Third Quarter 2024 Operating Results Announced by NNN REIT, Inc.

Operating Results - NNN REIT reported revenues of $218.6 million for Q3 2024, up from $205.1 million in Q3 2023, representing a 6.5% increase [1] - Net earnings for Q3 2024 were $97.9 million, down from $106.8 million in Q3 2023, resulting in a net earnings per share of $0.53 compared to $0.59 in the prior year [1][9] - Funds From Operations (FFO) for Q3 2024 were $154.2 million, an increase from $147.2 million in Q3 2023, with FFO per share rising to $0.84 from $0.81 [1][11] - Adjusted Funds From Operations (AFFO) for Q3 2024 were $155.7 million, compared to $148.3 million in Q3 2023, with AFFO per share increasing to $0.84 from $0.82 [1][17] Investment Activity - The company made property investments totaling $113.6 million in Q3 2024, acquiring eight properties with a gross leasable area of approximately 626,000 square feet at an initial cash cap rate of 7.6% [1] - NNN REIT sold nine properties for $20.0 million, generating $7.8 million in gains on sales during the same quarter [1] - For the nine months ended September 30, 2024, the company invested $348.6 million in 44 properties, with a gross leasable area of approximately 1,181,000 square feet at an initial cash cap rate of 7.8% [1] Financial Position - As of September 30, 2024, NNN REIT maintained a high occupancy level of 99.3% and a weighted average remaining lease term of 10.0 years [1][2] - The company raised $178.9 million in net proceeds from the issuance of 3,863,700 common shares in Q3 2024 [1] - NNN REIT has a sector-leading weighted average debt maturity of 12.3 years and expanded its line of credit borrowing capacity from $1.1 billion to $1.2 billion, extending maturity to April 2028 [1][2] Guidance - The company narrowed its Core FFO per share guidance for 2024 to a range of $3.28 to $3.32, with estimated AFFO per share of $3.31 to $3.35 [1][20] - The guidance for net earnings per share, excluding gains from real estate dispositions and other charges, is projected to be between $1.93 and $1.97 [1][20] Property Portfolio - As of September 30, 2024, NNN REIT owned 3,549 properties across 49 states, with a total gross leasable area of approximately 36.6 million square feet [2] - The top tenant, 7-Eleven, accounts for 4.6% of the total properties, followed by Mister Car Wash at 4.1% [27][29] - The company’s property portfolio is diversified across various sectors, with automotive service and convenience stores being the largest segments [27]