NYSE$O

Realty Income Corp · Q3 2022 earnings

Q3 2022 earnings · · Investor relations

Briefing

Realty Income reported solid Q3 2022 results, marked by increased revenue and FFO per share.

Realty Income announced operating results for the three months ended September 30, 2022, featuring a net income of $219.6 million, or $0.36 per share, and normalized FFO per share increased 9.0% to $0.97. The company invested $1.87 billion in 375 properties and raised $0.7 billion from the sale of common stock.

  • Net income available to common stockholders was $219.6 million, or $0.36 per share.
  • Normalized FFO per share increased 9.0% to $0.97, compared to the three months ended September 30, 2021.
  • Invested $1.87 billion in 375 properties and properties under development or expansion, including $613.0 million in Europe.
  • Declared the 100th consecutive quarterly dividend increase in September, representing a 5.1% increase compared to the amount declared one year ago.

Headline financials

Total Revenue

$837M

Previous: $492M+70.2%
EPS (adj)

$0.98

Previous: $0.91+7.7%
Capital Expenditures

-$5.07B

Previous: -$3.73B-36.2%
Free Cash Flow

-$4.86B

Previous: -$3.59B-35.2%
Net Income

$220M

Previous: $135M+62.6%
Operating Income

$745M

Previous: $407M+83.0%
Gross Profit

$785M

Previous: $462M+69.7%
Cash & Equivalents

$188M

Previous: $517M-63.7%
Total Assets

$45.9B

Previous: $23.7B+93.5%
Stock-Based Comp

$5.1M

Previous: $4.32M+18.2%

Revenue & EPS history

Realty Income · Revenue · Quarterly

$837M

Q3 2022+70.2%vs Q3 2021
Beat estimate in 14 of 15 quarters(93%)
ActualEstimate

Forward guidance

Realty Income provided approximate estimates of the key components of our 2022 earnings guidance:

Tailwinds

  • Same store rent growth ~ 2.0%
  • Occupancy Over 98%
  • Cash G&A expenses (% of revenues) 3.5% - 4.0%
  • Property expenses (non-reimbursable) (% of revenues) 1.3% - 1.5%
  • Acquisition volume Over $6.0 billion

Headwinds

  • Net income per share $1.07 to $1.15
  • Real estate depreciation and impairments per share $3.03
  • Other adjustments per share (1) $(0.11)
  • Normalized FFO per share $3.99 to $4.07
  • AFFO per share $3.87 to $3.94

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q3 2022

Historical avgQ3 2022

-0.3%

Avg return

Earnings day

+0.1%

Avg return

5 days after

-1.2%

Avg return

30 days after

38%

25 / 65 earnings

Positive

+6.7%

Q4 2015

Best reaction

-5.1%

Q3 2016

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+0.7%-2.5%-4.2%
Q4 2025+0.6%+1.6%-8.8%
Q3 2025-2.9%-2.3%+0.0%
Q2 2025+0.3%+1.3%+4.2%
Q1 2025-0.3%-0.4%-1.9%
Q4 2024-1.9%-0.5%-2.0%
Q3 2024-0.1%-2.3%-4.6%
Q2 2024+1.9%+2.1%+5.7%
Q1 2024-0.4%-0.5%-2.2%
Q4 2023+0.7%+1.2%+0.3%
Q3 2023-0.3%-1.6%+7.6%
Q2 2023-3.2%-1.1%-7.5%
Q1 2023+0.9%+2.2%-2.8%
Q4 2022-0.9%-1.7%-10.4%
Q3 2022-0.9%+1.5%+1.1%
Q2 2022-0.5%+0.6%-7.0%
Q1 2022-0.8%-4.6%-0.5%
Q4 2021-2.1%+1.2%+0.2%
Q3 2021+0.8%+0.5%-4.8%
Q2 2021+0.2%+0.5%+3.0%
Q1 2021-0.1%-1.5%+2.1%
Q4 2020+2.1%-1.4%+3.5%
Q3 2020+2.4%+0.2%+5.0%
Q2 2020+3.0%+4.4%+5.8%
Q1 2020+0.5%+5.9%+16.2%
Q4 2019+1.9%+2.2%-41.0%
Q3 2019-3.5%-5.9%-6.3%
Q2 2019-0.3%+3.8%+9.2%
Q1 2019+0.3%-0.1%+0.1%
Q4 2018-0.5%-0.7%+3.8%
Q3 2018-0.3%+0.1%+4.4%
Q2 2018+2.0%+3.3%+5.0%
Q1 2018+0.4%+0.6%+1.3%
Q4 2017-0.2%+2.4%-0.1%
Q3 2017-2.8%-1.4%+2.6%
Q2 2017+0.9%-0.6%+1.1%
Q1 2017-1.4%-2.9%-8.2%
Q4 2016+2.2%+2.6%-3.3%
Q3 2016-5.1%-4.9%-9.2%
Q2 2016+0.8%+2.9%-6.2%
Q1 2016-1.4%
Q4 2015+6.7%
Q3 2015-1.3%
Q2 2015+0.4%
Q1 2015-4.2%
Q4 2014+1.2%
Q3 2014+3.0%
Q2 2014-1.3%
Q1 2014-0.6%
Q4 2013+1.3%
Q3 2013-1.6%
Q2 2013-0.3%
Q1 2013+0.8%
Q4 2012-0.2%
Q3 2012-2.8%
Q2 2012-0.9%
Q1 2012-0.5%
Q4 2011-1.0%
Q3 2011-1.9%
Q2 2011-2.5%
Q1 2011-1.3%
Q4 2010-0.2%
Q3 2010-2.4%
Q2 2010-1.6%
Q1 2010-1.2%

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