Four Corners Property Trust, Inc. · NYSE:FCPT
Four Corners Property Trust — Q2 2025 Earnings Presentation
44 slides from Four Corners Property Trust's earnings presentation, Jul 30, 2025
Slide 1: Investor Presentation Q2 2025
Four Corners Property Trust NYSE: FCPT INVESTOR PRESENTATION Q2 2025
Slide 2: Forward Looking Statements and Disclaimers
FORWARD LOOKING STATEMENTS AND DISCLAIMERS Cautionary note regarding forward-looking statements: This presentation contains forward-looking statements within the meaning of the federal securities laws. Forward- looking statements include all statements that are not historical statements of fact and
Slide 3: Recent Highlights at FCPT
RECENT HIGHLIGHTS AT FCPT Steadied investment Executed acquisitions Opportunistically raised capital pace since Q4 2024 without compromises for 2025 and beyond Record acquisition volume in Achieved favorable pricing while Remained active on the ATM and Q4 ’24 and Q1 ’25, with continued avoiding drif
Slide 4: FCPT at 10 Years: From Spin-Off to Seasoned Net Lease Investor
FCPT AT 10 YEARS: FROM SPIN-OFF TO SEASONED NET LEASE INVESTOR ENTERPRISE VALUE ($ million) 2015 TODAY $3,963 Annual base rent 1 $94 million $250 million + $156 million (2.7x) $1,209 3.0x Enterprise value $1.3 billion $3.9 billion + $2.6 billion (3.0x) $1,324 $2,754 $294 Net Debt Properties 418 1,24
Slide 5: Contents
CONTENTS 1 COMPANY OVERVIEW PG 5 2 HIGH QUALITY PORTFOLIO PG 12 3 CONSERVATIVE FINANCIAL POSITION PG 23 4 APPENDIX: ASSET SELECTION & PRIMARY SECTORS PG 26 5 APPENDIX: OTHER PG 38 JULY 2025 5
Slide 6: FCPT at a Glance
FCPT AT A GLANCE1 1,260 leases 6,561 SF average asset size $0.44 AFFO per share (Q2)4 165 brands 29,965 average daily vehicle count $344 million / 6.9% cap rate of acquisitions as of LTM 7.2-year average lease term $66,729 median household income June 30, 2025 58,788 average 3-mile population $84 mi
Slide 7: FCPT's Differentiated Approach Within Net Lease
FCPT’S DIFFERENTIATED APPROACH WITHIN NET LEASE 1 Superior Capital Raising & Allocation 2 Granular Portfolio Construction • Modulate acquisitions if cost of capital • Portfolio led by Darden, a premier weakens investment grade tenant • Minimize fees and discounts on capital • Analytical underwriting
Slide 8: Consistent Annual Acquisition Growth
CONSISTENT ANNUAL ACQUISITION GROWTH FCPT has consistently delivered growth and diversification through new acquisitions. We focus on credit-worthy tenants, high quality real estate and efficient execution PROPERTY COUNT 1245 1198 1111 1023 919 799 699 610 475 515 418 +57 +40 +95 +89 +100 +120 +104
Slide 9: FCPT at a Glance: Portfolio Breakdown
FCPT AT A GLANCE 1,260 Leases across 165 Brands Annual Base Rent of $249.8 million1 • 33% Olive Garden (vs. 74% at inception) PORTFOLIO BREAKDOWN • 9% LongHorn (vs. 20% at inception) • 24% Non-Restaurant Exposure (vs. 0% at inception) 315 leases 33% 116 leases 9% 9% 82 leases 7% 7% 29 leases 2% 33%
Slide 10: Geographically Diverse Portfolio
FCPT AT A GLANCE WA GEOGRAPHICALLY MT ND ME DIVERSE PORTFOLIO OR ID MN VT NH SD WI NY MA WY MI RI • Lower income taxes and growing IA PA CT economies has accelerated a population NV NE IN OH NJ UT IL DE shift toward low-cost of living states in CA CO WV MD the southeast KS MO KY VA NC TN • FCPT’s po
Slide 11: Lease Maturity Schedule
LEASE MATURITY SCHEDULE 7.2 years weighted average lease term %ANNUALIZED BASE RENT1 2027 is the first year of Darden spin-off lease maturities; 99.4% occupied2 as of 6/30/2025 FCPT’s Darden leases average 5.7x rent coverage3 11.3% 10.8% 11.2% 10.5% 12.1% < 2.6% of rental income 4.2% matures prior t
Slide 12: Contents
CONTENTS 1 COMPANY OVERVIEW PG 5 2 HIGH QUALITY PORTFOLIO PG 12 3 CONSERVATIVE FINANCIAL POSITION PG 23 4 APPENDIX: ASSET SELECTION & PRIMARY SECTORS PG 26 5 APPENDIX: OTHER PG 38 JULY 2025 12
Slide 13: FCPT: The Calm Port in the Volatility Storm
FCPT: THE CALM PORT IN THE VOLATILITY STORM FCPT has over $500 million of liquidity inclusive of cash, $144 million of unsettled equity forwards (as of July 29) and a fully undrawn $350 million revolver FCPT has no near-term debt maturities and 4.5x net leverage is at one of its lowest levels si
Slide 14: Unique and Highly Secure Net Lease
UNIQUE AND HIGHLY Ground Leased 76% structurally SECURE NET LEASE $149k average rent superior to regular way net lease 11% • Our portfolio is primarily outparcel properties in high High density retail corridors Quality • ~76% of rent featuring unique benefits structurally Ground & superior to regula
Slide 15: FCPT's Low Basis Portfolio Limits Downside of Negative Credit Events
FCPT’S LOW BASIS PORTFOLIO LIMITS DOWNSIDE OF NEGATIVE CREDIT EVENTS 1 Average Building Size (SF) Average Basis per Property Acquired (as of 12/31/2024)1 ($ million, 2024)1 $10.2 Industry Average; 18,442 20,591 18,355 $7.5 Industry Average (retail only); 12,447 $7.1 14,218 Industry Average; $5.1 10,
Slide 16: FCPT's Strong Portfolio Performance
FCPT’S STRONG PORTFOLIO PERFORMANCE FCPT has one of the highest-quality and consistent portfolios in the net lease sector. We have established a strong track record over time (even through the COVID-19 pandemic) RENT COLLECTIONS 99.5% 98.8% 99.6% 99.6% 99.7% 99.8% 99.8% 99.8% 99.7% 99.9% 99.8% 99.7%
Slide 17: FCPT Top Brand Exposure to Macro Uncertainty
FCPT TOP BRAND EXPOSURE TO MACRO UNCERTAINTY Commentary from around the industry1: Darden CEO Ricardo Cardenas: “We’ve been very prudent in keeping our pricing below inflation because we knew that over time, pricing matters if you take it too much… consumers are figuring out that casual dining is gr
Slide 18: Diversification with Scaled, Creditworthy National Brands
DIVERSIFICATION WITH SCALED, CREDITWORTHY NATIONAL BRANDS TOP 35 FCPT FCPT METRICS BRAND METRICS2 FCPT Total Sales Publicly PORTFOLIO BRANDS 1 Rank Brand Name Stores % of ABR1 Stores ($mm) Traded? 1 Olive Garden 315 33.0% 935 $5,200 DRI 1 2 3 4 5 2 Longhorn Steakhouse 116 9.3% 591 $3,000 DRI 3 Chili
Slide 19: Highly Selective Approach to Net Lease
HIGHLY SELECTIVE APPROACH TO NET LEASE While we underwrite properties in these sectors and may acquire stores in these sectors in the future, they are not in our current target base and would need to meet our high thresholds to be considered in the future FCPT HAS AVOIDED: • Pharmacies: NO EXPOSURE
Slide 20: FCPT Tenants Outperformance in the Last Major Recession
FCPT TENANTS OUTPERFORMANCE IN THE LAST MAJOR RECESSION • While Casual Dining is viewed as susceptible to consumer weakness during a recession, it’s important to note that during recessions there have been winners and losers within Casual Dining • During the 2008 financial crisis, Darden’s core bran
Slide 21: Darden Credit Default Swaps Remain Historically Inexpensive
DARDEN CREDIT DEFAULT SWAPS REMAIN HISTORICALLY INEXPENSIVE Darden Senior CDS Curve (5 year) 400 350 Ask price: 47 bps 300 High on 03/20/20: 360 bps Average: 64 bps Low on 02/12/20: 27 bps 250 Basis Points 200 Very tight pricing spreads for 150 Darden to have a credit event 100 50 47 0 Jan-19 Jul-19
Slide 22: Net Lease Listings Snapshot
NET LEASE LISTINGS SNAPSHOT New Retail Listings (Illustrative) Favorable FCPT Strike Zone Volume could be increased with increased purchase price (decreased cap rate) Good credit at accretive cap rates Dairy Queen McDonald's Raising Cane's Taco Bell Burger King (10) Caribou Coffee Starbucks Pizza Hu
Slide 23: Contents
CONTENTS 1 COMPANY OVERVIEW PG 5 2 HIGH QUALITY PORTFOLIO PG 12 3 CONSERVATIVE FINANCIAL POSITION PG 23 4 APPENDIX: ASSET SELECTION & PRIMARY SECTORS PG 26 5 APPENDIX: OTHER PG 38 JULY 2025 23
Slide 24: Conservative Financial Policies
CONSERVATIVE FCPT maintains a well-laddered debt maturity and 100% FINANCIAL POLICIES unencumbered assets to provide financial flexibility • Weighted average debt maturity 3.7 years • No near-term debt maturities DEBT MATURITY SCHEDULE $ MILLIONS Conservative leverage • Committed to maintaining cons
Slide 25: FCPT Has Ratcheted Down Leverage to Seven Year Lows
FCPT HAS RATCHETED DOWN LEVERAGE TO SEVEN YEAR LOWS • FCPT has a stated leverage target of 5.5x-6.0x, but has been below or in the lower range of its target since inception • Discipline around our leverage is embedded into company culture and our approach to funding growth • FCPT has demonstrated a
Slide 26: Contents
CONTENTS 1 COMPANY OVERVIEW PG 5 2 HIGH QUALITY PORTFOLIO PG 12 3 CONSERVATIVE FINANCIAL POSITION PG 23 4 APPENDIX: ASSET SELECTION & PRIMARY SECTORS PG 26 5 APPENDIX: OTHER PG 38 JULY 2025 26
Slide 27: FCPT's Investment Filters
FCPT’S INVESTMENT FILTERS Low Rent & Investment • Our portfolio is principally leased to Basis restaurants, Auto Service and Medical Retail tenants • The intentional focus on these subsectors reflect a multi-tiered filter that favors fungible, credit- worthy net lease tenants with low rent • There a
Slide 28: Acquisition and Underwriting Framework
ACQUISITION AND UNDERWRITING FRAMEWORK CREDIT CRITERIA REAL ESTATE CRITERIA ~50% ~50% • Guarantor credit and health • Location • Brand durability • Retail corridor strength & demographics • Store performance • Access / visibility • Lease term and structure • Absolute and relative rent • Pad site and
Slide 29: Restaurants
RESTAURANTS • FCPT seeks to acquire nationally recognized branded restaurants from premier lease guarantors located within the strongest retail corridors • FCPT has increased its restaurant diversification since inception by targeting a variety of meal price-points, cuisine types, and geographies •
Slide 30: Restaurant Industry Targets
RESTAURANT INDUSTRY TARGETS FCPT prioritizes tenant credit, fungible real estate, and concept durability in its restaurant investments • FCPT pursues mature, national brands FCPT’S CURRENT FOCUS FCPT GENERALLY AVOIDS1 with significant scale in terms of units, Casual Dining In-Line Real Estate revenu
Slide 31: FCPT Real Estate Characteristics: Casual Dining & Quick Service
FCPT REAL ESTATE CHARACTERISTICS: CASUAL DINING & QUICK SERVICE Olive Garden BURLINGTON, NC • Adjacent to University Commons shopping center and Alamance Crossing outdoor mall • Excellent visibility and prominent To Alamance Crossing Mall retail position along frontage of University Drive University
Slide 32: Auto Service
AUTO SERVICE • Principally targeting auto service centers, including collision repair and tire service leased to credit worthy operators. We have made select investments in gas stations with large format convenience stores, car wash and auto part retailers at attractive, low bases • Focus is on prop
Slide 33: Auto Service Industry Targets
AUTO SERVICE INDUSTRY TARGETS FCPT targets categories for the long-term with high renewal probabilities • FCPT targets categories in the Auto FCPT’S CURRENT FOCUS FCPT GENERALLY AVOIDS1 Industry that are not tied to Collision Service Centers High Basis / Franchisee traditional, gas-powered vehicles
Slide 34: FCPT Real Estate Characteristics: Automotive Service
FCPT REAL ESTATE CHARACTERISTICS: AUTOMOTIVE SERVICE Christian Brothers Auotmotive Port Charlotte, FL • Adjacent to Peachland Promenade shopping center • Excellent visibility and prominent retail position along Veterans and Peachland Boulevards • Strong brand and credit profile of neighbors, indicat
Slide 35: Medical Retail
MEDICAL RETAIL • FCPT’s largest Medical Retail exposures are focused on outpatient services: urgent care, dental, primary care, veterinary care, and outpatient / ambulatory surgery centers • Medical Retail is e-commerce and recession resistant given its service-based nature, large customer base and
Slide 36: Healthcare Industry Targets
HEALTHCARE INDUSTRY TARGETS Healthcare delivery occurs across a spectrum of real estate and operator cost structures • FCPT target operators provide services FCPT’S CURRENT FOCUS FCPT GENERALLY AVOIDS1 that require in-person interaction, while (Pharmacy & High Accuity) having lighter asset needs and
Slide 37: FCPT Real Estate Characteristics: Medical Retail
FCPT REAL ESTATE CHARACTERISTICS: MEDICAL RETAIL American Family To , , and Urgent Care Birmingham, AL • Outparcel to Walmart Supercenter, other anchors • Strong visibility and prominent retail position along Montclair Road and Frederick Street • Strong brand and credit profile of neighbors, indicat
Slide 38: Sustainability Framework
CONTENTS 1 COMPANY OVERVIEW PG 5 2 HIGH QUALITY PORTFOLIO PG 12 3 CONSERVATIVE FINANCIAL POSITION PG 23 4 APPENDIX: ASSET SELECTION & PRIMARY SECTORS PG 26 5 APPENDIX: OTHER PG 38 JULY 2025 38
Slide 39: Glossary and Non-GAAP Definitions
SUSTAINABILITY FRAMEWORK Our commitment to sustainability and Environmental, Social and Governance (ESG) principles creates value for our shareholders. We continuously review our internal policies to advance in the areas of environmental sustainability, social responsibility, employee well-being, an
Slide 40: Reconciliation Schedules
GLOSSARY AND NON-GAAP DEFINITIONS NON-GAAP DEFINITIONS AND CAUTIONARY NOTE REGARDING Tenant EBITDAR is calculated as EBITDA plus rental expense. EBITDAR is Adjusted Funds From Operations “AFFO” is a non-GAAP FORWARD-LOOKING STATEMENTS: derived from the most recent data provided by tenants that discl
Slide 41: Reconciliation of Net Income to Adjusted EBITDAre
RECONCILIATION SCHEDULES RECONCILIATION OF NET INCOME TO ADJUSTED EBITDARE (In thousands) Three Months Ended June 30, Six Months Ended June 30, Unaudited 2025 2024 2025 2024 Net Income $ 27,955 $ 24,702 $ 54,141 $ 48,776 Adjustments: Interest expense 13,081 12,324 25,812 24,605 Income tax expense 11
Slide 42: FFO & AFFO Reconciliation
FFO & AFFO RECONCILIATION ($000s, except shares and per share data) Three Months Ended June 30, Six Months Ended June 30, Unaudited 2025 2024 2025 2024 Net income $ 27,955 $ 24,702 $ 54,141 $ 48,776 Depreciation and amortization 14,582 13,309 28,974 26,740 Realized gain on sales of real estate - - -
Slide 43: Footnotes
FOOTNOTES PAGE 3 RECENT HIGHLIGHTS AT FCPT PAGE 24 CONSERVATIVE FINANCIAL POLICIES PAGE 14 UNIQUE AND HIGHLY SECURE NET LEASE 1. Source: Public filings Figures as of 6/30/2025, except otherwise noted 1. See glossary on page 40 for tenant EBITDAR and tenant EBITDAR coverage 1. See page 41 for reconci
Slide 44: Thank You
Four Corners Property Trust NYSE: FCPT THANK YOU INVESTOR PRESENTATION Q2 2025
Four Corners Property Trust — Q2 2025 Earnings Presentation on 6ix