Mission Statement, Vision, & Core Values (2024) of Four Corners Property Trust, Inc. (FCPT)

An Overview of Four Corners Property Trust, Inc. (FCPT)

General Summary of Four Corners Property Trust, Inc. (FCPT)

Four Corners Property Trust, Inc. (FCPT) is a real estate investment trust (REIT) that focuses on acquiring, owning, and leasing single-tenant properties, primarily in the restaurant sector. Established in 2016, FCPT has rapidly grown its portfolio through strategic acquisitions and a focus on net lease properties, resulting in a diverse portfolio of assets. As of 2024, FCPT operates a total of 511 properties located across 39 states, with a total asset value exceeding $2 billion.

In 2024, FCPT's primary revenue source remains rental income, which has been bolstered by its acquisition strategy. The company reported a total rental revenue of $176.4 million for the nine months ended September 30, 2024, reflecting an increase of 8.7% compared to the same period in 2023.

Company's Financial Performance in the Latest Financial Reports

In the third quarter of 2024, FCPT reported net income of $25.6 million, a slight increase from $24.2 million in the same quarter of the previous year. For the nine months ended September 30, 2024, net income totaled $74.4 million, up from $71.0 million in 2023. The company’s total revenues for the nine-month period were $199.7 million, which includes $176.4 million from rental revenue and $23.3 million from restaurant operations.

FCPT's financial metrics indicate robust performance, with a 3.6% increase in rental revenue during the third quarter of 2024, attributed to the acquisition of 48 properties. The company has managed to maintain a high occupancy rate of 99.8% across its leased properties. Operating expenses for the nine months ended September 30, 2024, were $88.9 million, up from $85.0 million in the previous year, reflecting increased administrative costs and property expenses associated with the expanded portfolio.

The company’s debt structure includes $515 million in term loans and $625 million in senior unsecured notes. As of September 30, 2024, FCPT had $250 million available under its revolving credit facility, with a weighted average interest rate of 3.76%.

Introduction to FCPT as a Leader in the Industry

Four Corners Property Trust, Inc. stands out as a leading player in the net lease real estate sector, particularly within the restaurant industry. The company's strategic focus on acquiring high-quality, single-tenant properties has positioned it favorably against competitors. FCPT benefits from a diverse tenant base, which includes several well-known brands, contributing to its stability and revenue growth.

As of 2024, FCPT continues to demonstrate its leadership through disciplined capital allocation and a commitment to enhancing shareholder value. The company's effective management of assets and operational efficiencies have resulted in a strong track record of performance and reliability in cash distributions to investors, with dividends declared per common share increasing to $0.345 in the latest quarter.

Mission Statement of Four Corners Property Trust, Inc. (FCPT)

Mission Statement Overview

The mission statement of Four Corners Property Trust, Inc. (FCPT) serves as a guiding framework for its strategic direction and operational objectives. It reflects the company's commitment to delivering exceptional value through its real estate investments, focusing primarily on net lease properties that generate consistent rental income. This mission is essential for aligning the interests of stakeholders, including investors, tenants, and employees, towards achieving long-term growth and sustainability.

Core Component 1: Commitment to Quality Real Estate

FCPT emphasizes its dedication to acquiring and managing high-quality real estate assets. The company focuses on properties that are leased to creditworthy tenants, ensuring a stable income stream. As of September 30, 2024, FCPT's lease portfolio comprised 1,153 properties across 47 states, achieving a remarkable occupancy rate of 99.6%. The weighted average remaining lease term for these properties is 7.3 years, reflecting the company’s strategy to secure long-term, reliable income.

Core Component 2: Focus on Long-term Growth

FCPT is committed to sustainable growth through strategic acquisitions. In the nine months ending September 30, 2024, the company acquired 42 properties for a total investment of $136.7 million. This acquisition strategy is aimed at diversifying the portfolio and reducing reliance on any single tenant or sector. The company reported a rental revenue increase of 8.7% compared to the previous year, driven by these strategic investments.

Core Component 3: Commitment to Tenant Success

FCPT prioritizes tenant relationships, understanding that tenant success is integral to its own business model. The company focuses on properties leased to high-quality tenants with strong financial backing, which enhances the likelihood of lease renewals and minimizes vacancy risks. In the nine months ended September 30, 2024, FCPT achieved a collection rate of 99.8% of contractual base rent, underscoring its effective tenant management strategies.

Vision Statement of Four Corners Property Trust, Inc. (FCPT)

Vision Statement of Four Corners Property Trust, Inc. (FCPT)

The vision of Four Corners Property Trust, Inc. (FCPT) revolves around being a premier owner and operator of high-quality net lease properties primarily in the restaurant sector, while also diversifying its portfolio with retail properties. This vision is encapsulated in several key components.

FCPT aims to attract and retain investment-grade tenants, ensuring a stable revenue stream. As of September 30, 2024, approximately 57% of the tenants are classified as investment-grade, which underscores the company's commitment to quality in its leasing strategy.

FCPT's vision includes strategic investments to expand its property portfolio. In the nine months ending September 30, 2024, the company invested $136.7 million in acquiring 42 properties across 19 states, reflecting a robust growth strategy. This acquisition strategy aims to diversify the portfolio beyond its current reliance on restaurant properties.

FCPT envisions a commitment to sustainability and community engagement. The company focuses on properties that not only generate income but also contribute positively to the communities in which they operate. This involves ensuring that properties are well-located and contribute to local economies.

Operational excellence is a cornerstone of FCPT's vision. The company strives to maintain a high occupancy rate of 99.6% as of September 30, 2024, and aims for efficient property management practices to enhance tenant satisfaction and retention.

FCPT's financial health is crucial to its vision. For the nine months ended September 30, 2024, the company reported rental revenues of $176.4 million, an increase of 8.7% from the previous year, reflecting strong demand for its properties and effective management of its portfolio.

Through its vision, FCPT aims to solidify its position as a leader in the net lease real estate sector, focusing on sustainable growth, tenant quality, and operational efficiency to deliver value to its shareholders and communities. The company’s strategic initiatives and financial performance metrics provide a solid foundation for achieving its long-term vision.

Core Values of Four Corners Property Trust, Inc. (FCPT)

Integrity

Integrity is a foundational core value at Four Corners Property Trust, Inc. (FCPT), emphasizing ethical conduct in all business dealings. The company upholds integrity through transparency in financial reporting and adherence to regulatory standards.

For example, FCPT's commitment to integrity is reflected in its financial practices, where it reported a net income of $74.4 million for the nine months ended September 30, 2024, an increase from $71.0 million in the same period of 2023. The company ensures that all financial data is accurately presented, maintaining trust with investors and stakeholders.

Accountability

Accountability at FCPT means taking responsibility for actions and decisions. The company fosters a culture where employees are encouraged to own their tasks and outcomes.

FCPT demonstrated accountability by maintaining a high occupancy rate of 99.6% across its property portfolio, which consists of 1,153 properties located in 47 states. This achievement underscores the company’s commitment to effective property management and tenant relations.

Collaboration

Collaboration is essential to FCPT's strategy, as it seeks to work closely with tenants and partners to enhance mutual success.

In 2024, FCPT acquired 42 properties for a total investment of $136.7 million, indicating a collaborative approach in identifying and securing high-quality assets. These properties are fully occupied under net leases, showcasing successful partnerships with tenants.

Innovation

Innovation at FCPT involves exploring new investment opportunities and enhancing operational efficiencies. The company continually seeks to adapt to market changes and tenant needs.

For instance, FCPT has implemented advanced property management technologies that have improved operational efficiency, resulting in a reduction of property expenses to $8.5 million for the nine months ended September 30, 2024, down from $8.7 million in 2023. This focus on innovation helps the company remain competitive in the real estate market.

Community Engagement

Community engagement is a core value that reflects FCPT's commitment to corporate social responsibility. The company actively participates in initiatives that support local communities.

FCPT's investment strategy includes acquiring properties in diverse markets, which not only enhances its portfolio but also contributes to local economies. The company’s operations support approximately 99.8% of contractual base rent collection, ensuring financial stability for its tenants and by extension, the communities they serve.

Article updated on 8 Nov 2024

Resources:

• Four Corners Property Trust, Inc. (FCPT) Financial Statements – Access the full quarterly financial statements for Q3 2024 to get an in-depth view of Four Corners Property Trust, Inc. (FCPT)' financial performance, including balance sheets, income statements, and cash flow statements.
• SEC Filings – View Four Corners Property Trust, Inc. (FCPT)' latest filings with the U.S. Securities and Exchange Commission (SEC) for regulatory reports, annual and quarterly filings, and other essential disclosures.