- Agree Realty (ADC, Financial) reports a 5% increase in net income to $45.1 million for Q1 2025.
- Raised 2025 investment guidance to $1.3-$1.5 billion and AFFO per share guidance to $4.27-$4.30.
- Declared a monthly dividend of $0.256 per share for April 2025, up 2.4% from the previous year.
Agree Realty Corporation (ADC) announced impressive financial performance in the first quarter of 2025, with a noteworthy increase in key metrics. The company's net income rose by 5.0% to $45.1 million, although net income per share saw a slight decrease of 2.0% to $0.42. Core Funds from Operations (Core FFO) per share increased by 3.1% to $1.04, while Adjusted Funds from Operations (AFFO) per share grew by 3.0% to $1.06.
The real estate investment trust continued to bolster its portfolio by investing approximately $377 million in 69 retail net lease properties and starting four new development projects valued at $24 million. The portfolio now encompasses 2,422 properties spanning all 50 states, with a robust occupancy rate of 99.2%.
In light of their solid performance, ADC has significantly boosted their 2025 investment guidance from a previous range of $1.1-1.3 billion to $1.3-1.5 billion, while tightening their AFFO guidance to $4.27-$4.30 per share. This adjustment comes as the company benefits from strong acquisition yields and maintains a high-quality tenant base, where 68.3% of annualized base rents originate from investment-grade retail tenants.
Furthermore, the company declared an increased monthly dividend of $0.256 per share for April 2025, marking a 2.4% increase over the previous year. Agree Realty's strategic financial management and robust liquidity position, which stands at approximately $1.9 billion, provide a solid foundation for future growth. This update follows the recent establishment of a $625 million unsecured commercial paper program, underscoring ADC's ongoing commitment to enhancing shareholder value and portfolio strength.
