Q1 26 EPS
$0.50
MISS 2.32%
Est. $0.51
Q1 26 Revenue
$240.4M
BEAT +0.85%
Est. $238.4M
vs S&P Since Q1 26
+4.0%
BEATING MARKET
NNN +5.7% vs S&P +1.7%
Market Reaction
Did NNN Beat Earnings? Q1 2026 Results
NNN REIT delivered a mixed first quarter for 2026, posting revenue of $240.42 million, which edged past the $238.39 million consensus by 0.85% and grew 4.2% year-over-year, while GAAP earnings per diluted share of $0.50 came in just short of the $0.5… Read more NNN REIT delivered a mixed first quarter for 2026, posting revenue of $240.42 million, which edged past the $238.39 million consensus by 0.85% and grew 4.2% year-over-year, while GAAP earnings per diluted share of $0.50 came in just short of the $0.51 consensus estimate, a 2.32% miss that snapped a four-consecutive-quarter streak of beating EPS expectations. The shortfall traced largely to elevated impairment losses on real estate of $10.68 million, compared to just $1.51 million a year ago, combined with higher interest expense of $52.73 million versus $47.72 million in the prior-year period. On the non-GAAP side, the picture was notably stronger, with FFO rising to $163.15 million, or $0.86 per diluted share, and portfolio occupancy climbing 90 basis points year-over-year to 98.6%. With analysts already scrutinizing whether NNN's growth trajectory can sustain its 36-year dividend streak, management's decision to nudge full-year AFFO per share guidance higher to $3.53-$3.59 offered a measured reassurance heading into the rest of the year.
Key Takeaways
- • Portfolio occupancy increased to 98.6%, up 90 basis points year-over-year
- • ABR increased 6.9% year-over-year to $934.6 million
- • Rental income from operating leases grew to $233.6 million from $224.1 million year-over-year
- • Gain on disposition of real estate of $12.2 million vs $3.8 million in prior year
- • Closed $145.4 million of investments at 7.5% initial cash cap rate with 19-year weighted average lease term
NNN Forward Guidance & Outlook
NNN raised its full-year 2026 guidance. AFFO per share guidance was increased to $3.53–$3.59 (from $3.52–$3.58). Core FFO per share guidance was increased to $3.48–$3.54 (from $3.47–$3.53). Net earnings per share (excluding gains on disposition, impairment losses, and retirement/severance costs) guidance was maintained at $2.02–$2.08. Real estate depreciation and amortization per share was updated to $1.46 (from $1.45). Acquisition volume guidance was maintained at $550–$650 million. Disposition volume guidance was maintained at $110–$150 million. General and administrative expenses guidance was maintained at $53–$55 million.
NNN YoY Financials
Q1 2026 vs Q1 2025, source: SEC Filings
“We are pleased with our solid start to the year. Our strong first quarter performance enabled us to increase AFFO guidance for 2026. Portfolio occupancy climbed to 98.6%, surpassing our long-term average, and our balance sheet remains well positioned to fund future acquisitions. NNN's primarily self-funded model in the triple-net market, combined with our robust tenant relationship program, positions us to deliver consistent and sustainable per-share growth year after year.”
— Steve Horn, Q1 2026 Earnings Press Release
NNN Earnings Trends
NNN vs Market 30 Day Price Reactions
30-day stock return vs benchmark after each earnings
NNN EPS Trend
Earnings per share: estimate vs actual
NNN Revenue Trend
Quarterly revenue: estimate vs actual
NNN Quarterly Results
5 quarters of earnings data
| Quarter | EPS Est. | EPS Act. | Surprise | Revenue | Rev. Surprise |
|---|---|---|---|---|---|
| Q1 26 MISS | $0.51 | $0.50 | -2.32% | $240.4M | +0.85% |
| Q4 25 BEAT FY | $0.50 | $0.51 | +1.84% | $238.4M | +2.15% |
| FY Full Year | $1.98 | $2.07 | +4.69% | $926.2M | +0.83% |
| Q3 25 BEAT | $0.48 | $0.51 | +6.65% | $230.2M | +0.56% |
| Q2 25 BEAT | $0.49 | $0.54 | +10.43% | $226.8M | +1.13% |
| Q1 25 BEAT | $0.48 | $0.51 | +7.14% | $230.9M | +5.01% |