Key Highlights

  • O recorded AFFO of $1.12 per share in Q3 2026, a 3.7% rise year over year.
  • Total Revenue came in at $1,621.6 million, against $1,470.6 million in the prior-year period.
  • Common holders earned $0.43 a share ($403.9 million), against $0.35 ($315.8 million) a year earlier.
  • Deployment reached $2.6 billion in the period, with $2.2 billion on a pro-rata footing and a 6.8% starting weighted cash yield.
  • Management now projects full-year AFFO per share between $4.45 and $4.46, moving up from a previous $4.44 to $4.45 band.

Realty Income's Per-Share AFFO Advance Lifts Its Full-Year Outlook

Realty Income (NYSE:O) published results for the quarter ended Sep 30, 2026 on Nov 2, 2026. AFFO per share reached $1.12, improving on $1.08 in the same period one year earlier, a gain of 3.7%. Total AFFO was $1,061.1 million, against $992.0 million.

Quarterly revenue totaled $1,621.6 million, roughly 10.3% (calculated) above the $1,470.6 million booked a year earlier. FFO was $1.10 a share versus $1.07, and normalized FFO rose to $1.10 from $1.09.

Income available to common holders rose to $403.9 million, up from $315.8 million a year earlier. Write-downs and sale gains can swing this line.

Acquisition Mix Spans Europe, Credit and Industrial Properties

The REIT committed $2.6 billion during the quarter, $2.2 billion of which reflected its pro-rata interest, at an initial weighted cash Yield of 6.8%. Real estate purchases totaled $2.16 billion, carrying a 6.6% yield. Wholly owned European transactions accounted for $721.0 million, American wholly owned transactions amounted to $780.1 million, and credit placements of $261.5 million carried a 7.9% yield.

Management expected funding to cost about 5% in year one, leaving a spread of around 170 basis points that is neutral to leverage. On a cash income basis, Data Center accounted for 11.7%, retail for 31.0%, and industrial for 57.3%.

Sales reached 182 properties, producing $526.6 million in net proceeds and a $113.9 million gain. Occupancy was 98.8% at period end, rent recapture reached 103.5%, with same store rental revenue up 1.1%.

Funding Diversified Through Convertible Debt, Euro Bonds and a European Venture

The net Lease REIT, established in 1969, has 15,536 holdings rented to 1,842 tenants across 96 industries. Back in September 2026, the company declared its 116th straight quarterly Dividend increase, which put the annualized payout at $3.258 per share.

Convertible senior notes worth $1.0 billion, carrying a 3.750% coupon and maturing in August 2031, were placed in August, netting $983.2 million. That same month $188.7 million went toward buying back roughly 3.0 million shares. Notes denominated in euros, totaling EUR 600.0 million with a 3.625% coupon due 2032, arrived in July, and the revolver rose from $4.0 billion to $5.5 billion.

A global Investment firm injected EUR 528.0 million into a euro-denominated joint venture in exchange for a 49% interest in 54 stabilized net lease properties located in four European countries. Net Debt equaled 5.4 times annualized pro forma adjusted EBITDAre, and available Liquidity stood at $5.4 billion.

Year-End Guidance Reflects Prefunded Equity and a Higher Occupancy Target

Realty Income now projects occupancy above 98.5% for 2026, and it also moved its AFFO per-share view higher. Expected non-reimbursable property costs now fall between 1.3% and 1.5% of revenue, and credit losses are pegged at roughly 30 basis points, improved from 40. Remaining equity needs were described as fully prefunded.

Through Sep 30, 2026, the company had finished $7.9 billion of its $10.0 billion investment plan, which remains the target.