STAG Industrial core FFO rises as same-store cash NOI climbs

STAG Industrial, Inc. (STAG) said its core funds from operations per diluted share rose to 66 cents in the third quarter of 2026, up from 65 cents a year earlier. The results were released on Oct. 27, 2026.

Total revenue of $231.05 million was in line with the $232.18 million consensus estimate compiled by Finnhub. The company owns warehouse and distribution buildings. Its net income attributable to common stockholders was $70.67 million, or 37 cents per diluted share, compared with $48.59 million, or 26 cents, a year earlier.

Here's how the company did:

• Core FFO per diluted share: 66 cents vs. 65 cents a year earlier
• Net income per diluted share: 37 cents vs. 26 cents a year earlier
• Total revenue: $231.05 million vs. $211.12 million a year earlier
• Adjusted EBITDAre: $168.04 million vs. $152.54 million a year earlier
• Same Store Cash NOI: $159.87 million vs. $154.47 million a year earlier

Same Store Cash NOI rose 3.5% in the quarter. For the first nine months, core FFO was $1.96 per diluted share, up 3.7% from $1.89. The company describes core FFO as a non-GAAP supplemental performance measure.

Bill Crooker, President and Chief Executive Officer, said: “The third quarter built on our leasing and development progress from the first half of the year, aided by a continued improvement in industrial fundamentals.” The company said it expects another strong operational year while maintaining a healthy balance sheet. The release did not include a revised full-year forecast.

Acquisitions and dispositions

The company bought two buildings in the quarter, both acquired on Sept. 24, 2026, in Chicago, IL and El Paso, TX. The buildings total 1.1 million square feet and cost $107.9 million, with a 6.9% cash capitalization rate and a 7.2% straight-line capitalization rate.

In the same period it sold four buildings totaling 1.1 million square feet for $67.9 million.

After the quarter ended, the company bought one more building of 710,400 square feet for $55.0 million, as of Oct. 26, 2026. Its pipeline, which the company defines as deals under consideration that passed initial screening, including deals under contract and those with non-binding letters of intent, covers 138 buildings and 34.7 million square feet, with a purchase price of $4.0 billion.

Leasing and occupancy

Occupancy was 95.9% across the total portfolio and 96.2% in the Operating Portfolio as of Sept. 30, 2026. The company commenced Operating Portfolio leases covering 3.6 million square feet in the third quarter. Cash rent rose 23.8% and straight-line rent rose 35.7% compared with comparable leases. Retention was 90.3% on 2.9 million square feet of leases expiring in the quarter.

The company also signed a lease for 47,113 square feet at its development project at 6980 Resource Drive in Reno, Nevada, which is now 62% leased. It signed a lease for 21,421 square feet at 2745 Piedmont Commerce Street SW in Charlotte, North Carolina, which is now 100% leased.

Revenue has risen in each of the last three quarters, from $211.1 million in the third quarter of 2025 to $224.4 million in the second quarter of 2026, according to its SEC filings.

Balance sheet and capital returns

As of Sept. 30, 2026, net debt was 5.1 times annualized run-rate adjusted EBITDAre, and liquidity was $546.0 million. The company received a BBB investment grade credit rating from S&P Global Ratings with a stable outlook on Aug. 6, 2026.

On July 1, 2026, the company paid at maturity $50 million of fixed-rate senior unsecured notes. On July 16 it combined a $150 million term loan A and a $200 million term loan F, both due March 2027, into a $350 million term loan maturing Jan. 16, 2032. The loan carries an aggregate fixed rate, including interest rate swaps, of 3.53% until March 2027 and 4.79% from March 2027 to maturity.

In the third quarter the company sold 1.4 million shares on a forward basis under its at-the-market program at an average gross price of $39.10, or $54.3 million. As of Oct. 26, 2026, it had sold 3.4 million shares on a forward basis during the year, at an average $39.00 a share, or $131.3 million in the aggregate. Forward equity net proceeds of $70 million remained unsettled.

On Oct. 26, 2026, the board declared a fourth-quarter dividend of 38.75 cents per share, payable Jan. 15, 2027 to holders of record Dec. 31, 2026. The board also authorized a new share repurchase program of up to $250 million of common stock. The program has no expiration date and does not obligate the company to buy any shares.

The company will hold a conference call at 10 a.m. Eastern time on Oct. 28, 2026 to discuss the quarter's results.