Sabra Health Care REIT (SBRA) Q1 2025 Earnings Call May 06, 2025 01:00 PM ET Company Participants Lukas Hartwich - Executive Vice President FinanceRick Matros - Director, President, Chairman & CEOTalya Nevo-Hacohen - Executive VP, Chief Investment Officer & TreasurerMichael Costa - Executive VP, CFO & SecretaryElmer Chang - Equity Research AssociateFarrell Granath - Equity Research AssociateJuan Sanabria - Managing DirectorGeorgi Dinkov - Senior Equity Research AssociateRichard Anderson - Managing Director ...

Financial Data and Key Metrics Changes - For Q1 2025, normalized FFO per share was $0.35 and normalized AFFO per share was $0.37, compared to $0.34 and $0.35 in Q1 2024, representing a year-over-year increase of 79% for both metrics [14][15] - Cash rental income from the triple net portfolio totaled $90 million, up from $89 million in Q1 2024, despite the disposal of $115 million of real estate from the portfolio last year [15] - Cash NOI from the managed senior housing portfolio totaled $24.1 million, compared to $19.1 million in Q1 2024, driven by strong occupancy and margin gains [15][12] Business Line Data and Key Metrics Changes - Skilled nursing and triple net senior housing EBITDARM rent coverage reached new highs at 2.19 and 1.41, respectively, with behavioral health coverage at 3.77 [5] - Skilled occupancy increased by 80 basis points sequentially, while triple net senior housing occupancy rose by 50 basis points [6] - Revenue for the same store managed senior housing portfolio grew 6.3% year-over-year, with occupancy at 85.4% compared to 82.6% in Q1 2024 [11] Market Data and Key Metrics Changes - The domestic portfolio occupancy was 83%, gaining 340 basis points year-over-year, while the Canadian portfolio occupancy was 90.9%, adding 140 basis points [11] - RevPAR in the same store portfolio increased by 2.8% year-over-year, with Canadian RevPAR growing by 4.9% [11] - The company noted a robust deal pipeline, with over $200 million in awarded deals, which is more than the total for all of 2024 [7][8] Company Strategy and Development Direction - The company is focusing on internal and external growth opportunities in senior housing, with little new supply expected in the coming years [10] - Management emphasized a commitment to maintaining a balanced portfolio between senior housing and skilled nursing, avoiding large portfolio acquisitions to keep operations predictable [78] - The company is actively using its ATM program to raise equity for funding growth, with a focus on accretive capital [16][18] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about continued occupancy growth and potential Medicaid rate increases in the summer, which could enhance coverage [86] - The company is cautious about the skilled nursing facility (SNF) market due to challenges in structuring leases around underperforming assets [66][68] - Management believes that the current operating environment will allow for improved coverage and revenue growth, despite potential headwinds from provider taxes [85] Other Important Information - The Board of Directors declared a quarterly dividend of $0.30 per share, representing a payout of 81% of the first quarter normalized AFFO per share [19] - The company has ample liquidity of over $1 billion, consisting of unrestricted cash and available borrowings [18] Q&A Session Summary Question: Update on skilled nursing facility sale - Management confirmed that the expected $50 million skilled nursing facility sale is still on track, though regulatory hurdles have delayed the process [21] Question: Trajectory of RevPOR and expense growth - Management expects occupancy to rise, which will allow for increased pricing power, while expenses are anticipated to remain stable [22][23] Question: Guidance on acquisitions and SHOP performance - Management reiterated that acquisitions are not included in current guidance until closed, and reaffirmed expectations for low to mid-teens cash NOI growth [27][28] Question: Insights on transaction market and deal flow - Management noted a robust pipeline of deals, primarily in senior housing, with private equity firms as frequent sellers [31][33] Question: Details on $200 million of awarded deals - All awarded deals are domestic, primarily in the Eastern U.S., with growth potential embedded in the assets [40][41] Question: Changes in underwriting criteria - Management stated that underwriting criteria remain unchanged, focusing on cost of capital and accretive deals [60] Question: Concerns regarding SNF acquisitions - Management highlighted challenges in acquiring SNFs due to financial instability and the difficulty in structuring leases [66][68] Question: Expectations for SHOP occupancy cadence - Management anticipates an increase in occupancy as seasonal factors improve, particularly in Canadian assets [70] Question: Interest in large portfolio acquisitions - Management confirmed a commitment to smaller, more manageable deals to maintain operational simplicity and predictability [78] Question: Medicare reimbursement impacts - Management expressed confidence that Medicare will not be significantly impacted by current government budget discussions [97]

Core Insights - The Q1 2025 earnings cycle is heavily focused on guidance, influenced by recent economic uncertainties and tariff announcements [1][9] - Several companies, including Centene, Boston Scientific, and Celestica, have raised their guidance, indicating positive performance [2][17] Centene (CNC) - Centene reported an adjusted EPS of $2.90 and sales of $46.6 billion, exceeding consensus estimates with a year-over-year earnings growth of 28% [3] - The company raised its 2025 premium and service revenues guidance by $6.0 billion, reflecting a 17% year-over-year improvement [3][6] - Analysts now expect Centene to post $172.8 billion in revenues for the current fiscal year, with a favorable Zacks Rank 2 (Buy) [6] Boston Scientific (BSX) - Boston Scientific surpassed both top and bottom line expectations, achieving a 12% EPS beat and sales 2.3% above expectations [8] - The company now anticipates FY25 sales growth between 15% and 17%, with current year sales expectations adjusted to $19.4 billion, a 10% increase from the previous year [10] Celestica (CLS) - Celestica exceeded Zacks Consensus EPS estimates by 8% and reported sales nearly 4% ahead of expectations, with a year-over-year sales growth of 20% [12] - The company raised its full-year 2025 revenue outlook to $10.85 billion from $10.7 billion, expecting non-GAAP adjusted EPS of $5.00, up from $4.75 [13] - Strong demand for solutions amid the AI trend and a shift to higher-margin products contributed to Celestica's stellar performance [13]

The positive, post-earnings momentum lifting AbbVie's (ABBV 3.57%) stock price continued on Monday. The veteran healthcare company's shares booked a gain of more than 3% during the trading session. The key reason was a pair of bullish analyst notes on its business. That rise meant the stock easily beat the S&P 500 index, which could only manage a less than 0.1% gain. Still flying after first-quarter resultsOf the two notes, arguably the more impactful was the one BMO Capital's Evan David Seigerman published ...

CBIZ, Inc. (NYSE:CBZ) Q1 2025 Earnings Conference Call April 24, 2025 11:00 AM ET Company Participants Lori Novickis - Director-Corporate Relations Jerry Grisko - President and Chief Executive Officer Brad Lakhia - Chief Financial Officer Conference Call Participants Christopher Moore - CJS Securities Andrew Nicholas - William Blair Marc Riddick - Sidoti Operator Good day, and welcome to the CBIZ First Quarter 2025 Results Conference Call. [Operator Instructions] Please note, this event is being recorded. I ...

Northwest Natural Holding Company (NYSE:NWN) Q4 2024 Results Conference Call February 28, 2025 11:00 AM ET Company Participants Nikki Sparley - Director of IR David Anderson - CEO Raymond Kaszuba - SVP & CFO Justin Palfreyman - President Conference Call Participants Christopher Ellinghaus - Siebert Williams Shank Selman Akyol - Stifel Brica Good morning, and thank you all for attending the Northwest Natural Holding Company Q4 2024 earnings call. My name is Brica, and I will be the moderator for today's call ...