Financial Data and Key Metrics Changes - Sabra's normalized FFO per share for Q4 2025 was $0.36, and normalized AFFO per share was $0.38, totaling $91.2 million and $95.2 million respectively for the quarter [12][15] - Cash NOI from the triple net portfolio decreased by $1.3 million sequentially, while cash NOI from the managed senior housing portfolio increased by $5.5 million, resulting in a net increase of $4.2 million [12][13] - The net debt to adjusted EBITDA ratio was 5.00 times as of December 31, 2025, a decrease of 0.27 times from the previous year [17] Business Line Data and Key Metrics Changes - The managed senior housing portfolio experienced a revenue growth of 15.8% and cash NOI growth of 18.4%, with margin expansion of 60 basis points [8] - The same-store managed senior housing portfolio saw a revenue increase of 6.4% year-over-year, with occupancy rising by 160 basis points to 87.9% [10] - The skilled nursing portfolio achieved an all-time high in rent coverage and increased occupancy [7] Market Data and Key Metrics Changes - The Canadian communities within the same-store portfolio grew revenue by 10% year-over-year, with occupancy increasing by 300 basis points to 94.2% [10] - The domestic portfolio occupancy increased by 80 basis points to 84.7% during the same period [10] Company Strategy and Development Direction - The company expects strong NOI growth for the SHOP portfolio in 2026, with guidance for normalized FFO and AFFO growth at 4.9%-5.4% [5] - Sabra's investment activity is projected to exceed the volume of 2025 investments, with a robust pipeline and $240 million of awarded deals expected to close in Q1 and early Q2 2026 [6][9] - The company continues to focus on SHOP investments, which represent approximately 95% of the investment opportunities being pursued [39] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the operational performance and growth prospects, citing industry tailwinds and a robust pipeline [10] - The regulatory environment remains stable, and management does not foresee significant changes impacting operations [7][82] - The company anticipates continued occupancy growth in the same-store portfolio, aiming for low 90s occupancy levels [24] Other Important Information - The board declared a quarterly cash dividend of $0.30 per common share, representing a payout of 79% of the fourth quarter normalized AFFO per share [20] - The company has ample liquidity of approximately $1.2 billion, consisting of cash and available borrowings [19] Q&A Session Summary Question: Can you provide insights on same-store growth and long-term prospects? - Management expects continued occupancy growth in the same-store portfolio, aiming for low 90s occupancy levels, with potential for rate growth [24][25] Question: What is the status of the RCA loan and tenant health? - The RCA loan is being serviced appropriately, and discussions with the equity sponsor are ongoing, indicating tenant health is stable [27][30] Question: What are the expectations for maintenance CapEx in 2026? - Maintenance CapEx is expected to remain at similar levels, with non-maintenance CapEx projected in the $20-$30 million range [32] Question: How is the investment landscape changing? - The investment activity is significantly weighted towards SHOP, with continued competition but opportunities for high-quality assets at good yields [58] Question: What is the outlook for occupancy growth in Canada? - The Canadian portfolio is expected to continue its growth trajectory, with lower construction rates compared to the U.S. market [52] Question: How does the company view the complexity of operating in the SHOP space? - Management acknowledges the complexities of operating in the SHOP space, emphasizing the importance of experienced operators and continuous improvement in management practices [88][91]

Financial Data and Key Metrics Changes - Sabra reported normalized FFO per share of $0.36 and normalized AFFO per share of $0.38 for Q4 2025, totaling $91.2 million and $95.2 million respectively [13] - Cash NOI from the managed senior housing portfolio increased by $5.5 million to $35.6 million, while cash NOI from the triple-net portfolio decreased by $1.3 million [14] - The net debt to adjusted EBITDA ratio was 5.00 times as of December 31, 2025, a decrease of 0.27 times from the previous year [17] Business Line Data and Key Metrics Changes - The managed senior housing portfolio experienced a sequential revenue growth of 15.8% and cash NOI growth of 18.4% [9] - The same-store senior housing portfolio saw a revenue increase of 6.4% year-over-year, with occupancy rising by 160 basis points to 87.9% [10] - The skilled nursing portfolio achieved an all-time high in rent coverage and increased occupancy [7] Market Data and Key Metrics Changes - The Canadian communities within the same-store portfolio grew revenue by 10% year-over-year, with occupancy increasing by 300 basis points to 94.2% [10] - The overall occupancy in the domestic portfolio increased by 80 basis points to 84.7% [11] - RevPOR in Q4 2025 rose by 4.2% year-over-year, with Canadian portfolio growth at 5.2% [11] Company Strategy and Development Direction - The company expects robust NOI growth for the SHOP portfolio in 2026, with guidance for normalized FFO and AFFO growth at 4.9%-5.4% [5] - Sabra completed approximately $450 million in investments for 2025 and anticipates exceeding this volume in 2026 [6] - The company remains focused on the senior housing sector, with 95% of investment opportunities in SHOP [58] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in continued occupancy growth, expecting the same-store portfolio to reach low 90s occupancy levels [24] - The regulatory environment remains stable, with no significant concerns regarding Medicaid and Medicare rates [82] - Management noted that the Canadian market is ahead of the U.S. in recovery, with lower construction rates contributing to occupancy growth [52] Other Important Information - The company declared a quarterly cash dividend of $0.30 per common share, representing a payout of 79% of Q4 normalized AFFO per share [20] - Sabra has ample liquidity of approximately $1.2 billion, including unrestricted cash and available borrowings [19] Q&A Session Summary Question: What are the building blocks of same-store growth? - Management expects continued occupancy growth, with the portfolio projected to reach low 90s occupancy levels [24] Question: Can you provide an update on the RCA loan and tenant health? - The RCA loan is being serviced appropriately, indicating tenant health is stable [31] Question: What are the expected maintenance and non-maintenance CapEx for 2026? - Maintenance CapEx is expected to remain similar to previous levels, while non-maintenance CapEx is projected to be in the $20 million-$30 million range [33] Question: How is the investment landscape changing? - The investment activity is significantly weighted towards SHOP, with competition increasing but still finding high-quality assets [58] Question: What is the outlook for occupancy growth in the Canadian portfolio? - The Canadian portfolio is expected to continue its growth trajectory, with occupancy and pricing power improving [65]

Financial Data and Key Metrics Changes - Sabra reported normalized FFO per share of $0.36 and normalized AFFO per share of $0.38 for Q4 2025, totaling $91.2 million and $95.2 million respectively [12][14] - Cash NOI from the triple net portfolio decreased by $1.3 million sequentially, while cash NOI from the managed senior housing portfolio increased by $5.5 million, resulting in a net increase of $4.2 million [12][13] - The net debt to adjusted EBITDA ratio was 5.00 times as of December 31, 2025, a decrease of 0.27 times from the previous year [17] Business Line Data and Key Metrics Changes - The managed senior housing portfolio experienced a sequential revenue growth of 15.8% and cash NOI growth of 18.4%, with margin expansion of 60 basis points [7] - The same-store senior housing portfolio saw a revenue increase of 6.4% year-over-year, with occupancy rising by 160 basis points to 87.9% [9] - The skilled nursing portfolio achieved increased rent coverage and occupancy, reaching an all-time high [6] Market Data and Key Metrics Changes - The Canadian communities within the same-store portfolio grew revenue by 10% year-over-year, with occupancy increasing by 300 basis points to 94.2% [9] - The domestic portfolio occupancy increased by 80 basis points to 84.7% during the same period [10] - RevPOR in Q4 2025 rose by 4.2% year-over-year, with the Canadian portfolio increasing by 5.2% [10] Company Strategy and Development Direction - The company expects strong NOI growth for the SHOP portfolio in 2026, with guidance for normalized FFO and AFFO growth at 4.9%-5.4% [4] - Sabra completed approximately $450 million in investments for 2025 and anticipates exceeding this volume in 2026 [5] - The company is focusing on maintaining a robust pipeline of investments, with $240 million of awarded deals expected to close in Q1 and early Q2 2026 [5][9] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the operational performance and growth potential of the senior housing portfolio, citing industry tailwinds and a robust pipeline [10] - The regulatory environment remains stable, and the company expects to see continued occupancy growth in its same-store portfolio [6][15] - Management noted that the Canadian market is ahead of the U.S. market in recovery, with lower construction rates contributing to occupancy growth [10][50] Other Important Information - The board declared a quarterly cash dividend of $0.30 per common share, representing a payout of 79% of the fourth quarter normalized AFFO per share [20] - The company has ample liquidity of approximately $1.2 billion, consisting of unrestricted cash and available borrowings [19] Q&A Session Summary Question: Can you provide insights on same-store growth and future prospects? - Management expects continued occupancy growth in the same-store portfolio, aiming for low 90s occupancy levels [24] Question: What is the status of the RCA loan and its impact on guidance? - The RCA loan is being serviced appropriately, and guidance assumes the lease remains in place [28] Question: How is the investment landscape changing, particularly regarding skilled nursing? - The majority of the $240 million awarded transactions are focused on SHOP, with minimal skilled nursing investments expected [57] Question: What is the expected maintenance CapEx for 2026? - Maintenance CapEx is expected to remain at similar levels, with non-recurring CapEx projected in the $20-$30 million range [33] Question: How does the company view the competitive landscape in the SHOP sector? - The company acknowledges increased competition but continues to find high-quality assets at attractive yields [58]

Strategic. Disciplined. Opportunistic. Investor Presentation | February 12, 2026 Disclaimers Forward-Looking Statements This presentation contains "forward-looking" statements as defined in the Private Securities Litigation Reform Act of 1995. Any statements that do not relate to historical or current facts or matters are forward-looking statements. These statements may be identified, without limitation, by the use of "expects," "believes," "intends," "should" or comparable terms or the negative thereof. Ex ...

Financial Position - As of December 31, 2025, the company had approximately $1.2 billion in liquidity, including $71.5 million in unrestricted cash and cash equivalents, and available borrowings of $782.4 million under its Revolving Credit Facility[63]. - As of December 31, 2025, the company had $1.3 billion in aggregate principal amount of Senior Notes outstanding and $1.0 billion under Term Loans[294]. - The company had $1.3 billion of outstanding variable rate indebtedness and $782.4 million available for borrowing under its Revolving Credit Facility as of December 31, 2025[294]. - Interest rate swaps were in place for $930.0 million of SOFR-based borrowings at a weighted average rate of 3.20% and CAD $150.0 million of CORRA-based borrowings at 2.59%[295]. - A 100 basis point increase or decrease in the index underlying the variable rate debt would result in a $2.2 million increase or decrease in interest expense for the twelve months following December 31, 2025[297]. - The company has Canadian dollar denominated debt totaling CAD $183.7 million to mitigate foreign currency exposure as of December 31, 2025[297]. Portfolio and Operations - The company’s portfolio consisted of 360 properties, with no single tenant representing 10% or more of total revenues, ensuring a diversified revenue stream[51][53]. - The company held 273 facilities under triple-net leases with a weighted-average remaining term of seven years, providing stable long-term income[54]. - The company operated 87 Senior Housing - Managed communities, which are expected to enhance growth opportunities through capital investment and operational efficiencies[55]. - The company aims to diversify its asset portfolio by acquiring assisted living, independent living, and memory care communities, as well as skilled nursing facilities in the U.S. and Canada[61]. - The company has established 61 relationships with operators to reduce dependence on any single tenant and to support future growth potential[66]. - The company plans to pursue strategic development opportunities, including renovations and expansions of existing facilities, to enhance competitiveness and returns[69]. Management and Workforce - The management team has extensive experience in healthcare and real estate, which is expected to provide a competitive advantage in identifying investment opportunities[70][71]. - The company recognizes the importance of an inclusive workforce, with 55% of employees being women and 34% identifying as ethnic minorities, contributing to a positive work environment[72][74]. Regulatory and Market Risks - The company is subject to federal and state budgetary cuts that could limit reimbursement levels from Medicare and Medicaid, potentially reducing tenant revenues significantly[80]. - Future changes in legislation and regulatory frameworks could impose further limitations on government payments to tenants[80]. - The company is exposed to various market risks, primarily related to adverse changes in interest rates and foreign exchange rates for Canadian dollars[293]. - The company may face significant legal expenses and management attention due to compliance with governmental operating and health standards[80].

Financial Performance - Net income attributable to Sabra Health Care REIT, Inc. for Q4 2025 was $27.2 million, compared to $46.7 million in Q4 2024, reflecting a decrease of approximately 41% year-over-year[7] - Net income for the quarter ended December 31, 2025, was $27,147, compared to $46,695 in the same quarter of 2024, indicating a decrease of 41.6%[14] - Net income for the year ended December 31, 2025, was $155.510 million, with a net loss of $154.616 million attributed to corporate expenses[20] - Total net income for the year ended December 31, 2025, was $155.510 million, with a net loss of $(154.616) million in corporate[25] Cash Flow and Income - Cash rental income for Q4 2025 was $87.5 million, slightly down from $90.0 million in Q4 2024[12] - Cash Net Operating Income (NOI) for the year was $517.330 million, reflecting a pro rata Cash NOI of $312.318 million[25] - Cash Net Operating Income - pro rata for the quarter ended December 31, 2025, was $133,621, compared to $24,148 in the same quarter of 2024, showing significant growth[17] - Cash NOI growth for the triple-net portfolio is projected to be low-single-digit at the midpoint, while same-store Senior Housing - Managed portfolio is expected to grow in the low to mid-teens[5] Expenses and Adjustments - General and administrative expenses for 2026 are estimated at $52 million, which includes $12 million of stock-based compensation expense[5] - Stock-based compensation expense for Q4 2025 was $3.1 million, compared to $2.5 million in Q4 2024[7] - Depreciation and amortization for the quarter ended December 31, 2025, totaled $51,405, up from $12,538 in the same quarter of 2024[17] - Depreciation and amortization expenses totaled $186.996 million, with $81.358 million from skilled nursing and $71.745 million from senior housing[20] Operational Metrics - The company reported an Adjusted EBITDA of $123.9 million for Q4 2025, with an annualized figure of $495.6 million[9] - Adjusted EBITDA is a key performance measure, excluding merger-related costs and stock-based compensation, highlighting operational efficiency[28] - The company emphasizes the importance of Funds From Operations (FFO) and Adjusted Funds From Operations (AFFO) as indicators of ongoing operational results[34] - The weighted average share count for Normalized FFO and Normalized AFFO is projected to be 255 million and 256 million, respectively, for 2026[5] Debt and Liabilities - Net Debt as of December 31, 2025, was $2.48 billion, with a Net Debt to Adjusted EBITDA ratio of 5.00x[9] - Interest expenses amounted to $112.489 million, with $110.892 million attributed to corporate[20] - The company reported a loss on extinguishment of debt of $1.154 million, impacting overall financial performance[20] Joint Ventures and Other Income - Income from unconsolidated joint ventures for the quarter ended December 31, 2025, was $(1,652)[17] - The company’s share of unconsolidated joint ventures' Net Operating Income was $4,061 for the quarter ended December 31, 2025[17] - The company’s share of unconsolidated joint ventures' Net Operating Income was $15.010 million, contributing to overall performance metrics[25] Real Estate and Asset Management - The company reported a net loss on sales of real estate amounting to $9,063 for the quarter ended December 31, 2025[17] - Impairment of real estate was recorded at $7.322 million, indicating potential asset devaluation[20] - Non-cash revenue and expense adjustments resulted in a net adjustment of $(1.075) million, affecting the cash flow statement[22] - The annualized effect of acquisitions and lease modifications contributed to the adjustments needed for Cash Net Operating Income representation[23]

Group 1 - Sabra Health Care REIT, Inc. will release its 2025 fourth quarter earnings on February 12, 2026, after market close [1] - A conference call to discuss the earnings will take place on February 13, 2026, at 11:00 a.m. Pacific Time, with specific dial-in numbers provided for U.S. and international participants [1] - A digital replay of the conference call will be available on Sabra's website [2] Group 2 - On February 2, 2026, Sabra's board declared a quarterly cash dividend of $0.30 per share, payable on February 27, 2026, to stockholders of record as of February 13, 2026 [2] - Sabra operates as a self-administered, self-managed real estate investment trust (REIT) focused on the healthcare industry in the U.S. and Canada [3]

Core Insights - Sabra Health Care REIT (SBRA) has shown significant recovery post-pandemic, indicating potential for further growth while providing dividends [1] Group 1: Company Performance - The company has been recovering well in recent years after being significantly impacted during the pandemic [1] - There is still considerable potential for growth in Sabra Health Care REIT, suggesting it may be an attractive investment opportunity [1] Group 2: Analyst Background - The analyst has over a decade of experience in researching various industries, including commodities and technology, which enhances the credibility of the insights provided [1] - The analyst has transitioned from writing a blog to a value investing-focused YouTube channel, indicating a commitment to thorough research and analysis [1]

Group 1 - The company has announced a series of ordinary dividends totaling $1.2000000 per share for the year 2025, with a consistent distribution of $0.3000000 per share across four payment dates [1][2] - The breakdown of the dividends includes qualified dividends of $0.9755384 per share and non-qualified dividends of $0.2244616 per share, indicating a clear distinction in the types of dividends being distributed [2] - The payment dates for the dividends are set for February 28, May 30, August 29, and November 28 in 2025, ensuring regular cash flow for shareholders throughout the year [1][2] Group 2 - The total ordinary dividends for the year represent a distribution rate of 100.00%, with qualified dividends making up 81.29% and non-qualified dividends accounting for 18.71% of the total [2] - The company has maintained a consistent dividend policy, reflecting its commitment to returning value to shareholders while managing its earnings effectively [1][2]

Group 1 - Sabra Health Care REIT, Inc. announced the appointment of Darrin Smith as Chief Investment Officer, Secretary, and Executive Vice President, effective January 1, 2026, succeeding Talya Nevo-Hacohen who will retire on December 31, 2025 [1][2] - Darrin Smith has a strong background in the healthcare real estate sector, having served as Executive Vice President, Investments at Sabra since March 2020 and previously as Senior Vice President—Senior Housing Investments at HCP, Inc. from January 2010 to December 2018 [3] - Rick Matros, CEO and Chair of Sabra, expressed confidence in Darrin Smith's leadership and acknowledged Talya Nevo-Hacohen's contributions to the company since its formation in 2010 [4] Group 2 - Sabra Health Care REIT, Inc. operates as a self-administered, self-managed real estate investment trust (REIT) that invests in real estate serving the healthcare industry across the United States and Canada [5]