Real Estate Portfolio - As of March 31, 2025, the company owned and/or operated 312 buildings with a total gross leasable area of approximately 19,031,000 square feet, representing an aggregate contract purchase price of $4,523,782,000[165]. - The integrated senior health campuses segment had a contract purchase price of $2,025,365,000 with an occupancy rate of 88.4% as of March 31, 2025[177]. - The outpatient medical (OM) segment reported a contract purchase price of $1,205,145,000 with an occupancy rate of 87.4%[177]. - As of March 31, 2025, the company’s SHOP and integrated senior health campuses were 87.6% leased, with most leases being for a term of one year or less[174]. - As of March 31, 2025, properties were 89.9% leased, with 10.0% of the leased gross leasable area (GLA) scheduled to expire during the remainder of 2025[173]. Financial Performance - Total revenues for the three months ended March 31, 2025, were $540,603,000, an increase of 8.2% compared to $499,533,000 for the same period in 2024[178]. - Resident fees and services revenue increased by $45,058,000, reaching $497,176,000 for the three months ended March 31, 2025, compared to $452,118,000 in 2024[178]. - Integrated senior health campuses segment saw a revenue increase of $30,242,000, primarily due to higher resident occupancy and increased billing rates[179]. - SHOP segment's revenue rose by $14,816,000, driven by acquisitions of senior housing properties in Washington, Oregon, and Georgia[180]. - For the three months ended March 31, 2025, the net operating income (NOI) was $94,537,000, an increase from $82,177,000 in the same period of 2024, reflecting a growth of 15.5%[222]. Operating Expenses - Total property operating expenses increased to $432,423,000, representing 87.0% of resident fees and services revenue, down from 89.3% in 2024[185]. - The total property operating expenses for integrated senior health campuses increased to $370,647,000, representing 87.5% of resident fees and services revenue for the three months ended March 31, 2025[185]. - The company’s operating expenses are expected to increase in the future due to rising occupancies and pricing of care services provided[175]. Cash Flow and Distributions - Cash flows from operating activities increased due to improved resident occupancy and expense management, resulting in a shift from net cash used to net cash provided by operating activities for the three months ended March 31, 2025, compared to the same period in 2024[199]. - Distributions paid in cash for the three months ended March 31, 2025, totaled $39,548,000, a significant increase from $16,596,000 in the same period of 2024[204]. - Quarterly distributions were authorized at $0.25 per share, equating to an annualized distribution rate of $1.00 per share, dependent on various financial factors[203]. Debt and Interest - As of March 31, 2025, the company had $1,023,241,000 in fixed-rate mortgage loans payable and $643,000,000 outstanding under its line of credit[210]. - The weighted average effective interest rate on outstanding debt was 4.39% per annum as of March 31, 2025[210]. - Interest expense decreased to $23,695,000 for the three months ended March 31, 2025, down from $30,021,000 in 2024, primarily due to reduced debt balances[188]. Impairments and Charges - The company recognized an impairment charge of $21,706,000 for one OM building for the three months ended March 31, 2025[190]. - The company reported depreciation and amortization related to consolidated properties of $41,015,000 for Q1 2025, slightly down from $42,729,000 in Q1 2024[218]. - Impairment of real estate investment for consolidated properties was $21,706,000 in Q1 2025, with no impairment reported in Q1 2024[218]. Future Expectations - The company expects revenues and expenses related to RIDEA properties to increase in the future due to overall increases in occupancies and resident fees[175]. - The company estimates capital and tenant improvement expenditures of approximately $61,066,000 for the remaining nine months of 2025[192]. - Total contractual obligations as of March 31, 2025, amount to $2,484,774,000, including $1,023,241,000 in fixed-rate mortgage loans payable[193].
American Healthcare REIT(AHR) - 2025 Q1 - Quarterly Report