F

Essential Properties Realty Tru — Earnings Quality Grade F

EPRT · Real Estate

Major red flags

Revenue
$561M
2025
Net Income
$253M
2025
Gross Margin
98.7%
Free Cash Flow
$381M
01

Screening Summary

12
Passed
1
Watch
1
Failed
M-Score

Management Signals

No recent CEO, CFO, board, or accounting leadership signals found in SEC 8-K filings.
02

Financial Trends

Revenue & Net Income ($B)

Margins (%)

03

18-Point Screening

01

Revenue Quality

A1DSO Change

DSO 150 days, change +9 days YoY

A2AR vs Revenue Growth

AR growth 32.9% vs revenue growth 24.8%

A3Revenue vs CFFO

Revenue 24.8%, CFFO 23.5%. Cash follows revenue

02

Expense Quality

B1Inventory vs COGS

Inventory -73.7% vs COGS 51.6%. Normal

B2CapEx vs Revenue

Insufficient data

B3SG&A Ratio

SG&A/Gross Profit = 7.4%, excellent (<30%)

B4Gross Margin

Gross margin 98.7%, change -0.2pp. Stable

03

Cash Flow Quality

C1CFFO vs Net Income

CFFO/NI = 1.51. Profits backed by cash

C2Free Cash Flow

FCF $0.4B, FCF/NI = 1.51

C3Accruals Ratio

Accruals ratio = -1.9%. Low accruals

C4Cash vs Debt

Cash $0.1B covers only 2% of debt $2.5B

04

Balance Sheet Health

D1Goodwill + Intangibles

No goodwill. Clean balance sheet

!
D2Leverage

Debt/EBITDA = 4.9x (>4x). Financial stress

D3Soft Asset Growth

Insufficient data

D4Asset Impairment

No write-off data

05

Acquisition Risk

E1Serial Acquirer FCF

FCF after acquisitions positive

E2Goodwill Surge

No goodwill

06

Manipulation Score

F1Beneish M-Score

Insufficient data

Portfolio monitoring

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Altman Z-Score — Not Applicable

Essential Properties Realty Tru is a financial company. Z-Score is designed for non-financial companies.

Generated from public financial data using forensic accounting frameworks. Not investment advice. Data: Yahoo Finance · 2026-04-25