#United States #San Diego #Realty Income #Monthly Dividend Company #NYSE O

Realty Income Corporation's 2025 Financial Overview

Introduction
Realty Income Corporation, known famously as "The Monthly Dividend Company®", has released its operating results for the year ending December 31, 2025. The company, which trades under the symbol NYSE: O, demonstrated impressive financial strength and operational growth throughout the year. Here's a detailed breakdown of the key achievements and insights derived from the company's performance metrics.

Quarterly and Annual Highlights

Realty Income reported a net income of $296.1 million for the fourth quarter, translating to $0.32 per share. On an annual basis, the total net income reached $1.1 billion or $1.17 per share. The company's Adjusted Funds from Operations (AFFO) for the fourth quarter was $1.08 per share, while for the entire year it stood at $4.28 per share. This reflects Realty's dedication to generating consistent returns to its shareholders and fortifying its position in the market.

During 2025, Realty Income invested an impressive $6.3 billion, with a pro-rata share amounting to $6.2 billion at an initial weighted average cash yield of 7.3%. Such significant investments underline the company's vigorous growth strategy and commitment to expanding its real estate portfolio.

Strong Investment Activity

In the fourth quarter alone, Realty Income's investment volume reached $2.4 billion, marking a considerable uptick compared to previous quarters. This active investment strategy is indicative of Realty's robust financial health and its ability to leverage market opportunities effectively. Notably, the company successfully concluded forward sale agreements, settling 42 million shares for $2.4 billion in gross proceeds.

The company achieved a commendable rent recapture rate of 104.9% on re-leased properties, showcasing the demand for its portfolio and the ability to secure high-quality tenants. Furthermore, Realty Income launched its inaugural perpetual life U.S. Open-End Core Plus Fund, raising $1.5 billion in total commitments by year-end.

Strategic Developments and Market Expansion

Amidst these favorable outcomes, Realty Income is also pleased to announce its recent expansion into Mexico with a $200 million commitment towards USD-denominated, long-term leased industrial portfolios. This marks a significant diversification strategy, opening new markets and enhancing its global presence.

Moreover, the company has established a strategic partnership with GIC, indicating a mutual commitment towards building long-term value through collaborative investment initiatives. As reported, Realty's portfolio holds interests in 15,511 properties, leased to 1,761 clients across 92 industries with a remarkable occupancy rate of 98.9%.

Looking Ahead

CEO Sumit Roy commented on the results, expressing optimism about the company's trajectory. He indicated a strong investment pipeline for 2026 with an estimated guidance of $8 billion and an estimated AFFO per share forecasted between $4.38 and $4.42. This projection implies a sustained annual growth rate and commitment to delivering reliable returns to shareholders.

Realty Income's consistency in increasing dividends also deserves attention. The organization announced its 113th consecutive quarterly dividend increase in December 2025— a testament to its commitment to shareholder returns. As of the end of December, the annualized dividend stood at $3.240 per share, marking a 2.9% increase from the previous year.

Conclusion

Realty Income Corporation illustrated resilience and strategic growth in 2025, leveraging favorable market conditions and demonstrating strong financial management. With continued focus on expanding its portfolio and increasing shareholder value, Realty Income remains well-positioned for future growth. The combination of solid occupancy rates, a strategic investment approach, and ongoing global expansion paves the way for a prosperous 2026 and beyond. Interested stakeholders are encouraged to join the conference call on February 24, 2026, to discuss the comprehensive operating results and future insights.

For more information about Realty Income's strategies and performance, visit Realty Income's official website.