National Health Investors(US:NHI)2025-11-06 21:22Financial Performance - NHI reported a net income attributable to common stockholders of $0.69 per diluted share for Q3 2025, up from $0.65 in Q3 2024, and $2.22 per diluted share for the nine months ended September 30, 2025, compared to $2.17 in the prior year[6]. - Net income attributable to common stockholders for Q3 2025 was $32,812,000, up 15.9% from $28,511,000 in Q3 2024[23]. - NAREIT FFO attributable to common stockholders for Q3 2025 was $51,961,000, representing a 14.0% increase from $45,491,000 in Q3 2024[23]. - Normalized FFO attributable to common stockholders for Q3 2025 was $62,727,000, a 37.9% increase compared to $45,491,000 in Q3 2024[23]. - NOI for Q3 2025 was $70,984,000, a 2.3% increase from $69,414,000 in Q3 2024[24]. - Total revenues for the three months ended September 30, 2025, increased to $89.847 million, up from $82.944 million in the same period of 2024, representing a growth of 8.8%[35]. - Total NOI for the nine months ended September 30, 2025, was $223,892,000, a 6.8% increase from $209,611,000 in the same period of 2024[24]. Operational Highlights - The company achieved a consolidated SHOP NOI year-over-year growth of approximately 63% following the transition of seven properties to its SHOP portfolio[3]. - NHI announced a $74.3 million SHOP acquisition, which is expected to more than double its SHOP NOI, with significant organic growth anticipated in 2026[4]. - Rental income decreased by $1.1 million, or 1.8%, primarily due to the transfer of seven properties to the SHOP segment, resulting in a $6.9 million reduction in rental income[8]. - Resident fees and services increased by $1.9 million, or 62.6%, due to operations from the seven properties transitioned into the SHOP segment[8]. - Same Store NOI for the SHOP segment in Q3 2025 was $2,962,000, slightly down from $3,027,000 in Q3 2024[24]. Guidance and Projections - NHI updated its 2025 full-year guidance, projecting NAREIT FFO per diluted share in the range of $4.62 to $4.65, and Normalized FFO per diluted share in the range of $4.88 to $4.91[18]. - The company anticipates continued performance improvements and growth opportunities, while acknowledging various risks including economic conditions and regulatory changes[38]. Debt and Investment - As of September 30, 2025, NHI had $1.1 billion in net debt and a net debt to adjusted EBITDA ratio of 3.6x, below the target range of 4.0x to 5.0x[11][14]. - The company has approximately $195.3 million in investment opportunities under signed Letters of Intent with an average initial yield of approximately 8.4%[17]. - The company’s debt, net, decreased to $1.109 billion as of September 30, 2025, down from $1.146 billion at the end of 2024, a reduction of 3.2%[37]. Shareholder Information - Weighted average common shares outstanding increased to 47,433,336 in Q3 2025 from 43,476,067 in Q3 2024[23]. - The weighted average diluted shares outstanding increased to 47,623,623 for the three months ended September 30, 2025, compared to 43,987,072 in the same period of 2024[35]. Cash and Assets - Cash and cash equivalents increased significantly to $81.625 million as of September 30, 2025, compared to $24.289 million at the end of 2024[37]. - Real estate properties, net, rose to $2.302 billion as of September 30, 2025, up from $2.211 billion at the end of 2024, indicating a growth of 4.1%[37]. Expenses - The company reported a total expense of $57.555 million for the three months ended September 30, 2025, an increase from $54.804 million in the same period of 2024, which is an increase of 4.3%[35].