VICI Properties Rewards Shareholders With 4% Dividend Hike

Core Insights - VICI Properties Inc. has announced a 4% increase in its quarterly cash dividend, raising it to 45 cents per share from 43.25 cents, effective October 9, 2025, for shareholders of record as of September 18, 2025 [1][10] - The new annualized dividend rate is $1.80 per share, resulting in a dividend yield of 5.37% based on a share price of $33.50 as of September 4, 2025 [2][10] - VICI has increased its dividend six times in the past five years, with a payout growth of 6.8% during this period [2][3] Dividend Sustainability - VICI aims to distribute 75% of adjusted funds from operations (AFFO) to shareholders, providing a reliable income stream for dividend-focused investors [4] - The company has a solid foundation for its dividend payouts, supported by a high-quality portfolio of gaming and experiential assets, including flagship properties like Caesars Palace and MGM Grand [5][6] - VICI maintains a 100% occupancy rate across its 54 gaming and 39 experiential properties, secured by long-term, triple-net leases averaging 40.1 years [6] Lease Structure and Financial Resilience - A significant portion of VICI's rent roll is linked to the Consumer Price Index (CPI), with 40% currently and expectations to increase to 90% by 2035, aiding in revenue growth during inflationary periods [7] - 74% of VICI's rent comes from S&P 500 tenants, enhancing income stability and creditworthiness [7] - Since its inception in 2017, VICI has expanded its adjusted EBITDA by 377%, diversifying its portfolio to include experiential assets, which reduces sector-specific risks [8] Financial Position - VICI has $3 billion in liquidity as of June 30, 2025, providing financial flexibility to navigate market fluctuations [8] - The company's last quarter annualized net leverage ratio was 5.2, within its long-term target range of 5.0-5.5 [8] - With a solid operating platform and growth opportunities, VICI is well-positioned for sustainable dividend growth [9]