Agree Realty (ADC) investor relations material

Executive summary

• Achieved record Q2 2026 investment of $502 million across 102 retail net lease assets, raising full-year investment guidance to $1.6–$1.8 billion.

• Increased 2026 AFFO per share guidance to $4.57–$4.59, reflecting nearly 6% growth at midpoint and strong portfolio and liquidity position.

• Portfolio expanded to 2,825 properties across all 50 states and D.C., totaling 59.6 million sq. ft., with 99.8% leased and 65.8%–73.2% of base rents from investment grade tenants.

• Net income attributable to common stockholders rose 11.5%–12% year-over-year to $52.8 million for Q2 and 22% to $113.0 million for the first half of 2026.

• Declared monthly dividend of $0.267 per share, a 4.3% year-over-year increase.

Financial highlights

• Q2 2026 revenue: $205.1 million, up from $175.5 million in Q2 2025; six-month revenue: $405.9 million, up from $344.7 million.

• Core FFO per share increased 7.5% to $1.13; AFFO per share up 7.4% to $1.14 year-over-year.

• Free cash flow after dividend expected to exceed $140 million for the year, up over 10% year-over-year.

• Dividend payout ratio: 70% of AFFO per share for Q2; 10-year average AFFO payout ratio ~74%.

• Q2 net income per share up 2.2% year-over-year to $0.44.

Outlook and guidance

• 2026 AFFO per share guidance raised to $4.57–$4.59; investment volume guidance increased to $1.6–$1.8 billion.

• Disposition volume guidance raised to $50–$100 million.

• Credit and occupancy loss assumption lowered to 25 basis points for the year, reflecting strong portfolio performance.

• General and administrative expenses expected at 5.3%–5.6% of adjusted revenue.

• Management expects continued growth through acquisitions, development, and disciplined capital allocation.