STAG INDUSTRIAL ANNOUNCES SECOND QUARTER 2025 RESULTS
BOSTON, July 29, 2025 /PRNewswire/ -- STAG Industrial, Inc. (the "Company") (NYSE:STAG), today announced its financial and operating results for the quarter ended June 30, 2025.
"The Company has done an excellent job executing our operating plan in the first half of 2025," said Bill Crooker, President and Chief Executive Officer of the Company. "This strong first half of 2025 sets us up well for the remainder of the year."
Second Quarter 2025 Highlights
Reported $0.27 of net income per basic and diluted common share for the second quarter of 2025, compared to $0.33 of net income per basic and diluted common share for the second quarter of 2024. Reported $50.0 million of net income attributable to common stockholders for the second quarter of 2025, compared to net income attributable to common stockholders of $59.7 million for the second quarter of 2024.
Achieved $0.63 of Core FFO per diluted share for the second quarter of 2025, an increase of 3.3% compared to the second quarter of 2024 Core FFO per diluted share of $0.61.
Produced Cash NOI of $161.7 million for the second quarter of 2025, an increase of 8.9% compared to the second quarter of 2024 of $148.4 million.
Produced Same Store Cash NOI of $145.3 million for the second quarter of 2025, an increase of 3.0% compared to the second quarter of 2024 of $141.0 million.
Produced Cash Available for Distribution of $98.8 million for the second quarter of 2025, an increase of 3.9% compared to the second quarter of 2024 of $95.1 million.
Acquired one building in the second quarter of 2025, consisting of 183,200 square feet, for $18.4 million, with a Cash Capitalization Rate of 7.1%.
Sold one building in the second quarter of 2025, consisting of 151,200 square feet, for $9.1 million.
Achieved an Occupancy Rate of 96.3% on the total portfolio and 97.0% on the Operating Portfolio as of June 30, 2025.
Commenced Operating Portfolio leases of 4.2 million square feet for the second quarter of 2025, resulting in a Cash Rent Change and Straight-Line Rent Change of 24.6% and 41.1%, respectively.
Experienced 75.3% Retention for 3.5 million square feet of leases expiring in the quarter.
On May 8, 2025, Moody's Investor Services raised the Company's corporate credit rating to Baa2 with a stable outlook from Baa3 with a positive outlook.
As of July 28, 2025, addressed 90.8% of expected 2025 new and renewal leasing, consisting of 13.3 million square feet, achieving Cash Rent Change of 24.5%.
Please refer to the Non-GAAP Financial Measures and Other Definitions section at the end of this release for definitions of capitalized terms used in this release.
The Company will host a conference call tomorrow, Wednesday, July 30, 2025 at 10:00 a.m. (Eastern Time), to discuss the quarter's results and provide information about acquisitions, operations, capital markets and corporate activities. Details of the call can be found at the end of this release.
Key Financial Measures
SECOND QUARTER 2025 KEY FINANCIAL MEASURES
Three months ended June 30,
Six months ended June 30,
Metrics
2025
2024
% Change
2025
2024
% Change
(in $000s, except per share data)
Net income attributable to common stockholders
$49,963
$59,737
(16.4) %
$141,316
$96,317
46.7 %
Net income per common share, basic
$0.27
$0.33
(18.2) %
$0.76
$0.53
43.4 %
Net income per common share, diluted
$0.27
$0.33
(18.2) %
$0.76
$0.53
43.4 %
Cash NOI
$161,688
$148,432
8.9 %
$318,885
$293,904
8.5 %
Same Store Cash NOI (1)
$145,266
$140,984
3.0 %
$289,726
$280,758
3.2 %
Adjusted EBITDAre
$152,017
$138,726
9.6 %
$298,430
$273,393
9.2 %
Core FFO
$120,506
$113,147
6.5 %
$235,760
$222,186
6.1 %
Core FFO per share / unit, basic
$0.63
$0.61
3.3 %
$1.24
$1.20
3.3 %
Core FFO per share / unit, diluted
$0.63
$0.61
3.3 %
$1.24
$1.20
3.3 %
Cash Available for Distribution
$98,829
$95,119
3.9 %
$205,315
$193,252
6.2 %
(1) The Same Store pool accounted for 91.6% of the total portfolio square footage as of June 30, 2025.
Definitions of the above-mentioned non-GAAP financial measures, together with reconciliations to net income (loss) in accordance with GAAP, appear at the end of this release. Please also see the Company's supplemental information package for additional disclosure.
Acquisition, Development and Disposition Activity
For the three months ended June 30, 2025, the Company acquired one building for $18.4 million with an Occupancy Rate of 100.0% upon acquisition. The chart below details the acquisition activity for the quarter:
SECOND QUARTER 2025 ACQUISITION ACTIVITY
Market
DateAcquired
Square Feet
Buildings
PurchasePrice ($000s)
W.A. LeaseTerm (Years)
CashCapitalizationRate
Straight-LineCapitalizationRate
Chicago, IL
6/12/2025
183,200
1
$18,399
5.0
Total / weighted average
183,200
1
$18,399
5.0
7.1 %
7.1 %
The chart below details the 2025 acquisition activity and pipeline through July 28, 2025:
2025 ACQUISITION ACTIVITY AND PIPELINE DETAIL
Square Feet
Buildings
PurchasePrice ($000s)
W.A. LeaseTerm (Years)
CashCapitalizationRate
Straight-LineCapitalizationRate
Q1
393,564
3
$43,285
3.2
6.8 %
7.0 %
Q2
183,200
1
18,399
5.0
7.1 %
7.1 %
Total / weighted average
576,764
4
$61,684
3.8
6.9 %
7.0 %
Pipeline
28.4 million
168
$3.4 billion
Additionally, in the second quarter, the Company acquired one vacant land parcel for $5.5 million as part of a joint venture.
The chart below details the disposition activity for the six months ended June 30, 2025:
2025 DISPOSITION ACTIVITY
Square Feet
Buildings
Sale Price ($000s)
Q1
337,391
1
$67,000
Q2
151,200
1
9,100
Total
488,591
2
$76,100
Leasing Activity
The chart below details the leasing activity for leases commenced during the three months ended June 30, 2025:
SECOND QUARTER 2025 OPERATING PORTFOLIO LEASING ACTIVITY
Lease Type
SquareFeet
LeaseCount
W.A.LeaseTerm(Years)
Cash
BaseRent
$/SF
SL BaseRent
$/SF
Lease
Commissions
$/SF
TenantImprovements$/SF
Cash RentChange
SL RentChange
Retention
New Leases
1,604,612
11
5.4
$6.16
$6.36
$1.98
$0.38
35.2 %
49.0 %
Renewal Leases
2,611,673
21
5.8
$6.01
$6.46
$1.33
$0.23
18.7 %
36.7 %
75.3 %
Total / weighted average
4,216,285
32
5.7
$6.07
$6.43
$1.58
$0.29
24.6 %
41.1 %
The chart below details the leasing activity for leases commenced during the six months ended June 30, 2025:
2025 YEAR TO DATE OPERATING PORTFOLIO LEASING ACTIVITY
Lease Type
SquareFeet
LeaseCount
W.A.LeaseTerm(Years)
Cash
BaseRent
$/SF
SL BaseRent
$/SF
Lease
Commissions
$/SF
TenantImprovements$/SF
Cash RentChange
SL RentChange
Retention
New Leases
1,883,667
15
5.2
$6.02
$6.23
$1.93
$0.50
35.0 %
48.7 %
Renewal Leases
7,295,246
53
5.0
$6.02
$6.42
$1.30
$0.29
23.9 %
40.0 %
81.4 %
Total / weighted average
9,178,913
68
5.0
$6.02
$6.38
$1.43
$0.34
26.1 %
41.7 %
Additionally, for the three and six months ended June 30, 2025, leases commenced totaling 1.1 million and 1.2 million square feet, respectively, related to Value Add assets and first generation leasing. These are excluded from the Operating Portfolio statistics above.
As of July 28, 2025, addressed 90.8% of expected 2025 new and renewal leasing, consisting of 13.3 million square feet, achieving Cash Rent Change of 24.5%.
Capital Markets Activity
On May 8, 2025, Moody's Investor Services raised the Company's corporate credit rating to Baa2 with a stable outlook from Baa3 with a positive outlook.
On June 25, 2025, the Company funded a note purchase agreement that issues $550 million of fixed rate senior unsecured notes in a private placement offering with a weighted average fixed interest rate of 5.65% and a weighted average tenor of 6.5 years. The transaction consists of $350 million of 5.50% notes with a five-year term maturing on June 25, 2030; $100 million of 5.82% notes with an eight-year term maturing on June 25, 2033; and $100 million of 5.99% notes with a ten-year term maturing on June 25, 2035.
As of June 30, 2025, Net Debt to Annualized Run Rate Adjusted EBITDAre was 5.1x and Liquidity was $961.2 million.
Conference Call
The Company will host a conference call tomorrow, Wednesday, July 30, 2025, at 10:00 a.m. (Eastern Time) to discuss the quarter's results. The call can be accessed live over the phone toll-free by dialing (877) 407-4018, or for international callers, (201) 689-8471. A replay will be available shortly after the call and can be accessed by dialing (844) 512-2921, or for international callers, (412) 317-6671. The passcode for the replay is 13754611.
Interested parties may also listen to a simultaneous webcast of the conference call by visiting the Investor Relations section of the Company's website at www.stagindustrial.com, or by clicking on the following link:
http://ir.stagindustrial.com/QuarterlyResults
Supplemental Schedule
The Company has provided a supplemental information package with additional disclosure and financial information on its website (www.stagindustrial.com) under the "Quarterly Results" tab in the Investor Relations section.
CONSOLIDATED BALANCE SHEETS
STAG Industrial, Inc.
(unaudited, in thousands, except share data)
June 30, 2025
December 31, 2024
Assets
Rental Property:
Land
$ 782,046
$ 771,794
Buildings and improvements, net of accumulated depreciation of $1,177,622 and
$1,085,866, respectively
5,325,367
5,295,120
Deferred leasing intangibles, net of accumulated amortization of $406,658 and $386,627,
respectively
392,677
428,865
Total rental property, net
6,500,090
6,495,779
Cash and cash equivalents
15,379
36,284
Restricted cash
20,466
1,109
Tenant accounts receivable
138,936
136,357
Prepaid expenses and other assets
100,464
96,189
Interest rate swaps
19,703
36,466
Operating lease right-of-use assets
30,110
