Global Net Lease | 10-Q: FY2025 Q3 Revenue Beats Estimate at USD 121.01 M

Revenue: As of FY2025 Q3, the actual value is USD 121.01 M, beating the estimate of USD 119.2 M.

EPS: As of FY2025 Q3, the actual value is USD -0.32, missing the estimate of USD -0.07.

EBIT: As of FY2025 Q3, the actual value is USD 31.13 M.

Industrial & Distribution Segment

• Revenue from Tenants: $56.7 million for Q3 2025, down from $59.7 million in Q3 2024.
• Property Operating Expense: $4.6 million for Q3 2025, down from $5.5 million in Q3 2024.
• Net Operating Income: $52.1 million for Q3 2025, down from $54.2 million in Q3 2024.

Retail Segment

• Revenue from Tenants: $30.3 million for Q3 2025, down from $39.6 million in Q3 2024.
• Property Operating Expense: $4.1 million for Q3 2025, up from $2.9 million in Q3 2024.
• Net Operating Income: $26.2 million for Q3 2025, down from $36.7 million in Q3 2024.

Office Segment

• Revenue from Tenants: $34.0 million for Q3 2025, down from $35.0 million in Q3 2024.
• Property Operating Expense: $4.0 million for Q3 2025, down from $5.0 million in Q3 2024.
• Net Operating Income: $30.0 million for Q3 2025, down from $30.1 million in Q3 2024.

Cash Flow

• Net Cash Provided by Operating Activities: $167.2 million for the nine months ended September 30, 2025, down from $224.7 million for the same period in 2024.
• Net Cash Provided by Investing Activities: $1,385.0 million for the nine months ended September 30, 2025, up from $515.3 million for the same period in 2024.
• Net Cash Used in Financing Activities: -$1,584.1 million for the nine months ended September 30, 2025, compared to -$730.3 million for the same period in 2024.

Future Outlook and Strategy

• Core Business Focus: The company plans to focus on maintaining a high occupancy rate of 97% and a weighted-average remaining lease term of 6.2 years across its portfolio.
• Non-Core Business: The company completed the sale of 99 multi-tenant retail properties, marking a strategic shift and focusing on its remaining segments.

Unique Metrics

• Multi-Tenant Retail Disposition: The company completed the sale of 99 multi-tenant retail properties for approximately $1.780 billion.

Priority

• Investment Grade Tenants: 60% of rental income is derived from Investment Grade rated tenants, with 31% from actual investment grade ratings and 29% from implied investment grade ratings.