Healthcare Realty Trust rporated(US:HR)2025-08-01 13:00Financial Performance & Guidance - The company raised its NFFO guidance range by $0.01, to $1.57 - $1.61 per share for 2025[7] - NFFO per share sequentially improved by $0.02 to $0.41 per share, and FAD per share sequentially improved by $0.04 to $0.33 per share[8, 10] - Same-store cash NOI growth was 5.1%, a sequential increase of 2.8%[8] - The company completed or has under contract/LOI approximately $900 million in asset sales year-to-date[10] Strategic Plan & Portfolio Optimization - The company is implementing a strategic plan to improve operational performance, optimize the portfolio, and re-establish credibility[13] - The company has segmented its portfolio into three categories: Stabilized (approximately 75% of the total portfolio), Lease-Up (approximately 13%), and Disposition (approximately 12%)[15, 36] - The company plans to dispose of approximately $1.2 billion in assets[48] - The stabilized portfolio has approximately 95% occupancy and generates approximately $550 million in NOI[36, 37] - The lease-up portfolio has approximately 70% occupancy and approximately $90 million in NOI, with a potential to unlock up to $50 million in incremental NOI[36, 43, 45] Restructuring & Efficiencies - The company is restructuring its organizational platform to enhance focus and accountability, targeting over $10 million in annual savings[15] - The company identified G&A efficiencies to bring HR in line with peers, improve margins, and create long-term shareholder value, targeting $10 million of G&A reduction[35] Balance Sheet & Capital Allocation - The company is targeting a mid-5x Net Debt / EBITDA and a 5-year weighted average debt maturity[15] - The company reduced the dividend by 23% to $0.24 per share on a quarterly basis to fund high-return capital investments[77]