Agree Realty (ADC) Tops Q1 FFO and Revenue Estimates

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]