NNN REIT Reports Increased Revenues and Rental Income in Q2 2026

NNN REIT, Inc. reported its financial results for the second quarter and first half of 2026, showing a notable increase in rental income and overall revenues compared to the same periods in 2025. For the quarter ended June 30, 2026, the company generated total revenues of $244.3 million, up from $226.8 million in the prior year, marking an increase of 7.5%. Rental income specifically rose to $242.7 million from $226.5 million, reflecting a 7.1% year-over-year growth. For the six months ended June 30, 2026, total revenues reached $484.7 million, compared to $457.7 million in the same period of 2025, indicating a 5.9% increase.

The company's net earnings for the second quarter of 2026 were $97.9 million, slightly down from $100.5 million in the same quarter of 2025. This resulted in diluted earnings per share of $0.52, compared to $0.54 in the prior year. For the first half of 2026, net earnings totaled $191.9 million, down from $197.0 million in the first half of 2025. The decrease in net earnings was attributed to increased operating expenses, which rose to $102.0 million from $93.2 million in the previous year, driven by higher general and administrative costs and impairment losses.

In terms of strategic developments, NNN REIT expanded its property portfolio, acquiring 89 properties during the second quarter, totaling approximately 1.1 million square feet, with a weighted average cap rate of 7.3%. The company also disposed of 26 properties during the same period, generating a net gain of $9.1 million. As of June 30, 2026, NNN owned 3,774 properties across all 50 states, with a gross leasable area of approximately 40.4 million square feet and a weighted average remaining lease term of 10.1 years.

Operationally, NNN reported a slight increase in its total annualized base rent (ABR), which reached $959.1 million as of June 30, 2026, compared to $928.1 million at the end of 2025. The occupancy rate of the properties remained high at 99.1%. The company also noted a decrease in the number of cash basis tenants, which fell to 13, representing 1.7% of total properties, down from 2.5% in the previous year. This reflects NNN's ongoing efforts to manage tenant credit risk effectively.

Looking ahead, NNN REIT anticipates continued growth in rental income driven by its recent acquisitions and a stable occupancy rate. The company remains focused on maintaining its diversified property portfolio while managing its capital structure to support future investments. As of June 30, 2026, NNN had $4.2 million in cash and cash equivalents, with significant borrowing capacity available under its credit facility, positioning it well for future growth opportunities.