Highlights

  • Second quarter 2026 lease revenues, net were $122,309 thousand, and net income was $40,255 thousand, or $0.21 diluted.
  • Second quarter Nareit FFO was $79,832 thousand, Core FFO was $78,528 thousand and AFFO was $78,211 thousand.
  • Second quarter results included a $3,546 thousand provision for impairment and a $12,990 thousand gain on sale of real estate.
  • On July 28, 2026, the company added a $300.0 million delayed draw term loan maturing January 30, 2030.

Broadstone Net Lease, Inc. (NYSE: BNL) shares were trading at USD 17.12 on October 27, 2026, down 0.58%, with a relative volume at time of 2.58. The industrial-focused net lease REIT invested $263,376 thousand in the first half of 2026, amended its credit facilities on July 28, 2026, and filed its quarterly report for the period ended June 30, 2026 on July 29, 2026.

Broadstone Net Lease is a Maryland corporation incorporated on October 18, 2007, with principal executive offices in Victor, New York. It is a diversified net lease real estate investment trust that invests in primarily single-tenant commercial real estate properties net leased on a long-term basis. As of June 30, 2026, its portfolio included 766 properties, with 759 properties in 44 U.S. states and seven properties in four Canadian provinces. Its fiscal year ends December 31.

Second Quarter 2026 Results

For the three months ended June 30, 2026, unaudited lease revenues, net were $122,309 thousand, compared with $112,986 thousand in the same quarter of 2025. Net income was $40,255 thousand, compared with $19,830 thousand, and net income attributable to Broadstone Net Lease, Inc. was $39,799 thousand. Diluted earnings per share were $0.21, compared with $0.10.

Operating expenses totaled $70,362 thousand. They included depreciation and amortization of $49,102 thousand, which included $6.2 million of accelerated depreciation tied to a demolition. They also included a $3,546 thousand provision for impairment of six properties, with a carrying value of $13,046 thousand before the charge and a fair value of $9,500 thousand. Interest expense was $25,785 thousand.

Non-GAAP measures for the quarter were Nareit FFO of $79,832 thousand, Core FFO of $78,528 thousand and AFFO of $78,211 thousand. For the six months ended June 30, 2026, net income was $86,647 thousand, compared with $37,323 thousand a year earlier.

Investments, Balance Sheet and Capital

During the six months ended June 30, 2026, total investments were $263,376 thousand. They included an acquisition at a price of $61,195 thousand in the first quarter, development projects of $177,071 thousand and transitional capital of $23,813 thousand. The company sold three properties in the second quarter.

At June 30, 2026, cash and cash equivalents were $11,095 thousand and total assets were $5,865,290 thousand. The unsecured revolving credit facility balance was $447,376 thousand, unsecured term loans, net were $995,423 thousand and senior unsecured notes, net were $1,191,552 thousand. Total debt outstanding was $2.7 billion, and the Pro Forma Net Debt to Annualized Adjusted EBITDAre ratio was 5.9x. The company said it had $542.1 million of available revolver capacity and no material debt maturities until 2027, and believed it was in compliance with its covenants.

Net cash provided by operating activities was $134,261 thousand for the six months ended June 30, 2026, compared with $150,739 thousand.

Subsequent Events and Outlook

On July 23, 2026, the Board of Directors declared a quarterly distribution of $0.2925 per share for the third quarter of 2026, payable on or before October 15, 2026 to holders as of September 30, 2026. Since June 30, 2026, the company borrowed $157.0 million and paid down $17.5 million on the revolving credit facility. It also acquired $49.5 million of land through a joint venture for a $303.0 million build-to-suit transaction.

The amendment reduced the SOFR-based margin on the term loans to 0.900% from 0.950%. The company expects to use proceeds from the new delayed draw term loan for investment activity and general corporate purposes.

The company does not give numerical guidance in the filing. It said it expects revenues and earnings to be supported by embedded same store net operating income growth, development activity and a diversified acquisition pipeline. It also said that elevated interest rates and market conditions have constrained, and may continue to constrain, its ability to complete investments at past volumes and have contributed to lower earnings growth than in earlier periods.