Welltower Reports First Quarter 2026 Results
Rhea-AI Summary
Welltower (NYSE:WELL) reported Q1 2026 results for the quarter ended March 31, 2026. Reported net income attributable to common stockholders of $1.02 per diluted share and normalized FFO of $1.47 per diluted share, a 23% increase year-over-year. Total portfolio same store NOI rose 16.4%, led by Seniors Housing Operating SSNOI of 22.1% and organic RevPOR growth of 5.0%.
Year-to-date closed or under contract investment activity totaled $10.5 billion; liquidity was approximately $11.1 billion. The board declared a $0.74 quarterly dividend. 2026 guidance was raised: net income to $3.24–$3.38 and normalized FFO to $6.21–$6.35 per diluted share.
Positive
- Normalized FFO of $1.47 per diluted share, up 23% YoY
- Same store NOI growth of 16.4% driven by SHO 22.1% SSNOI
- Strong liquidity of ~$11.1 billion including $4.8 billion cash
- $10.5 billion of investment activity closed or under contract YTD
- Raised 2026 guidance to NICS $3.24–$3.38 and normalized FFO $6.21–$6.35
Negative
- $1.4 billion of Outpatient Medical dispositions completed in Q1, reducing OM holdings
- Pro rata dispositions expected of $1.4 billion at a 6.7% blended yield in next 12 months
- Projected G&A of $263–$271 million and stock-based comp ~ $60 million for 2026
- Guidance excludes any additional investments, dispositions or capital transactions beyond announced items
Key Figures
Market Reality Check
Peers on Argus
Momentum scanner data flagged WELL moving down alongside only one peer, CTRE, also down. Other close peers (VTR, DOC, OHI, AHR) show mixed single-day moves, suggesting the reaction to this earnings release is more stock-specific than sector-driven.
Previous Earnings Reports
| Date | Event | Sentiment | Move | Catalyst |
|---|---|---|---|---|
| Feb 10 | Q4 2025 earnings | Positive | +3.5% | Strong Q4 2025 growth, higher full-year FFO and robust SSNOI performance. |
| Oct 27 | Q3 2025 earnings | Positive | -1.6% | Q3 2025 FFO and SSNOI growth plus large investment pipeline and guidance. |
| Jul 28 | Q2 2025 earnings | Positive | +4.8% | Q2 2025 FFO and SSNOI gains with major investment activity and guidance raise. |
| Apr 28 | Q1 2025 earnings | Positive | +1.6% | Q1 2025 FFO growth, strong SSNOI and a large Canadian acquisition plan. |
| Feb 11 | Q4 2024 earnings | Positive | +2.2% | Q4 2024 FFO growth, double-digit SSNOI and increased dividend with guidance. |
Earnings releases have generally led to positive price reactions, with four of the last five showing gains and one downside divergence.
Across the last five earnings releases from Feb 2024 through Feb 2026, Welltower consistently reported double-digit SSNOI growth and rising normalized FFO per share, often raising guidance. Leverage trended lower with Net Debt to Adjusted EBITDA generally near or below 3x, while liquidity remained strong. Quarterly dividends were increased and then maintained at $0.74 per share. Today’s Q1 2026 results, with strong SSNOI and higher 2026 guidance, continue this multi-quarter trajectory of growth-focused capital deployment and balance sheet discipline.
Historical Comparison
In the past five earnings releases, WELL’s average move was about 2.11%, typically reacting positively to strong SSNOI and FFO growth with periodic guidance raises.
Earnings reports from Q4 2024 through Q4 2025 show rising normalized FFO per share, robust Seniors Housing Operating SSNOI, sizable transaction activity, and improving leverage, setting a backdrop for Q1 2026’s higher SSNOI, large investments and raised 2026 guidance.
Market Pulse Summary
This announcement highlights robust Q1 performance, including 16.4% total SSNOI growth, $1.47 normalized FFO per share and raised 2026 guidance to $6.21–$6.35. It also underscores sizeable capital deployment of $10.5B year‑to‑date and strong liquidity of $11.1B with Net Debt to Adjusted EBITDA at 2.73x. Investors may watch future same-store trends, progress on the Amica acquisition, disposition execution and how leverage evolves relative to growth and dividend commitments.
Key Terms
normalized funds from operations financial
same store noi financial
ssnoi financial
ebitda financial
adjusted ebitda financial
net debt to adjusted ebitda financial
funds from operations financial
AI-generated analysis. Not financial advice.
First Quarter and Other Recent Highlights
- Reported net income attributable to common stockholders of
$1.02 - Reported quarterly normalized funds from operations attributable to common stockholders of
$1.47 23% over the prior year - Reported total portfolio year-over-year same store NOI ("SSNOI") growth of
16.4% , driven by SSNOI growth in our Seniors Housing Operating ("SHO") portfolio of22.1% - SHO portfolio organic same store revenue growth increased
9.5% year-over-year in the first quarter, resulting from 370 basis points ("bps") of average occupancy growth and5.0% growth in Revenue Per Occupied Room ("RevPOR") - Year-to-date, closed or under contract to close
$10.5 billion $3.3 billion $7.2 billion - We completed
$2.8 billion $1.4 billion $524 million $873 million - As of March 31, 2026, reported Net Debt to Adjusted EBITDA of 2.73x and approximately
$11.1 billion $4.8 billion $6.25 billion - Repaid
$700 million - Expanded our capital light revenue opportunities through the licensing of our data science platform to Public Storage and a preeminent global private equity real estate firm
Capital Activity and Liquidity
Liquidity Update Net debt to consolidated enterprise value decreased to
Expanded Senior Unsecured Line of Credit In March, we closed on an amended
Unsecured Senior Note Activity Repaid
Recent Investment Activity
In the first quarter, we completed
Notable Portfolio Activity
Amica Senior Lifestyles Acquisition On April 1, 2026, we completed the previously announced acquisition of a Canadian portfolio of 38 seniors housing communities for a pro rata purchase price of
Dividend On April 28, 2026, the Board of Directors declared a cash dividend for the quarter ended March 31, 2026 of
Outlook for 2026 Net income attributable to common stockholders guidance has been revised to a range of
- Same Store NOI: We expect average blended SSNOI growth of
12.25% to16.00% , which is comprised of the following components:- Seniors Housing Operating approximately
16.5% to21.5% - Seniors Housing Triple-net approximately
3.0% to4.0% - Outpatient Medical approximately
2.0% to3.0% - Long-Term/Post-Acute Care approximately
2.0% to3.0%
- Seniors Housing Operating approximately
- Investments: Our earnings guidance includes only those acquisitions announced or closed to date. Furthermore, no transitions, restructures or capital activity beyond those announced to date are included.
- General and Administrative Expenses: We anticipate general and administrative expenses to be approximately
$263 million $271 million $60 million - Dispositions: We expect pro rata disposition proceeds of
$1.4 billion 6.7% in the next twelve months. This includes approximately$1.1 billion $0.3 billion
Our guidance does not include any additional investments, dispositions or capital transactions, nor any other expenses, impairments, unanticipated additions to the loan loss reserve or other additional normalizing items beyond those disclosed. Please see the Supplemental Reporting Measures section for further discussion and our definition of normalized FFO and SSNOI and Exhibit 3 for a reconciliation of the outlook for net income available to common stockholders to normalized FFO attributable to common stockholders. We will provide additional detail regarding our 2026 outlook and assumptions on the first quarter 2026 conference call.
Conference Call Information We have scheduled a conference call on Wednesday, April 29, 2026 at 9:00 a.m. Eastern Time to discuss our first quarter 2026 results, industry trends and portfolio performance. Telephone access will be available by dialing (888) 340-5024 or (646) 960-0135 (international). For those unable to listen to the call live, a taped rebroadcast will be available beginning two hours after completion of the call through May 6, 2026. To access the rebroadcast, dial (800) 770-2030 or (609) 800-9909 (international). The conference ID number is 8230248. To participate in the webcast, log on to www.welltower.com 15 minutes before the call to download the necessary software. Replays will be available for 90 days.
Supplemental Reporting Measures We believe that net income and net income attributable to common stockholders ("NICS"), as defined by
Historical cost accounting for real estate assets in accordance with
We define NOI as total revenues, including tenant reimbursements, less property operating expenses. Property operating expenses represent costs associated with managing, maintaining and servicing tenants for our properties. These expenses include, but are not limited to, property-related payroll and benefits, property management fees paid to managers, marketing, housekeeping, food service, maintenance, utilities, property taxes and insurance. General and administrative expenses represent general overhead costs that are unrelated to property operations and are unallocable to the properties. These expenses include, but are not limited to, payroll and benefits related to corporate employees, professional services, office expenses and depreciation of corporate fixed assets. SSNOI is used to evaluate the operating performance of our properties using a consistent population which controls for changes in the composition of our portfolio. As used herein, same store is generally defined as those revenue-generating properties in the portfolio for the relevant year-over-year reporting periods. Acquisitions and development conversions are included in the same store amounts five full quarters after acquisition or being placed into service. Land parcels, loans and leased properties, as well as any properties sold or classified as held for sale during the period, are excluded from the same store amounts. Redeveloped properties (including major refurbishments of a Seniors Housing Operating property where
RevPOR represents the average revenues generated per occupied room per month and ExpPOR represents the average expenses per occupied room per month at our Seniors Housing Operating properties. These metrics are calculated as our pro rata share of total resident fees and services revenues or property operating expenses from the income statement, divided by average monthly occupied room days. SS RevPOR and SS ExpPOR are used to evaluate the RevPOR and ExpPOR performance of our properties under a consistent population, which eliminates changes in the composition of our portfolio. They are based on the same pool of properties used for SSNOI and include any revenue and expense normalizations used for SSNOI. We use RevPOR, ExpPOR, SS RevPOR and SS ExpPOR to evaluate the revenue-generating capacity and profit potential of our Seniors Housing Operating portfolio independent of fluctuating occupancy rates. They are also used in comparison against industry and competitor statistics, if known, to evaluate the quality of our Seniors Housing Operating portfolio.
We measure our credit strength both in terms of leverage ratios and coverage ratios. The leverage ratios indicate how much of our balance sheet capitalization is related to long-term debt, net of cash and restricted cash. We expect to maintain capitalization ratios and coverage ratios sufficient to maintain a capital structure consistent with our current profile. The ratios are based on EBITDA and Adjusted EBITDA. EBITDA is defined as earnings (net income per income statement) before interest expense, income taxes, depreciation and amortization. Adjusted EBITDA is defined as EBITDA excluding unconsolidated entities and including adjustments for stock-based compensation expense, provision for loan losses, gains/losses on extinguishment of debt, gains/losses on disposition of properties and acquisitions of controlling interests, impairment of assets, gains/losses on derivatives and financial instruments, other expenses, other impairment charges and other adjustments deemed appropriate in management's opinion. We believe that EBITDA and Adjusted EBITDA, along with net income, are important supplemental measures because they provide additional information to assess and evaluate the performance of our operations. In addition, we use Adjusted EBITDA to measure our adjusted fixed charge coverage ratio, which represents Adjusted EBITDA divided by fixed charges. Fixed charges include total interest expense and secured debt principal amortization. Our leverage ratios include net debt to Adjusted EBITDA and consolidated enterprise value. Net debt is defined as total long-term debt, excluding operating lease liabilities, less cash and cash equivalents and restricted cash. Consolidated enterprise value represents the sum of net debt, the fair market value of our common stock and noncontrolling interests.
Our supplemental reporting measures and similarly entitled financial measures are widely used by investors, equity and debt analysts and rating agencies in the valuation, comparison, rating and investment recommendations of companies. Our management uses these financial measures to facilitate internal and external comparisons to historical operating results and in making operating decisions. Additionally, these measures are utilized by the Board of Directors to evaluate management performance. None of the supplemental reporting measures represent net income or cash flow provided from operating activities as determined in accordance with
About Welltower Welltower Inc. (NYSE: WELL), an S&P 500 company, is positioned at the center of the silver economy, focusing on rental housing for aging seniors across
We routinely post important information on our website at www.welltower.com in the "Investors" section, including corporate and investor presentations and financial information. We intend to use our website as a means of disclosing material, non-public information and for complying with our disclosure obligations under Regulation FD. Such disclosures will be included on our website under the heading "Investors." Accordingly, investors should monitor such portion of our website in addition to following our press releases, public conference calls and filings with the Securities and Exchange Commission. The information on our website is not incorporated by reference in this press release and our web address is included as an inactive textual reference only.
Forward-Looking Statements and Risk Factors This document contains "forward-looking statements" as defined in the Private Securities Litigation Reform Act of 1995. When Welltower uses words such as "may," "will," "intend," "should," "believe," "expect," "anticipate," "project," "pro forma," "estimate" or similar expressions that do not relate solely to historical matters, Welltower is making forward-looking statements. These statements include, among others, management's expectations regarding the favorable impact of the acquisitions made and additional acquisition pipeline and our statements under the section "Outlook for 2026." Forward-looking statements are not guarantees of future performance and involve risks and uncertainties that may cause Welltower's actual results to differ materially from Welltower's expectations discussed in the forward-looking statements. This may be a result of various factors, including, but not limited to: the impact of macroeconomic and geopolitical developments, including economic downturns, elevated inflation and interest rates, political or social conflict, unrest or violence or similar events; the status of the economy; the status of capital markets, including availability and cost of capital; issues facing the healthcare industry, including compliance with, and changes to, regulations and payment policies, responding to government investigations and punitive settlements, public perception of the healthcare industry and operators'/tenants' difficulty in cost effectively obtaining and maintaining adequate liability and other insurance; changes in financing terms; competition within the healthcare and seniors housing industries; negative developments in the operating results or financial condition of operators/tenants, including, but not limited to, their ability to pay rent and repay loans; Welltower's ability to transition or sell properties with profitable results; the failure to make new investments or acquisitions as and when anticipated; natural disasters, public health emergencies and extreme weather affecting Welltower's properties; Welltower's ability to re-lease space at similar rates as vacancies occur; Welltower's ability to timely reinvest sale proceeds at similar rates to assets sold; operator/tenant or joint venture partner bankruptcies or insolvencies; the cooperation of joint venture partners; government regulations affecting Medicare and Medicaid reimbursement rates and operational requirements; liability or contract claims by or against operators/tenants; unanticipated difficulties and/or expenditures relating to future investments or acquisitions; environmental laws affecting Welltower's properties; changes in rules or practices governing Welltower's financial reporting; the movement of
Welltower Inc.
Financial Exhibits
Consolidated Balance Sheets (unaudited) | ||||
(in thousands) | ||||
March 31, | ||||
2026 | 2025 | |||
Assets | ||||
Real estate investments: | ||||
Land and land improvements | $ 6,736,066 | $ 5,552,719 | ||
Buildings and improvements | 52,873,371 | 44,793,835 | ||
Acquired lease intangibles | 2,853,696 | 2,688,181 | ||
Real property held for sale, net of accumulated depreciation | 749,426 | 95,667 | ||
Construction in progress | 764,223 | 1,045,160 | ||
Less accumulated depreciation and intangible amortization | (10,822,151) | (11,092,885) | ||
Net real property owned | 53,154,631 | 43,082,677 | ||
Right of use assets, net | 2,023,166 | 1,230,343 | ||
Investments in sales-type leases, net | 57,800 | — | ||
Real estate loans receivable, net of credit allowance | 2,567,564 | 1,772,708 | ||
Net real estate investments | 57,803,161 | 46,085,728 | ||
Other assets: | ||||
Investments in unconsolidated entities | 2,045,081 | 1,787,398 | ||
Cash and cash equivalents | 4,703,775 | 3,501,851 | ||
Restricted cash | 115,518 | 108,434 | ||
Receivables and other assets | 2,553,021 | 1,810,203 | ||
Total other assets | 9,417,395 | 7,207,886 | ||
Total assets | $ 67,220,556 | $ 53,293,614 | ||
Liabilities and equity | ||||
Liabilities: | ||||
Unsecured credit facility and commercial paper | $ — | $ — | ||
Senior unsecured notes | 15,159,712 | 13,219,202 | ||
Secured debt | 2,773,856 | 2,504,655 | ||
Lease liabilities | 2,051,273 | 1,285,727 | ||
Accrued expenses and other liabilities | 2,306,445 | 1,702,053 | ||
Total liabilities | 22,291,286 | 18,711,637 | ||
Redeemable noncontrolling interests | 196,411 | 277,461 | ||
Equity: | ||||
Common stock | 704,860 | 652,088 | ||
Capital in excess of par value | 52,409,593 | 42,030,903 | ||
Treasury stock | (22,853) | (20,172) | ||
Cumulative net income | 11,762,241 | 10,354,681 | ||
Cumulative dividends | (20,717,700) | (18,751,105) | ||
Accumulated other comprehensive income | (342,466) | (309,636) | ||
Total Welltower Inc. stockholders' equity | 43,793,675 | 33,956,759 | ||
Noncontrolling interests | 939,184 | 347,757 | ||
Total equity | 44,732,859 | 34,304,516 | ||
Total liabilities and equity | $ 67,220,556 | $ 53,293,614 | ||
Consolidated Statements of Income (unaudited) | ||||
(in thousands, except per share data) | ||||
Three Months Ended | ||||
March 31, | ||||
2026 | 2025 | |||
Revenues: | ||||
Resident fees and services | $ 2,780,931 | $ 1,864,530 | ||
Rental income | 453,842 | 461,567 | ||
Interest income | 70,929 | 62,490 | ||
Other income | 46,224 | 34,500 | ||
Total revenues | 3,351,926 | 2,423,087 | ||
Expenses: | ||||
Property operating expenses | 2,055,420 | 1,462,390 | ||
Depreciation and amortization | 622,752 | 485,869 | ||
Interest expense | 192,715 | 144,962 | ||
General and administrative expenses | 67,474 | 63,758 | ||
Loss (gain) on derivatives and financial instruments, net | — | (3,210) | ||
Loss (gain) on extinguishment of debt, net | 727 | 6,156 | ||
Provision for loan losses, net | 1,632 | (2,007) | ||
Impairment of assets | 4,826 | 52,402 | ||
Other expenses | 61,137 | 14,060 | ||
Total expenses | 3,006,683 | 2,224,380 | ||
Income (loss) from continuing operations before income taxes and other items | 345,243 | 198,707 | ||
Income tax (expense) benefit | (11,633) | 5,519 | ||
Income (loss) from unconsolidated entities | (1,686) | 1,263 | ||
Gain (loss) on real estate dispositions and acquisitions of controlling interests, net | 420,400 | 51,777 | ||
Income (loss) from continuing operations | 752,324 | 257,266 | ||
Net income (loss) | 752,324 | 257,266 | ||
Less: Net income (loss) attributable to noncontrolling interests(1) | 23,652 | (691) | ||
Net income (loss) attributable to common stockholders | $ 728,672 | $ 257,957 | ||
Average number of common shares outstanding: | ||||
Basic | 699,837 | 643,393 | ||
Diluted | 726,255 | 653,795 | ||
Net income (loss) attributable to common stockholders per share: | ||||
Basic | $ 1.04 | $ 0.40 | ||
Diluted(2) | $ 1.02 | $ 0.40 | ||
Common dividends per share | $ 0.74 | $ 0.67 | ||
(1) Includes amounts attributable to redeemable noncontrolling interests. | ||||
(2) Includes adjustment to the numerator for income (loss) attributable to OP Units and DownREIT Units. | ||||
FFO Reconciliations | Exhibit 1 | |||||
(in thousands, except per share data) | Three Months Ended | |||||
March 31, | ||||||
2026 | 2025 | |||||
Net income (loss) attributable to common stockholders | $ 728,672 | $ 257,957 | ||||
Depreciation and amortization | 622,752 | 485,869 | ||||
Impairments and losses (gains) on real estate dispositions and acquisitions of controlling | (415,574) | 625 | ||||
Noncontrolling interests(1) | 17,100 | (9,468) | ||||
Unconsolidated entities(2) | 29,598 | 30,214 | ||||
NAREIT FFO attributable to common stockholders | 982,548 | 765,197 | ||||
Normalizing items, net(3) | 84,119 | 21,980 | ||||
Normalized FFO attributable to common stockholders | $ 1,066,667 | $ 787,177 | ||||
Average diluted common shares outstanding | 726,255 | 653,795 | ||||
Per diluted share data attributable to common stockholders: | ||||||
Net income (loss)(4) | $ 1.02 | $ 0.40 | ||||
NAREIT FFO | $ 1.35 | $ 1.17 | ||||
Normalized FFO | $ 1.47 | $ 1.20 | ||||
Normalized FFO Payout Ratio: | ||||||
Dividends per common share | $ 0.74 | $ 0.67 | ||||
Normalized FFO attributable to common stockholders per share | $ 1.47 | $ 1.20 | ||||
Normalized FFO payout ratio | 50 % | 56 % | ||||
Other items:(5) | ||||||
Net straight-line rent and above/below market rent amortization | $ (58,621) | $ (46,121) | ||||
Non-cash interest expenses(6) | 13,565 | 12,869 | ||||
Recurring cap-ex, tenant improvements and lease commissions(7) | (69,474) | (74,550) | ||||
Stock-based compensation(8) | 17,213 | 14,643 | ||||
(1) Represents noncontrolling interests' share of net FFO adjustments. | ||||||
(2) Represents Welltower's share of net FFO adjustments from unconsolidated entities. | ||||||
(3) See Exhibit 2. | ||||||
(4) Includes adjustment to the numerator for income (loss) attributable to OP Units and DownREIT Units, where applicable. | ||||||
(5) Amounts presented net of noncontrolling interests' share and including Welltower's share of unconsolidated entities. | ||||||
(6) Excludes normalized foreign currency loss (gain) (see Exhibit 2). | ||||||
(7) Reflects recurring cap-ex, tenant improvements and lease commissions on owned operational properties. | ||||||
(8) Excludes normalized stock compensation expense related to the 2021 Special Performance Option Awards. | ||||||
Normalizing Items | Exhibit 2 | ||||
(in thousands, except per share data) | Three Months Ended | ||||
March 31, | |||||
2026 | 2025 | ||||
Loss (gain) on derivatives and financial instruments, net | $ — | $ (3,210) | |||
Loss (gain) on extinguishment of debt, net | 727 | (1) | 6,156 | ||
Provision for loan losses, net | 1,632 | (2) | (2,007) | ||
Income tax benefits | — | (7,586) | |||
Other expenses | 61,137 | (3) | 14,060 | ||
Special incentive plan compensation | 221 | (4) | 2,862 | ||
Casualty losses, net of recoveries | 3,040 | (5) | 3,842 | ||
Foreign currency loss (gain) | (2,926) | (6) | 109 | ||
Normalizing items attributable to noncontrolling interests and unconsolidated entities, net | 20,288 | (7) | 7,754 | ||
Net normalizing items | $ 84,119 | $ 21,980 | |||
Average diluted common shares outstanding | 726,255 | 653,795 | |||
Net normalizing items per diluted share | $ 0.12 | $ 0.03 | |||
(1) Primarily related to the extinguishment of secured debt. | |||||
(2) Primarily related to adjustments to reserves for loan losses under the current expected credit losses accounting standard. | |||||
(3) Primarily related to non-capitalizable transaction costs and legal fees. | |||||
(4) Primarily related to expenses recognized on the 2021 Special Performance Option Awards. | |||||
(5) Primarily relates to casualty losses net of any insurance recoveries. | |||||
(6) Primarily relates to foreign currency gains and losses related to accrued interest on intercompany loans and third party debt denominated in a foreign currency. | |||||
(7) Primarily relates to hypothetical liquidation at book value adjustments related to in substance real estate investments. | |||||
Outlook Reconciliation: Year Ending December 31, 2026 | Exhibit 3 | |||||||
(in millions, except per share data) | Prior Outlook | Current Outlook | ||||||
Low | High | Low | High | |||||
FFO Reconciliation: | ||||||||
Net income attributable to common stockholders | $ 2,244 | $ 2,359 | $ 2,370 | $ 2,472 | ||||
Impairments and losses (gains) on real estate dispositions and | (564) | (564) | (576) | (576) | ||||
Depreciation and amortization(1) | 2,712 | 2,712 | 2,669 | 2,669 | ||||
NAREIT FFO attributable to common stockholders | 4,392 | 4,507 | 4,463 | 4,565 | ||||
Normalizing items, net(1,2) | — | — | 84 | 84 | ||||
Normalized FFO attributable to common stockholders | $ 4,392 | $ 4,507 | $ 4,547 | $ 4,649 | ||||
Diluted per share data attributable to common stockholders: | ||||||||
Net income | $ 3.11 | $ 3.27 | $ 3.24 | $ 3.38 | ||||
NAREIT FFO | $ 6.09 | $ 6.25 | $ 6.10 | $ 6.24 | ||||
Normalized FFO | $ 6.09 | $ 6.25 | $ 6.21 | $ 6.35 | ||||
Other items:(1) | ||||||||
Net straight-line rent and above/below market rent amortization | $ (289) | $ (289) | $ (299) | $ (299) | ||||
Non-cash interest expenses | 52 | 52 | 57 | 57 | ||||
Recurring cap-ex, tenant improvements and lease commissions(3) | (459) | (459) | (465) | (465) | ||||
Stock-based compensation | 63 | 63 | 63 | 63 | ||||
(1) Amounts presented net of noncontrolling interests' share and Welltower's share of unconsolidated entities. | ||||||||
(2) See Exhibit 2. | ||||||||
(3) Reflects recurring cap-ex, tenant improvements and lease commissions on owned operational properties. | ||||||||
SSNOI Reconciliation | Exhibit 4 | |||||||
(in thousands) | Three Months Ended | |||||||
March 31, | ||||||||
2026 | 2025 | % growth | ||||||
Net income (loss) | $ 752,324 | $ 257,266 | ||||||
Loss (gain) on real estate dispositions and acquisitions of controlling interests, net | (420,400) | (51,777) | ||||||
Loss (income) from unconsolidated entities | 1,686 | (1,263) | ||||||
Income tax expense (benefit) | 11,633 | (5,519) | ||||||
Other expenses | 61,137 | 14,060 | ||||||
Impairment of assets | 4,826 | 52,402 | ||||||
Provision for loan losses, net | 1,632 | (2,007) | ||||||
Loss (gain) on extinguishment of debt, net | 727 | 6,156 | ||||||
Loss (gain) on derivatives and financial instruments, net | — | (3,210) | ||||||
General and administrative expenses | 67,474 | 63,758 | ||||||
Depreciation and amortization | 622,752 | 485,869 | ||||||
Interest expense | 192,715 | 144,962 | ||||||
Consolidated NOI | 1,296,506 | 960,697 | ||||||
NOI attributable to unconsolidated investments(1) | 48,240 | 28,316 | ||||||
NOI attributable to noncontrolling interests(2) | (11,785) | (14,284) | ||||||
Pro rata NOI | 1,332,961 | 974,729 | ||||||
Non-cash NOI attributable to same store properties | (26,225) | (34,521) | ||||||
NOI attributable to non-same store properties | (581,183) | (329,904) | ||||||
Currency and ownership adjustments(3) | (1,858) | 9,717 | ||||||
Normalizing adjustments, net(4) | (1,734) | 22 | ||||||
Same Store NOI (SSNOI) | $ 721,961 | $ 620,043 | 16.4 % | |||||
Seniors Housing Operating | 531,817 | 435,659 | 22.1 % | |||||
Seniors Housing Triple-net | 79,538 | 76,534 | 3.9 % | |||||
Outpatient Medical | 23,842 | 23,285 | 2.4 % | |||||
Long-Term/Post-Acute Care | 86,764 | 84,565 | 2.6 % | |||||
Total SSNOI | $ 721,961 | $ 620,043 | 16.4 % | |||||
(1) Represents Welltower's interests in joint ventures where Welltower is the minority partner. | ||||||||
(2) Represents minority partners' interests in joint ventures where Welltower is the majority partner. | ||||||||
(3) Includes where appropriate adjustments to reflect consistent property ownership percentages, to translate Canadian properties at a USD/CAD rate of 1.43 and to translate | ||||||||
(4) Includes other adjustments described in the accompanying Supplement. | ||||||||
Reconciliation of SHO SS RevPOR Growth | Exhibit 5 | |||
(in thousands except SS RevPOR) | Three Months Ended | |||
March 31, | ||||
2026 | 2025 | |||
Consolidated SHO revenues | $ 2,790,374 | $ 1,867,871 | ||
Unconsolidated SHO revenues attributable to WELL(1) | 55,328 | 56,430 | ||
SHO revenues attributable to noncontrolling interests(2) | (21,914) | (23,074) | ||
SHO pro rata revenues(3) | 2,823,788 | 1,901,227 | ||
Non-cash and non-RevPOR revenues on same store properties | (2,516) | (5,082) | ||
Revenues attributable to non-same store properties | (1,094,049) | (343,836) | ||
Currency and ownership adjustments(4) | (4,719) | 19,982 | ||
Other normalizing adjustments(5) | (419) | — | ||
SHO SS RevPOR revenues(5) | $ 1,722,085 | $ 1,572,291 | ||
Average occupied units/month(6) | 92,987 | 89,119 | ||
SHO SS RevPOR(7) | $ 6,259 | $ 5,963 | ||
SS RevPOR YOY growth | 5.0 % | |||
(1) Represents Welltower's interests in joint ventures where Welltower is the minority partner. | ||||
(2) Represents minority partners' interests in joint ventures where Welltower is the majority partner. | ||||
(3) Represents SHO revenues at Welltower pro rata ownership. | ||||
(4) Includes adjustments to reflect consistent property ownership percentages and foreign currency exchange rates for properties in the | ||||
(5) Represents SS SHO RevPOR revenues at Welltower pro rata ownership. | ||||
(6) Represents average occupied units for SS properties on a pro rata basis. | ||||
(7) Represents pro rata SS average revenues generated per occupied room per month. | ||||
Net Debt to Adjusted EBITDA Reconciliation | Exhibit 6 | |||
(in thousands) | ||||
Three Months Ended | ||||
March 31, | ||||
2026 | ||||
Net income (loss) | $ 752,324 | |||
Interest expense | 192,715 | |||
Income tax expense (benefit) | 11,633 | |||
Depreciation and amortization | 622,752 | |||
EBITDA | 1,579,424 | |||
Loss (income) from unconsolidated entities | 1,686 | |||
Stock-based compensation | 17,434 | |||
Loss (gain) on extinguishment of debt, net | 727 | |||
Loss (gain) on real estate dispositions and acquisitions of controlling interests, net | (420,400) | |||
Impairment of assets | 4,826 | |||
Provision for loan losses, net | 1,632 | |||
Other expenses | 61,137 | |||
Casualty losses, net of recoveries | 3,040 | |||
Adjusted EBITDA | $ 1,249,506 | |||
Total debt(1) | $ 18,455,978 | |||
Cash and cash equivalents and restricted cash | (4,819,293) | |||
Net debt | $ 13,636,685 | |||
Adjusted EBITDA annualized | $ 4,998,024 | |||
Net debt to Adjusted EBITDA ratio | 2.73x | |||
(1) Amounts include unamortized premiums/discounts, other fair value adjustments and financing lease liabilities. Excludes operating lease liabilities related to ASC 842 of | ||||
Net Debt to Consolidated Enterprise Value | Exhibit 7 | |||||
(in thousands, except share price) | ||||||
March 31, 2026 | March 31, 2025 | |||||
Common shares outstanding | 704,687 | 651,889 | ||||
Period end share price | $ 197.71 | $ 153.21 | ||||
Common equity market capitalization | $ 139,323,667 | $ 99,875,914 | ||||
Total debt | $ 18,455,978 | $ 15,831,799 | ||||
Cash and cash equivalents and restricted cash | (4,819,293) | (3,610,285) | ||||
Net debt | 13,636,685 | 12,221,514 | ||||
Noncontrolling interests(1) | 1,135,595 | 625,218 | ||||
Consolidated enterprise value | $ 154,095,947 | $ 112,722,646 | ||||
Net debt to consolidated enterprise value | 8.8 % | 10.8 % | ||||
(1) Includes all noncontrolling interests (redeemable and permanent) as reflected on our consolidated balance sheet. | ||||||
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SOURCE Welltower Inc.