Revenue: As of FY2026 Q1, the actual value is USD 41.91 M.

EPS: As of FY2026 Q1, the actual value is USD 0.08.

Financial and Operational Metrics

Operating Data

• Total Operating Revenue: Gladstone Commercial Corporation reported total operating revenue of $41,909 thousand for the three months ended March 31, 2026, which is a decrease of $1,552 thousand (-3.6%) from $43,461 thousand for the three months ended December 31, 2025.
• Total Operating Expenses: Total operating expenses were - $25,243 thousand for the three months ended March 31, 2026, compared to - $26,367 thousand for the three months ended December 31, 2025, representing a decrease of $1,124 thousand (-4.3%).
• Net Other Expense: Net other expense was - $9,694 thousand, down from - $11,712 thousand in the prior quarter, a decrease of $2,018 thousand (-17.2%).
• Net Income: Net income was $6,972 thousand for the first quarter of 2026, an increase of $1,590 thousand (29.5%) from $5,382 thousand in the previous quarter. Net income available to common stockholders and Non-controlling OP Unitholders increased by $1,599 thousand (71.5%) to $3,836 thousand for the first quarter of 2026, from $2,237 thousand for the three months ended December 31, 2025.

Real Estate Metrics

• Real Estate Depreciation and Amortization: Real estate depreciation and amortization was $14,796 thousand for the first quarter of 2026, a decrease of $686 thousand (-4.4%) from $15,482 thousand in the prior quarter.
• Net Gain on Sale of Real Estate: The company recorded a net gain on sale of real estate of - $1,783 thousand for the first quarter of 2026, compared to $0 in the previous quarter.

Funds From Operations (FFO) and Core FFO

• Basic FFO: Basic Funds from Operations (FFO) available to common stockholders and Non-controlling OP Unitholders was $16,849 thousand for the first quarter of 2026, a decrease of $870 thousand (-4.9%) from $17,719 thousand in the fourth quarter of 2025.
• Diluted FFO: Diluted FFO was $16,947 thousand, a decrease of $874 thousand (-4.9%) from $17,821 thousand in the prior quarter.
• Basic Core FFO: Basic Core Funds from Operations (Core FFO) available to common stockholders and Non-controlling OP Unitholders was $16,915 thousand for the first quarter of 2026, down $840 thousand (-4.7%) from $17,755 thousand in the previous quarter.
• Diluted Core FFO: Diluted Core FFO was $17,013 thousand, a decrease of $844 thousand (-4.7%) from $17,857 thousand in the prior quarter. The decrease in Core FFO was primarily due to a lease termination fee and easement settlement proceeds recognized in the prior period, partially offset by a lower net incentive fee and decreased interest expense from deferred financing fees written off in the prior period.

Financial Position

• Real Estate and Assets: Real estate, before accumulated depreciation, was $1,404,695 thousand as of March 31, 2026, a slight increase of $2,055 thousand (0.1%) from $1,402,640 thousand as of December 31, 2025. Total assets decreased by $15,945 thousand (-1.3%) to $1,230,988 thousand as of March 31, 2026, from $1,246,933 thousand as of December 31, 2025.
• Debt and Equity: Mortgage notes payable, net, borrowings under revolver, borrowings under term loan, net, and senior unsecured notes, net, totaled $836,385 thousand as of March 31, 2026, a decrease of $7,081 thousand (-0.8%) from $843,466 thousand as of December 31, 2025. Total equity and mezzanine equity was $333,633 thousand, a decrease of $8,300 thousand (-2.4%) from $341,933 thousand in the prior quarter.

Operational Metrics

• Property Portfolio: Gladstone Commercial Corporation owned 151 properties totaling 17,675,963 square feet as of both March 31, 2026, and December 31, 2025. The square feet leased decreased slightly to 98.7% as of March 31, 2026, from 99.1% as of December 31, 2025, a change of -0.4%.
• Rent Collection: The company collected 100% of cash rents due during January, February, and March 2026, and also collected 100% of cash rents due in April 2026.
• Leasing Activity: During the first quarter, the company leased or renewed 805,622 square feet across five properties, with remaining lease terms ranging from 0.7 years to 6.0 years.
• Debt Management: The company repaid $1.5 million in fixed-rate mortgage debt at a weighted average interest rate of 6.58% and extended the maturity date of $7.8 million swapped to fixed-rate mortgage debt with a 3.78% interest rate for an additional year.

Outlook / Guidance

Gladstone Commercial plans to continue its capital recycling program by selling non-core assets to de-lever its portfolio and acquire properties in target growth markets, focusing on industrial investment opportunities. Despite expected challenges from inflation and increased interest rates, the company anticipates its tenants will successfully navigate the current economic climate due to strong tenant credit underwriting. The company expects same-store rents to continue rising and will primarily focus on investing in target markets, especially industrial properties, and actively managing its portfolio.