SAN DIEGO, April 26, 2016 /PRNewswire/ -- Realty Income
Corporation (Realty Income, NYSE: O), The Monthly Dividend
Company®, today announced operating results for the
first quarter ended March 31, 2016.
All per share amounts presented in this press release are on a
diluted per common share basis unless stated otherwise.
COMPANY HIGHLIGHTS:
For the quarter ended March 31,
2016:
- AFFO per share increased 4.5% to $0.70, compared to the quarter ended March 31, 2015
- Invested $352.6 million in 103
new properties and properties under development or expansion
- Increased the monthly dividend in March for the 85th
time and for the 74th consecutive quarter
- Dividends paid per common share increased 4.8%, compared to the
quarter ended March 31, 2015
CEO Comments
"We are pleased with the performance of our business in the
first quarter," said John P. Case,
Realty Income's Chief Executive Officer. "We continued our momentum
from the prior year by completing approximately $353 million in acquisitions at attractive
investment spreads given our distinct cost of capital advantage. We
continue to see an active pipeline of investment opportunities and
are therefore raising our 2016 acquisitions guidance to
approximately $900 million from our
initial estimate of $750
million."
"We remain committed to capitalizing our business in a
conservative manner and our balance sheet today is the healthiest
it has been in more than 10 years. Our sector-leading cost of
capital, scalability and efficiencies, as well as our ample
liquidity, should continue to allow us to focus on acquiring the
highest quality net-lease properties as we grow our portfolio. Our
properties are performing well and we continue to achieve favorable
re-leasing results on expiring leases with new rents notably
exceeding expiring rents, reflecting the quality of our real estate
portfolio. We continue to expect occupancy of approximately 98% for
2016. We are also reiterating our 2016 AFFO per share guidance of
$2.85 - $2.90, representing earnings
growth of approximately 4% - 6%."
Financial Results
Revenue
Revenue for the quarter ended March 31,
2016 increased 8.2% to $267.1
million, as compared to $246.9 million for the same quarter in
2015.
Net Income Available to Common Stockholders
Net income available to common stockholders for the quarter ended
March 31, 2016 was $63.5 million, as compared to $60.5 million for the same quarter in 2015. Net
income per share for the quarter ended March
31, 2016 was $0.25, as
compared to $0.27 for the same
quarter in 2015. Net income available to common stockholders for
the first three months of 2016 was impacted by a non-cash loss of
$5.8 million, or $0.02 net income per share, resulting from fair
value adjustments on our interest rate swaps. Each quarter we
adjust the carrying value of our interest rate swaps to fair value.
The changes in the fair value of our interest rate swaps are
recorded to interest expense.
The calculation to determine net income for a real estate
company includes impairments, gains on property sales and/or fair
value adjustments on interest rate swaps. These items can vary from
quarter to quarter. This variance can significantly impact net
income and period to period comparisons.
Funds From Operations Available to Common Stockholders
(FFO)
FFO for the quarter ended March 31,
2016 increased 11.6% to $170.6 million, as compared to $152.9 million for the same quarter in 2015. FFO
per share for the quarters ended March 31,
2016 and 2015 was $0.68. FFO
for the first three months of 2016 was impacted by a non-cash loss
of $5.8 million, or $0.02 per share, resulting from fair value
adjustments on our interest rate swaps, as described above.
Adjusted Funds From Operations Available to Common
Stockholders (AFFO)
AFFO for the quarter ended March 31,
2016 increased 15.6% to $175.9 million, as compared to $152.1 million for the same quarter in 2015. AFFO
per share for the quarter ended March 31,
2016 increased 4.5% to $0.70,
as compared to $0.67 for the same
quarter in 2015.
The company considers FFO and AFFO to be appropriate
supplemental measures of a Real Estate Investment Trust's (REIT's)
operating performance. Realty Income defines FFO consistent with
the National Association of Real Estate Investment Trust's
(NAREIT's) definition, as net income available to common
stockholders, plus depreciation and amortization of real estate
assets, plus impairments of real estate, and reduced by gains on
sales of investment properties. AFFO further adjusts FFO for unique
revenue and expense items, which the company believes are not as
pertinent to the measurement of the company's ongoing operating
performance. See the reconciliations of net income available to
common stockholders to FFO and AFFO on page six.
Dividend Increases
In March 2016, Realty Income
announced the 74th consecutive quarterly dividend
increase, which is the 85th increase in the amount of
the dividend since the company's listing on the New York Stock
Exchange in 1994. The annualized dividend amount as of March 31, 2016 was $2.388 per share. The amount of monthly dividends
paid per share increased 4.8% to $0.588 in the first quarter of 2016 from
$0.561 in the same quarter in
2015.
Real Estate Portfolio Update
As of March 31, 2016, Realty
Income's portfolio of freestanding, single-tenant properties
consisted of 4,615 properties located in 49 states and Puerto Rico, leased to 243 commercial tenants
doing business in 47 industries. The properties are leased under
long-term, net leases with a weighted average remaining lease term
of 10.0 years.
Portfolio Management Activities
The company's portfolio of commercial real estate, owned primarily
under 10- to 20-year net leases, continues to perform well and
provides dependable rental revenue supporting the payment of
monthly dividends. As of March 31,
2016, portfolio occupancy was 97.8% with 101 properties
available for lease out of a total of 4,615 properties in the
portfolio, as compared to 98.0%, with 86 properties available for
lease as of March 31, 2015. Economic
occupancy, or occupancy as measured by rental revenue, was 98.8% as
of March 31, 2016, as compared to
99.1% economic occupancy as of March 31,
2015.
Since December 31, 2015, when the
company reported 71 properties available for lease, the company had
77 lease expirations, re-leased 38 properties and sold nine vacant
properties. Of the 38 properties re-leased during the first quarter
of 2016, 29 properties were re-leased to existing tenants, five
were re-leased to new tenants without vacancy, and four were
re-leased to new tenants after a period of vacancy. The annual new
rent on these re-leases was $6,076,000, as compared to the previous annual
rent of $5,421,000 on the same
properties, representing a rent recapture rate of 112.1% on the
properties re-leased for the quarter ended March 31, 2016. Excluding re-lease activity
resulting from the redevelopment of properties, the annual new rent
on properties re-leased during the quarter ended March 31, 2016 was $4,686,000, as compared to the previous annual
rent of $4,590,000 on these same
properties, representing a rent recapture rate of 102.1%.
Rent Increases
During the quarter ended March 31,
2016, same store rents on 4,112 properties under lease
increased 1.3% to $224.7 million, as compared to $221.9 million for the same quarter in
2015.
Investments in Real Estate
During the quarter ended March 31,
2016, Realty Income invested $352.6
million in 103 new properties and properties under
development or expansion, located in 31 states. These properties
are 100% leased with a weighted average lease term of approximately
15.8 years and an initial average cash lease yield of 6.6%. The
tenants occupying the new properties operate in 18 industries, and
the property types consist of 85.7% retail and 14.3% industrial,
based on rental revenue. Approximately 23% of the rental revenue
generated from acquisitions during the first quarter of 2016 is
from investment grade rated tenants.
Property Dispositions
During the quarter ended March 31,
2016, Realty Income sold 11 properties for $11.0 million, with a gain on sales of
$2.3 million.
Liquidity and Capital Markets
At-the-Market (ATM) Program
Realty Income has an at-the-market equity distribution program
where up to 12 million shares of common stock can be offered or
sold to, or through, our sales agents at prevailing market prices
or agreed-upon prices. During the quarter ended March 31, 2016, Realty Income issued 500,000
common shares via the ATM program, generating net proceeds of
$30.1 million.
Direct Stock Purchase and Dividend Reinvestment Plan
Activities
Realty Income has a dividend reinvestment and stock purchase
program that can be accessed at
http://investors.realtyincome.com/direct-stock-purchase-and-dividend-reinvestment-plan.
The program is administered by Wells Fargo Shareowner Services.
During the quarter ended March 31,
2016, Realty Income issued 61,458 common shares via its
Direct Stock Purchase Plan, generating net proceeds of $3.5 million.
Credit Facility
Realty Income has a $2.25 billion
unsecured credit facility. This credit facility is comprised of a
$2.0 billion revolving credit
facility and a $250 million five-year
unsecured term loan. As of March 31,
2016, Realty Income had a borrowing capacity of $1.35 billion available on its revolving credit
facility.
2016 Earnings Guidance
We estimate FFO per share for 2016 of $2.82 to $2.89, an increase of 1.8% to 4.3%,
respectively, over 2015 FFO per share of $2.77. FFO per share for 2016 is based on a net
income per share range of $1.13 to
$1.20, plus estimated real estate depreciation of
$1.77 per share, and reduced by
potential estimated gains on sales of investment properties of
$0.08 per share (in accordance with
NAREIT's definition of FFO).
We estimate AFFO per share for 2016 of $2.85 to $2.90, an increase of 4.0% to 5.8%,
respectively, over 2015 AFFO per share of $2.74. AFFO further adjusts FFO for unique
revenue and expense items, which are not as pertinent to the
measurement of Realty Income's ongoing operating performance.
Additional earnings guidance detail can be found in Realty
Income's supplemental materials available on Realty Income's
corporate website at
http://investors.realtyincome.com/quarterly-results.
Conference Call Information
In conjunction with the release of Realty Income's operating
results, the company will host a conference call on
April 27, 2016 at 11:30 a.m.
PT to discuss the results. To access the conference, dial
(888) 481-2844. When prompted, provide the access code:
1794099.
Shareholders may also access a telephone replay of the
conference call by calling (888) 203-1112 and entering the access
code: 1794099. The telephone replay will be available through
May 11, 2016. A live webcast will be
available in listen-only mode by clicking on the webcast link on
the company's home page or in the investors section at
www.realtyincome.com. A replay of the conference call webcast will
be available approximately two hours after the conclusion of the
live broadcast. The webcast replay will be available through
May 11, 2016. No access code is
required for this replay.
Supplemental Materials
Supplemental materials on the first quarter 2016 operating
results are available on Realty Income's corporate website at
http://investors.realtyincome.com/quarterly-results.
About Realty Income
Realty Income, The Monthly Dividend Company®, is an
S&P 500 company dedicated to providing shareholders with
dependable monthly income. The company is structured as a REIT, and
its monthly dividends are supported by the cash flow from over
4,600 real estate properties owned under long-term lease agreements
with regional and national commercial tenants. To date, the company
has declared 550 consecutive common stock monthly dividends
throughout its 47-year operating history and increased the dividend
85 times since Realty Income's public listing in 1994 (NYSE: O).
The company has in-house acquisition, portfolio management, asset
management, credit research, real estate research, legal, finance
and accounting, information technology, and capital markets
capabilities. Additional information about the company can be
obtained from the corporate website at www.realtyincome.com.
Forward-Looking Statements
Statements in this press release that are not strictly
historical are "forward-looking" statements. Forward-looking
statements involve known and unknown risks, which may cause the
company's actual future results to differ materially from expected
results. These risks include, among others, general economic
conditions, local real estate conditions, tenant financial health,
the availability of capital to finance planned growth, continued
volatility and uncertainty in the credit markets and broader
financial markets, property acquisitions and the timing of these
acquisitions, charges for property impairments, and the outcome of
any legal proceedings to which the company is a party, as described
in the company's filings with the Securities and Exchange
Commission. Consequently, forward-looking statements should be
regarded solely as reflections of the company's current operating
plans and estimates. Actual operating results may differ materially
from what is expressed or forecast in this press release. The
company undertakes no obligation to publicly release the results of
any revisions to these forward-looking statements that may be made
to reflect events or circumstances after the date these statements
were made.
CONSOLIDATED
STATEMENTS OF INCOME
|
(dollars in
thousands, except per share amounts) (unaudited)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three
Months
|
|
|
|
Three
Months
|
|
|
|
|
Ended
3/31/16
|
|
|
|
Ended
3/31/15
|
|
|
REVENUE
|
|
|
|
|
|
|
|
|
|
|
Rental
|
|
$
|
256,801
|
|
|
|
$
|
235,122
|
|
|
Tenant
reimbursements
|
|
|
9,105
|
|
|
|
|
9,963
|
|
|
Other
|
|
|
1,210
|
|
|
|
|
1,782
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total
revenue
|
|
|
267,116
|
|
|
|
|
246,867
|
|
|
|
|
|
|
|
|
|
|
|
|
|
EXPENSES
|
|
|
|
|
|
|
|
|
|
|
Depreciation and
amortization
|
|
|
107,933
|
|
|
|
|
98,037
|
|
|
Interest
|
|
|
60,678
|
|
|
|
|
58,468
|
|
|
General and
administrative
|
|
|
12,318
|
|
|
|
|
12,862
|
|
|
Property (including
reimbursable)
|
|
|
15,105
|
|
|
|
|
13,976
|
|
|
Income
taxes
|
|
|
964
|
|
|
|
|
1,074
|
|
|
Provisions for
impairment
|
|
|
1,923
|
|
|
|
|
2,087
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total
expenses
|
|
|
198,921
|
|
|
|
|
186,504
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Gain on sales of real
estate
|
|
|
2,289
|
|
|
|
|
7,218
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income
|
|
|
70,484
|
|
|
|
|
67,581
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income
attributable to noncontrolling interests
|
|
(241)
|
|
|
|
|
(317)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income
attributable to the Company
|
70,243
|
|
|
|
|
67,264
|
|
|
Preferred stock
dividends
|
|
|
(6,770)
|
|
|
|
|
(6,770)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income available
to common stockholders
|
$
|
63,473
|
|
|
|
$
|
60,494
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Funds from operations (FFO) available to
common stockholders
|
|
$
|
170,629
|
|
|
|
$
|
152,900
|
|
|
Adjusted funds from operations (AFFO) available
to common stockholders
|
|
$
|
175,918
|
|
|
|
$
|
152,121
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Per share information
for common stockholders:
|
|
|
|
|
|
|
|
Net income, basic and
diluted
|
|
$
|
0.25
|
|
|
|
$
|
0.27
|
|
|
|
|
|
|
|
|
|
|
|
|
|
FFO, basic and
diluted
|
|
$
|
0.68
|
|
|
|
$
|
0.68
|
|
|
|
|
|
|
|
|
|
|
|
|
|
AFFO:
|
|
|
|
|
|
|
|
|
|
|
Basic
|
|
$
|
0.70
|
|
|
|
$
|
0.68
|
|
|
Diluted
|
|
$
|
0.70
|
|
|
|
$
|
0.67
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash dividends paid
per common share
|
$
|
0.588
|
|
|
|
$
|
0.561
|
|
|
|
|
|
|
|
|
|
|
|
|
|
FUNDS FROM
OPERATIONS (FFO)
|
(dollars in
thousands, except per share amounts)
|
We define FFO, a
non-GAAP measure, consistent with NAREIT's definition, as net
income available to common stockholders, plus depreciation and
amortization of real estate assets, plus impairments of real estate
assets, and reduced by gains on property sales.
|
|
|
|
Three
Months
|
|
|
Three
Months
|
|
|
|
|
Ended
3/31/16
|
|
|
Ended
3/31/15
|
|
Net income available
to common stockholders
|
|
$
|
63,473
|
|
|
$
|
60,494
|
|
Depreciation and
amortization
|
|
|
107,933
|
|
|
|
98,037
|
|
Depreciation of
furniture, fixtures and equipment
|
|
|
(193)
|
|
|
|
(185)
|
|
Provisions for
impairment on investment properties
|
|
|
1,923
|
|
|
|
2,087
|
|
Gain on sale of
investment properties
|
|
|
(2,289)
|
|
|
|
(7,218)
|
|
FFO adjustments
allocable to noncontrolling interests
|
|
|
(218)
|
|
|
|
(315)
|
|
FFO available to
common stockholders
|
|
$
|
170,629
|
|
|
$
|
152,900
|
|
|
|
|
|
|
|
|
|
|
|
FFO per common share,
basic and diluted
|
|
$
|
0.68
|
|
|
$
|
0.68
|
|
|
|
|
|
|
|
|
|
|
|
Distributions paid to
common stockholders
|
|
$
|
147,345
|
|
|
$
|
126,682
|
|
|
|
|
|
|
|
|
|
|
|
FFO available to common stockholders in excess
of distributions paid to common stockholders
|
|
$
|
23,284
|
|
|
$
|
26,218
|
|
|
|
|
|
|
|
|
|
|
|
Weighted average
number of common shares used for FFO:
|
|
|
|
|
|
|
|
|
|
Basic
|
|
250,173,815
|
|
|
225,346,407
|
|
|
Diluted
|
|
250,381,001
|
|
|
225,508,832
|
|
|
|
ADJUSTED FUNDS
FROM OPERATIONS (AFFO)
|
(dollars in
thousands, except per share amounts)
|
We define AFFO as FFO
adjusted for unique revenue and expense items, which the company
believes are not as pertinent to the measurement of the company's
ongoing operating performance. Most companies in our industry
use a similar measurement to AFFO, but they may use the term "CAD"
(for Cash Available for Distribution) or "FAD" (for Funds Available
for Distribution).
|
|
|
|
Three
Months
|
|
|
Three
Months
|
|
|
|
|
Ended
3/31/16
|
|
|
Ended
3/31/15
|
|
Net income available
to common stockholders
|
|
$
|
63,473
|
|
|
$
|
60,494
|
|
Cumulative
adjustments to calculate FFO (1)
|
|
|
107,156
|
|
|
|
92,406
|
|
FFO available to
common stockholders
|
|
|
170,629
|
|
|
|
152,900
|
|
Amortization of
share-based compensation
|
|
|
2,605
|
|
|
|
2,552
|
|
Amortization of
deferred financing costs (2)
|
|
|
1,299
|
|
|
|
1,293
|
|
Amortization of net
mortgage premiums
|
|
|
(1,041)
|
|
|
|
(1,884)
|
|
Gain on early
extinguishment of mortgage debt
|
|
|
(60)
|
|
|
|
(78)
|
|
Loss on interest rate
swaps
|
|
|
5,778
|
|
|
|
1,058
|
|
Leasing costs and
commissions
|
|
|
(191)
|
|
|
|
(313)
|
|
Recurring capital
expenditures
|
|
|
(72)
|
|
|
|
(1,032)
|
|
Straight-line
rent
|
|
|
(5,151)
|
|
|
|
(4,191)
|
|
Amortization of above
and below-market leases
|
|
|
2,052
|
|
|
|
1,742
|
|
Other adjustments
(3)
|
|
|
70
|
|
|
|
74
|
|
AFFO available to
common stockholders
|
|
$
|
175,918
|
|
|
$
|
152,121
|
|
|
|
|
|
|
|
|
|
|
|
AFFO per common
share:
|
|
|
|
|
|
|
|
|
|
Basic
|
|
$
|
0.70
|
|
|
$
|
0.68
|
|
|
Diluted
|
|
$
|
0.70
|
|
|
$
|
0.67
|
|
|
|
|
|
|
|
|
|
|
|
Distributions paid to
common stockholders
|
|
$
|
147,345
|
|
|
$
|
126,682
|
|
|
|
|
|
|
|
|
|
|
|
AFFO available to common stockholders in excess
of distributions paid to common stockholders
|
|
$
|
28,573
|
|
|
$
|
25,439
|
|
|
|
|
|
|
|
|
|
|
|
Weighted average
number of common shares used for AFFO:
|
|
|
|
|
|
|
|
|
|
Basic
|
|
250,173,815
|
|
|
225,346,407
|
|
|
Diluted
|
|
250,381,001
|
|
|
225,508,832
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1)
|
See FFO calculation
above for reconciling items.
|
(2)
|
Includes the
amortization of costs incurred and capitalized upon issuance of our
notes payable, assumption of our mortgages payable and upon
issuance of our term loans. The deferred financing costs are being
amortized over the lives of the respective mortgages and term
loans. No costs associated with our credit facility agreements or
annual fees paid to credit rating agencies have been
included.
|
(3)
|
Includes adjustments
allocable to both noncontrolling interests and capital lease
obligations.
|
|
|
|
|
|
|
|
|
|
|
|
HISTORICAL FFO AND
AFFO
|
(dollars in
thousands, except per share amounts)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
For the three months
ended March 31,
|
2016
|
|
|
2015
|
|
|
2014
|
|
|
2013
|
|
|
2012
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income available
to common stockholders
|
$
|
63,473
|
|
$
|
60,494
|
|
$
|
47,179
|
|
$
|
62,735
|
|
$
|
26,071
|
|
Depreciation and
amortization
|
|
107,740
|
|
|
97,852
|
|
|
89,879
|
|
|
67,201
|
|
|
35,235
|
|
Provisions for
impairment on investment properties
|
|
1,923
|
|
|
2,087
|
|
|
1,683
|
|
|
456
|
|
|
-
|
|
Gain on sales of
investment properties
|
|
(2,289)
|
|
|
(7,218)
|
|
|
(3,878)
|
|
|
(38,559)
|
|
|
(611)
|
|
Merger-related
costs
|
|
-
|
|
|
-
|
|
|
-
|
|
|
12,030
|
|
|
-
|
|
FFO adjustments
allocable to noncontrolling interests
|
|
(218)
|
|
|
(315)
|
|
|
(343)
|
|
|
(175)
|
|
|
-
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
FFO
|
$
|
170,629
|
|
$
|
152,900
|
|
$
|
134,520
|
|
$
|
103,688
|
|
$
|
60,695
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
FFO per diluted
share
|
$
|
0.68
|
|
$
|
0.68
|
|
$
|
0.65
|
|
$
|
0.60
|
|
$
|
0.46
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
AFFO
|
$
|
175,918
|
|
$
|
152,121
|
|
$
|
132,660
|
|
$
|
103,972
|
|
$
|
66,294
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
AFFO per diluted
share
|
$
|
0.70
|
|
$
|
0.67
|
|
$
|
0.64
|
|
$
|
0.60
|
|
$
|
0.50
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash dividends paid
per share
|
$
|
0.588
|
|
$
|
0.561
|
|
$
|
0.547
|
|
$
|
0.514
|
|
$
|
0.437
|
|
|
|
|
|
|
|
|
|
|
|
|
Weighted average
diluted shares outstanding
|
250,381,001
|
|
225,508,832
|
|
207,007,341
|
|
172,053,880
|
|
132,703,954
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
REALTY INCOME
CORPORATION AND SUBSIDIARIES
|
CONSOLIDATED
BALANCE SHEETS
|
March 31, 2016 and
December 31, 2015
|
(dollars in
thousands, except per share data)
|
|
|
|
|
|
|
|
|
|
2016
|
|
|
2015(1)
|
|
ASSETS
|
|
(unaudited)
|
|
|
|
|
Real estate, at
cost:
|
|
|
|
|
|
|
Land
|
$
|
3,390,871
|
|
$
|
3,286,004
|
|
Buildings and
improvements
|
|
9,243,890
|
|
|
9,010,778
|
|
Total real estate, at
cost
|
|
12,634,761
|
|
|
12,296,782
|
|
Less accumulated
depreciation and amortization
|
|
(1,768,272)
|
|
|
(1,687,665)
|
|
Net real estate held
for investment
|
|
10,866,489
|
|
|
10,609,117
|
|
Real estate held for
sale, net
|
|
1,778
|
|
|
9,767
|
|
Net real
estate
|
|
10,868,267
|
|
|
10,618,884
|
|
Cash and cash
equivalents
|
|
8,695
|
|
|
40,294
|
|
Accounts receivable,
net
|
|
82,990
|
|
|
81,678
|
|
Acquired lease
intangible assets, net
|
|
1,017,411
|
|
|
1,034,417
|
|
Goodwill
|
|
15,283
|
|
|
15,321
|
|
Other assets,
net
|
|
44,457
|
|
|
54,785
|
|
Total
assets
|
$
|
12,037,103
|
|
$
|
11,845,379
|
|
|
|
|
|
|
|
|
LIABILITIES AND
EQUITY
|
|
|
|
|
|
|
Distributions
payable
|
$
|
52,483
|
|
$
|
50,344
|
|
Accounts payable and
accrued expenses
|
|
86,328
|
|
|
115,826
|
|
Acquired lease
intangible liabilities, net
|
|
249,454
|
|
|
250,916
|
|
Other
liabilities
|
|
43,250
|
|
|
53,965
|
|
Line of credit
payable
|
|
653,000
|
|
|
238,000
|
|
Term loans,
net
|
|
318,908
|
|
|
318,835
|
|
Mortgages payable,
net
|
|
514,041
|
|
|
646,187
|
|
Notes payable,
net
|
|
3,619,149
|
|
|
3,617,973
|
|
Total
liabilities
|
|
5,536,613
|
|
|
5,292,046
|
|
|
|
|
|
|
|
|
Commitments and
contingencies
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Stockholders'
equity:
|
|
|
|
|
|
|
Preferred stock and paid in capital, par value $0.01
per share, 69,900,000 shares authorized, 16,350,000 shares
issued and
outstanding as of March 31, 2016 and December 31, 2015, liquidation
preference $25.00 per share |
|
395,378
|
|
|
395,378
|
|
Common stock and paid in capital, par value $0.01 per
share, 370,100,000 shares authorized, 251,081,853 shares
issued and
outstanding as of March 31, 2016 and 250,416,757 shares issued and
outstanding as of December 31, 2015 |
|
7,699,837
|
|
|
7,666,428
|
|
Distributions in
excess of net income
|
|
(1,616,216)
|
|
|
(1,530,210)
|
|
Total stockholders'
equity
|
|
6,478,999
|
|
|
6,531,596
|
|
Noncontrolling
interests
|
|
21,491
|
|
|
21,737
|
|
Total
equity
|
|
6,500,490
|
|
|
6,553,333
|
|
Total liabilities and
equity
|
$
|
12,037,103
|
|
$
|
11,845,379
|
|
|
|
(1)
|
During the first
quarter of 2016, we adopted ASU 2015-03, which requires that debt
issuance costs be reported on the balance sheet as a direct
reduction of the face amount of the debt instrument they relate to.
As a result, we have reclassified certain items on the December
31, 2015 balance sheet within the following financial
statement captions: Other assets, net, Term loans, net, Mortgages
payable, net, and Notes payable, net.
|
Realty Income
Performance vs. Major Stock Indices
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Equity
|
|
|
|
|
|
|
|
|
|
|
|
|
|
NASDAQ
|
|
|
Realty
Income
|
|
REIT Index
(1)
|
|
DJIA
|
|
S&P
500
|
|
Composite
|
|
|
Dividend
|
|
Total
|
|
Dividend
|
|
Total
|
|
Dividend
|
|
Total
|
|
Dividend
|
|
Total
|
|
Dividend
|
|
Total
|
|
|
yield
|
|
return
(2)
|
|
yield
|
|
return
(3)
|
|
yield
|
|
return
(3)
|
|
yield
|
|
return
(3)
|
|
yield
|
|
return
(4)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
10/18 to
12/31/1994
|
10.5%
|
|
10.8%
|
|
7.7%
|
|
0.0%
|
|
2.9%
|
|
(1.6%)
|
|
2.9%
|
|
(1.2%)
|
|
0.5%
|
|
(1.7%)
|
1995
|
8.3%
|
|
42.0%
|
|
7.4%
|
|
15.3%
|
|
2.4%
|
|
36.9%
|
|
2.3%
|
|
37.6%
|
|
0.6%
|
|
39.9%
|
1996
|
7.9%
|
|
15.4%
|
|
6.1%
|
|
35.3%
|
|
2.2%
|
|
28.9%
|
|
2.0%
|
|
23.0%
|
|
0.2%
|
|
22.7%
|
1997
|
7.5%
|
|
14.5%
|
|
5.5%
|
|
20.3%
|
|
1.8%
|
|
24.9%
|
|
1.6%
|
|
33.4%
|
|
0.5%
|
|
21.6%
|
1998
|
8.2%
|
|
5.5%
|
|
7.5%
|
|
(17.5%)
|
|
1.7%
|
|
18.1%
|
|
1.3%
|
|
28.6%
|
|
0.3%
|
|
39.6%
|
1999
|
10.5%
|
|
(8.7%)
|
|
8.7%
|
|
(4.6%)
|
|
1.3%
|
|
27.2%
|
|
1.1%
|
|
21.0%
|
|
0.2%
|
|
85.6%
|
2000
|
8.9%
|
|
31.2%
|
|
7.5%
|
|
26.4%
|
|
1.5%
|
|
(4.7%)
|
|
1.2%
|
|
(9.1%)
|
|
0.3%
|
|
(39.3%)
|
2001
|
7.8%
|
|
27.2%
|
|
7.1%
|
|
13.9%
|
|
1.9%
|
|
(5.5%)
|
|
1.4%
|
|
(11.9%)
|
|
0.3%
|
|
(21.1%)
|
2002
|
6.7%
|
|
26.9%
|
|
7.1%
|
|
3.8%
|
|
2.6%
|
|
(15.0%)
|
|
1.9%
|
|
(22.1%)
|
|
0.5%
|
|
(31.5%)
|
2003
|
6.0%
|
|
21.0%
|
|
5.5%
|
|
37.1%
|
|
2.3%
|
|
28.3%
|
|
1.8%
|
|
28.7%
|
|
0.6%
|
|
50.0%
|
2004
|
5.2%
|
|
32.7%
|
|
4.7%
|
|
31.6%
|
|
2.2%
|
|
5.6%
|
|
1.8%
|
|
10.9%
|
|
0.6%
|
|
8.6%
|
2005
|
6.5%
|
|
(9.2%)
|
|
4.6%
|
|
12.2%
|
|
2.6%
|
|
1.7%
|
|
1.9%
|
|
4.9%
|
|
0.9%
|
|
1.4%
|
2006
|
5.5%
|
|
34.8%
|
|
3.7%
|
|
35.1%
|
|
2.5%
|
|
19.0%
|
|
1.9%
|
|
15.8%
|
|
0.8%
|
|
9.5%
|
2007
|
6.1%
|
|
3.2%
|
|
4.9%
|
|
(15.7%)
|
|
2.7%
|
|
8.8%
|
|
2.1%
|
|
5.5%
|
|
0.8%
|
|
9.8%
|
2008
|
7.3%
|
|
(8.2%)
|
|
7.6%
|
|
(37.7%)
|
|
3.6%
|
|
(31.8%)
|
|
3.2%
|
|
(37.0%)
|
|
1.3%
|
|
(40.5%)
|
2009
|
6.6%
|
|
19.3%
|
|
3.7%
|
|
28.0%
|
|
2.6%
|
|
22.6%
|
|
2.0%
|
|
26.5%
|
|
1.0%
|
|
43.9%
|
2010
|
5.1%
|
|
38.6%
|
|
3.5%
|
|
27.9%
|
|
2.6%
|
|
14.0%
|
|
1.9%
|
|
15.1%
|
|
1.2%
|
|
16.9%
|
2011
|
5.0%
|
|
7.3%
|
|
3.8%
|
|
8.3%
|
|
2.8%
|
|
8.3%
|
|
2.3%
|
|
2.1%
|
|
1.3%
|
|
(1.8%)
|
2012
|
4.5%
|
|
20.1%
|
|
3.5%
|
|
19.7%
|
|
3.0%
|
|
10.2%
|
|
2.5%
|
|
16.0%
|
|
2.6%
|
|
15.9%
|
2013
|
5.8%
|
|
(1.8%)
|
|
3.9%
|
|
2.9%
|
|
2.3%
|
|
29.6%
|
|
2.0%
|
|
32.4%
|
|
1.4%
|
|
38.3%
|
2014
|
4.6%
|
|
33.7%
|
|
3.6%
|
|
28.0%
|
|
2.3%
|
|
10.0%
|
|
2.0%
|
|
13.7%
|
|
1.3%
|
|
13.4%
|
2015
|
4.4%
|
|
13.0%
|
|
3.9%
|
|
2.8%
|
|
2.6%
|
|
0.2%
|
|
2.2%
|
|
1.4%
|
|
1.4%
|
|
5.7%
|
Q1 2016
|
3.8%
|
|
22.2%
|
|
3.8%
|
|
5.8%
|
|
2.6%
|
|
2.2%
|
|
2.1%
|
|
1.3%
|
|
1.4%
|
|
(2.7%)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Compound
Average
Annual Total Return (5)
|
|
|
17.8%
|
|
|
|
11.1%
|
|
|
|
9.8%
|
|
|
|
9.2%
|
|
|
|
9.0%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Note: All of
these dividend yields are calculated as annualized dividends based
on the last dividend paid in applicable time period divided by the
closing price as of period end. Dividend yield sources: NAREIT
website and Bloomberg, except for the 1994 NASDAQ dividend yield
which was sourced from Datastream / Thomson Financial.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1)
|
FTSE NAREIT US Equity
REIT Index, as per NAREIT website.
|
(2)
|
Calculated as the
difference between the closing stock price as of period end less
the closing stock price as of previous period, plus dividends paid
in period, divided by closing stock price as of end of previous
period. Does not include reinvestment of dividends for the annual
percentages.
|
(3)
|
Includes reinvestment
of dividends. Source: NAREIT website and
Factset.
|
(4)
|
Price only index,
does not include dividends. Source: Factset.
|
(5)
|
All of these Compound
Average Annual Total Return rates are calculated in the same
manner: from Realty Income's NYSE listing on October 18, 1994
through March 31, 2016, and (except for NASDAQ) assuming
reinvestment of dividends. Past performance does not guarantee
future performance. Realty Income presents this data for
informational purposes only and makes no representation about its
future performance or how it will compare in performance to other
indices in the future.
|
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To view the original version on PR Newswire,
visit:http://www.prnewswire.com/news-releases/realty-income-announces-operating-results-for-first-quarter-2016-300257787.html
SOURCE Realty Income Corporation