Community Healthcare Trust(CHCT) - 2024 Q2 - Quarterly Results

Financial Performance - Revenues for Q2 2024 were $27,516,000, a decrease of 6.2% from Q1 2024's $29,333,000[10] - Net loss for Q2 2024 was $(10,427,000), compared to a net income of $3,665,000 in Q1 2024[10] - Net Operating Income (NOI) for Q2 2024 was $21,944,000, down 6.8% from $23,542,000 in Q1 2024[10] - Adjusted EBITDA for Q2 2024 was $19,960,000, a decrease of 6.8% from $21,413,000 in Q1 2024[10] - Funds From Operations (FFO) for Q2 2024 were $11,608,000, down 17.3% from $14,043,000 in Q1 2024[10] - Adjusted Funds From Operations (AFFO) for Q2 2024 were $14,281,000, a decrease of 9.1% from $15,712,000 in Q1 2024[10] - Rental income for Q2 2024 was reported at $27.905 million, compared to $28.342 million in Q1 2024, reflecting a decrease of 1.5%[128] - The net loss for Q2 2024 was $10.427 million, resulting in a net loss per diluted common share of $0.42[128] Assets and Liabilities - Total assets were $983,196,000 in Q2 2024, slightly up from $982,701,000 in Q1 2024[12] - Net debt rose to $457,625,000 in Q2 2024, compared to $442,320,000 in Q1 2024[12] - The market valuation decreased to $656,059,000 in Q2 2024 from $735,467,000 in Q1 2024[12] - The company has a total debt of $459 million, with a net debt of $457.625 million after accounting for deferred financing costs[28] - The leverage ratio stood at 39.9%, well below the required maximum of 60.0%[123] - The debt to total capitalization ratio stands at 38.9%, reflecting a moderate leverage position[112] Property and Portfolio - Total real estate properties increased to $1,120,450,000 in Q2 2024 from $1,090,690,000 in Q1 2024[12] - The total portfolio was approximately 92.6% leased as of June 30, 2024, with lease expirations ranging from 2024 through 2044[44] - The company owns a total of 198 properties, with a total square footage of 4,457,227[112] - The portfolio is 92.6% leased, indicating strong occupancy rates[112] - The weighted average remaining lease term is 7.1 years, providing stability in cash flows[112] Tenant and Revenue Sources - Approximately 51% of property revenues are generated from MSAs with populations over 1,000,000, and about 92% are in areas with populations over 100,000[32] - The annualized rent distribution by property type shows Medical Office Buildings (MOB) at 39.1%, Inpatient Rehabilitation Facilities (IRF) at 19.2%, and Acute Inpatient Behavioral (AIB) at 12.9%[29] - The company has a diverse tenant base, with LifePoint Health contributing 10.7% to annualized rent[29] Acquisitions and Growth - The company acquired five properties in 2024, totaling a purchase price of $57.7 million and covering 203,022 square feet[41] - The company is focusing on acquisitions to enhance its Adjusted Funds from Operations (AFFO), which reflects the impact of newly acquired properties[64] - The company is expanding its presence in the Philadelphia-Camden-Wilmington, PA-NJ-DE-MD area with facilities like Hopebridge - Westlake and Continuum Wellness Center[66] Dividends and Shareholder Information - The quarterly dividend paid during the period was $0.4600 per share, with a dividend yield of 7.87%[112] - Dividends declared per common share for the period were $0.4600, slightly up from $0.4575 in Q1 2024[128] - The company has 28,048,712 common shares outstanding, indicating a significant shareholder base[112] Operational Metrics - The weighted average interest rate per annum on the revolving line of credit is 7.1%[112] - The weighted average interest rate per annum on term loans is 4.4%, suggesting favorable borrowing conditions[112] - The fixed charge coverage ratio was reported at 3.8, exceeding the minimum requirement of 1.50x[123] - The company utilizes NAREIT definitions for FFO and AFFO, which are critical for evaluating operating performance and liquidity[81]