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Realty Income Corporation (O) Q3 2023 Financial Results Summary

November 4, 2025 - 14:46:01

Realty Income Corporation (O) Q3 2025 Financial Results Summary

Release Date: November 3, 2025

Realty Income Corporation (NYSE: O), known as The Monthly Dividend Company®, announced its financial results for the three and nine months ended September 30, 2025. Below is a summary of the key metrics and highlights from the report:

Company Highlights for Q3 2025

Net Income:
Available to common stockholders: $315.8 million, or $0.35 per share (↑ 16.7% vs. Q3 2024).
Adjusted Funds from Operations (AFFO):
AFFO per share: $1.08 (↑ 2.9% vs. Q3 2024).
Revenue:
Total revenue for Q3: $1,470.6 million (↑ 10.5% vs. Q3 2024).
Same Store Rental Revenue: $1,162.3 million (↑ 1.3% vs. Q3 2024).
Operational Metrics:
Investment Volume: Invested $1.4 billion at an initial weighted average cash yield of 7.7%.
Rent Recapture Rate: Achieved a 103.5% rent recapture rate on re-leased properties.
Net Debt to Annualized Pro Forma Adjusted EBITDA ratio: 5.4x.
Shares Settled:
Settled 5.6 million shares through the At-The-Market (ATM) program at gross proceeds of $319.7 million.
Remaining unsettled ATM forward agreements: 17.7 million shares, with expected net proceeds of approximately $1.0 billion.

CEO Comments

Sumit Roy, President and CEO, stated Realty Income has a robust income generation system, heavily reinforced by diverse investment yields both domestically ($380.0 million) and internationally (approx. $1.0 billion). The company is positioned for continued growth in various sectors and regions.

Financial Results Comparison (Q3 2025 vs. Q3 2024)

Net Income: $315.8 million (↑ 16.7% from $261.8 million in Q3 2024).
Net Income per Share: $0.35 (↑ 16.7% from $0.30).
Funds from Operations (FFO):
Available to common stockholders: $981.1 million (↑ 14.7% from $854.9 million).
FFO per share: $1.07 (↑ 9.2% from $0.98).
Normalized FFO:
Available to common stockholders: $994.4 million (↑ 15.2% from $863.5 million).
Normalized FFO per share: $1.09 (↑ 10.1% from $0.99).
Total Expenses: $1,188.4 million (↑ 7.7% from $1,103.2 million).

Dividend Information

In September 2025, Realty Income announced its 112th consecutive quarterly dividend increase. The monthly dividend per share increased by 2.3% to $0.807, compared to $0.789 for Q3 2024, representing 74.7% of the diluted AFFO per share.

Real Estate Portfolio

As of September 30, 2025, Realty Income owned or held interests in 15,542 properties, leased to 1,647 clients in 92 industries.
Portfolio occupancy was 98.7%, with a slight increase from 98.6% in June 2025.

Investment Summary

Realty Income’s investments in the U.S. and Europe for Q3 2025 included:
Total Real Estate Acquisitions: $830.3 million in Q3.
U.S. acquisitions: $200.0 million.
European investments: $550.2 million.

Liquidity Position

Realty Income maintained $3.5 billion in liquidity, which includes:
Cash and cash equivalents of $417.2 million.
Unsettled ATM forward equity of $864.2 million.
Availability under its credit facilities totaling $2.2 billion.

Upcoming Outlook

Updated AFFO per share guidance for 2025 is projected to be between $4.25 – $4.27.
Investment volume guidance has been increased to approximately $5.5 billion.

In conclusion, Realty Income Corporation reported strong growth in key financial metrics for Q3 2025, illustrating their continued effectiveness in managing a diversified real estate portfolio with an emphasis on generating reliable monthly dividends.

CONSOLIDATED STATEMENTS OF INCOME

(in thousands, except per share amounts) (unaudited)

	September 30, 2025	September 30, 2024	September 30, 2025	September 30, 2024
Rental (including reimbursements)(1)	$1,386,502	$1,271,153	$4,037,747	$3,764,050
Other	$84,050	$59,762	$223,688	$166,793
Total revenue	$1,470,552	$1,330,915	$4,261,435	$3,930,843
EXPENSES
Depreciation and amortization	$631,981	$602,339	$1,888,765	$1,788,973
Interest	$294,482	$261,261	$846,680	$748,806
Property (including reimbursements)	$106,621	$92,154	$320,724	$281,366
General and administrative	$55,039	$41,869	$148,412	$127,781
Provisions for impairment	$86,972	$96,920	$346,924	$282,867
Merger, transaction, and other costs, net	$13,343	$8,610	$13,953	$105,468
Total expenses	$1,188,438	$1,103,153	$3,565,458	$3,335,261
Gain on sales of real estate	$49,107	$50,563	$110,210	$92,290
Foreign currency and derivative (loss) gain, net	$-2,818	$-1,672	$-9,751	$2,885
Equity in earnings of unconsolidated entities	$3,080	$5,087	$10,706	$5,440
Other income, net	$10,015	$4,739	$24,551	$16,293
Income before income taxes	$341,498	$286,479	$831,693	$712,490
Income taxes	$-23,824	$-15,355	$-63,546	$-46,499
Net income	$317,674	$271,124	$768,147	$665,991
Net income attributable to noncontrolling interests	$-1,903	$-1,639	$-5,642	$-4,831
Net income attributable to the Company	$315,771	$269,485	$762,505	$661,160
Preferred stock dividends	$—	$-2,588	$—	$-7,763
Excess of redemption value over carrying value of	$—	$-5,116	$—	$-5,116
preferred shares redeemed
Net income available to common stockholders	$315,771	$261,781	$762,505	$648,281
Funds from operations available to common	$981,050	$854,926	$2,874,453	$2,569,742
stockholders (FFO)
Normalized funds from operations available	$994,393	$863,536	$2,888,406	$2,675,210
to common stockholders (Normalized FFO)
Adjusted funds from operations available	$991,988	$915,572	$2,889,195	$2,699,517
to common stockholders (AFFO)
Amounts available to common stockholders
per common share:
Net income per common share, basic and diluted	$0.35	$0.30	$0.84	$0.75
FFO per common share, basic and diluted	$1.07	$0.98	$3.18	$2.99
Normalized FFO per common share:
Basic	$1.09	$0.99	$3.20	$3.12
Diluted	$1.09	$0.99	$3.19	$3.11
AFFO per common share:
Basic	$1.09	$1.05	$3.20	$3.14
Diluted	$1.08	$1.05	$3.19	$3.14
Cash dividends paid per common share	$0.8070	$0.7890	$2.4085	$2.3350

CONSOLIDATED BALANCE SHEETS