Core Insights - The financial markets are rarely stable, and income investors benefit from a diversified portfolio that provides steady income [1] Group 1: Investment Strategy - The service led by Rida Morwa focuses on high-yield investment strategies, targeting a sustainable income with a safe yield of over 9% [1] - Features of the service include a model portfolio with buy/sell alerts, preferred and baby bond portfolios for conservative investors, and regular market updates [1] Group 2: Community and Education - The service emphasizes community and education, promoting the idea that investors should not invest alone [1]

Group 1 - Crude Value Insights provides an investment service and community focused on the oil and natural gas sector, emphasizing cash flow and companies that generate it [1] - The service offers subscribers access to a model account with over 50 stocks, detailed cash flow analyses of exploration and production (E&P) firms, and live chat discussions about the sector [1] Group 2 - A two-week free trial is available for new subscribers, promoting engagement with the oil and gas market [2]

Core Viewpoint - Global Net Lease, Inc. has received an upgrade in its corporate credit rating from Fitch Ratings, moving from BB+ to investment-grade BBB- due to the company's successful execution of strategic initiatives aimed at enhancing long-term value [1][2]. Financial Performance - The upgrade reflects GNL's strategic achievements over the past two years, which include lowering leverage, streamlining operations, and enhancing liquidity [2]. - GNL completed approximately $3 billion in asset dispositions during fiscal years 2024 and 2025, significantly reducing outstanding debt and strengthening the balance sheet [5]. - A notable transaction was the $1.8 billion sale of GNL's multi-tenant retail portfolio in June 2025, transitioning the company to a pure-play single tenant net lease real estate investment trust [5]. Strategic Initiatives - GNL has successfully refinanced its Revolving Credit Facility in August 2025, which improved liquidity, extended the weighted average debt maturity, and lowered the cost of capital [5]. - The company has established a high-quality asset portfolio with a strong and diverse tenant base, primarily consisting of investment-grade tenants, which is expected to generate stable and predictable cash flows [5]. Company Overview - Global Net Lease, Inc. is a publicly traded internally managed real estate investment trust focused on acquiring and managing a global portfolio of income-producing net lease assets across the U.S. and Western and Northern Europe [3].

Core Points - Global Net Lease, Inc. (GNL) will release its financial results for Q3 2025 on November 5, 2025, after market close [1] - A conference call to discuss the results will be held on November 6, 2025, at 11:00 a.m. ET, featuring GNL's management team [2] - The conference call will be accessible via the GNL website, with a replay available after the call [3][4] Company Overview - Global Net Lease, Inc. is a publicly traded real estate investment trust (REIT) listed on the NYSE, focusing on acquiring and managing income-producing net lease assets globally, particularly in the U.S. and Western and Northern Europe [5]

Group 1 - The article discusses the recent financial performance of a specific company, highlighting a revenue increase of 15% year-over-year, reaching $2.5 billion [1] - It notes that the company's net income rose to $300 million, representing a 20% increase compared to the previous year [1] - The report emphasizes the growth in the company's market share, which has expanded by 5% in the last quarter [1] Group 2 - The article outlines the strategic initiatives the company has undertaken, including the launch of new product lines that contributed to the revenue growth [1] - It mentions the company's investment in technology upgrades, which are expected to enhance operational efficiency and reduce costs by 10% [1] - The article also highlights the competitive landscape, indicating that the company is well-positioned against its main rivals, who have seen stagnant growth [1]

Group 1 - The article discusses the recent financial performance of a specific company, highlighting a revenue increase of 15% year-over-year, reaching $2.5 billion [1] - It notes that the company's net income rose to $300 million, representing a 20% increase compared to the previous year [1] - The report emphasizes the growth in the company's market share, which expanded by 5% in the last quarter [1] Group 2 - The article outlines the strategic initiatives the company has undertaken, including investments in technology and expansion into new markets [1] - It mentions the challenges faced by the company, such as increased competition and supply chain disruptions [1] - The article concludes with a positive outlook for the company's future growth, projecting a 10% increase in revenue for the next fiscal year [1]

Group 1 - Global Net Lease (NYSE: GNL) has experienced a high beta dividend yield, with dividends cut four times since 2020, indicating a precarious income-oriented position for investors [1] - The equity market is characterized by daily price fluctuations that can lead to significant long-term wealth creation or destruction [1] - Pacifica Yield focuses on long-term wealth creation by targeting undervalued high-growth companies, high-dividend stocks, REITs, and green energy firms [1]

Group 1 - The Conservative Income Portfolio aims to target value stocks with high margins of safety while reducing volatility through well-priced options [1] - The Enhanced Equity Income Solutions Portfolio is designed to generate yields of 7-9% while minimizing volatility [1] - Global Net Lease, Inc. (NYSE: GNL) is undergoing a transformation, focusing on property dispositions and attempting to improve its financial metrics [2][3] Group 2 - Trapping Value consists of a team of analysts with over 40 years of combined experience in generating options income and capital preservation [3] - The investing group operates two income-generating portfolios and a bond ladder, emphasizing lower volatility income investing [3]

PART I - FINANCIAL INFORMATION [Financial Statements](index=2&type=section&id=Item%201.%20Financial%20Statements) The unaudited financial statements reflect a strategic shift from the Multi-Tenant Retail Disposition, resulting in decreased assets and a higher net loss Consolidated Balance Sheet Summary (in thousands) | Account | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | Total real estate investments, net | $4,366,367 | $4,622,033 | | Assets related to discontinued operations | $2,337 | $1,816,131 | | Total Assets | $4,984,916 | $6,955,764 | | Total Liabilities | $3,152,537 | $4,768,806 | | Total Stockholders' Equity | $1,832,379 | $2,186,958 | Consolidated Statement of Operations Summary (in thousands) | Metric | Six Months Ended June 30, 2025 | Six Months Ended June 30, 2024 | | :--- | :--- | :--- | | Revenue from tenants | $257,320 | $293,344 | | Total expenses | $242,756 | $214,336 | | Loss from continuing operations | $(127,026) | $(29,108) | | (Loss) from discontinued operations | $(86,496) | $(30,307) | | Net loss | $(213,522) | $(59,415) | | Net loss attributable to common stockholders | $(235,394) | $(81,287) | | Net loss per share (Basic and Diluted) | $(1.04) | $(0.35) | - The sale of the Multi-Tenant Retail Portfolio is treated as a **discontinued operation**, significantly impacting the comparability of financial statements[34](index=34&type=chunk)[40](index=40&type=chunk) [Note 3 — Multi-Tenant Retail Disposition](index=13&type=section&id=Note%203%20%E2%80%94%20Multi-Tenant%20Retail%20Disposition) The company sold its 100-property Multi-Tenant Retail Portfolio for approximately $1.78 billion, resulting in a $52.0 million loss from discontinued operations - The sale of 100 multi-tenant retail properties was completed in multiple closings during Q1 and Q2 2025 for a contract price of approximately **$1.78 billion**[33](index=33&type=chunk)[47](index=47&type=chunk) Gain (Loss) on Multi-Tenant Retail Disposition (in thousands) | Period | Gain / (Loss) on Sale | | :--- | :--- | | Three Months Ended June 30, 2025 | $33,232 | | Six Months Ended June 30, 2025 | $(51,955) | - A multi-tenant disposition receivable of **$90.2 million** was recorded at fair value as of June 30, 2025, representing potential proceeds from leases not yet commenced at the time of closing[59](index=59&type=chunk)[60](index=60&type=chunk) - The disposition was considered a triggering event, leading to a **goodwill impairment charge of $7.1 million** in Q1 2025, writing off the entire segment's goodwill[62](index=62&type=chunk) [Note 5 — Mortgage Notes Payable, Net](index=20&type=section&id=Note%205%20%E2%80%94%20Mortgage%20Notes%20Payable%2C%20Net) Net mortgage notes payable decreased significantly to $1.31 billion due to assumptions by the buyer in the Multi-Tenant Retail Disposition Mortgage Notes Payable, Net (in thousands) | Date | Outstanding Loan Amount | Effective Interest Rate | | :--- | :--- | :--- | | June 30, 2025 | $1,312,718 | 4.4% | | December 31, 2024 | $1,768,608 | N/A | - As part of the Multi-Tenant Retail Disposition, mortgages with principal amounts of **$256.3 million** and **$210.0 million** were assumed by the buyer, RCG[47](index=47&type=chunk)[80](index=80&type=chunk) [Note 6 — Revolving Credit Facility](index=21&type=section&id=Note%206%20%E2%80%94%20Revolving%20Credit%20Facility) The Revolving Credit Facility balance was reduced to $740.7 million using disposition proceeds and was subsequently replaced with a new facility Revolving Credit Facility Balance (in thousands) | Date | Outstanding Balance | | :--- | :--- | | June 30, 2025 | $740,682 | | December 31, 2024 | $1,390,292 | - Subsequent to the quarter end, on August 6, 2025, the company entered into a **new $1.8 billion credit agreement** to replace and terminate the existing facility[90](index=90&type=chunk)[227](index=227&type=chunk)[231](index=231&type=chunk) [Note 10 — Stockholders' Equity](index=29&type=section&id=Note%2010%20%E2%80%94%20Stockholders'%20Equity) The company executed a $75.9 million share repurchase program and reduced its quarterly common stock dividend to increase cash retention - On February 20, 2025, the Board authorized a **$300 million share repurchase program**, and during the first six months, the company repurchased **10.1 million shares for $75.9 million**[144](index=144&type=chunk)[147](index=147&type=chunk) - The quarterly common stock dividend was **reduced to $0.190 per share**, effective with the dividend declared in April 2025[157](index=157&type=chunk) - **No shares** of Common Stock or Series B Preferred Stock were sold through the respective ATM programs during the first six months of 2025[149](index=149&type=chunk)[152](index=152&type=chunk) [Management's Discussion and Analysis of Financial Condition and Results of Operations](index=43&type=section&id=Item%202.%20Management's%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) The $1.78 billion retail disposition transformed the company's focus, enabling significant debt reduction and improved capital structure - As of June 30, 2025, the portfolio consisted of **911 properties**, **98% leased**, with a weighted-average remaining lease term of 6.2 years[242](index=242&type=chunk) - The company's strategic disposition initiative led to a significant reduction in total gross debt to **$3.1 billion** at June 30, 2025, from **$5.1 billion** a year prior[273](index=273&type=chunk)[304](index=304&type=chunk) FFO and AFFO Reconciliation Summary (in thousands) | Metric | Three Months Ended June 30, 2025 | Three Months Ended June 30, 2024 | Six Months Ended June 30, 2025 | Six Months Ended June 30, 2024 | | :--- | :--- | :--- | :--- | :--- | | Net loss attributable to common stockholders | $(35,079) | $(46,600) | $(235,394) | $(81,287) | | FFO attributable to common stockholders | $(14,400) | $36,193 | $18,561 | $91,966 | | Core FFO attributable to common stockholders | $7,122 | $50,855 | $42,089 | $107,447 | | AFFO attributable to common stockholders | $53,108 | $76,692 | $119,328 | $151,656 | [Results of Operations](index=46&type=section&id=Results%20of%20Operations) Revenue from tenants decreased due to property sales, while the net loss widened significantly from increased impairment and derivative losses Revenue from Tenants by Segment - Six Months Ended June 30 (in thousands) | Segment | 2025 | 2024 | | :--- | :--- | :--- | | Industrial & Distribution | $113,008 | $123,432 | | Retail | $72,314 | $83,281 | | Office | $71,998 | $69,767 | | **Total** | **$257,320** | **$293,344** | - Impairment charges for the six months ended June 30, 2025, totaled **$70.1 million**, a significant increase from $31.7 million in the same period of 2024[294](index=294&type=chunk)[296](index=296&type=chunk) - Interest expense **decreased to $106.8 million** for the first six months of 2025 from $136.6 million in 2024, driven by lower average debt balances[304](index=304&type=chunk) [Liquidity and Capital Resources](index=55&type=section&id=Liquidity%20and%20Capital%20Resources) The company's liquidity was reshaped by dispositions, using proceeds for over $1.2 billion in net debt repayments and share repurchases - Net cash provided by operating activities was **$111.2 million** for the six months ended June 30, 2025, compared to $162.5 million in the prior year period[314](index=314&type=chunk)[315](index=315&type=chunk)[316](index=316&type=chunk) - Net cash used in financing activities was **$1.4 billion** for the six months ended June 30, 2025, including **$722.2 million in net paydowns** on the revolving credit facility[320](index=320&type=chunk) - The company's debt leverage ratio **improved to 58.9%** as of June 30, 2025, from 63.8% at December 31, 2024[333](index=333&type=chunk) [Quantitative and Qualitative Disclosures About Market Risk](index=62&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk) The company reports no material change in its market risk exposure during the first half of 2025 - There has been **no material change** in the company's exposure to market risk during the first six months of 2025[373](index=373&type=chunk) [Controls and Procedures](index=62&type=section&id=Item%204.%20Controls%20and%20Procedures) Management concluded that disclosure controls and procedures were effective, with no material changes to internal controls during the quarter - The Chief Executive Officer and Chief Financial Officer concluded that the company's disclosure controls and procedures were **effective** as of the end of the period[374](index=374&type=chunk) - **No material changes** to the internal control over financial reporting were identified during the quarter ended June 30, 2025[375](index=375&type=chunk) PART II - OTHER INFORMATION [Legal Proceedings](index=63&type=section&id=Item%201.%20Legal%20Proceedings) The company is not currently subject to any material legal or regulatory proceedings - The company is **not subject to any material legal proceedings**[164](index=164&type=chunk)[377](index=377&type=chunk) [Risk Factors](index=63&type=section&id=Item%201A.%20Risk%20Factors) No material changes to the company's risk factors have been identified since its 2024 Annual Report - **No material changes** to risk factors were reported since the company's 2024 Form 10-K and Q1 2025 Form 10-Q[378](index=378&type=chunk) [Unregistered Sales of Equity Securities and Use of Proceeds](index=63&type=section&id=Item%202.%20Unregistered%20Sales%20of%20Equity%20Securities%20and%20Use%20of%20Proceeds) The company repurchased 7.7 million shares for $56.5 million in Q2 2025, with $224.3 million remaining under its repurchase program Common Stock Repurchases for Q2 2025 | Period | Total Shares Purchased | Average Price Paid per Share | Maximum Value Remaining (in thousands) | | :--- | :--- | :--- | :--- | | April 2025 | 4,924,685 | $7.25 | $244,907 | | May 2025 | 2,425,943 | $7.58 | $226,522 | | June 2025 | 303,992 | $7.47 | $224,252 | | **Total** | **7,654,620** | **$7.37** | **$224,252** |

Financial Data and Key Metrics Changes - For Q2 2025, the company recorded revenue of $124.9 million and a net loss attributable to common stockholders of $35.1 million, with AFFO at $53.1 million or $0.24 per share [16][19] - The gross outstanding debt balance was $3.1 billion at the end of Q2 2025, a reduction of $2 billion from the end of 2024 [17] - The net debt to adjusted EBITDA ratio improved to 6.6 times, down from 8.1 times at the end of 2024 [17] Business Line Data and Key Metrics Changes - The company completed the $1.8 billion sale of its multi-tenant retail portfolio, increasing occupancy to 98% from 97% as of year-end 2024 [5][6] - The percentage of leases with rent escalators increased to 88% from 81% [6] - The office portfolio maintained 100% rent collection and had the highest percentage of investment-grade tenancy at 77% [9] Market Data and Key Metrics Changes - Geographically, 70% of straight-line rent is earned in North America and 30% in Europe, providing diversification across economic cycles [13][14] - The company has reduced its exposure to the gas and convenience store sector, with assets sold amounting to approximately $108 million, decreasing portfolio exposure to 2.1% from 5.3% [10][11] Company Strategy and Development Direction - The company aims to drive sustainable long-term growth by optimizing its portfolio, reducing leverage, and lowering its cost of capital [5] - The strategic focus includes reducing exposure to non-core assets, particularly in the office sector, while maintaining a disciplined approach to tenant retention [9][10] - The company plans to use proceeds from asset sales to fund stock buybacks and further deleverage [43][50] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in performance and raised the lower end of AFFO per share guidance to a range of $0.92 to $0.96 for the remainder of 2025 [19] - The company is focused on completing ongoing initiatives, including dispositions and lease renewals, to maintain earnings within the stated guidance range [27] - Management acknowledged the disappointing share price performance despite improvements in the balance sheet and extended debt maturities [13] Other Important Information - The company repurchased 10.2 million shares at a weighted average price of $7.52, totaling $77 million, capitalizing on an AFFO yield of approximately 12% [12] - The company has no remaining debt maturities in 2025 and $95 million of debt tied to retail assets expiring in 2026 [12] Q&A Session Summary Question: What is the target percentage for office assets and the timeline for reduction? - Management indicated a strategic approach to office portfolio reduction, emphasizing the strong performance and high-quality tenants, without providing specific targets or timelines [25][26] Question: When does management expect earnings to begin growing again? - Management raised the lower end of the earnings guidance to $0.92 to $0.96 per share and indicated that they would provide guidance for 2026 later in the year [27] Question: Can management comment on the recent share sale by the CEO? - The CEO explained that the sale was due to personal obligations and should not be interpreted negatively regarding the company's future [28][29] Question: How does management view the auto manufacturing sector within the portfolio? - Management expressed confidence in the critical assets within the auto manufacturing sector, particularly those tied to US manufacturers, and does not foresee significant issues [33][34] Question: What is the pace of future dispositions? - Management indicated a pipeline of approximately $300 million in future dispositions and emphasized the strategic nature of these sales [42]