Core FFO per share was $0.45, consistent with the prior year quarter despite growth in core FFO due to reduced leverage.
Core FFO was $14.7 million for the quarter, a $4.3 million increase compared to $10.3 million in the prior year quarter.
Net debt to EBITDA was 6.9x, improved from 7.5x a year ago but up from 6.3x at the start of the year due to acquisitions and tenant vacancies.
The company signed approximately 227,000 square feet of new leases, renewals, and extensions at an average cash base rent of $25.43 per square foot in Q2 2025.
The property portfolio of 5.3 million square feet was 93.9% leased and 90.2% occupied at quarter-end.
The signed not open leasing pipeline stands at $4.6 million, representing 4.6% of in-place cash rents.
Year-to-date leasing totaled 339,000 square feet with a 27% cash rent spread on comparable leases.
FFO and core FFO per share for Q2 2025 were $0.33 and $0.35 respectively, down from $0.36 in Q2 2024.
Net assets increased from $1.16 billion to $1.2 billion mainly due to two industrial acquisitions totaling $78.95 million.
Operating expenses decreased to $25.1 million in Q2 2025 from $26.0 million in Q2 2024, due to incentive fee waivers and lower depreciation, offset by higher property expenses.
Same-store rents increased by 6.4% in the first half of 2025 compared to the same period in 2024.
Total operating revenues increased to $39.5 million in Q2 2025 from $37.1 million in Q2 2024, driven by higher recovery and rental rates.
Adjusted Funds From Operations (AFFO) was $53.1 million or $0.24 per share in Q2 2025.
GNL reported Q2 2025 revenue of $124.9 million and a net loss attributable to common stockholders of $35.1 million.
Gross outstanding debt was reduced to $3.1 billion, down $2 billion from Q2 2024, with 85% fixed-rate debt and a weighted average interest rate of 4.3%.
Liquidity increased to approximately $1 billion with $1.1 billion capacity on the revolving credit facility.
Net debt to adjusted EBITDA ratio improved significantly to 6.6x from 8.1x a year ago.
Deposit costs were managed below 2%, with cumulative deposit beta reaching mid-50% range, matching terminal beta from the rising rate cycle.
Loan growth was strong, with commercial loans up about $3 billion year-to-date, and average loans up $1.6 billion period-end.
Net charge-offs were $102 million, down 7% sequentially, with credit metrics improving for the sixth consecutive quarter.
Net interest income grew 28% year-over-year and 4% sequentially, with net interest margin increasing 8 basis points to 2.66%.
Noninterest income rose 10% year-over-year, driven by investment banking, commercial mortgage servicing, commercial payments, and wealth management.
Pre-provision net revenue increased by $44 million sequentially, marking the fifth consecutive quarter of growth, with aggregate PPNR up over 60% since Q1 2024.
Reported second quarter earnings per share of $0.35, with revenues up 21% year-over-year and expenses up about 6% excluding charitable contributions.
Tangible book value per share increased 3% sequentially and 27% year-over-year.
Blue Owl Capital reported fee-related earnings (FRE) of $0.23 per share and distributable earnings (DE) of $0.21 per share for Q2 2025.
Direct lending portfolio gross returns were 3% in Q2 and 13.5% over the last 12 months; alternative credit gross returns were 2% in Q2 and 15.7% over last 12 months.
Equity fundraising hit a record with over $12 billion raised in Q2 and over $36 billion over the last 12 months, nearly 90% increase from prior year.
FRE margin guidance for the year is 57% to 58%, with Q2 printing at 57%.
Management fees increased by 32% over the last 12 months, with 87% from permanent capital vehicles.
Net lease gross returns were 4.1% for Q2; real estate credit investments yielded 8.1% yield to maturity and 11.1% debt yield.
The company declared a dividend of $0.225 per share for Q2 payable on August 28 to holders of record as of August 14.
The company maintained strong credit quality with average annual realized losses at 13 basis points in direct lending.
The listing of the technology-focused BDC, OTF, contributed approximately $6 million in incremental management fees in Q2.
Year-over-year on a last 12 months basis, FRE revenues grew by 29%, FRE by 23%, and DE by 20%.
Dafinchi