Postal Realty Trust Reports Strong Second Quarter Results

Strategic Insights -

Postal Realty Trust, Inc. (PSTL) reported significant revenue growth and strong performance in its second quarter of 2025, driven by the addition of new properties to its portfolio and the execution of long-term leases with the United States Postal Service (USPS). The Company's owned portfolio remained highly occupied, with 99.8% of its 1,806 properties leased across 49 states and one territory. This stability enabled PSTL to maintain a strong balance sheet and enhance its earnings power and cash flows.

Key Takeaways:

  • PSTL achieved 29% revenue growth from the second quarter of 2024 to the second quarter of 2025, driven by the acquisition of 68 USPS properties.
  • The Company recorded net income attributable to common shareholders of $3.6 million, or $0.12 per diluted share, and Funds from Operations (FFO) of $10.8 million, or $0.35 per diluted share.
  • PSTL's acquired 68 USPS properties for approximately $35.9 million, excluding closing costs, at a weighted average capitalization rate of 7.8%.
  • The Company announced a quarterly dividend of $0.2425 per share subsequent to quarter end.
  • PSTL's owned portfolio was 99.8% occupied, comprising 1,806 properties across 49 states and one territory with approximately 6.8 million net leasable interior square feet.
  • The weighted average rental rate consisted of $13.24 per leasable square foot on last-mile and flex properties, and $4.14 on industrial properties.
  • PSTL's relationship with the USPS remains strong, with the Company continuing to execute 10-year leases with annual rent escalations.

Statistics:

  • 29% growth in revenues from second quarter 2024 to second quarter 2025.
  • $56.0 million in net income for the quarter, compared to $66.8 million in the second quarter of 2024.
  • $56.0 million in FFO for the quarter, compared to $54.3 million in the second quarter of 2024.
  • 68 USPS properties acquired for approximately $35.9 million, excluding closing costs.
  • Weighted average capitalization rate of 7.8% on acquired properties.
  • 99.8% occupied portfolio, comprising 1,806 properties across 49 states and one territory.
  • Approximately 6.8 million net leasable interior square feet.
  • $11.11 per leasable square foot weighted average rental rate based on rents in place as of June 30, 2025.
  • $13.24 per leasable square foot on last-mile and flex properties.
  • $4.14 per leasable square foot on industrial properties.

Sources:

  • Postal Realty Trust, Inc. (NYSE: PSTL) news release, dated July 15, 2025.