Agree Realty(US:ADC)2025-04-22 20:05Revenue 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]