Financial Data and Key Metrics Changes - Total revenue increased from $29.3 million in Q4 2024 to $30.9 million in Q4 2025, representing a 5.6% annual growth [11] - FFO in Q4 2025 was $13.3 million, a 4.6% increase year-over-year compared to $12.7 million in Q4 2024 [13] - AFFO totaled $14.9 million in Q4 2025, a 2.1% increase year-over-year compared to $14.6 million in Q4 2024 [14] - Interest expense decreased slightly to $7 million in Q4 2025, primarily due to recent FOMC interest rate cuts [12] Business Line Data and Key Metrics Changes - Occupancy increased from 90.1% to 90.6% during the quarter [6] - Weighted average lease term increased from 6.7 to 7 years [6] - The company sold an inpatient rehab facility at a 7.9% cap rate, resulting in a gain of approximately $11.5 million [7] Market Data and Key Metrics Changes - The company acquired three properties totaling 113,000 sq ft for an aggregate purchase price of $64.5 million, which were 100% leased [8] - The company signed definitive purchase and sale agreements for five properties with an expected investment of $122.5 million [9] Company Strategy and Development Direction - The company aims to maintain modest leverage levels while evaluating the best uses of capital [9] - The company is focused on capital recycling and selective acquisitions, with plans to use 1031 like-kind exchanges for reinvestment [9][23] - The company anticipates significant growth from redevelopment projects expected to come online in mid-2026 and late 2026 [27] Management's Comments on Operating Environment and Future Outlook - Management noted that the transaction with the geriatric behavioral hospital operator is expected to occur all at once, with no plans for a staged closing [20] - Management expressed confidence in the leasing activity and expects leased occupancy to remain stable in the low nineties for the next couple of quarters, with potential growth in the second half of the year [32] - Management indicated that there are still great opportunities in the market, with a focus on maintaining relationships with brokers to identify potential acquisitions [34] Other Important Information - The company declared a dividend of $0.4775 per common share for Q4 2025, raising it to an annualized dividend of $1.91 per share [10] - The company did not issue any shares under its ATM last quarter, anticipating sufficient capital from asset sales to fund near-term acquisitions [9] Q&A Session Summary Question: Update on the Geriatric Behavioral Hospital operator transaction - Management indicated that the transaction is expected to happen all at once, with significant progress in the first quarter [20] Question: Balancing transactions and potential leverage increase - Management aims to sequence dispositions and acquisitions to avoid adding leverage, confident in capital recycling efforts [23] Question: Changes in cap rates for acquisitions or dispositions - Management noted a high level of demand for assets and expects similar pricing on other dispositions, with opportunities in the 9%-10% cap rate range [26] Question: Future occupancy expectations - Management expects occupancy to remain stable in the low nineties for the next couple of quarters, with potential growth in the second half of the year [32] Question: Investment pipeline and opportunities - Management confirmed that opportunities still exist, with a focus on supporting clients and potential acquisitions when stock prices allow [34] Question: Status of the dialysis term sheet pipeline - Management stated that the relationship is on the back burner, with no current focus on executing transactions under that deal [36]

Core Viewpoint - Regional Health Properties, Inc. has completed the repurchase of an additional 161,470 shares of its 12.5% Series B Cumulative Redeemable Preferred shares, indicating a strategic move to manage its capital structure and reduce outstanding shares [1]. Company Overview - Regional Health Properties, Inc. is a self-managed healthcare real estate investment company based in Atlanta, Georgia, focusing primarily on investments in real estate for senior living and long-term care [2].

Core Viewpoint - Regional Health Properties, Inc. has announced a Stock Repurchase Plan to buy back up to 500,000 shares of its Series B Preferred Stock, which will be overseen by a Special Committee of the Board of Directors [1][3]. Summary by Sections Stock Repurchase Plan - The Company is authorized to purchase shares of Series B Preferred Stock through various methods including open-market transactions and block trades, in accordance with relevant securities regulations [2]. - The repurchase program does not obligate the Company to buy back any shares during any specific period and will be funded by cash on hand [3]. - The program is expected to continue indefinitely until the maximum number of shares is repurchased or the program is modified, suspended, or terminated by the Board [3]. Company Overview - Regional Health Properties, Inc. is a self-managed healthcare real estate investment company based in Atlanta, Georgia, primarily investing in real estate for senior living and long-term care [4].

Core Insights - Regional Health Properties, Inc. reported strong financial results for Q3 2025, highlighting a successful merger with SunLink Health Systems and achieving high facility census levels [3][4] - The company generated total revenue of $15.1 million and a GAAP net income of $3.4 million for the third quarter [4][8] - The company completed the sale of its Coosa Valley facility post-quarter-end, aiming to utilize the proceeds to enhance shareholder value [3] Financial Results for Q3 2025 - Total revenue for Q3 2025 was $15.1 million, compared to $4.2 million in Q3 2024, indicating significant growth [4][12] - GAAP net income for Q3 2025 was $3.4 million, a recovery from a net loss of $982,000 in Q3 2024 [4][12] - Adjusted EBITDA for Q3 2025 was $413,000, contrasting with a loss of $998,000 in the same period last year [4][22] Financial Results for Nine Months Ended September 30, 2025 - Total revenue for the nine months ended September 30, 2025, was $32.4 million, up from $12.7 million in the same period of 2024 [8][15] - GAAP net income for the nine months was $671,000, compared to a net loss of $2.65 million in the previous year [8][16] - Adjusted EBITDA for the nine months was $982,000, compared to $2.56 million in the same period last year [8][22] Balance Sheet and Liquidity - As of September 30, 2025, the company had $48.6 million in outstanding debt with a weighted-average interest rate of 5.0% and a maturity of approximately 16 years [5][18] - Net cash provided by operating activities for the nine months ended September 30, 2025, was $990,000 [5] Business Highlights - The company achieved a facility census at its highest level since November 2022 [8] - A bargain purchase gain of $5.3 million was recognized from the SunLink merger [8][12] - The company repurchased 366,359 shares of its 12.5% Series B Cumulative Redeemable Preferred Shares at a discount to liquidation preference [8]

Core Viewpoint - Regional Health Properties, Inc. has completed the repurchase of 366,359 shares of its 12.5% Series B Cumulative Redeemable Preferred shares, utilizing excess cash from a recent merger with SunLink Health Systems [1][2]. Group 1: Share Repurchase Details - The company repurchased 366,359 shares through three privately negotiated transactions [1]. - After the repurchase, there are 1,885,913 shares of Series B Preferred remaining outstanding [2]. Group 2: Merger Impact - The merger with SunLink Health Systems is described as a transformative step for Regional Health Properties [2]. - A portion of the excess cash obtained from the merger is being used to repurchase Series B Preferred shares at a significant discount to the liquidation preference [2]. Group 3: Company Overview - Regional Health Properties, Inc. is a self-managed healthcare real estate investment company based in Atlanta, Georgia, focusing on real estate for senior living and long-term care [3].

Core Viewpoint - Regional Health Properties, Inc. has reported its financial results for the second quarter of 2025, highlighting a strategic transition towards direct operation of facilities and the completion of a transformative merger with SunLink Health Systems, Inc. [2][5] Financial Results for Q2 2025 - Total revenue for the second quarter of 2025 was $10.1 million, with a GAAP net loss of $1.4 million and an EBITDA loss of $406,000. Adjusted EBITDA was reported at $456,000 [3][19]. - For the six months ended June 30, 2025, total revenue reached $17.2 million, with an Adjusted EBITDA of $964,000 [7]. Business Highlights - The company now directly operates 50% of its facilities, which enhances control and alignment with strategic objectives [2]. - The average occupancy rate in June 2025 was 66.8%, the highest in over a year, and the Meadowood facility's memory care unit maintained a stabilization rate of 93% occupancy [7]. - A management contract was entered into with CJM Advisors to manage facilities in South Carolina and Georgia [7]. Merger Details - The merger with SunLink was completed on August 14, 2025, with each five shares of SunLink common stock converted into 1.1330 shares of Regional common stock and one share of Regional Series D preferred stock [6][5]. - The combined company will continue to operate under the name Regional Health Properties, Inc. and will be led by Brent S. Morrison as President and CEO [7][8]. Balance Sheet and Liquidity - As of June 30, 2025, the company had $49.9 million in net assets, with a weighted-average annual interest rate of 5.0% and a weighted-average maturity of approximately 16 years [4][16]. - Net cash provided by operating activities for the six months ended June 30, 2025, was $805,000 [4].

Core Viewpoint - Regional Health Properties, Inc. reported its financial results for the second quarter of 2025, highlighting a strategic transition towards direct operation of facilities and a recent merger with SunLink Health Systems, aimed at enhancing growth and efficiency. Financial Results for Q2 2025 - The company reported total revenue of $10.1 million for the second quarter of 2025, with a GAAP net loss of $1.4 million and an EBITDA loss of $406,000. Adjusted EBITDA was reported at $456,000 [3][10][22]. Business Highlights - The company now directly operates 50% of its facilities, which aligns with its strategic objectives. The merger with SunLink is expected to create a vertically integrated healthcare services company [2][5]. - The average occupancy rate in June 2025 was 66.8%, the highest in over a year, with the Meadowood facility's memory care unit stabilizing at 93% occupancy [10]. Balance Sheet and Liquidity - As of June 30, 2025, the company had $49.9 million in net assets, with a weighted-average annual interest rate of 5.0% and a maturity of approximately 16 years. Net cash provided by operating activities for the first half of 2025 was $805,000 [4][16]. Merger Completion - The merger with SunLink was completed on August 14, 2025, with each five shares of SunLink common stock converted into 1.1330 shares of Regional common stock and one share of Regional Series D preferred stock [5][6][7]. - The combined company will continue to operate under the name Regional Health Properties, Inc. and will be led by Brent S. Morrison as President and CEO [8][9]. Leadership and Board Composition - The leadership team includes Mark J. Stockslager as CFO and Robert M. Thornton, Jr. as Executive VP of Corporate Strategy, both formerly from SunLink. The Board of Directors will include members from both Regional and SunLink [8][9]. Revenue Comparison - For the six months ended June 30, 2025, total revenue was reported at $17.2 million, with an Adjusted EBITDA of $964,000, indicating growth compared to the previous year [10][14].

Core Viewpoint - Regional Health Properties, Inc. and SunLink Health Systems, Inc. have announced the approval of their merger by shareholders, with Regional as the surviving entity, pending customary closing conditions [1]. Group 1: Merger Details - The merger was approved during special meetings held on August 4, 2025, by both Regional and SunLink shareholders [1]. - SunLink shareholders also provided non-binding advisory approval for the merger-related compensation proposal [1]. - The merger is governed by the Amended and Restated Agreement and Plan of Merger dated April 14, 2025 [1]. Group 2: Share Issuance - Regional shareholders approved the issuance of common stock and Series D 8% Cumulative Convertible Redeemable Participating Preferred Shares in connection with the merger [2]. - Details regarding the Series D Preferred Stock were previously disclosed in Regional's filings with the SEC [2]. Group 3: Company Background - Regional Health Properties, Inc. is a self-managed healthcare real estate investment company focused on senior living and long-term care properties [3]. - SunLink Health Systems, Inc. operates subsidiaries including Carmichael's Cashway Pharmacy [4].