Overview

* Broadstone Q2 revenue beat analyst expectations, per LSEG data; AFFO rose 5.6% yr/yr

* Net income fell 44.8% due to higher impairment provision of investment in rental properties

* Co raised full-year AFFO guidance

Outlook

* BNL raises full-year AFFO guidance to $1.48-$1.50 per share

* Company increases expectations for 2025 real estate investments to $500-$700 mln

* BNL expects 2025 real estateproperty dispositions of $50-$100 mln

Result Drivers

* IMPAIRMENT PROVISION - Net income decreased due to an $8.1 mln increase in provision for impairment of rental properties

* HIGH LEASE OCCUPANCY - Portfolio was 99.1% leased, with only two properties vacant, contributing to stable revenue

* INVESTMENT ACTIVITY - Invested $140.8 mln in qtr, including build-to-suit developments and industrial property acquisitions

Key Details

Metric Beat/Mis Actual Consensu

s s

Estimate

Q2 Beat $112.99 $111.20

Revenue mln mln (6

Analysts

)

Q2 EPS $0.1

Q2 $77.15

Adjusted mln

FFO

Q2 FFO $73.70

mln

Q2 $0.39

Adjusted

FFO Per

Share

Q2 FFO $0.37

Per

Share

Analyst Coverage

* The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 5 "strong buy" or "buy", 3 "hold" and 1 "sell" or "strong sell"

* The average consensus recommendation for the commercial reits peer group is "buy"

* Wall Street's median 12-month price target for Broadstone Net Lease Inc ( BNL ) is $18.00, about 10.6% above its July 29 closing price of $16.10

* The stock recently traded at 22 times the next 12-month earnings vs. a P/E of 24 three months ago

Press Release:

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)