First Quarter 2024 Revenue Totaled $12.6 Million, an increase of 10.4% Year-Over-Year First Quarter 2024 Net Income Attributable to Common Stockholders Totaled $6.9 Million, Funds from Operations Totaled $10.6 Million, and Adjusted Funds from Operations Totaled $11.0 Million Conference Call and Webcast Scheduled for May 9, 2024, at 11 a.m. Eastern Time NEW CANAAN, Conn., May 09, 2024 (GLOBE NEWSWIRE) -- NewLake Capital Partners, Inc. (OCTQX: NLCP) (the "Company" or "NewLake"), a leading provider of real estate capital to state-licensed cannabis operators, today announced its financial results for the first quarter ended March 31, 2024. Anthony Coniglio, President and Chief Executive Officer, said, "We are pleased with the performance of our portfolio and financial results during the first quarter of 2024. Our growth in revenue and AFFO year-over-year and sequentially, after deducting one-time adjustments in the fourth quarter, are what drove our second consecutive quarterly dividend increase to $0.41 per share, or $1.64 per share annually. Looking forward, the cannabis industry has much to be excited about following the proposal to reschedule cannabis from Schedule I to Schedule 3, an increase in meaningful dialogue among congressional leaders, and medical to adult-use conversion in Ohio and the Adult-use ballot in Florida." First Quarter 2024 Financial Highlights Quarter-over-quarter Revenue, Net Income, Funds from Operations ("FFO"), and Adjusted Funds from Operations ("AFFO") were impacted by non-recurring revenue recognized in the fourth quarter 2023. As a result, presented below reflects only the first quarter financial results. First quarter 2024 financial results Revenue totaled $12.6 million. Net income attributable to common stockholders totaled $6.9 million. FFO(1) totaled $10.6 million. AFFO(1) totaled $11.0 million. Cash and cash equivalents as of March 31, 2024, were $21.5 million, with $6.5 million committed to fund Tenant Improvements ("TIs"). Comparison to the first quarter ended March 31, 2023: Quarterly year-over-year financial results were impacted by the non-payment of contractual rent from one tenant in 2023. Revenue totaled $12.6 million, as compared to $11.4 million, a increase of 10.4% year-over-year. Net income attributable to common stockholders totaled $6.9 million, as compared to $5.9 million. FFO totaled $10.6 million, as compared to $9.5 million, an increase of 10.8% year-over-year. AFFO totaled $11.0 million, as compared to $9.9 million, an increase of 10.6% year-over-year. First Quarter 2024 Operational Highlights and Recent Developments Increased our first quarter dividend to $0.41 per common share, equivalent to an annualized dividend of $1.64 per common share. For the three months ended March 31, 2024, the Company funded approximately $7.9 million of TIs across two properties. In May 2024, the Company purchased a cultivation facility in Connecticut for approximately $4 million and committed to fund $12 million for TI. The property was leased to an existing tenant. _________________________________________________________________________________(1) FFO and AFFO are presented on a dilutive basis. Investment Activity Tenant Improvements Funded The following table presents the tenant improvements funded and the remaining unfunded tenant improvement commitments for the three months ended March 31, 2024: Tenant   Market   Site Type   Closing Date   TI Funded   Unfunded Commitments   Mint   Arizona   Cultivation   June 24, 2021   $ 2,361   $ 1,427   Organic Remedies   Missouri   Cultivation   December 20, 2021     5,533     3,294   Bloom Medicinal   Missouri   Cultivation   April 1, 2022     —     750   Ayr Wellness, Inc.   Pennsylvania   Cultivation   June 30, 2022     —     987   Total   $ 7,894   $ 6,458       Financing Activity Revolving Credit Facility As of March 31, 2024, the Company had approximately $4.0 million in borrowings under the Revolving Credit Facility and $86.0 million in funds available to be drawn, subject to sufficient collateral in the borrowing base. The facility bears interest at a fixed rate of 5.65% for the first three years and thereafter a variable rate based upon the greater of (a) the Prime Rate quoted in the Wall Street Journal (Western Edition) ("Base Rate") plus an applicable margin of 1.0% or (b) 4.75%. The facility is subject to certain liquidity and operating covenants and includes customary representations and warranties, affirmative and negative covenants and events of default. As of March 31, 2024, the Company was in compliance with the terms of such covenants under the agreement. Loan Payable On January 3, 2024, the Company made its final annual principal and interest payment of approximately $1.0 million on its loan payable to the seller of a cultivation facility in Chaffee, Missouri. Dividend On March 8, 2024, the Company's Board of Directors declared a first quarter 2024 cash dividend of $0.41 per share of common stock, equivalent to an annualized dividend of $1.64 per share of common stock. The dividend was paid on April 15, 2024, to stockholders of record at the close of business on March 29, 2024 and represents an AFFO payout ratio of 78.3%. Recent Developments Tenant Improvements Subsequent to March 31, 2024, the Company funded approximately $1.9 million of tenant improvements for its cultivation facilities in Arizona and Missouri. Conference Call and Webcast Details: Management will host a conference call and webcast at 11:00 a.m. Eastern Time on May 9, 2024, to discuss its quarterly financial results and answer questions about the Company's operational and financial highlights for the first quarter ended March 31, 2024. Event: NewLake Capital Partners Inc. First Quarter 2024 Earnings Call Date: Thursday, May 9, 2024 Time: 11:00 a.m. Eastern Time Live Call: 1-877-407-3982 (U.S. Toll-Free) or +1-201-493-6780 (International) Webcast: https://viavid.webcasts.com/starthere.jsp?ei=1638874&tp_key=b6e61aa824     For interested individuals unable to join the conference call, a dial-in replay of the call will be available until May 23, 2024, and can be accessed by dialing +1-844-512-2921 (U.S. Toll Free) or +1-412-317-6671 (International) and entering replay pin number: 13745855. About NewLake Capital Partners, Inc. NewLake Capital Partners, Inc. is an internally-managed real estate investment trust that provides real estate capital to state-licensed cannabis operators through sale-leaseback transactions and third-party purchases and funding for build-to-suit projects. NewLake owns a portfolio of 32 properties comprised of 15 cultivation facilities and 17 dispensaries that are leased to single tenants on a triple-net basis. For more information, please visit www.newlake.com. Forward-Looking Statements This press release contains "forward-looking statements." Forward-looking statements can be identified by words like "may," "will," "likely," "should," "expect," "anticipate," "future," "plan," "believe," "intend," "goal," "project," "continue" and similar expressions. Forward-looking statements are neither historical facts nor assurances of future performance. Instead, they are based only on our current beliefs and expectations. Forward-looking statements are based on the Company's current expectations and assumptions regarding capital market conditions, the Company's business, the economy and other future conditions. All of our statements regarding anticipated growth in our funds from operations, adjusted funds from operations, anticipated market conditions, and results of operations are forward-looking statements. Because forward-looking statements relate to the future, they are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict and many of which are outside of our control. Our actual results may differ materially from those indicated in the forward-looking statements. Therefore, you should not rely on any of these forward-looking statements. For a discussion of the risks and uncertainties which could cause actual results to differ from those contained in the forward-looking statements, see "Risk Factors" in our most recent Annual Report on Form 10-K and any subsequent Quarterly Reports on Form 10-Q. The Company does not undertake, and specifically disclaims any obligation, to publicly release the result of any revisions which may be made to any forward-looking statements to reflect the occurrence of anticipated or unanticipated events or circumstances after the date of such statements, except as required by law. Use of Non-GAAP Financial Information FFO and AFFO are supplemental non-GAAP financial measures used in the real estate industry to measure and compare the operating performance of real estate companies. A complete reconciliation containing adjustments from GAAP net income attributable to common stockholders to FFO and AFFO and definitions of terms are included at the end of this release. Contact Information: Lisa MeyerChief Financial Officer, Treasurer and SecretaryNewLake Capital Partners, Inc. Investor Contact:Valter Pinto, Managing DirectorKCSA Strategic (212) 896-1254 Media Contact: Ellen Mellody KCSA Strategic Communications PH: (570) 209-2947 NEWLAKE CAPITAL PARTNERS, INC.CONSOLIDATED BALANCE SHEETS(Unaudited)(In thousands, except share and per share amounts)     March 31, 2024   December 31, 2023 Assets:       Real Estate       Land $ 21,397     $ 21,397   Building and Improvements   398,805       390,911   Total Real Estate   420,202       412,308   Less Accumulated Depreciation   (35,066 )     (31,999 ) Net Real Estate   385,136       380,309   Cash and Cash Equivalents   21,546       25,843   In-Place Lease Intangible Assets, net   19,283       19,779   Loan Receivable, net (Current Expected Credit Loss of $152 and $167, Respectively)   4,848       4,833   Other Assets