Healthpeak Q2 FFO Meets Estimates, Same-Store NOI Rises Y/Y

Core Insights - Healthpeak Properties, Inc. reported second-quarter 2025 funds from operations (FFO) as adjusted per share of 46 cents, meeting the Zacks Consensus Estimate and up from 45 cents in the prior-year quarter [1][7] - The company generated revenues of $694.3 million, slightly missing the Zacks Consensus Estimate of $694.6 million and showing a slight year-over-year decline [2] - Total merger-combined same-store cash (adjusted) net operating income (NOI) grew by 3.5% year-over-year, with notable growth in outpatient medical (3.9%), lab segments (1.5%), and CCRC segment (8.6%) [3][7] Financial Performance - Healthpeak executed new and renewal leases totaling 503,000 square feet in the lab portfolio with an 87% retention rate and positive 6% cash-releasing spreads on renewals, while the outpatient medical portfolio had 1 million square feet of new and renewal leases with an 85% retention rate [4][7] - Interest expenses increased slightly year-over-year to $75.1 million [4] - The company exited the second quarter with cash and cash equivalents of $89.4 million, up from $70.6 million as of March 31, 2025, and had a net debt to adjusted EBITDAre ratio of 5.2X as of June 30, 2025 [5] Future Outlook - Healthpeak reaffirmed its guidance for 2025, expecting FFO as adjusted per share to be between $1.81 and $1.87, with the Zacks Consensus Estimate currently at $1.85 per share [6] - The company anticipates total merger-combined same-store cash (adjusted) NOI growth in the range of 3-4% [6] - Healthpeak currently holds a Zacks Rank 4 (Sell) [6] Industry Context - Upcoming earnings releases for other healthcare REITs, such as Welltower, Inc. and Ventas, Inc., are scheduled for July 28 and July 30, respectively, with Welltower's FFO per share estimated at $1.22 (16.2% year-over-year increase) and Ventas' at 85 cents (6.3% rise year-over-year) [8][9]