Universal Health Realty me Trust(UHT) - 2025 Q3 - Quarterly Results

Financial Performance - For the three-month period ended September 30, 2025, net income was $4.0 million, or $0.29 per diluted share, unchanged from the same period in 2024[1][2] - For the nine-month period ended September 30, 2025, net income decreased to $13.3 million, or $0.96 per diluted share, from $14.6 million, or $1.05 per diluted share in the same period of 2024[4] - The decrease in net income for the first nine months of 2025 included a $730,000 reduction in income from various properties and a $900,000 nonrecurring depreciation expense[5][6] - Net income for the nine months ended September 30, 2025, was $13,285,000, a decrease of 8.8% from $14,573,000 in 2024[25] - Funds From Operations (FFO) for the nine months ended September 30, 2025, was $35,949,000, slightly down from $36,115,000 in 2024, resulting in a per diluted share of $2.59 compared to $2.61[25] Dividends - The third quarter dividend declared was $0.74 per share, totaling $10.3 million, paid on September 30, 2025[7] - The company paid a dividend of $2.215 per share for the nine months ended September 30, 2025, compared to $2.185 per share in 2024, reflecting an increase of 1.4%[25] Assets and Liabilities - Total assets decreased to $568,037,000 as of September 30, 2025, from $580,862,000 at the end of 2024, reflecting a decline of approximately 2.2%[27] - Net real estate investments decreased to $411,575,000 as of September 30, 2025, from $425,934,000 at the end of 2024, a decline of about 3.4%[27] - Total liabilities increased to $409,463,000 as of September 30, 2025, compared to $401,321,000 at the end of 2024, marking an increase of approximately 2.8%[27] Cash and Investments - Cash and cash equivalents slightly decreased to $6,916,000 as of September 30, 2025, from $7,097,000 at the end of 2024[27] - Investments in limited liability companies (LLCs) rose to $20,817,000 as of September 30, 2025, up from $13,948,000 in 2024, indicating a significant increase of approximately 49.5%[27] Borrowing and Credit - As of September 30, 2025, the company had $67.9 million of available borrowing capacity under its $425 million credit agreement[8] - The increase in interest expense was primarily due to higher average borrowings under the credit agreement[5] - The line of credit borrowings increased to $357,050,000 as of September 30, 2025, from $348,900,000 at the end of 2024, reflecting an increase of approximately 2.9%[27] Future Developments - In October 2025, the company entered into a ground lease to develop Palm Beach Gardens Medical Plaza I, an 80,000 square foot medical office building, with an estimated cost of $34 million[9][10] - The construction of the medical office building is expected to commence in November 2025[10] - The company has investments or commitments in 77 properties located in 21 states[11]