Getty Realty Soars on Strong Q3 Earnings, Revenue Growth

TL;DR

**GTY is crushing it with big revenue and earnings jumps, making it a solid buy for dividend-focused investors.**

AI Summary

GETTY REALTY CORP /MD/ reported a strong financial performance for the three and nine months ended September 30, 2025. Total revenues increased by 8.0% to $55.59 million for the three months ended September 30, 2025, up from $51.47 million in the prior year period. For the nine months, total revenues rose 7.2% to $161.18 million from $150.38 million. Net earnings saw a significant jump of 52.2% to $23.35 million for the three-month period, compared to $15.34 million in 2024, and increased 7.0% to $52.15 million for the nine-month period from $48.77 million. Basic net earnings per common share increased to $0.40 from $0.27 for the three months and to $0.89 from $0.87 for the nine months. The company's real estate assets, net, grew to $1.92 billion as of September 30, 2025, from $1.84 billion at December 31, 2024. Strategic investments included $139.98 million in property acquisitions during the nine months ended September 30, 2025, alongside significant financing activities, including $460.00 million in Credit Facility borrowings and $125.00 million from Senior Unsecured Notes. Environmental remediation obligations decreased to $16.47 million from $20.94 million, reflecting effective management of these liabilities.

Why It Matters

This strong performance from Getty Realty Corp. signals robust health in the net lease real estate sector, particularly within convenience and automotive retail. For investors, the significant increase in net earnings and basic EPS demonstrates effective asset management and strategic acquisitions, potentially leading to continued dividend growth and capital appreciation. Employees benefit from a stable and growing company, while customers of Getty's tenants experience consistent service from well-maintained properties. In a competitive market, Getty's focus on single-tenant retail properties, coupled with its strategic financing, positions it favorably against other REITs, indicating resilience and growth potential in specialized real estate niches.

Risk Assessment

Risk Level: low — The company's risk level is low, evidenced by a substantial increase in net earnings by 52.2% for the three months ended September 30, 2025, and a 7.0% increase for the nine months. Furthermore, environmental remediation obligations decreased by $4.47 million from December 31, 2024, to September 30, 2025, indicating effective risk mitigation in a key area.

Analyst Insight

Investors should consider increasing their exposure to GTY, given its strong revenue and net earnings growth, coupled with a decreasing environmental liability. The company's strategic property acquisitions and effective debt management suggest continued stability and potential for future dividend increases.

Financial Highlights

revenue

$55.59M

total Assets

$1.92B

net Income

$23.35M

eps

$0.40

revenue Growth

+8.0%

Revenue Breakdown

Key Numbers

• $55.59M — Total revenues for Q3 2025 (Increased 8.0% from $51.47M in Q3 2024)
• $23.35M — Net earnings for Q3 2025 (Increased 52.2% from $15.34M in Q3 2024)
• $0.40 — Basic net earnings per common share for Q3 2025 (Increased from $0.27 in Q3 2024)
• $161.18M — Total revenues for nine months ended Sept 30, 2025 (Increased 7.2% from $150.38M in 2024)
• $52.15M — Net earnings for nine months ended Sept 30, 2025 (Increased 7.0% from $48.77M in 2024)
• $1.92B — Real estate, net as of Sept 30, 2025 (Increased from $1.84B at Dec 31, 2024)
• $139.98M — Property acquisitions for nine months ended Sept 30, 2025 (Strategic investment in portfolio growth)
• $16.47M — Environmental remediation obligations as of Sept 30, 2025 (Decreased from $20.94M at Dec 31, 2024)
• 57,743,337 — Shares of common stock outstanding (As of October 23, 2025)
• 1,160 — Properties in portfolio (As of September 30, 2025, located in 44 states and Washington, D.C.)

Key Players & Entities

• GETTY REALTY CORP /MD/ (company) — Registrant
• New York Stock Exchange (regulator) — Exchange for Common Stock
• FASB (regulator) — Financial Accounting Standards Board
• $55,159 (dollar_amount) — Revenues from rental properties for Q3 2025
• $23,348 (dollar_amount) — Net earnings for Q3 2025
• $1,923,968 (dollar_amount) — Real estate, net as of September 30, 2025
• $190,000 (dollar_amount) — Credit Facility balance as of September 30, 2025
• $16,469 (dollar_amount) — Environmental remediation obligations as of September 30, 2025
• Maryland (company) — State of incorporation for Getty Realty Corp.

FAQ

Risk Factors

• Tenant Financial Health [high — market]: The company's performance is heavily reliant on the financial stability of its single-tenant retail tenants. A downturn in the convenience, automotive, or quick-service restaurant sectors could lead to tenant defaults, impacting rental income and property values. The portfolio's concentration in these specific retail segments amplifies this risk.
• Interest Rate Sensitivity [medium — financial]: Getty Realty utilizes significant debt financing, including a $460.00 million Credit Facility and $125.00 million in Senior Unsecured Notes. Rising interest rates could increase the cost of servicing this debt, negatively affecting net income and cash flow available for distribution. The company's substantial debt load makes it vulnerable to interest rate fluctuations.
• Environmental Liabilities [medium — regulatory]: The company has environmental remediation obligations totaling $16.47 million as of September 30, 2025. While this has decreased from $20.94 million at year-end 2024, unforeseen environmental issues or stricter regulations could lead to increased remediation costs, impacting profitability and potentially requiring significant capital expenditure.
• Property Acquisition and Development Risks [medium — operational]: The company invested $139.98 million in property acquisitions during the first nine months of 2025. Risks associated with these investments include overpaying for assets, integration challenges, and potential underperformance of newly acquired properties. Development projects also carry inherent risks of cost overruns and delays.
• Real Estate Market Fluctuations [medium — market]: The value of the company's real estate assets, which grew to $1.92 billion, is subject to general real estate market conditions. Economic downturns, changes in consumer spending habits, or oversupply in specific submarkets could lead to declines in property values and rental rates.

Industry Context

Getty Realty operates within the specialized net lease REIT sector, focusing on convenience, automotive, and single-tenant retail properties. This sector benefits from stable, long-term leases with tenants who bear property operating expenses. The industry is characterized by a need for continuous portfolio growth through strategic acquisitions and development to maintain competitive positioning and rental income.

Regulatory Implications

As a publicly traded REIT, Getty Realty is subject to SEC regulations and reporting requirements. Environmental regulations are also a key consideration, as evidenced by the company's ongoing management of remediation obligations. Compliance with these regulations is crucial to avoid penalties and maintain investor confidence.

What Investors Should Do

1. Monitor tenant credit quality and lease expirations.
2. Analyze the impact of interest rate changes on debt servicing costs.
3. Evaluate the success of recent property acquisitions and development pipeline.
4. Track environmental remediation expenses and potential future liabilities.

Key Dates

• 2025-09-30: End of Third Quarter 2025 — Reporting period for the 10-Q, showing strong revenue and net income growth, and an expanded real estate portfolio.
• 2025-12-31: End of Fiscal Year 2024 — Prior period balance sheet comparison point for real estate assets and environmental obligations.
• 1955-01-01: Predecessor Company Founded — Establishes the long operating history and experience of the company in the net lease real estate sector.
• 1997-01-01: Common Stock Listed on NYSE — Indicates public trading status and adherence to SEC reporting requirements.

Glossary

REIT

Real Estate Investment Trust. A company that owns, operates, or finances income-generating real estate. (Getty Realty operates as a REIT, which has specific tax advantages and operational requirements.)

Net Lease

A lease agreement where the tenant is responsible for paying most or all of the operating expenses of the property, including taxes, insurance, and maintenance. (Getty Realty specializes in net lease properties, which typically provide more predictable rental income for the landlord.)

Consolidated Financial Statements

Financial statements that combine the accounts of a parent company and its subsidiaries, presenting them as if they were a single economic entity. (These statements provide a comprehensive view of Getty Realty's financial position and performance.)

GAAP

Generally Accepted Accounting Principles. The common set of accounting principles, standards, and procedures that companies must follow when they compile their financial statements. (Getty Realty's financial statements are prepared in accordance with GAAP.)

Year-Over-Year Comparison

Getty Realty Corp. has demonstrated robust year-over-year performance. Total revenues for the third quarter of 2025 increased by 8.0% to $55.59 million, and net earnings saw a substantial 52.2% jump to $23.35 million, indicating improved profitability. The company's real estate portfolio has also expanded, with net real estate assets growing to $1.92 billion from $1.84 billion at the end of 2024, reflecting successful strategic investments. Environmental remediation obligations have decreased, suggesting effective management of these liabilities.

Filing Documents

• gty-20250930.htm (10-Q) — 3115KB
• gty-ex31_1.htm (EX-31.1) — 14KB
• gty-ex31_2.htm (EX-31.2) — 15KB
• gty-ex32_1.htm (EX-32.1) — 8KB
• gty-ex32_2.htm (EX-32.2) — 9KB
• 0001193125-25-248819.txt ( ) — 13489KB
• gty-20250930.xsd (EX-101.SCH) — 1568KB
• gty-20250930_htm.xml (XML) — 3081KB

—FINANCIAL INFORMATION

PART I—FINANCIAL INFORMATION Item 1.

Financial Statements (Unaudited)

Financial Statements (Unaudited) 1 Consolidated Balance Sheets as of September 30, 2025 and December 31, 2024 1 Consolidated Statements of Operations for the Three and Nine Months Ended September 30, 2025 and 2024 2 Consolidated Statements of Cash Flows for the Nine Months ended September 30, 2025 and 2024 3

Notes to Consolidated Financial Statements

Notes to Consolidated Financial Statements 4 Item 2.

Management's Discussion and Analysis of Financial Condition and Results of Operations

Management's Discussion and Analysis of Financial Condition and Results of Operations 25 Item 3.

Quantitative and Qualitative Disclosures About Market Risk

Quantitative and Qualitative Disclosures About Market Risk 41 Item 4.

Controls and Procedures

Controls and Procedures 41

—OTHER INFORMATION

PART II—OTHER INFORMATION Item 1.

Legal Proceedings

Legal Proceedings 42 Item 1A.

Risk Factors

Risk Factors 42 Item 5. Other Information 42 Item 6. Exhibits 43

—FINANCI AL INFORMATION

PART I—FINANCI AL INFORMATION

FINAN CIAL STATEMENTS

ITEM 1. FINAN CIAL STATEMENTS GETTY REALTY CORP. CONSOLIDATED B ALANCE SHEETS (Unaudited) (in thousands, except per share amounts) September 30, December 31, 2025 2024 ASSETS: Real Estate: Land $ 991,510 $ 943,800 Buildings and improvements 1,086,038 1,028,799 Lease intangible assets 188,118 171,129 Investment in direct financing leases, net 39,980 43,416 Construction in progress 76 96 Real estate held for use 2,305,722 2,187,240 Less accumulated depreciation and amortization ( 389,900 ) ( 350,626 ) Real estate held for use, net 1,915,822 1,836,614 Real estate held for sale, net 8,146 243 Real estate, net 1,923,968 1,836,857 Notes and mortgages receivable, net 21,291 29,454 Cash and cash equivalents 5,190 9,484 Restricted cash 4,419 4,133 Deferred rent receivable 68,459 61,553 Accounts receivable 1,966 2,509 Right-of-use assets - operating 10,804 12,368 Right-of-use assets - finance 72 107 Prepaid expenses and other assets 19,706 17,215 Total assets $ 2,055,875 $ 1,973,680 LIABILITIES AND STOCKHOLDERS' EQUITY: Credit Facility $ 190,000 $ 82,500 Term Loan, net — 148,951 Senior Unsecured Notes, net 748,405 673,511 Environmental remediation obligations 16,469 20,942 Dividends payable 27,934 26,541 Lease liability - operating 11,960 13,612 Lease liability - finance 206 330 Accounts payable and accrued liabilities 48,544 45,210 Total liabilities 1,043,518 1,011,597 Commitments and contingencies — — Stockholders' equity: Preferred stock, $ 0.01 par value; 20,000,000 authorized; unissued — — Common stock, $ 0.01 par value; 100,000,000 shares authorized; 57,742,585 and 55,027,144 shares issued and outstanding, respectively 577 550 Accumulated other comprehensive income (loss) ( 1,806 ) ( 1,864 ) Additional paid-in capital 1,168,611 1,08

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Unaudited) NOTE 1. — DESCRIPTION OF BUSINESS Getty Realty Corp. ("Getty Realty," "we," "us," "our' and the "Company"), a Maryland corporation, is a publicly traded, net lease real estate investment trust ("REIT") specializing in the acquisition, financing and development of convenience, automotive and other single tenant retail real estate. Our predecessor was founded in 1955 and our common stock was listed on the New York Stock Exchange ("NYSE") in 1997. Unless otherwise expressly stated or the context otherwise requires, the "Company," "we," "us," and "our" as used herein refer to Getty Realty and its owned and controlled subsidiaries. Our portfolio includes convenience stores, express tunnel car washes, automotive service centers (gasoline and repair, oil and maintenance, tire and battery, and collision), and certain other freestanding retail properties, including drive-thru quick service restaurants and automotive parts retailers. Our 1,160 properties as of September 30, 2025 are located in 44 states and Washington, D.C., and our tenants operate under a variety of national and regional retail brands. We are internally managed by our management team, which has extensive experience acquiring, financing, developing and managing convenience, automotive and other single tenant retail real estate. Our Company is headquartered in New York, New York. NOTE 2. — ACCOUNTING POLICIES Basis of Presentation The consolidated financial statements include the accounts of Getty Realty and its wholly owned subsidiaries. The accompanying consolidated financial statements have been prepared in conformity with accounting principles generally accepted in the United States of America ("GAAP"). We do not distinguish our principal business or our operations on a geographical basis for purposes of measuring performance. We manage and evaluate our operations as a single segment. All significant intercompany accounts and transactions

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