GLPI Raises AFFO Forecast Floor After $435.4 Million Revenue Q3

Gaming and Leisure Properties (GLPI) raised the lower end of its 2026 adjusted funds from operations forecast after reporting record third-quarter revenue of $435.4 million. The company also agreed to redevelop the former Hollywood Casino Joliet site with Prologis.

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Good to know

• GLPI now forecasts annual AFFO of $1.222 billion to $1.225 billion.
• The proposed Joliet redevelopment would include five buildings covering more than 3.8 million square feet.
• Quarterly revenue rose 9.5%, although net income and unadjusted funds from operations declined.

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The revised outlook includes approximately $265 million in additional development funding, bringing planned development spending for 2026 to $800 million.

GLPI previously forecast AFFO of $1.219 billion to $1.225 billion. It now expects $4.11 to $4.12 per diluted share and OP/LTIP units, compared with the earlier range of $4.10 to $4.12.

Those projections assume no material adverse changes in regulation, legislation, economic conditions, consumer trends, oil prices or competition.

Former Joliet Casino Site Could Become Distribution Park

The agreement with Prologis gives GLPI a development opportunity outside its existing casino rental operations.

The companies signed definitive joint venture agreements on October 27. Prologis plans a Class A warehouse and distribution park at the former Hollywood Casino Joliet property in Illinois, subject to City of Joliet review and approval.

Development would take approximately five years. Prologis holds options over the second and third phases, so the full project remains conditional.

GLPI would contribute land in three stages and receive a $61 million capital account credit if all phases proceed. Its ownership interest in the completed project would reach approximately 20%, potentially increasing to around 30% if it provides additional capital.

Record Adjusted Results Accompany Lower Net Income

For the three months ended September 30, GLPI increased adjusted EBITDA by 13% to $413.9 million, from $366.4 million a year earlier.

AFFO rose 10.5% to $311.7 million from $282 million. On a diluted share and OP/LTIP unit basis, AFFO increased 7.2% to $1.04 from $0.97.

However, other measures declined. Net income fell to $213.8 million from $248.5 million, while income from operations dropped to $309.9 million from $337.2 million.

Unadjusted funds from operations decreased to $275.9 million from $315.5 million. Net income per diluted common share fell to $0.71 from $0.85.

Chairman and CEO Peter Carlino credited long-term triple-net leases, built-in rent increases and lease coverage for the record adjusted results.

“These results demonstrate the strength of our model, which prioritizes long-term triple-net leases with built-in escalators, strong lease coverage, and the ability to structure and underwrite complex transactions and creative funding solutions for quality tenants,” he said.

Carlino also pointed to improving same-store operator performance through the first nine months of 2026.

“Regional gaming has proven its resilience for decades, and it is doing so again.”

He argued that the share price did not reflect the underlying business, citing a dividend yield above 8.5% based on the quarterly cash dividend at the time of the announcement.

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