Postal Realty Trust Raises 2026 AFFO Guidance to $1.40–$1.42, Acquires 61 Post Offices
Postal Realty Trust reported Q1 net income of $3.8M ($0.11 per diluted share) and AFFO of $11.6M ($0.33 per share), raised 2026 AFFO guidance by $0.01 to $1.40–$1.42 and lifted acquisition guidance by $15M to $130–$140M. The company acquired 61 USPS properties for $34.6M and declared a $0.245 quarterly dividend.
1. Q1 Financial Results & Guidance Increase
Postal Realty Trust reported net income of $3.8 million ($0.11 per diluted share) and FFO of $11.2 million ($0.32 per share) in the first quarter of 2026. Adjusted FFO reached $11.6 million ($0.33 per share), prompting a $0.01 increase to AFFO guidance of $1.40–$1.42 per share and raising acquisition guidance by $15 million to $130–$140 million.
2. Portfolio Acquisitions & ATM Equity Sales
During Q1, the company acquired 61 USPS-leased properties for $34.6 million (excluding closing costs) at a 7.4% weighted average cash capitalization rate, adding approximately 195,000 net leasable square feet. The ATM program generated $59.7 million in gross equity sales and left $52.8 million of forward-equity proceeds unsettled as of May 5, 2026.
3. Capital Markets Activity & Capital Structure
On February 20, commitments under the revolving credit facility increased by $100 million to $250 million and the 2028 term loan rose by $15 million to $190 million, with The Bank of Nova Scotia joining as lender. At quarter end, net debt stood at $385 million at a 4.4% average interest rate, 84% fixed or hedged, and $201 million of the revolver remained undrawn.
4. Dividend Declaration & 2027 Revenue Outlook
The board declared a quarterly dividend of $0.245 per share, a 1.0% increase year-over-year, payable May 29, 2026 to holders of record on May 15, 2026. The company also initiated a 2027 same-store cash revenue growth outlook of approximately 6.5%, reflecting lease escalators and a 99.6% tenant retention rate.