Financial Data and Key Metrics Changes - For Q3 2025, the company recorded revenue of $121 million and a net loss attributable to common stockholders of $71.1 million, with AFFO at $53.2 million or $0.24 per share [14] - The gross outstanding debt balance was $3 billion at the end of Q3 2025, a reduction of $2 billion from Q3 2024 [14][18] - The weighted average interest rate decreased to 4.2% from 4.8% in Q3 2024, and the interest coverage ratio was 2.9 times [15] Business Line Data and Key Metrics Changes - The company has sold approximately $3 billion of non-core assets since implementing its disposition program, achieving a 7.7% cash cap rate on these sales [5][6] - The portfolio's occupancy rate stood at 97% with a weighted average remaining lease term of 6.2 years, featuring a stable tenant base with 60% of tenants rated investment-grade [9] Market Data and Key Metrics Changes - The company noted that the Federal Reserve's recent rate cuts could lower the cost of capital, positively impacting GNL's financial position [8] - The company has observed that dividend income from REITs becomes more attractive in a rate-cutting environment, potentially benefiting the net lease REIT industry [9] Company Strategy and Development Direction - The company aims to continue its strategic initiatives, including share repurchases and potential acquisitions, while maintaining financial strength and flexibility [8][19] - The strategic focus has been on reducing leverage and improving portfolio quality, culminating in an investment-grade corporate credit rating from Fitch Ratings [4][18] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in achieving the midpoint of their leverage guidance by year-end, citing ongoing disposition activities [26] - The company plans to continue evaluating acquisition opportunities but remains cautious due to current market conditions and high seller expectations [19][24] Other Important Information - The company has repurchased 12.1 million shares at a weighted average price of $7.59, totaling $91.7 million, with an AFFO yield of approximately 12% [7][16] - The company has a liquidity of approximately $1.1 billion and $1.2 billion of capacity on its revolving credit facility [16] Q&A Session Summary Question: What needs to happen for the company to become an active buyer again? - The company would need to finish its disposition program and see a better alignment between seller cap rate expectations and cost of capital [23][24] Question: How does the company plan to achieve the midpoint of its leverage guidance by year-end? - Management is confident that completing scheduled dispositions will help them stay within their leverage guidance range [26][27] Question: What drove the slight decline in occupancy quarter over quarter? - The decline was due to a tenant expiration in the U.K. portfolio, but management expects to recover occupancy through new leasing efforts [36] Question: How does the company view its strategy and playbook going into 2026? - The company is open to acquisitions but emphasizes that it will not pursue growth for the sake of growth, focusing instead on maximizing shareholder value [39][40] Question: How achievable is the renewal leasing spread of 26.4% going forward? - The company has seen strong renewal spreads and engages with tenants well in advance of lease expirations to secure favorable terms [44][46]