Early Access

10-KPeriod: FY2019

REALTY INCOME CORP Annual Report, Year Ended Dec 31, 2019

Filed February 24, 2020For Securities:O

Summary

Realty Income Corporation's 2019 10-K filing showcases a robust year characterized by significant property acquisitions and continued dividend growth, reinforcing its position as a stable income-generating REIT. The company expanded its geographically diverse portfolio by acquiring 771 properties across the U.S. and U.K., totaling $3.7 billion in investments. This growth was supported by strong leasing results, with an occupancy rate of 98.6% at year-end, and a rent recapture rate of 102.6% on re-leased properties, indicating effective asset management and tenant retention. The company's financial performance reflects consistent growth, with total revenue increasing by 12.3% year-over-year to $1.49 billion and net income available to common stockholders rising by 20.0% to $436.5 million. Funds From Operations (FFO) per share also saw a healthy increase of 5.4%. Realty Income's commitment to shareholder returns is evident in its continued track record of increasing monthly dividends, with a 3.0% increase in dividends paid per share for 2019. The company maintained a conservative capital structure, ending the year with total borrowings representing approximately 24.4% of its market capitalization, supported by investment-grade credit ratings from Moody's, S&P, and Fitch.

Financial Statements
Beta
Revenue$1.49B
Operating Expenses$1.08B
Interest Expense$290.99M
Net Income$436.48M
EPS (Basic)$1.38
EPS (Diluted)$1.38
Shares Outstanding (Basic)315.84M
Shares Outstanding (Diluted)316.16M

Key Highlights

  • 1Acquired 771 properties for $3.7 billion in 2019, expanding the portfolio to 6,483 properties across 49 U.S. states and the UK.
  • 2Maintained a high occupancy rate of 98.6% with 6,389 properties leased.
  • 3Achieved a rent recapture rate of 102.6% on re-leased properties, demonstrating effective lease management.
  • 4Reported a 12.3% increase in total revenue to $1.49 billion and a 20.0% increase in net income available to common stockholders to $436.5 million.
  • 5Continued its policy of monthly dividend payments, increasing the dividend five times in 2019 and demonstrating a 51-year history of paying and increasing monthly dividends.
  • 6Maintained a conservative capital structure with total debt at approximately 24.4% of market capitalization, supported by investment-grade credit ratings (A3/A-/BBB+).
  • 7Raised $2.2 billion in equity capital during 2019 through the sale of common stock.

Frequently Asked Questions