First Industrial Realty Trust, Inc. (FR) Cash Flow Statement

The raw figures do not reconcile with the reported Div/AFFO ratio of 0.62, so the apparent shortfall warrants further investigation before a definitive coverage conclusion is drawn. AFFO is unavailable in five of the ten quarters shown, limiting trend analysis, but where present it has declined from $92.2M to $55.0M while quarterly dividends rose from $50.1M to $68.1M, suggesting the retained cash buffer that once cushioned the payout has thinned considerably.

The see-saw pattern implies FFO conversion quality is being driven by timing items such as straight-line rent and collections rather than a stable structural relationship, which makes single-quarter FFO an unreliable proxy for cash generation. The same quarter shows net income of $143.1M exceeding operating cash flow of $88.9M, a configuration that may indicate non-recurring gains or working-capital swings inflating GAAP earnings relative to realized cash.

The quarters reporting zero capex should be treated as data unavailable rather than as evidence of a genuinely capex-free period, so cross-quarter free cash flow comparisons are not like-for-like. If the recent $54.5M and $61.0M outflows represent a normalized run-rate for tenant improvements, leasing commissions and development spend, FCF margins in the high-20s% may become the operative baseline, investors should monitor whether this pace persists into subsequent quarters.

The gap confirms that net income materially understates the cash-earnings power of the portfolio, consistent with heavy depreciation on industrial real estate, so valuation anchored on GAAP earnings would understate distributable performance. Conversely, the 2026Q1 configuration of $143.1M net income against $88.9M of operating cash flow may indicate that disposal gains or other non-recurring items are flattering GAAP results in certain periods, and the durability of those items warrants monitoring.