#United States #New York #financial results #W. P. Carey #net lease REIT

W. P. Carey Highlights Strong Financial Performance in Q2 2025

W. P. Carey Announces Second Quarter 2025 Financial Results

On July 29, 2025, W. P. Carey Inc. (NYSE: WPC), a leading net lease real estate investment trust (REIT), shared its financial performance for the second quarter ending June 30, 2025. The company showed notable resilience and growth despite market fluctuations, reflecting its strategic focus and operational excellence.

Financial Performance at a Glance

W. P. Carey recorded a net income of $51.2 million for the second quarter, a significant decrease of 64.2% compared to the previous year, attributed mainly to a mark-to-market loss on shares of Lineage and adjustments surrounding foreign currency debts. However, the diluted earnings per share stood at $0.23, with Adjusted Funds from Operations (AFFO) reaching $282.7 million or $1.28 per diluted share, marking a 9.4% increase from the same quarter in 2024.

Forecasts for the remainder of the year look optimistic, with the company raising its AFFO guidance to between $4.87 and $4.95 per diluted share, which echoes anticipated investment volumes ranging from $1.4 billion to $1.8 billion for the full year.[^1]

Robust Investment and Portfolio Activity

In 2025, W. P. Carey has already completed $1.1 billion in investment volume, with $548.6 million realized in Q2 alone. The company has also reported gross disposition proceeds of $565 million so far, indicating a healthy balancing act between acquiring new properties and selling non-core assets.

The real estate portfolio continues to flourish with a recorded contractual same-store rent growth of 2.3%. As of the end of June 2025, the company's net lease portfolio consisted of 1,600 properties, covering 178 million square feet, and maintaining an occupancy rate of an impressive 98.2%.

Dividend Update and Shareholder Returns

Demonstrating commitment to returning value to its shareholders, W. P. Carey announced a cash dividend of $0.900 per share, equivalent to an annualized dividend rate of $3.60, reflecting a 3.4% increase from the same period last year, showing its dedication to maintaining shareholder confidence even in challenging economic environments.

Capital Structure and Future Roadmap

In terms of capital strategy, W. P. Carey issued $400 million in 4.650% Senior Unsecured Notes, due in 2030, enhancing their liquidity and positioning for potential acquisition opportunities. Looking forward into the second half of 2025, company executives expressed optimism, highlighting a robust pipeline and ongoing growth within the portfolio. Jason Fox, the CEO, remarked, “As we pass the midpoint of the year, we've built considerable momentum across our business, driven by strong investment activities.”

Conclusion

W. P. Carey's solid performance this quarter demonstrates its capability to adapt and thrive despite external challenges. With a strategically diversified portfolio, a healthy pipeline of investments, and strong earnings potential, the future appears promising for this net lease REIT.