Here are 1-3 brief analogies for Realty Income (O):

• American Tower, but for retail stores, restaurants, and warehouses instead of cell towers.
  (Both are REITs that own vast portfolios of essential physical infrastructure/property and lease them out to businesses under long-term contracts for recurring revenue.)
• Like a utility company that provides stable dividends, but instead of electricity or water, it provides the essential physical locations for thousands of businesses.
  (Highlights the predictable, stable income and dividend nature, and the provision of an essential service—real estate—to a wide base of users.)
• Imagine if McDonald's primarily made its money by owning all the land and buildings for its restaurants (and many other businesses like Walgreens or 7-Eleven) and simply collecting rent, rather than selling food.
  (Uses a globally recognized brand known for extensive real estate ownership, emphasizing Realty Income's core business as a landlord for thousands of diversified commercial tenants.)

• Commercial Property Leasing: Realty Income provides the use of freestanding, single-tenant commercial properties to businesses through long-term, triple-net lease agreements.
• Sale-Leaseback Transactions: The company acquires real estate from operating businesses and immediately leases it back to them, offering a capital solution while securing long-term property occupancy for the tenant.

Realty Income (O) primarily sells to other companies, which are its tenants across various retail, industrial, and other sectors. These companies lease commercial properties from Realty Income under long-term net lease agreements.

Its major customers (tenants), based on contractual rent as of recent reports, include:

• Dollar General (NYSE: DG)
• Walgreens (NASDAQ: WBA)
• Dollar Tree / Family Dollar (NASDAQ: DLTR)
• 7-Eleven (owned by Seven & i Holdings Co., Ltd., TSE: 3382)
• CVS Pharmacy (NYSE: CVS)
• FedEx (NYSE: FDX)
• Kroger (NYSE: KR)

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Sumit Roy, President & Chief Executive Officer

Sumit Roy has been Realty Income's Chief Executive Officer since October 2018 and President since 2015, and a member of the Board of Directors since October 2018. He previously served as Chief Operating Officer from 2014 to 2018 and Chief Investment Officer from 2013 to 2014. Prior to joining Realty Income in 2011, Mr. Roy was an Executive Director at UBS Investment Bank for seven years, where he was responsible for over $57 billion in real estate capital markets and advisory transactions. His experience also includes working in investment banking at Merrill Lynch and as a Principal in technology consulting at Cap Gemini.

Jonathan Pong, Executive Vice President, Chief Financial Officer & Treasurer

Jonathan Pong will assume the role of Chief Financial Officer and Treasurer effective January 1, 2024. Since joining Realty Income in 2014, he has served as Senior Vice President and Head of Corporate Finance, overseeing capital markets, derivatives, financial planning and analysis, and investor relations functions. Before joining Realty Income, Mr. Pong was a Vice President in Equity Research at Robert W. Baird, where he covered the REIT sector. He began his career with Deloitte & Touche LLP.

Neil Abraham, President, Realty Income International, Executive Vice President, Chief Strategy Officer

Neil Abraham serves as President, Realty Income International, and Executive Vice President, Chief Strategy Officer. He joined Realty Income in 2015 and was appointed Chief Strategy Officer in May 2018, having previously served as Chief Investment Officer from 2015 to 2018. Prior to Realty Income, Mr. Abraham was a Portfolio Manager for equity and mortgage REITs at AllianceBernstein for eight years. He also held positions as an Associate Principal at McKinsey & Company and Vice President, Fixed Income & Credit Derivatives at Salomon Brothers (later Citigroup).

Mark Hagan, Executive Vice President, Chief Investment Officer

Mark Hagan joined Realty Income in May 2018 as Executive Vice President, Chief Investment Officer. In this role, he is responsible for the company's investment activities and leads the Acquisitions Department. Before joining Realty Income, Mr. Hagan spent approximately 20 years as a New York-based real estate investment banker, providing advisory services to both public and private real estate companies on a variety of transactions, including property acquisitions, dispositions, and entity-level combinations. His previous roles include Managing Director for RBC Capital Markets, LLC, Managing Director at Deutsche Bank Securities Inc., and Director at Merrill Lynch & Co.

Gregory Whyte, Executive Vice President, Chief Operating Officer

Gregory Whyte has been the Chief Operating Officer and Executive Vice President of Realty Income since 2023. Previously, he served as a Senior Advisor in the Real Estate Leisure and Lodging Investment Banking group at UBS Securities from 2007 to 2016.

Key Risks to Realty Income (O)

1. Interest Rate Sensitivity and Economic Conditions: As a real estate investment trust (REIT), Realty Income is highly sensitive to fluctuations in interest rates. Rising interest rates increase the cost of borrowing for new acquisitions and developments, narrowing the spread between its cost of capital and rental income, which can reduce profitability. Higher interest rates also make alternative, lower-risk investments like bonds more attractive, potentially diminishing investor demand for REITs. Furthermore, adverse changes in general or local economic conditions, such as a severe recession, can lead to falling occupancy rates, decreased rental revenue, and declining property values. Inflation, especially with the company's typical 1-1.5% annual rent escalations, can erode the real purchasing power of its revenue over time.
2. Tenant Credit Risk and Occupancy Fluctuations: Realty Income's financial performance is intrinsically linked to the economic health and ability of its tenants to meet lease obligations. While the company diversifies its portfolio with many tenants in service-oriented, non-discretionary, and low-price-point retail sectors, the risk of tenant defaults, bankruptcies, or business declines remains significant. Recent large acquisitions by Realty Income have been noted for potentially introducing lower-quality assets, which could elevate overall tenant credit risk and increase exposure to tenant solvency issues. Specific retail categories, such as pharmacies and dollar stores, which are significant tenants for Realty Income, face growing pressures from competition and potential impacts from factors like tariffs, raising concerns about future tenant issues.
3. Competition and Challenges in Scalable Growth: Realty Income operates in a highly competitive market for acquiring prime real estate assets. It faces competition from other REITs, institutional investors, and private entities, which can lead to higher acquisition costs and lower investment yields. Given its substantial size and need to deploy large amounts of capital to maintain growth, Realty Income has increasingly pursued non-traditional deals, including lending to tenants and international expansion. These strategic shifts could introduce new long-term risks, potentially diluting the overall quality of its portfolio and diverging from its historical disciplined growth model, leading to concerns about the sustainability of its growth trajectory and dividend increases.

Realty Income Corporation (symbol: O) primarily focuses on acquiring and managing free-standing, single-tenant commercial properties under long-term net lease agreements. These properties span retail, industrial, and agricultural sectors, with a client base often characterized by service, non-discretionary, or low-price-point businesses, as well as Fortune 1000 and investment-grade rated industrial and distribution companies.

The company's operations extend across the United States, the United Kingdom, and seven other European countries. The addressable markets for Realty Income's services can be estimated by looking at the broader commercial real estate and, more specifically, the single-tenant net lease markets within these regions.

United States

• The total commercial real estate market in the U.S. was estimated at $22.5 trillion in the fourth quarter of 2023, according to the Federal Reserve's April 2024 report. Other estimates place the U.S. commercial real estate market size at $1.70 trillion in 2025, projected to reach $1.94 trillion by 2030.
• For the single-tenant net lease (STNL) market in the U.S., investment sales volumes reached $9.6 billion in the second quarter of 2025. Year-to-date through the third quarter of 2025, single-tenant investment sales totaled $33.3 billion. Within this, retail STNL sales were $2.2 billion in Q2 2025, industrial STNL sales were $5.4 billion, and office STNL sales were approximately $1.9 billion.

Europe

• The European commercial real estate market is substantial, with estimates indicating a market size of USD 1.55 trillion in 2025, forecast to grow to USD 2.05 trillion by 2030. Another projection suggests the market size will surpass USD 1.42 trillion in 2024 and reach USD 2.42 trillion by 2032.
• The overall European commercial property market is estimated to be worth €8.8 trillion, with approximately 65% of this being owner-occupied, representing a significant addressable market for sale-leaseback transactions, a key source for net lease properties. This translates to an estimated €5.7 trillion for the European corporate-owned real estate market.
• The European net lease property market, specifically through corporate disposals (sale-leasebacks), has seen an average transaction volume of over €20 billion per annum over the last decade.

Realty Income (symbol: O) is expected to drive future revenue growth over the next 2-3 years through several key strategies:

1. Strategic Acquisitions and Investment Volume: Realty Income consistently targets substantial investment volumes through property acquisitions. For 2025, the company anticipates an investment volume of approximately $4.0 billion. Some reports indicate a higher investment income guidance of $5.5 billion for 2025. In the first quarter of 2025, the company invested $1.4 billion in new properties. These acquisitions are a core component of its growth strategy.
2. International Expansion: The company is actively expanding its footprint beyond the U.S., particularly in Europe, and is exploring new markets such as Canada and Mexico. This international focus offers opportunities for higher yields and lower financing costs compared to the U.S. market. Nearly 30% of its sourced investment volume since 2019 has come from international markets.
3. Same-Store Rent Growth and Lease Escalators: A significant portion of Realty Income's existing leases includes contractual annual rent increases, known as escalators. The company projects a same-store rent growth of approximately 1.0% for 2025. Additionally, Realty Income has demonstrated strong rent recapture rates, exceeding 100% on re-leased properties, further contributing to organic revenue growth.
4. Diversification into New Sectors: Realty Income is strategically expanding its portfolio beyond traditional retail properties into high-value sectors such as industrial, gaming, and data centers. Recent examples include significant acquisitions in the gaming industry, such as Encore Boston Harbor and a preferred equity investment in Bellagio Las Vegas, and a joint venture in data infrastructure. This diversification aims to strengthen its growth trajectory and enhance portfolio resilience.
5. Establishment of a Private Capital Fund Platform: Realty Income is developing a private capital fund platform. This initiative is expected to introduce a new, high-margin revenue stream by enhancing third-party real estate investments.

Share Repurchases

• In February 2025, Realty Income Corporation authorized a share repurchase program of up to $2.0 billion, valid until January 2028.
• The company has not significantly bought back shares in the past five years.

Share Issuance

• In 2024, Realty Income raised $1.8 billion from the sale of common stock, primarily through its At-The-Market (ATM) program, at a weighted average price of $58.33.
• During the first quarter of 2025, the company raised $635.1 million in proceeds from the sale of approximately 11.2 million shares of common stock, primarily via ATM forward sale agreements, at a weighted average price of $56.26 per share.
• In the second quarter of 2025, $632 million of equity was raised through the ATM program at a weighted average stock price of $56.39 per share, with an additional $654 million of unsettled forward equity as of August 6, 2025.

Outbound Investments

• Realty Income completed the merger with VEREIT, Inc. in November 2021.
• The company closed on its acquisition of Spirit Realty at the beginning of 2024.
• For 2024, Realty Income invested $3.9 billion at an initial weighted average cash yield of 7.4%, and has increased its investment volume guidance for 2025 to approximately $5.5 billion. Strategic investments include expanding into Europe and the data center market.

Capital Expenditures

• Annual capital expenditures were $8.982 billion in 2022, $8.122 billion in 2023, and $3.384 billion in 2024.
• The trailing twelve months (TTM) annual capital expenditures as of June 30, 2025, were $4.703 billion.
• The primary focus of capital expenditures is on acquiring high-quality commercial properties, which are then leased under long-term, triple-net agreements.