Financial Performance - Net income for September 30, 2024, was $456.8 million, showing significant growth compared to $134.7 million in September 2023[113] - FFO (Funds From Operations) increased to $635.8 million in September 2024, up from $419.1 million in September 2023[113] - NOI (Net Operating Income) reached $842.9 million in September 2024, compared to $666.7 million in September 2023[113] - Net income for the three months ended September 30, 2024 increased by 239% to $456.8 million compared to $134.7 million in the same period in 2023[131] - FFO (Funds From Operations) for the nine months ended September 30, 2024 increased by 33% to $1.69 billion compared to $1.27 billion in the same period in 2023[131] - EBITDA for the nine months ended September 30, 2024 increased by 38% to $2.42 billion compared to $1.75 billion in the same period in 2023[131] - NOI (Net Operating Income) for the nine months ended September 30, 2024 increased by 17% to $2.32 billion compared to $1.98 billion in the same period in 2023[131] - FFO (Funds From Operations) for Q3 2024 was $635,817 thousand, compared to $419,124 thousand in Q3 2023, showing a significant increase[155] - Net income attributable to common stockholders for Q3 2024 was $449,849 thousand, up from $127,470 thousand in Q3 2023[155] - Consolidated NOI (Net Operating Income) for Q3 2024 was $842,962 thousand, up from $666,740 thousand in Q3 2023[158] - EBITDA for the nine months ended September 30, 2024, reached $2.423 billion, up from $1.754 billion in the same period in 2023[167] - Adjusted EBITDA for September 30, 2024, was $2,981.885 million, showing an increase from $2,816.379 million in June 2024 and $2,669.153 million in March 2024[168] - Net income for September 30, 2024, was $937.544 million, compared to $615.466 million in June 2024 and $461.138 million in March 2024[168] Portfolio and Property Operations - Welltower's consolidated portfolio for Q3 2024 shows NOI of $808.7 million, with Seniors Housing Operating contributing $394.5 million (48.8%), Triple-net $271.2 million (33.5%), and Outpatient Medical $143.1 million (17.7%)[104] - The company's Seniors Housing Operating segment consists of 1,008 properties, Triple-net has 606 properties, and Outpatient Medical includes 371 properties as of September 30, 2024[104] - Welltower acquired 100 properties during the nine months ended September 30, 2024, with a total investment of $2.85 billion and an average capitalization rate of 5.8%[108] - The company disposed of 31 properties during the same period, generating $580.1 million in proceeds with an average capitalization rate of 4.5%[109] - Seniors Housing Operating accounted for 49% of NOI in September 2024, up from 45% in September 2023[116] - Triple-net properties contributed 34% of NOI in September 2024, down from 35% in September 2023[116] - California remained the top geographic contributor with 11% of NOI in September 2024, consistent with September 2023[116] - Base rent for Triple-net properties in 2033 is projected at $59.5 million, representing 8.8% of total base rent[117] - Outpatient Medical base rent in September 2024 was $29.0 million, accounting for 5.0% of total base rent[117] - Total properties included in the SSNOI (Same Store Net Operating Income) pool were 2,137, with 1,490 being same-store properties[161] - Recent acquisitions and development conversions totaled 218 properties, which will enter the QTD Pool after five full quarters[161] - Redevelopment properties totaled 6, which will enter the QTD Pool after five full quarters of operations post redevelopment completion[161] - Consolidated NOI for Seniors Housing Operating increased to $394.463 million in Q3 2024, up from $284.909 million in Q3 2023[164] - SSNOI at Welltower Share for Seniors Housing Operating rose to $277.912 million in Q3 2024, compared to $229.596 million in Q3 2023[164] - Consolidated NOI for Triple-net properties reached $271.170 million in Q3 2024, up from $226.278 million in Q3 2023[164] - SSNOI at Welltower Share for Triple-net properties increased to $134.513 million in Q3 2024, from $128.789 million in Q3 2023[164] - Consolidated NOI for Outpatient Medical grew to $143.069 million in Q3 2024, compared to $129.754 million in Q3 2023[164] - SSNOI at Welltower Share for Outpatient Medical rose to $127.484 million in Q3 2024, up from $123.813 million in Q3 2023[164] - Total SSNOI at Welltower Share increased to $539.909 million in Q3 2024, compared to $482.198 million in Q3 2023[164] Capital and Financing Activities - The company generated $5.29 billion in gross proceeds from selling 53.55 million shares of common stock under its ATM Programs during the nine months ended September 30, 2024[106] - Welltower closed on an expanded $5 billion unsecured revolving credit facility in July 2024, replacing its previous $4 billion line of credit[106] - As of September 30, 2024, Welltower had $3.56 billion in cash and cash equivalents, $219.47 million in restricted cash, and $5 billion in available borrowing capacity[105] - Welltower OP issued $1.04 billion in 3.125% exchangeable senior unsecured notes in July 2024, maturing in 2029[106] - The company issued $1,035,000,000 of 3.125% exchangeable senior unsecured notes in July 2024, maturing July 15, 2029[123] - The company expanded its unsecured revolving credit facility to $5,000,000,000, replacing the previous $4,000,000,000 facility[123] - Total contractual obligations as of September 30, 2024, amounted to $23,154,611 thousand, with $6,043,344 thousand due between 2027-2028[126] - The company has $696,822,000 of remaining capacity under its ATM Program for issuing common stock as of October 25, 2024[127] - The company filed a prospectus supplement for the registration of up to 23,471,419 shares of common stock related to exchangeable senior notes[127] - The ending balance of debt as of September 30, 2024, was $1.938687 billion, with a weighted average interest rate of 4.44%[139] - Debt issued during the nine months ended September 30, 2024, was $3.708 million, compared to $381.369 million in the same period in 2023[139] - Debt extinguished during the nine months ended September 30, 2024, was $196.939 million, compared to $288.063 million in the same period in 2023[139] - Principal payments during the nine months ended September 30, 2024, were $29.580 million, compared to $36.292 million in the same period in 2023[139] - The ending weighted average interest rate for debt decreased to 4.01% as of September 30, 2024, from 4.39% in the same period in 2023[143] - The company extinguished $112 million of medical secured debt during the three months ended September 30, 2024, compared to $40.14 million in the same period in 2023[149] - Total net debt increased to $12,070,529 as of September 30, 2024, compared to $11,163,530 in June 2024 and $11,807,351 in March 2024[171] - Net debt to book capitalization ratio improved to 28% in September 2024 from 34% in December 2023[171] - Common equity market capitalization rose to $79,173,240 in September 2024, up from $63,399,742 in June 2024[171] - Net debt to consolidated enterprise value ratio decreased to 13% in September 2024 from 21% in December 2023[171] - Variable rate debt outstanding was $947,699,000 as of September 30, 2024, with a 1% interest rate increase resulting in $9,477,000 additional annual interest expense[177] - Total equity and noncontrolling interests grew to $31,064,003 in September 2024 from $26,371,727 in December 2023[171] - Undepreciated book capitalization reached $53,411,041 in September 2024, up from $49,385,684 in December 2023[171] - Net debt to undepreciated book capitalization ratio improved to 23% in September 2024 from 28% in December 2023[171] - Consolidated enterprise value increased to $91,973,491 in September 2024 from $65,584,105 in December 2023[171] Revenue and Expenses - For the nine months ended September 30, 2024, resident fees and services accounted for 74% of total revenues, while rental income represented 21%[105] - Resident fees and services revenue for the nine months ended September 30, 2024 increased by 22% to $4.27 billion compared to $3.49 billion in the same period in 2023[133] - Interest income for the nine months ended September 30, 2024 increased by 447% to $37.4 million compared to $6.8 million in the same period in 2023[133] - Property operating expenses for the nine months ended September 30, 2024 increased by 19% to $3.19 billion compared to $2.69 billion in the same period in 2023[133] - Depreciation and amortization expenses for the nine months ended September 30, 2024 increased by 17% to $770 million compared to $656 million in the same period in 2023[133] - Revenue for the three months ended September 30, 2024, was $277.912 million, a $48.316 million increase compared to $229.596 million in the same period in 2023, representing a 19.1% growth[136] - Revenue for the nine months ended September 30, 2024, was $720.750 million, a $115.822 million increase compared to $604.928 million in the same period in 2023, representing a 19.1% growth[136] - Impairment charges for the nine months ended September 30, 2024, were $65.996 million related to fourteen properties, compared to $15.029 million related to six properties in the same period in 2023[137] - The company transitioned operations for 89 Atria Senior Living properties to six existing operating partners, recognizing $26 million in other expenses during the second quarter of 2024[137] - Construction conversions completed during the nine months ended September 30, 2024, represented $462.246 million or $379,824 per unit[137] - As of September 30, 2024, the company had 29 properties under construction with a total in-progress balance of $989.792 million, including 6 properties expected to convert in 2024 with $366.086 million remaining funding[138] - Rental income for the three months ended September 30, 2024 increased by $32.6 million (17%) to $227.5 million, driven by acquisitions and annual rent increases, partially offset by property transitions[140] - Rental income for the nine months ended September 30, 2024 decreased by $5.8 million (1%) to $590.4 million, primarily due to a $97.7 million write-off related to lease conversions, partially offset by acquisitions and rent increases[140] - Interest income for the three months ended September 30, 2024 increased by $11.9 million (30%) to $51.9 million, driven by increased loan advances in late 2023[140] - SSNOI (Same Store Net Operating Income) for the three months ended September 30, 2024 increased by $5.7 million (4.4%) to $134.5 million, based on 458 same-store properties[142] - SSNOI for the nine months ended September 30, 2024 increased by $18.2 million (4.9%) to $390.2 million, based on 450 same-store properties[142] - The company recorded a $179.8 million gain on the acquisition of a 25% minority interest in a joint venture owning 39 triple-net lease properties[142] - The company recognized $92.6 million in gains from the sale of 15 properties previously under operating leases, now classified as sales-type leases[142] - Depreciation and amortization expenses for the nine months ended September 30, 2024 increased by $13.9 million (8%) to $181.9 million, driven by property acquisitions and dispositions[142] - The company recorded a $3.2 million impairment charge for two properties in the nine months ended September 30, 2024, compared to $6.1 million for two properties in the same period of 2023[142] - Net income attributable to common stockholders for the three months ended September 30, 2024 increased by $327.0 million (217%) to $477.9 million[140] - Rental income increased by $13.36 million (7%) for the three months ended September 30, 2024, compared to the same period in 2023, driven by acquisitions and construction conversions[145] - Interest income surged by $754 thousand (769%) for the three months ended September 30, 2024, compared to the same period in 2023[145] - Total revenues grew by $13.89 million (7%) for the three months ended September 30, 2024, compared to the same period in 2023[145] - Net Operating Income (NOI) increased by $13.32 million (10%) for the three months ended September 30, 2024, compared to the same period in 2023[145] - The company completed construction conversions representing $162.7 million or $641 per square foot during the nine months ended September 30, 2024[148] - The weighted-average term of new leases and renewals for the nine months ended September 30, 2024, was 8 years, with a rate of $42.01 per square foot[145] - Same Store Net Operating Income (SSNOI) increased by $3.67 million (3.0%) for the three months ended September 30, 2024, compared to the same period in 2023[146] - The construction in progress balance for Outpatient Medical projects as of September 30, 2024, was $307.52 million[148] - Total revenues increased by 31% to $38.95 million for the three months ended September 30, 2024, compared to $29.83 million in the same period in 2023[151] - Consolidated net operating income (loss) rose by 33% to $34.26 million for the three months ended September 30, 2024, from $25.80 million in the same period in 2023[151] - General and administrative expenses increased by 69% to $77.90 million for the three months ended September 30, 2024, compared to $46.11 million in the same period in 2023[151] - Interest expense decreased by 6% to $130.79 million for the three months ended September 30, 2024, from $139.49 million in the same period in 2023[151] - Net income (loss) attributable to common stockholders improved by 2% to $(511.47) million for the nine months ended September 30, 2024, compared to $(519.86) million in the same period in 2023[151] - Senior unsecured notes interest expense decreased by 8% to $122.06 million for the three months ended September 30, 2024, from $133.17 million in the same period in 2023[152] - Unsecured credit facility and commercial paper program interest expense increased by 3% to $1.60 million for the three months ended September 30, 2024, compared to $1.55 million in the same period in 2023[152] - Loan expense increased by 50% to $7.14 million for the three months ended September 30, 2024, from $4.76 million in the same period in 2023[152] - General and administrative expenses as a percentage of consolidated revenues were 3.25% for the nine months ended September 30, 2024, compared to 2.76% in the same period in 2023[151] - The company recognized $29.84 million as a cumulative catch-up of stock compensation expense during the three months ended September 30, 2024[151] - Depreciation and amortization expenses for Q3 2024 were $403,779 thousand, compared to $339,314 thousand in Q3 2023[155] - Interest expense for September 30, 2024, was $574.366 million, slightly lower than $591.848 million in June 2024 and $610.761 million in March 2024[168] - Depreciation and amortization for September 30, 2024, was $1,532.417 million, up from $1,467.952 million in June 2024 and $1,427.852 million in March 2024[168] - Impairment of assets for September 30, 2024

Welltower (WELL) came out with quarterly funds from operations (FFO) of $1.11 per share, beating the Zacks Consensus Estimate of $1.04 per share. This compares to FFO of $0.92 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an FFO surprise of 6.73%. A quarter ago, it was expected that this senior housing and health care real estate investment trust would post FFO of $1 per share when it actually produced FFO of $1.05, delivering a surprise of 5%. Ov ...

Financial Performance - Total NOI for 3Q24 increased to $541,128, representing a 12.6% change from the same period in 3Q23[10] - Seniors Housing Operating properties generated a NOI of $278,849, a 23.0% increase year-over-year[10] - Outpatient Medical properties reported a NOI of $127,766, reflecting a 2.2% growth compared to 3Q23[10] - Total revenues for the seniors housing operating segment reached $1,572,923 in Q3 2024, with operating expenses of $1,167,375[16] - Total revenues for 3Q24 reached $209,602,000, reflecting an increase from $202,352,000 in 2Q24[22] - NOI for 3Q24 was $144,807,000, with an NOI margin of 69.1%[22] - Same store revenues for Q3 2023 were $966,636, with a year-over-year revenue growth rate of 8.9%[15] - Total revenues for Q3 2023 reached $1,684,899,000, an increase from $1,221,753,000 in Q3 2022, representing a growth of approximately 38%[46] - Net operating income for Q3 2023 was $673,390,000, compared to $288,290,000 in Q3 2022, reflecting a significant increase of about 134%[46] - The company reported a total property operating expense of $1,011,509,000 for Q3 2023, which is an increase from $933,463,000 in Q3 2022, marking an increase of about 8%[46] Occupancy and Property Metrics - The occupancy rate for Seniors Housing Operating reached 84.3%, while Outpatient Medical achieved 94.4%[11] - Total occupancy across the seniors housing operating portfolio improved to 83.8% by Q3 2024, up from 80.7% in Q3 2023[16] - The company operates 620 properties with a total of 64,761 units, reflecting stable unit counts across the quarters[15] - The average age of properties in the portfolio is 20 years, indicating a mature asset base[9] - The total portfolio consists of 426 properties with a total square footage of 21,320,290[22] - Average occupied units per month reached 91,281, with 70,424 in the United States, 4,147 in the United Kingdom, and 16,710 in Canada[73] Revenue Sources and Mix - The revenue mix for Medicare in Long-Term/Post-Acute Care was 28.1%, highlighting reliance on government programs[11] - The remaining properties accounted for 54.5% of total NOI, highlighting a diversified revenue stream[13] - The company has a diversified rental income portfolio, with Kelsey-Seybold contributing $52,616,000, accounting for 8.9% of total rental income[23] - Health system affiliated properties account for 89.7% of NOI[24] - Investment grade tenants represent 57.4% of rental income[24] Future Outlook and Development - Future outlook includes continued focus on market expansion and potential acquisitions to enhance portfolio diversity[8] - The company has 40 development projects with a total investment of $672,760,000[31] - Future funding projections for seniors housing amount to $365,510,000, with unfunded commitments of $519,223,000[38] - The company anticipates future funding of $693,262,000 for total development projects[38] - The company is focused on market expansion and new product development, although specific details were not disclosed in the call[58] Debt and Financial Health - The total debt of the company amounts to $16,944,442[43] - The company has a net obligation of $13,880,565[43] - Total consolidated secured debt amounts to $2,581,878,000, with a weighted average interest rate of 4.34%[59] - The weighted average maturity of the debt is 5.5 years, with 12.93% of the total debt maturing thereafter[59] - The leverage ratio indicates a focus on managing long-term debt relative to total capitalization, essential for financial health[67] Adjusted Metrics and Ratios - Adjusted EBITDA for the twelve months ended September 30, 2024, was $3,042,145,000, with a net debt to EBITDA ratio of 3.73x[50] - Interest expense for the twelve months ended September 30, 2024, was $574,366,000, with a corresponding interest coverage ratio of 5.07x[50] - EBITDAR coverage for Long-Term/Post-Acute Care was reported at 1.74, indicating strong financial health[11] - The company expects to maintain capitalization ratios consistent with its current profile, indicating a stable financial outlook[67] Challenges and Adjustments - Significant adjustments in NOI include impairment of assets totaling $43,331,000 for Q1 2024[67] - The company reported a loss on real estate dispositions of $272,266,000 for Q3 2024, highlighting challenges in asset management[67] - Non-cash NOI on same store properties for Q3 2023 was $(26,713,000), indicating adjustments made for financial reporting[71] - NOI attributable to non-same store properties was $(165,506,000) for Q3 2023, reflecting challenges in that segment[71] Strategic Focus - Welltower's focus on expanding its presence in high-growth markets in the U.S., Canada, and the U.K. continues to drive its investment strategy[78] - The company emphasizes the importance of innovative care delivery models to enhance wellness and healthcare experiences[78] - Welltower remains committed to maintaining its REIT qualification amidst various market challenges and regulatory changes[75]

Core Insights - Welltower Inc. reported a net income attributable to common stockholders of $0.73 per diluted share for the quarter ended September 30, 2024, with a normalized funds from operations (FFO) of $1.11 per diluted share, reflecting a 20.7% increase year-over-year [2][4] - The total portfolio's same store net operating income (SSNOI) grew by 12.6% year-over-year, primarily driven by a 23.0% growth in the Seniors Housing Operating (SHO) portfolio [2][4] - The company completed $2.4 billion in pro rata gross investments during the third quarter, including $2.2 billion in acquisitions and loan funding [2][4] Financial Performance - The company achieved a year-over-year same store revenue increase of 8.9% in the SHO portfolio, supported by a 310 basis points increase in average occupancy and a 4.9% growth in Revenue Per Occupied Room (RevPOR) [2][4] - The SSNOI margin for the SHO portfolio expanded by 300 basis points in the third quarter, driven by strong RevPOR growth outpacing Expense per Occupied Room (ExpPOR) growth [2][4] - The net debt to Adjusted EBITDA ratio improved to 3.73x as of September 30, 2024, down from 5.14x a year earlier [2][3] Capital Activity and Liquidity - Welltower sourced over $3.6 billion of attractively priced capital during the third quarter, enhancing its liquidity profile [3] - The company closed on an expanded $5.0 billion senior unsecured revolving credit facility, replacing a $4.0 billion line of credit [3] - As of September 30, 2024, Welltower had approximately $8.8 billion in available liquidity, including $3.8 billion in cash and restricted cash [2][3] Portfolio Activity - The company opened nine development projects with a total pro rata investment of $294 million during the third quarter [4] - Welltower entered into a definitive agreement to acquire a portfolio of 25 age-restricted active adult communities for $969 million [4] - Agreements were reached to convert 52 triple-net leased properties to Seniors Housing Operating structures, with 41 conversions completed in the third quarter [4] Environmental, Social and Governance (ESG) - Welltower received the GRESB Green Star recognition for the fourth consecutive year, indicating above-average performance in energy efficiency, social commitments, and governance practices [5] Dividend and Outlook - The Board of Directors approved a 10% increase in the quarterly dividend per share, reflecting strong financial performance and confidence in growth prospects [2][5] - The guidance for net income attributable to common stockholders was revised to a range of $1.75 to $1.81 per diluted share, and the normalized FFO guidance was increased to a range of $4.27 to $4.33 per diluted share [5][15]

Wall Street analysts forecast that Welltower (WELL) will report quarterly earnings of $1.04 per share in its upcoming release, pointing to a year-over-year increase of 13%. It is anticipated that revenues will amount to $1.95 billion, exhibiting an increase of 17.3% compared to the year-ago quarter.The consensus EPS estimate for the quarter has remained unchanged over the last 30 days. This represents how the covering analysts, as a whole, have reassessed their initial estimates during this timeframe.Prior ...

Welltower Inc. (WELL) owns a diversified portfolio of healthcare real estate assets in the key markets of the United States, Canada and the U.K. The favorable senior housing industry, capital-recycling efforts and a healthy balance sheet are likely to continue aiding the company to ride the growth curve. This Toledo, OH-based healthcare real estate investment trust (REIT) has gained 36.8% in the past six months compared with the industry's 13.8% growth. Analysts seem bullish on this Zacks Rank #2 (Buy) comp ...

TOLEDO, Ohio, Oct. 7, 2024 /PRNewswire/ -- Welltower® Inc. (NYSE: WELL) today announced it will release third quarter 2024 financial results after the close of trading on the New York Stock Exchange on Monday, October 28, 2024. The Company will host a conference call and webcast on Tuesday, October 29, 2024, at 9:00 a.m. ET to discuss these results. The Company's earnings release will be available in the Investors section of the Company's website. Investors and other interested parties may access the confer ...

Welltower Inc. (WELL) recently provided an update on the Seniors Housing Triple-Net (SH NNN) portfolio. It also plans to sell the Brookdale Portfolio for $175 million. The company is reducing SH NNN exposure to secure attractive returns for shareholders and bolster long-term growth prospects. In the recent update, Welltower noted that it has completed the conversion of five communities that were previously under a triple-net lease with Sagora to a Seniors Housing Operating (RIDEA) structure. Per the second- ...

Shares of Welltower (WELL) have rallied 39.1% year to date, outperforming the industry's growth of 9.9%. Welltower owns a well-diversified portfolio of healthcare real estate assets in the key markets of the United States, Canada and the U.K. Given an aging population and an expected rise in senior citizens' healthcare expenditure, Welltower's senior housing operating (SHO) portfolio and outpatient medical (OM) segment are well-poised to benefit from this positive trend. Analysts seem positive on this healt ...

Welltower Inc.'s (WELL) senior housing operating (SHO) portfolio is well-poised to benefit from an aging population and a rise in healthcare expenditure by senior citizens. Moreover, portfolio restructuring initiatives and capital-recycling efforts augur well. However, competition in the senior housing market and high interest rates pose key concerns. The REIT, carrying a Zacks Rank #3 (Hold) at present, reported second-quarter 2024 normalized funds from operations (FFO) per share of $1.05, which surpassed ...