WPC Q1 2026 Earnings Call Transcript

Motley Fool Transcribing, The Motley Fool

Wed, April 29, 2026 astatine 11:36 AM CDT 38 min read

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Date

Wednesday, April 29, 2026 astatine 11:00 a.m. ET

Call participants

• Chief Executive Officer — Jason E. Fox

• Chief Financial Officer — Toni Ann Sanzone

• Head of Asset Management — Brooks G. Gordon

• Chairman — Peter Sands

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Full Conference Call Transcript

Jason E. Fox: Thanks, Peter. Good morning, everyone. I americium pleased to accidental we started the twelvemonth with continued beardown execution crossed the business, peculiarly successful our concern enactment and superior raising, gathering connected the instauration we person established for attractive, sustainable growth. Given our show to date, we are raising our full-year guidance for some concern measurement and AFFO per share, reflecting the investments we person completed to date, the spot of our pipeline, and a much favorable outlook for estimated rent loss. This morning, I volition concisely recap immoderate of the highlights from the quarter, focusing connected our concern activity. Toni Ann Sanzone, our CFO, volition past instrumentality you done the details down our results, equilibrium sheet, and guidance.

We are joined by Brooks G. Gordon, our Head of Asset Management, to assistance reply your questions. Starting with our concern activity, truthful acold this twelvemonth we person completed investments totaling astir $680 million. Our pipeline remains precise strong, with implicit $5 cardinal of deals presently astatine precocious stages, including the sale-leaseback of a ample concern portfolio successful the last stages of closing. That gives america wide visibility into good implicit $1 cardinal of investments. Importantly, we proceed to spot beardown momentum successful our woody flow, with nary noticeable interaction connected transaction enactment to day from caller geopolitical tensions.

Given our enactment and outlook, we person raised our guidance scope for full-year concern measurement from $250 cardinal to betwixt $1.5 and $2 billion. Factoring successful what we person already closed, our existent pipeline, and the superior projects we person delivering this twelvemonth results successful an mean headdress complaint of astir 7.5%, and for the afloat year, we expect to stay astir that level. We proceed to transact crossed a scope of headdress rates, and the deals we person closed twelvemonth to day person mostly skewed toward the debased extremity of our people scope and beneath wherever our pipeline is pricing, with closed transactions averaging 7.2%.

This mostly reflects timing, arsenic it includes immoderate of what we expect to beryllium our tightest headdress complaint deals implicit the archetypal fractional of the year. I would besides item that our concern enactment to commencement the twelvemonth has been mostly weighted towards Europe and Canada, wherever we secured little outgo indebtedness during the quarter, including a two-tranche Eurobond offering astatine a 3.5% mean coupon and a Canadian dollar word indebtedness astatine conscionable implicit 3%, helping support charismatic spreads to our going-in headdress rates. We besides proceed to originate deals with fixed rent bumps averaging successful the precocious 2% scope oregon with CPI-based rent escalations.