NNN REIT (NNN) investor relations material

Executive summary

• Closed 15–41 transactions totaling 41 properties for $145–$145.4 million at a 7.5% initial cash yield in Q1 2026, with portfolio occupancy at 98.6% and a weighted average lease term of 10.1 years.

• Portfolio comprises 3,700–3,711 single-tenant properties across all 50 states, totaling 39.6 million sq. ft., with a focus on automotive service, convenience stores, and restaurants.

• Consistent earnings growth and 36 consecutive years of annual dividend increases, with a $0.60 per share quarterly dividend and a 5.7% annualized yield.

• Raised 2026 AFFO per share guidance to $3.53–$3.59, reflecting portfolio strength and growth strategy.

• Maintained strong liquidity with $1.2 billion available and a conservative balance sheet.

Financial highlights

• Q1 2026 AFFO per share was $0.87, FFO per share $0.86, and Core FFO per share $0.86, all flat year-over-year.

• Q1 2026 revenues were $240.4 million, up from $230.9 million in Q1 2025, with net earnings of $93.95 million.

• Annualized base rent grew 6.9%–7% year-over-year to $934.6–$935 million, driven by acquisitions.

• NOI margin was 95.9%; G&A as a percentage of revenue was 5.9%.

• Free cash flow after dividend was $52 million in Q1.

Outlook and guidance

• Raised 2026 AFFO per share guidance to $3.53–$3.59 and Core FFO to $3.48–$3.54.

• Acquisition volume guidance for 2026 is $550–$650 million; disposition volume $110–$150 million.

• Management expects to fund liquidity needs with cash, operations, credit facility, and forward sale proceeds.

• Construction commitments of $74.2 million remain for 24 properties, expected to complete in 12–18 months.

• Baseline self-funded earnings growth estimated at 3–4% annually.