A notable disconnect exists between accounting and cash performance, evidenced by a 2026Q1 operating cash outflow of $8.6 million despite generating $30.7 million in FFO.
| Metric | TTM | Dec'25 | Dec'24 | Dec'23 | Dec'22 | Dec'21 | Dec'20 | Dec'19 | Dec'18 | Dec'17 | Dec'16 | Dec'15 | Dec'14 | Dec'13 | Dec'12 | Dec'11 | Dec'10 | Dec'09 | Dec'08 | Dec'07 | Dec'06 | Dec'05 | Dec'04 | Dec'03 | Dec'02 | Dec'01 | Dec'00 | Dec'99 | Dec'98 | Dec'97 | Dec'96 |
|---|
| Cash from Operations | 30.31M | 47.81M | 37.85M | 15.39M | 64.85M | 26.92M | 61.76M | -1.96M | -24.13M | 80.21M | 5.48M | 5.03M | -10.34M | -180.47M | -191.93M | -31.79M | -47.4M | 76.28M | 418.53M | 561.34M | 434.44M | 515.92M | 363.13M | 338.26M | 348.79M | 264.83M | 192.47M | 122.5M | 54.9M | 3.2M | -200K |
| Operating CF Growth % | -244.57% | 26.31% | 145.96% | -76.27% | 140.93% | -56.41% | 3246.05% | 91.86% | -130.08% | 1363.72% | 9.05% | 148.59% | 94.27% | 5.97% | -503.84% | 32.94% | -162.14% | -81.78% | -25.44% | 29.21% | -15.79% | 42.07% | 7.35% | -3.02% | 31.7% | 37.6% | 57.12% | 123.13% | 1615.63% | 1700% | 0% |
| Operating CF / Revenue % | 7.72% | 12.4% | 10.35% | 4.37% | 23.99% | 14.39% | 38.91% | -2.1% | -48.52% | 11.81% | 25.2% | 27.07% | -2.24% | -46.18% | -47.93% | -36.12% | -8.73% | 7.95% | 145.64% | 67.84% | 77.2% | 105.62% | 77.87% | 83.06% | 102.11% | 84.02% | 63.97% | 70.56% | 65.83% | 168.42% | -100% |
| Net Income | 113.97M | 114.63M | 105.76M | -54.56M | 144.68M | 73.36M | -116.64M | 33.73M | -18.33M | 56.79M | 6.62M | 5.72M | 15.77M | -133.47M | -268.69M | -25.69M | 80.21M | -769.85M | -196.79M | 238.96M | 374.83M | 287.91M | 260.45M | 292.16M | 215.27M | 229.91M | 218.29M | 38.9M | 59.9M | 0 | -600K |
| Depreciation & Amortization | 9.45M | 10.86M | 10.45M | 12.24M | 11.92M | 11.99M | 7.33M | 11.89M | 58.7M | 49.93M | 3.14M | 3.47M | 73.57M | 71.53M | 70.79M | 63.93M | 70.77M | 99.29M | 104.45M | -107.99M | 33.78M | 39.08M | 39.21M | 28.46M | 38.42M | 14.98M | 20.34M | -9.6M | -10.1M | 0 | 0 |
| Stock-Based Compensation | 5.95M | 12.55M | 13.76M | 23.23M | 1.55M | 1.75M | 0 | 1.58M | 873K | 18.81M | 10.89M | 12.01M | 13.31M | 19.26M | 15.29M | 29.7M | 19.36M | 23.59M | 19.7M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Other Non-Cash Items | -97.25M | -100.68M | -105.44M | 27.37M | -124.41M | -42.66M | 180.6M | -25.13M | -52.75M | -14.48M | -3.96M | -2.9M | -34.3M | -45.03M | -92.39M | -108.29M | 33.3M | 722.79M | 509.19M | 412.4M | 70.68M | 146.69M | 59.12M | 31.31M | 57.35M | -1.93M | -3.69M | 98.3M | 8.7M | 1.5M | 200K |
| Working Capital Changes | -1.89M | 10.46M | 13.33M | 7.11M | 31.12M | -11.6M | -9.53M | -24.03M | -29.31M | -7.08M | -317K | -1.26M | 10.42M | -14.76M | 14.33M | 22.3M | -51.35M | -3.32M | -24.06M | 16.64M | -43.07M | 42.24M | 4.36M | -13.66M | 37.75M | 21.88M | -42.47M | -5.1M | -3.6M | 1.7M | 200K |
| Cash from Investing | -315.55M | -237.18M | -212.37M | -576.57M | -1.15B | -1.29B | -8.2M | -1.52B | 778.86M | 269.49M | -7.97M | 184.03M | 159.79M | 893.45M | 1.27B | 1.47B | 3.74B | 726.22M | -27.94M | -4.75B | -2.53B | -1.41B | -465.43M | -974.35M | -1.15B | -321.1M | -176.65M | -143.9M | -1.27B | -6M | 1.3M |
| Acquisitions (Net) | -19.19M | -28.88M | -10.05M | -149.94M | -7K | -39.45M | 496K | -127.97M | 13.61M | -224.22M | 43.94M | -11.53M | 0 | 220.28M | 0 | 0 | 3.69B | 64.57M | 993.83M | -1.89B | -31.72M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Purchase of Investments | -245.86M | -182.53M | -304.28M | -316.75M | -1.28B | -2.08M | -260.12M | -1.36B | -94.58M | -224.22M | -58.2M | -11.53M | -781.85M | -270.38M | -67.99M | -61.82M | -100.35M | -31.54M | -32.07M | -2.93B | -3.7B | 0 | 0 | 0 | 0 | 0 | 0 | 0 | -1.02B | -31.3M | -19.8M |
| Sale of Investments | 5.19M | 6.34M | 45.17M | 9.19M | 0 | 111.43M | 428.72M | 250K | 189.04M | 887.66M | 43.94M | 169.74M | 0 | 220.28M | 0 | 0 | 213.34M | 27.06M | 51.41M | 311.43M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 21.6M | 21M |
| Other Investing | -55.7M | -32.1M | 56.79M | -119.07M | 134.71M | -109.9M | -120.54M | 1.34B | 859.83M | -11.27M | 135.97M | 207.09M | 1.08B | 935.04M | 1.42B | 1.6B | -17.91M | 686.88M | -938.21M | -191M | 1.2B | -1.35B | -443.46M | -965.74M | -1.14B | -295.72M | -167.64M | -118.9M | -247.6M | 3.7M | 100K |
| Cash from Financing | 287.38M | 202.98M | 144.89M | 559.53M | 1.09B | 1.2B | -255.47M | 1.55B | -457.94M | -20.73M | 2.47M | -5M | -190.96M | -455.76M | -1.18B | -1.59B | -3.41B | -1.07B | 1.44M | 4.18B | 2.09B | 917.15M | 110.63M | 700.25M | 800.54M | 49.18M | -27.47M | 45.7M | 1.23B | 3M | 0 |
| Dividends Paid | -50.97M | -50.92M | -50.59M | -46.04M | -42.19M | -35.95M | -56.16M | -16.62M | -10.93M | -48.44M | -51.32M | -51.32M | -51.32M | -49.02M | -42.32M | -42.32M | -42.32M | -42.32M | -317.75M | -477.23M | -411.76M | -381.57M | -358.72M | -306.64M | -268.07M | -301.11M | -238.97M | -110.6M | -38.6M | 0 | 0 |
| Common Dividends | -50.97M | -50.92M | -50.59M | -46.04M | -42.19M | -35.95M | 0 | -16.62M | -10.93M | -2.85M | -51.32M | -51.32M | -51.32M | -49.02M | -42.32M | -42.32M | -42.32M | -42.32M | -317.75M | -467.8M | -403.08M | -373.32M | -352.65M | -306.64M | -268.07M | -301.11M | -238.97M | -110.6M | -38.6M | 0 | 0 |
| Debt Issuance (Net) | 4M | 1000K | 1000K | 1000K | 1000K | 1000K | -1000K | 1000K | 1000K | 1000K | 0 | 0 | -1000K | -1000K | -1000K | -1000K | -1000K | -1000K | 1000K | 1000K | 1000K | 1000K | 1000K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Share Repurchases | -4.38M | 0 | -5.1M | 0 | 0 | 0 | -54.56M | 0 | -8.3M | -285.93M | -99.33M | -79.32M | 0 | -20.98M | -4.63M | -78.85M | -7.48M | -29.86M | -63.94M | -30.95M | 0 | 0 | -165M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Other Financing | -232.59M | -234.43M | -63M | 26.63M | -998K | -22.71M | -26.45M | 217.58M | -1.39M | 5.65M | 2.47M | -5M | 1.31M | -22.19M | 2.35M | 1.21M | 1.6M | 118.49M | -138.58M | 15.09M | 19.85M | 20.82M | -2.24M | 1.01B | 1.07B | 350.29M | 211.5M | 156.3M | 1.26B | 3M | 0 |
| Net Change in Cash | 2.14M | 13.62M | -29.62M | -1.65M | 9.87M | -57.95M | -208.54M | 22.36M | 296.81M | 328.94M | 328.72M | -472.04M | -41.51M | 257.22M | -100.48M | -148.04M | 280.23M | -271.9M | 392.03M | -1.44M | -9.42M | 26.95M | 8.33M | 64.16M | 264K | -7.08M | -11.66M | 24.3M | 9.8M | 200K | 1.1M |
| Exchange Rate Effect | 0 | 0 | 0 | 0 | 0 | -124K | -6.63M | 0 | 19K | -28K | 7K | 478K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Cash at Beginning | 30.74M | 17.12M | 46.74M | 48.39M | 38.52M | 96.47M | 307.17M | 24.43M | 677.73M | 328.74M | 22K | 472.06M | 513.57M | 256.34M | 356.83M | 504.87M | 224.63M | 496.54M | 104.51M | 105.95M | 115.37M | 88.42M | 80.09M | 15.93M | 15.67M | 22.75M | 34.41M | 10.1M | 300K | 100K | 900K |
| Cash at End | 28.12M | 30.74M | 17.12M | 46.74M | 48.39M | 38.52M | 98.63M | 46.78M | 974.54M | 657.69M | 328.74M | 22K | 472.06M | 513.57M | 256.34M | 356.83M | 504.87M | 224.63M | 496.54M | 104.51M | 105.95M | 115.37M | 88.42M | 80.09M | 15.93M | 15.67M | 22.75M | 34.4M | 10.1M | 300K | 2M |
| Free Cash Flow | 30.31M | 47.81M | 37.85M | 15.39M | 64.85M | -1.22B | 5M | -1.37B | -213.17M | -78.25M | -168.14M | -164.72M | -153.13M | -392.23M | -275M | -95.95M | -90.26M | 55.52M | 315.64M | 516.51M | 434.44M | 460M | 341.16M | 329.65M | 341.3M | 239.45M | 183.46M | 97.5M | 54.9M | 3.2M | -200K |
| FCF Growth % | -39.15% | 26.31% | 145.96% | -76.27% | 105.31% | -24496.86% | 100.37% | -541.12% | -172.4% | 53.46% | -2.07% | -7.57% | 60.96% | -42.63% | -186.6% | -6.31% | -262.56% | -82.41% | -38.89% | 18.89% | -5.56% | 34.83% | 3.49% | -3.41% | 42.53% | 30.52% | 88.16% | 77.6% | 1615.63% | 1700% | 0% |
| FCF / Revenue % | 7.72% | 12.4% | 10.35% | 4.37% | 23.99% | -652.93% | 3.15% | -1463.28% | -428.7% | -11.52% | -773.29% | -887.26% | -33.14% | -100.37% | -68.67% | -109.04% | -16.63% | 5.79% | 109.83% | 62.42% | 77.2% | 94.17% | 73.16% | 80.94% | 99.92% | 75.97% | 60.97% | 56.16% | 65.83% | 168.42% | -100% |
Interest rate sensitivity
As reported in recent financial statements, Safehold's FFO consistently exceeds GAAP operating cash flow, with the 2026Q1 FFO of $30.7M contrasting sharply against an $8.6M operating cash outflow, highlighting the significant disconnect between accounting earnings and actual cash generation within the company's unique ground lease model.
The persistent gap between FFO and operating cash flow suggests that GAAP metrics are heavily influenced by non-cash adjustments and working capital fluctuations. Investors should monitor this divergence, as it implies that the company's ability to fund operations relies more on capital market access than on internal cash generation.
Based on the 2023Q4 data, the only period where AFFO was explicitly reported, Safehold generated $40.1M in AFFO against $12.6M in dividends paid, suggesting a healthy payout ratio of 28% that provides a substantial buffer for the company's current distribution obligations to its shareholders.
While the dividend appears well-covered by AFFO, the lack of recent AFFO reporting makes it difficult to assess if this coverage has been maintained amidst rising interest costs. The current payout ratio suggests management prioritizes dividend stability, yet the reliance on external financing to fund growth remains a critical consideration.
According to quarterly filings, the company's FFO consistently tracks significantly higher than Net Income, with the 2026Q1 FFO of $30.7M compared to $28.9M in Net Income, illustrating how standard accounting practices fail to capture the true cash-based earnings power of the long-term ground lease portfolio.
The reliance on FFO as a primary performance metric is justified given the distortionary impact of depreciation on GAAP Net Income. However, the volatility in the FFO-to-Net Income ratio warrants further investigation into whether non-cash revenue recognition is artificially inflating the perceived earnings quality of the firm.
As indicated by the erratic operating cash flow figures, which swung from a $28.0M inflow in 2025Q2 to an $8.6M outflow in 2026Q1, Safehold appears heavily dependent on external capital markets to sustain its acquisition-heavy business model and meet its ongoing corporate financing requirements.
The inconsistency in operating cash flow suggests that the company's growth is not yet self-funding, necessitating frequent reliance on debt or equity issuance. This dependency may expose the company to significant refinancing risk if capital market conditions tighten or if the cost of debt continues to escalate.
Quick answers to the most common questions about buying SAFE stock.
Safehold Inc. (SAFE) generated $47.8M in net cash from operating activities in 2025. This reflects the cash generated directly from core business operations.
Safehold Inc. (SAFE) generated $47.8M in free cash flow in 2025. Free cash flow is the cash left over after capital expenditures, which can be used to pay dividends, repurchase shares, or pay down debt.
Safehold Inc. (SAFE) spent $0.0M on capital expenditures in 2025. CapEx represents the cash invested in physical assets like property, plant, and equipment to maintain or grow the business.
In 2025, Safehold Inc. (SAFE) returned $50.9M to shareholders via cash dividends. This shows the company's commitment to returning capital to its equity investors.