Welltower Reports Fourth Quarter 2025 Results

Core Insights - Welltower Inc. reported strong financial results for Q4 2025, with significant growth in revenue and investments, reflecting a robust operational performance in the seniors housing sector [1][2][3] Financial Performance - Reported normalized funds from operations (FFO) attributable to common stockholders of $1.45 per diluted share, an increase of 28.3% year-over-year [1] - Total portfolio year-over-year same store net operating income (SSNOI) growth of 15.0%, driven by a 20.4% increase in the Seniors Housing Operating (SHO) portfolio [1] - Quarterly net income attributable to common stockholders was $0.14 per diluted share [1] Investment Activity - Completed $13.9 billion of pro rata gross investments in Q4 2025, including $1.2 billion in loan funding and $112 million in development funding [2] - Closed the inaugural private fund vehicle, Seniors Housing Fund I, securing approximately $2.5 billion in total equity commitments [1][2] - Acquired a real estate portfolio in the U.K. for approximately £5.2 billion, enhancing growth potential with a blended portfolio occupancy in the high 70%s [2] Disposition Activity - Completed $7.5 billion of pro rata dispositions and loan payoffs in Q4 2025, exceeding prior expectations [1][2] - Total disposition activity for 2025 is expected to reach $11.8 billion, compared to $9.8 billion as of September 30, 2025 [2] Liquidity and Capital Structure - As of December 31, 2025, reported net debt to adjusted EBITDA of 3.03x and approximately $10.2 billion of available liquidity [1] - S&P and Moody's upgraded Welltower's credit ratings to "A-" and "A3" respectively, reflecting improved financial metrics and strong operating performance [1][2] Dividend and Shareholder Returns - The Board of Directors approved a 10.4% increase in the quarterly dividend per share, supported by solid financial performance and a low payout ratio [1] - Declared a cash dividend of $0.74 per share for the quarter ended December 31, 2025, marking the 219th consecutive quarterly cash dividend [2] Outlook for 2026 - Introduced earnings guidance for 2026, expecting net income attributable to common stockholders in the range of $3.11 to $3.27 per diluted share and normalized FFO in the range of $6.09 to $6.25 per diluted share [3]