Core Insights - Ventas reported an "outstanding year" in 2025, driven by strong performance in senior housing under its "1, 2, 3 strategy" focusing on organic growth, value-creating investments, and cash flow [3] Financial Performance - Fourth-quarter same-store SHOP revenue grew over 8%, with occupancy growth of 300 basis points year-over-year and 100 basis points sequentially [1] - Normalized FFO per share increased by 9% in 2025, while same-store SHOP cash NOI grew by 15%, marking the fourth consecutive year of double-digit growth [2][5] - Ventas' enterprise value exceeded $50 billion, with annualized NOI of $2.5 billion and SHOP NOI of $1.3 billion in the fourth quarter [2] Growth Projections - For 2026, management expects normalized FFO per share of $3.78–$3.88, representing roughly 8% growth, and total same-store cash NOI growth of nearly 10% [5][11] - SHOP same-store NOI is projected to grow by 13% to 17%, driven by occupancy and RevPOR improvements [12] Capital Deployment and Investments - Ventas closed approximately $2.5 billion in senior housing investments in 2025 and has an active pipeline targeting another $2.5 billion in 2026 [4][9] - The company has already closed over $800 million in senior housing acquisitions year-to-date in 2026, with a cumulative total of $4.8 billion in acquisitions over a little more than a year [10] Demographic Trends - Management highlighted a "historic demographic inflection point" as baby boomers begin turning 80, with the over-80 population expected to grow by 28% over the next five years [7] - New supply of senior housing remains constrained, with only about 2,500 new units started in Q4 2025, while over 2 million people are expected to turn 80 in 2026 [8] Dividend and Leverage - The board approved an 8% increase in the quarterly dividend, reflecting strong performance and a positive outlook [17] - Leverage improved to approximately 5.2x in Q4, the best level since 2012, with expectations for continued decline in leverage given the growth outlook for 2026 [15]