by the CEO and CFO (31.1, 31.2, 32.1, 32.2) and financial information formatted in Inline XBRL (101, 104)[259](index=259&type=chunk) [SIGNATURES](index=44&type=section&id=SIGNATURES) The report is duly signed by Jeffrey E. Witherell, Chief Executive Officer and Chairman of the Board of Directors, and Anthony Saladino, President and Chief Financial Officer, on behalf of Plymouth Industrial REIT, Inc - The report was signed by Jeffrey E. Witherell (CEO and Chairman) and Anthony Saladino (President and CFO) on August 6, 2025[261](index=261&type=chunk)

[Plymouth Industrial REIT Second Quarter 2025 Results](index=1&type=section&id=Plymouth%20Industrial%20REIT%20Second%20Quarter%202025%20Results) [Overview and Highlights](index=1&type=section&id=Overview%20and%20Highlights) The company executed its strategy through strong leasing, accretive acquisitions, and disciplined capital management - The company's strategy focuses on driving internal growth via strong leasing and stable occupancy while deploying capital into accretive acquisitions in core markets[3](index=3&type=chunk) - Acquired over **2.85 million square feet** of industrial assets and executed more than **5.9 million square feet** of leasing year-to-date[3](index=3&type=chunk)[6](index=6&type=chunk) - Engaged in disciplined capital management, including repurchasing **1,031,223 shares** of common stock during Q2 and Q3 to date[3](index=3&type=chunk)[6](index=6&type=chunk) - Affirmed the full-year 2025 guidance for **Core FFO per share** and updated the range for net income per share[6](index=6&type=chunk) [Financial Performance](index=1&type=section&id=Financial%20Performance) The company reported a net loss of $6.2 million due to a portfolio deconsolidation, though Same Store NOI grew robustly Q2 2025 Key Financial Metrics (vs. Q2 2024) | Metric | Q2 2025 | Q2 2024 | | :--- | :--- | :--- | | Net Income (Loss) Attributable to Common Stockholders | ($6.2M) | $1.2M | | Net Income (Loss) per Share | ($0.14) | $0.03 | | Consolidated Total Revenues | $47.2M | $48.7M | | Core FFO per Share | $0.46 | $0.48 | | AFFO per Share | $0.44 | $0.49 | | SS NOI Growth (GAAP) | 6.7% | N/A | | SS NOI Growth (Cash) | 4.1% | N/A | - The year-over-year decline in net income was primarily caused by the deconsolidation of the Chicago Portfolio into a joint venture, increased non-controlling interest, and losses from unconsolidated joint ventures[4](index=4&type=chunk) - **Same Store NOI growth** was driven by rent escalations and positive leasing spreads, which were partially offset by increased operating expenses, mainly from higher real estate taxes[7](index=7&type=chunk) [Operational Performance](index=2&type=section&id=Operational%20Performance) The company demonstrated strong operational momentum with significant leasing, acquisition activity, and high portfolio occupancy [Leasing Activity](index=3&type=section&id=Leasing%20Activity) Strong leasing activity continued with a 10.0% cash rental rate increase on Q2 commenced leases and significant forward leasing for 2026 Q2 2025 Commenced Leases (Terms > 6 months) | Lease Type | Square Footage | % of Total | Expiring Rent | New Rent | Cash Rent Spread | | :--- | :--- | :--- | :--- | :--- | :--- | | Renewal | 1,159,623 | 79.8% | $5.00 | $5.45 | 9.0% | | New | 294,134 | 20.2% | $4.92 | $5.61 | 14.0% | | **Total** | **1,453,757** | **100%** | **$4.98** | **$5.48** | **10.0%** | YTD 2025 Executed Leases (as of Aug 4, 2025) | Lease Type | Square Footage | % of Total | Expiring Rent | New Rent | Cash Rent Spread | | :--- | :--- | :--- | :--- | :--- | :--- | | Renewal | 4,119,415 | 69.5% | $4.49 | $5.17 | 15.1% | | New | 1,803,689 | 30.5% | $4.25 | $4.67 | 9.9% | | **Total** | **5,923,104** | **100%** | **$4.42** | **$5.02** | **13.6%** | - As of June 30, 2025, same-store portfolio occupancy was **95.0%**, and total portfolio occupancy was **94.6%**[20](index=20&type=chunk) [Investment and Portfolio Activity](index=2&type=section&id=Investment%20and%20Portfolio%20Activity) The company expanded its portfolio by acquiring 22 industrial buildings for $204.7 million at a 6.7% initial NOI yield - Acquired **22 industrial buildings** in Q2 2025 for a total of **$204.7 million**[17](index=17&type=chunk) - The acquisitions have a weighted average expected initial NOI yield of **6.7%** and are **97.1% leased**[17](index=17&type=chunk) - Key acquisitions include a 21-building portfolio across Columbus, Cincinnati, and Cleveland for **$193.0 million** and a single-tenant building in Atlanta for **$11.7 million**[17](index=17&type=chunk) - As of June 30, 2025, the wholly owned portfolio comprised **148 industrial properties** spanning **32.1 million rentable square feet** across 11 states[16](index=16&type=chunk) [Capital Markets, Liquidity, and Distributions](index=2&type=section&id=Capital%20Markets%2C%20Liquidity%2C%20and%20Distributions) The company maintained solid liquidity, repurchased common shares, issued preferred units, and paid its regular quarterly dividend - As of August 4, 2025, the company had **$11.7 million in cash** and **$278.1 million of capacity** under its unsecured line of credit[12](index=12&type=chunk) - Repurchased and settled a total of **1,031,223 shares** of common stock at an average price of approximately **$16.23 per share** during Q2 and Q3 to date[6](index=6&type=chunk)[13](index=13&type=chunk) - Issued the remaining 79,090 Series C Preferred Units, receiving approximately **$79.0 million** in net proceeds[14](index=14&type=chunk) - Paid a regular quarterly common stock dividend of **$0.24 per share** for the second quarter of 2025[15](index=15&type=chunk) [2025 Full Year Guidance](index=3&type=section&id=2025%20Full%20Year%20Guidance) The company affirmed its Core FFO guidance and updated its net loss per share guidance for the full year 2025 Full Year 2025 Guidance Ranges | Metric | Low | High | | :--- | :--- | :--- | | Core FFO per Share | $1.85 | $1.89 | | Net Loss per Share | ($0.25) | ($0.23) | | Same Store Portfolio NOI Growth (Cash) | 6.0% | 6.5% | | Average Same Store Occupancy | 95.0% | 97.0% | | Acquisition Volume | $270.0M | $450.0M | - The guidance is based on the in-place portfolio as of August 4, 2025, and includes prospective acquisition volumes but excludes the impact of unannounced dispositions or capitalization activities[28](index=28&type=chunk) [Financial Statements](index=6&type=section&id=Financial%20Statements) The unaudited financial statements show total assets of $1.58 billion and a net loss of $4.5 million for the quarter [Condensed Consolidated Balance Sheets](index=6&type=section&id=Condensed%20Consolidated%20Balance%20Sheets) Total assets grew to $1.58 billion, driven by real estate acquisitions, while total stockholders' equity decreased slightly Balance Sheet Summary (in thousands) | Account | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | Real estate properties, net | $1,393,447 | $1,156,697 | | Total assets | $1,583,742 | $1,368,418 | | Total liabilities | $962,161 | $781,299 | | Total stockholders' equity | $539,570 | $579,548 | [Condensed Consolidated Statements of Operations](index=7&type=section&id=Condensed%20Consolidated%20Statements%20of%20Operations) The company reported total revenues of $47.2 million and a net loss of $4.5 million for the second quarter of 2025 Statement of Operations Summary - Q2 (in thousands) | Account | Q2 2025 | Q2 2024 | | :--- | :--- | :--- | | Total revenues | $47,204 | $48,686 | | Total operating expenses | $38,433 | $38,796 | | Interest expense | ($7,454) | ($9,411) | | Loss in investment of unconsolidated JVs | ($7,222) | $0 | | Net income (loss) | ($4,536) | $1,328 | | Net income (loss) attributable to common stockholders | ($6,195) | $1,220 | [Non-GAAP Financial Measures and Reconciliations](index=8&type=section&id=Non-GAAP%20Financial%20Measures%20and%20Reconciliations) This section defines key non-GAAP metrics and provides detailed reconciliations to their nearest GAAP equivalents - The company uses non-GAAP measures like NOI, EBITDAre, FFO, Core FFO, and AFFO as supplemental tools to help investors and management understand core property operations and compare performance with other REITs[34](index=34&type=chunk)[35](index=35&type=chunk)[36](index=36&type=chunk) Q2 2025 Reconciliation Summary (Net Loss to Core FFO, in thousands) | Line Item | Amount | | :--- | :--- | | Net income (loss) | ($4,536) | | Depreciation and amortization | $19,827 | | Proportionate share of FFO from JVs | $8,556 | | **FFO** | **$23,847** | | Series C Preferred Unit dividends | ($1,619) | | Gain on financing transaction & other | ($1,369) | | **Core FFO** | **$20,859** | Q2 2025 Reconciliation Summary (Core FFO to AFFO, in thousands) | Line Item | Amount | | :--- | :--- | | Core FFO | $20,859 | | Non-cash adjustments (interest, stock comp, rent) | $1,208 | | Proportionate share of AFFO from JVs | ($782) | | Recurring capital expenditures | ($1,686) | | **AFFO** | **$19,941** |

Core Viewpoint - Plymouth Industrial REIT, Inc. reported a net loss of $6.2 million for Q2 2025, a significant decline from a net income of $1.2 million in Q2 2024, primarily due to the deconsolidation of its Chicago Portfolio and increased expenses related to preferred units [4][9][10]. Financial Results - The company’s total revenues for Q2 2025 were $47.2 million, down from $48.7 million in Q2 2024 [5]. - The net loss attributable to common stockholders was $0.14 per share for Q2 2025, compared to a profit of $0.03 per share in the same period last year [4][10]. - Core Funds from Operations (Core FFO) for Q2 2025 were $20.9 million, or $0.46 per share, down from $21.8 million, or $0.48 per share, in Q2 2024 [9][10]. - Adjusted Funds from Operations (AFFO) for Q2 2025 were $19.9 million, or $0.44 per share, compared to $22.3 million, or $0.49 per share, in Q2 2024 [10]. Leasing and Occupancy - The company executed over 5.9 million square feet of leasing year-to-date, with a 10% increase in rental rates on a cash basis for leases commencing in Q2 2025 [3][6]. - Same store net operating income (SS NOI) increased by 6.7% on a GAAP basis and 4.1% on a cash basis compared to Q2 2024 [6][7]. - The same store portfolio, comprising 168 buildings, had an occupancy rate of 95.0% as of June 30, 2025 [7][19]. Acquisition and Capital Management - The company acquired an industrial portfolio of 21 buildings totaling 1,951,053 square feet for $193 million, with an expected initial net operating income (NOI) yield of 6.7% [6][19]. - A single-tenant building in Atlanta was acquired for $11.7 million, with an expected initial NOI yield of 7.0% [19]. - Plymouth has repurchased 1,031,223 shares of common stock at an average price of approximately $16.23 under its share repurchase program [6][13]. Guidance and Future Outlook - The company affirmed its full-year 2025 guidance for Core FFO per weighted average common share and updated its range for net income per weighted average common shares [21][22]. - The guidance includes a projected Core FFO range of $1.85 to $1.89 per share and same store portfolio NOI growth of 6.0% to 6.5% [22][23].

Here at Zacks, we focus on our proven ranking system, which places an emphasis on earnings estimates and estimate revisions, to find winning stocks. But we also understand that investors develop their own strategies, so we are constantly looking at the latest trends in value, growth, and momentum to find strong companies for our readers. Looking at the history of these trends, perhaps none is more beloved than value investing. This strategy simply looks to identify companies that are being undervalued by th ...