Broadstone Net Lease reported results for the quarter ended June 30, 2026, posting net income of $40.3 million ($0.21 diluted) and AFFO of $78.2 million ($0.39 diluted). Lease revenues were $122.3 million for the quarter and the company raised the midpoint of its 2026 AFFO per share guidance to $1.56. The company highlighted strong portfolio leasing performance, a committed $645 million build-to-suit pipeline and a new $300 million delayed-draw term loan facility.

Financial Highlights

  • Lease revenues: $122.3 million for the three months ended June 30, 2026.
  • Net income: $40.3 million, or $0.21 per diluted share, for the quarter (110.0% increase year-over-year).
  • AFFO: $78.2 million, or $0.39 per diluted share, for the quarter (2.6% increase year-over-year).
  • FFO: $79.8 million ($0.40 per diluted share) and Core FFO: $78.5 million ($0.39 per diluted share) for the quarter.
  • Balance sheet: Total outstanding debt of $2.7 billion and Net Debt of $2.675 billion; Net Debt to Annualized Adjusted EBITDAre of 6.4x and Pro Forma Net Debt to Annualized Adjusted EBITDAre of 5.9x.

Business Highlights

  • Portfolio scale and occupancy: Owned 766 net-leased properties (759 in U.S., 7 in Canada) totaling ~41.7 million rentable square feet; all but one property were leased and occupied by 206 tenants.
  • Same-store performance: Achieved same-store rental revenue growth of 2.2% and an ABR-weighted average annual rent increase of 2.1% with an ABR-weighted average lease term of 9.3 years.
  • Investment activity: Invested $91.5 million in Q2, including $77.3 million in build-to-suit developments; started two BTS projects during the quarter and subsequently began a $303 million BTS for a Fortune 20 investment-grade tenant.
  • Development pipeline: Committed build-to-suit pipeline of $645 million with remaining estimated BTS investments of approximately $149.3 million to be funded through Q4 2026; projected year-one cash yield on the $303M Colorado BTS ~8.5%.
  • Capital markets & liquidity actions: Sold forward 2.2 million common shares under ATM in Q2 (estimated gross $45.5M, unsettled), subsequent forward sale of 1.6 million shares (~$35.0M), and entered a $300 million senior unsecured delayed-draw term loan with a 12-month draw period.

Original SEC Filing:

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