Slide 1: Q2 2018 Earnings & Mid-Year Update
Q2 2018 Earnings & Mid - Year Update July 23, 2018
Slide 2: Forward-Looking Statements & Non-GAAP Measures
2 Forward - Looking Statements This presentation may contain certain “forward - looking statements” made pursuant to the safe harbor provisions of the Private Securities Reform Act of 1995 . Forward - looking statements are generally identifiable by use of forward - looking terminology such as “may,
Slide 3: Q2 2018 Highlights
3 x Increased FFO per share by 5.6% to $0.71, and AFFO per share by 5.7% to $0.70 x Increased FFO by 24.3% to $22.3 million, and AFFO by 24.5% to $22.2 million x Invested $104.3 million in 29 high - quality retail net lease properties x Sold five properties for total gross proceeds of $11.0 million
Slide 4: Mid-Year 2018 Highlights
4 Consistent execution has led to enhanced shareholder value Mid - Year 2018 Highlights As of July 23, 2018. x Increased FFO per share by 7.4% to $1.41, and AFFO per share by 6.8% to $1.40 x Invested $207.1 million in 63 high - quality retail net lease properties x 10 development and PCS projects co
Slide 5: Reduced Pharmacy & Walgreens Concentrations
5 Reduced Pharmacy & Walgreens Concentrations Disciplined asset management results in reduced concentrations and increased diversification Concentration Concentration 27.4% 21.9% 17.2% 11.6% 7.7% 6.7% 2013 2014 2015 2016 2017 Current As of July 23, 2018. Note: Walgreens concentration anticipated to
Slide 6: Top Tenants Dominated by Industry Leaders
6 $ in millions Annualized Base Rent (1) % of Total Tenant / Concept $9.3 7.0% 5.1 3.8% 4.2 3.2% 4.2 3.2% 4.2 3.2% 3.4 2.6% 3.1 2.4% 2.7 2.0% 2.7 2.0% 2.6 1.9% 2.5 1.9% 2.4 1.8% 2.3 1.7% 2.2 1.7% 2.2 1.6% 2.1 1.6% 2.1 1.6% 2.1 1.5% 2.0 1.5% 2.0 1.5% Other 69.5 52.3% Total $132.8 100.0% Top Tenants D
Slide 7: Improved Geographic Diversification
7 Improved Geographic Diversification As of June 30, 2018. 3% 4% 2% 3% 2% December 2013 June 2018 % of GAAP Annualized Base Rent > 2% 0 - 2% 0% 12 % Expanded portfolio from 33 states in 2013 to 44 states today while significantly reducing Michigan exposure % of GAAP Annualized Base Rent > 0% 0% 36%
Slide 8: Increased Revenue & Scale
8 Rental Revenue & G&A as a % of Total Revenue Increased Revenue & Scale $40.9 $49.6 $64.5 $84.2 $105.3 $128.5 7% 10% 13% 16% $0 $50 $100 $150 2013 2014 2015 2016 2017 Annualized 2018 Rental Revenue G&A % of Total Revenue $ in millions Rental Revenue has increased more than 3x since 2013 while G&A a
Slide 9: Secure & Growing Dividend
9 $1.64 $1.74 $1.85 $1.92 $2.03 $2.16 70% 75% 80% 85% $1.25 $1.50 $1.75 $2.00 $2.25 2013 2014 2015 2016 2017 Annualized 2018 Dividend Per Share FFO Per Share Payout Ratio Dividend Per Share & FFO Per Share Payout Ratio Secure & Growing Dividend ADC has paid 97 consecutive cash dividends and maintain