Sabra Health Care REIT (Nasdaq: SBRA) posts Q2 loss but solid AFFO
Rhea-AI Filing Summary
Sabra Health Care REIT, Inc. reported Q2 2026 revenues of $235.9 million, up from $189.2 million a year earlier, but recorded a net loss of $25.2 million or $(0.10) per diluted share, driven largely by a $102.4 million provision for loan losses and other reserves. Cash-based metrics were stronger: Normalized AFFO was $103.5 million, or $0.40 per share, compared with $91.6 million, or $0.38 per share, in Q2 2025, supporting a quarterly dividend of $0.30 per share.
Same-property managed senior housing Cash NOI increased 13.7% year over year, and rent coverage in the triple-net portfolio remained solid, with skilled nursing at 2.49x, senior housing – leased at 1.52x, and behavioral health/specialty at 4.14x. Sabra continued to deploy capital, closing second-quarter senior housing and skilled nursing investments with total commitments of $274.1 million at an initial cash yield of 8.1%, bringing year-to-date investments to $599.0 million at a 7.5% estimated initial cash yield, and has been awarded another $100 million of investments at about 7.7%.
Liquidity was approximately $1.3 billion as of June 30, 2026, including $231.6 million of cash, and Net Debt to Adjusted EBITDA was 4.61x. The board declared a $0.30 quarterly dividend payable August 31, 2026, and Sabra reiterated its full-year 2026 guidance from its July 21, 2026 business update.
Positive
- Underlying cash performance remained healthy with Normalized AFFO of $103.5 million ($0.40 per share) in Q2 2026, above $91.6 million ($0.38 per share) a year earlier, supporting the current $0.30 per-share dividend.
- Same-property managed senior housing delivered strong growth, with Cash NOI up 13.7% year over year in Q2 2026, indicating improving operating trends in this key segment.
- Sabra executed significant growth investments, closing $599.0 million of deals year to date at an estimated initial cash yield of 7.5%, plus an additional $100 million of awarded investments at about 7.7%.
Negative
- GAAP results weakened sharply, with a Q2 2026 net loss of $25.2 million versus net income of $65.5 million in Q2 2025, driven largely by a $102.4 million provision for loan losses and other reserves.
Insights
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8-K Event Classification
5 items: 0.01, 0.41, 2.02, 7.01, 9.01
5 items
Item 0.01
Item 0.01
Item 0.41
Item 0.41
Item 2.02
Results of Operations and Financial Condition
Financial
Disclosure of earnings results, typically an earnings press release or preliminary financials.
Item 7.01
Regulation FD Disclosure
Disclosure
Material non-public information disclosed under Regulation Fair Disclosure, often investor presentations or guidance.
Item 9.01
Financial Statements and Exhibits
Exhibits
Financial statements, pro forma financial information, and exhibit attachments filed with this report.
Key Figures
Q2 2026 total revenues: $235,866 (thousand)
Q2 2026 net (loss) income attributable: $(25,202) (thousand)
Q2 2026 Normalized AFFO: $103,460 (thousand)
+5 more
8 metrics
Q2 2026 total revenues
$235,866 (thousand)
Revenues for the three months ended June 30, 2026, versus $189,150 (thousand) in Q2 2025.
Q2 2026 net (loss) income attributable
$(25,202) (thousand)
Net loss attributable to Sabra Health Care REIT, Inc. for the three months ended June 30, 2026.
Q2 2026 Normalized AFFO
$103,460 (thousand)
Normalized AFFO attributable to Sabra for the three months ended June 30, 2026.
Dividend per common share Q2 2026
$0.30
Quarterly cash dividend declared on August 3, 2026, payable August 31, 2026.
Net Debt to Adjusted EBITDA
4.61x
Reported leverage ratio as of June 30, 2026.
Total liquidity
$1.3 billion
Unrestricted cash, revolver availability and forward equity value as of June 30, 2026.
Investments closed year to date 2026
$599.0 million
Year-to-date investments with an estimated initial cash yield of 7.5%.
Triple-net skilled nursing rent coverage
2.49x
Coverage ratio for skilled nursing/transitional care as of Q2 2026.
Key Terms
Funds From Operations (FFO), Adjusted Funds from Operations (AFFO), Cash Net Operating Income (Cash NOI), Net Debt to Adjusted EBITDA, +1 more
5 terms
Funds From Operations (FFO) financial
"Funds From Operations (FFO) and Adjusted Funds from Operations (AFFO) are important non-GAAP"
Funds from operations (FFO) is a performance measure commonly used for real estate companies that adjusts net income by adding back non‑cash items like building depreciation and removing one‑time gains or losses from property sales, to show recurring operating earnings. Investors use FFO to judge a property portfolio’s ability to generate cash for dividends and growth — think of it as measuring a car’s regular fuel efficiency rather than its accounting value or one‑off resale price.
Adjusted Funds from Operations (AFFO) financial
"AFFO is defined as FFO excluding stock-based compensation and other non-cash items"
Adjusted funds from operations (AFFO) is a cash-based measure used mainly for real estate companies that starts with net income and removes accounting items plus recurring maintenance costs to show the cash a property business actually generates for owners. Think of it like a household budget: after counting your income, AFFO subtracts routine upkeep and tenant turnover bills so investors can see the money likely available for dividends or reinvestment. It matters because it gives a clearer picture of sustainable cash flow than raw accounting profit.
Cash Net Operating Income (Cash NOI) financial
"The Company defines Cash NOI as total revenues less operating expenses and non-cash revenues and expenses"
Net Debt to Adjusted EBITDA financial
"Net Debt to Adjusted EBITDA is calculated as Net Debt divided by Annualized Adjusted EBITDA"
Net debt to adjusted EBITDA is a leverage ratio that compares a company’s net debt (total interest-bearing debt minus cash) to its recurring operating earnings after removing one-off items. Think of it like how many years of steady take-home pay the business would need to pay off its outstanding debt; investors use it to gauge debt burden, financial risk and relative creditworthiness, with lower ratios generally indicating a safer balance sheet.
Senior Housing - Managed financial
"Senior Housing - Managed communities are operated by third-party managers under property management agreements"
Earnings Snapshot
Total revenues: $235,866 (thousand) · Guidance included
three months ended June 30, 2026
Total revenues
$235,866 (thousand)
Compared with $189,150 (thousand) in the three months ended June 30, 2025.
Net (loss) income attributable
$(25,202) (thousand)
Compared with net income of $65,542 (thousand) in Q2 2025.
Normalized AFFO per diluted share
$0.40
Compared with $0.38 per diluted share in Q2 2025.
Net Debt to Adjusted EBITDA
4.61x
Reported as 4.61x as of June 30, 2026.
Guidance
Sabra reiterated its full year 2026 guidance previously provided in its July 21, 2026 business update.
AI-generated analysis. How Rhea-AI works. Not financial advice.
FAQ
What were Sabra (SBRA)'s Q2 2026 revenues and earnings?
Sabra reported Q2 2026 revenues of $235.9 million and a net loss of $25.2 million, or $(0.10) per diluted share, compared with net income of $65.5 million in Q2 2025, largely due to a substantial provision for loan losses and other reserves.
How did Sabra (SBRA) perform on FFO and AFFO in Q2 2026?
In Q2 2026, Sabra’s FFO per diluted share was $(0.02), while Normalized AFFO per diluted share was $0.40. Normalized AFFO totaled $103.5 million, slightly above the prior-year quarter’s $91.6 million, reflecting stronger underlying cash earnings despite the GAAP loss.
What drove Sabra (SBRA)'s net loss in Q2 2026?
The Q2 2026 net loss of $25.2 million was mainly driven by a $102.4 million provision for loan losses and other reserves. Without this large non-cash expense, Sabra’s cash-based metrics such as Normalized FFO and Normalized AFFO remained positive and stable.
How much liquidity and leverage does Sabra (SBRA) have as of June 30, 2026?
As of June 30, 2026, Sabra reported about $1.3 billion of liquidity, including $231.6 million of cash, $682.5 million of revolver availability and $411.8 million tied to forward equity. Net Debt to Adjusted EBITDA was 4.61x, with total debt/asset value at 37%.
What investment activity did Sabra (SBRA) complete year to date in 2026?
Sabra closed $599.0 million of investments year to date 2026, with an estimated initial cash yield of 7.5%. Q2 alone saw $274.1 million of senior housing and skilled nursing commitments, and the company was awarded an additional $100 million of investments at about 7.7% yields.
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 8-K
CURRENT REPORT
PURSUANT TO SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934
Date of Report (Date of earliest event reported): August 3, 2026
(Exact name of registrant as specified in its charter)
| (State of Incorporation) | (Commission File Number) | (I.R.S. Employer Identification No.) | ||||||||||||
| (Address of principal executive offices) | (Zip Code) | |||||||||||||||||||
Registrant's telephone number including area code: (888 ) 393-8248
(Former name or former address, if changed since last report.)
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
| Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) | |||||
| Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) | |||||
| Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) | |||||
| Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) | |||||
Securities registered pursuant to Section 12(b) of the Act:
| Title of each class | Trading symbol(s) | Name of each exchange on which registered | ||||||
Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).
| Emerging growth company | |||||
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐
| Item 2.02 | Results of Operations and Financial Condition. | ||||
On August 3, 2026, Sabra Health Care REIT, Inc. (“Sabra”) issued a press release reporting its results of operations for the three month period ended June 30, 2026. The press release refers to the Reconciliations of Non-GAAP Financial Measures that is available on the Investors section of Sabra’s website, free of charge, at www.sabrahealth.com. The text of the press release and the Reconciliations of Non-GAAP Financial Measures are furnished herewith as Exhibits 99.1 and 99.3, respectively, and are specifically incorporated by reference herein.
| Item 7.01 | Regulation FD Disclosure. | ||||
The press release furnished herewith as Exhibit 99.1 refers to a supplemental information package that is available on the Investors section of Sabra’s website, free of charge, at www.sabrahealth.com. The text of the supplemental information package is furnished herewith as Exhibit 99.2 and is specifically incorporated by reference herein.
Sabra intends to present the materials attached to this report as Exhibit 99.4 in investor presentations. The furnishing of these materials is not intended to constitute a representation that such furnishing is required by Regulation FD or other securities laws, or that the presentation materials include material investor information that is not otherwise publicly available. In addition, Sabra does not assume any obligation to update such information in the future.
The information in Items 2.02 and 7.01 of this Form 8-K and the information in Exhibits 99.1, 99.2, 99.3 and 99.4 attached hereto shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), or otherwise subject to the liabilities of that section and shall not be incorporated by reference into any filing of Sabra under the Securities Act of 1933, as amended, or the Exchange Act, regardless of any general incorporation language in such filing, except as shall be expressly set forth by specific reference in any such filing.
| Item 9.01 | Financial Statements and Exhibits. | ||||
| (d) | Exhibits. | |||||||
| 99.1 | Press Release of Sabra Health Care REIT, Inc., dated August 3, 2026. | |||||||
| 99.2 | Sabra Health Care REIT, Inc. Supplemental Information Package, dated June 30, 2026. | |||||||
| 99.3 | Reconciliations of Non-GAAP Financial Measures, dated June 30, 2026. | |||||||
| 99.4 | Investor Presentation. | |||||||
| 104 | Cover Page Interactive Data File (embedded within the Inline XBRL document). | |||||||
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
| SABRA HEALTH CARE REIT, INC. | |||||||||||
| Date: August 3, 2026 | /S/ MICHAEL COSTA | ||||||||||
| Name: | Michael Costa | ||||||||||
| Title: | Chief Financial Officer, Treasurer and Executive Vice President | ||||||||||
Exhibit 99.1
FOR IMMEDIATE RELEASE
SABRA REPORTS SECOND QUARTER 2026 RESULTS; REITERATES 2026 GUIDANCE
TUSTIN, CA, August 3, 2026 — Sabra Health Care REIT, Inc. (“Sabra,” the “Company” or “we”) (Nasdaq: SBRA) today announced its results of operations for the second quarter of 2026.
SECOND QUARTER 2026 RESULTS AND RECENT EVENTS
•Results per diluted common share for the second quarter of 2026 were as follows:
•Net Loss: $(0.10)
•FFO: $(0.02)
•Normalized FFO: $0.38
•AFFO: $0.39
•Normalized AFFO: $0.40
•EBITDARM Coverage Summary:
•Skilled Nursing/Transitional Care: 2.49x
•Senior Housing - Leased: 1.52x
•Behavioral Health, Specialty Hospitals and Other: 4.14x
•On a year-over-year basis, same property managed senior housing Cash NOI increased 13.7% for the second quarter of 2026.
•In the second quarter of 2026, Sabra closed on several senior housing and skilled nursing investments for a total commitment of $274.1 million with an average initial cash yield of 8.1%.
•Subsequent to quarter end, Sabra closed on the acquisition of seven additional managed senior housing properties - including several value-add opportunities - for an aggregate price of $223.0 million. These investments have attractive embedded growth prospects and are expected to achieve unlevered IRRs in the teens.
•Investments closed year to date total $599.0 million, with an estimated initial cash yield of 7.5%.
•Sabra has been awarded an additional $100 million of managed senior housing and skilled nursing investments with an estimated initial cash yield of approximately 7.7%, all of which are expected to close by year end. These investments are currently in the Letter of Intent or later stage, and Sabra expects to fund these investments, if consummated, with available liquidity, including proceeds from outstanding forward sales agreements under its at-the-market equity offering program (“ATM program”).
•During the second quarter of 2026, Sabra exercised its option to reset the rent under its lease with the Avamere Family of Companies (“Avamere”) to a fixed amount tied to the portfolio’s historical performance. The reset increased annualized fixed cash rent to $48 million and was retroactive to February 1, 2026, which compares to $41 million of cash rent paid in 2025. The revised rent amount will be in effect until the Avamere transition outlined in Sabra's July 21, 2026, business update closes.
•During the second quarter of 2026, Sabra utilized the forward feature of the ATM program to allow for the sale of up to 0.9 million shares of the Company’s common stock at an initial weighted average price of $20.72 per share. As of June 30, 2026, 21.4 million shares remained outstanding under forward sale agreements at a weighted average price of $19.24 per share, net of commissions.
1•As of June 30, 2026, Net Debt to Adjusted EBITDA was 4.61x.
•On August 3, 2026, Sabra’s Board of Directors declared a quarterly cash dividend of $0.30 per share of common stock. The dividend will be paid on August 31, 2026, to common stockholders of record as of the close of business on August 14, 2026.
•Sabra is also reiterating its full year 2026 guidance, which was included in Sabra’s July 21, 2026, business update.
Commenting on the second quarter’s results, Rick Matros, CEO and Chair, said, “Sabra delivered another solid quarter. Our same-store managed portfolio cash NOI growth continued to be healthy. Both our consolidated and unconsolidated managed portfolio came in with strong margin growth as well as increased occupancy. Our triple-net skilled nursing portfolio rent coverage increased yet again. The triple-net senior housing portfolio saw drops in occupancy and coverage simply due to the conversion of a high-performing triple-net asset to the managed portfolio. Otherwise, it would have been flat. In aggregate, our top ten tenants again showed increased coverage.
Sabra has now closed on approximately $600 million in investments this year, with another $100 million in the process of closing. Even with the addition of a few value-add opportunities, we are still getting transactions done at attractive yields. Our investment pipeline remains robust and consists almost entirely of senior housing opportunities. Our leverage, which was noted to be down to 4.8x in our recent business update, was 4.6x as of June 30. We look forward to a strong finish for the year.”
LIQUIDITY
As of June 30, 2026, we had approximately $1.3 billion of liquidity, consisting of unrestricted cash and cash equivalents of $231.6 million, available borrowings under our revolving credit facility of $682.5 million and $411.8 million related to shares outstanding under forward sale agreements under the ATM program. As of June 30, 2026, we also had $334.1 million available under our ATM program.
CONFERENCE CALL AND COMPANY INFORMATION
A conference call with a simultaneous webcast to discuss the 2026 second quarter results will be held on Tuesday, August 4, 2026, at 10:00 am Pacific Time. The webcast URL is https://events.q4inc.com/attendee/256627291. The dial-in number for U.S. participants is (888) 880-4448. For participants outside the U.S., the dial-in number is (646) 960-0572. The conference ID number is 1382596. A digital replay of the call will be available on the Company’s website at www.sabrahealth.com. The Company’s supplemental information package for the second quarter will also be available on the Company’s website in the “Investors” section.
ABOUT SABRA
As of June 30, 2026, Sabra’s investment portfolio included 364 real estate properties held for investment (consisting of (i) 207 skilled nursing/transitional care facilities, (ii) 32 senior housing communities (“senior housing - leased”), (iii) 94 senior housing communities operated by third-party property managers pursuant to property management agreements (“senior housing - managed”), (iv) 16 behavioral health facilities and (v) 15 specialty hospitals and other facilities), 11 investments in loans receivable (consisting of one mortgage loans and 10 other loans), four preferred equity investments and two investments in unconsolidated joint ventures. As of June 30, 2026, Sabra’s real estate properties held for investment included 37,043 beds/units, spread across the United States and Canada.
FORWARD-LOOKING STATEMENTS SAFE HARBOR
This release contains “forward-looking” statements as defined in the Private Securities Litigation Reform Act of 1995. Any statements that do not relate to historical or current facts or matters are forward-looking statements. These statements may be identified, without limitation, by the use of “expects,” “believes,” “intends,” “should” or comparable terms or the negative thereof. Examples of forward-looking statements include all statements regarding our other expectations regarding our future financial position (including our earnings guidance for 2026, as well as the assumptions set forth therein); our expectations regarding our results of operations, cash flows, liquidity, business strategy, growth opportunities, potential investments and dispositions; our expectations regarding our investment activity; our expectations regarding the proposed transition of the Avamere properties; and our plans and objectives for future operations.
2Our actual results may differ materially from those projected or contemplated by our forward-looking statements as a result of various factors, including, among others, the following: the ability to reach a definitive agreement for awarded investments and our ability to close such acquisitions on the expected terms or at all; our ability to complete the proposed transition of the Avamere properties on the expected terms or at all; increases in market interest rates and inflation; pandemics or epidemics, and the related impact on our tenants, borrowers and senior housing - managed communities; operational risks with respect to our senior housing - managed communities; increased labor costs and labor shortages; competitive conditions in our industry; the loss of key management personnel; uninsured or underinsured losses affecting our properties; potential impairment charges and adjustments related to the accounting of our assets; risks associated with our investment in our unconsolidated joint ventures; catastrophic weather and other natural or man-made disasters, the effects of climate change on our properties and a failure to implement sustainable and energy-efficient measures; increased operating costs and competition for our tenants, borrowers and senior housing - managed communities; increased healthcare regulation and enforcement; our tenants’ dependency on reimbursement from governmental and other third-party payor programs; the effect of our tenants, operators or borrowers declaring bankruptcy or becoming insolvent; our ability to find replacement tenants and the impact of unforeseen costs in acquiring new properties; the impact of litigation and rising insurance costs on the business of our tenants; the impact of required regulatory approvals of transfers of healthcare properties; environmental compliance costs and liabilities associated with real estate properties we own; our tenants’, borrowers’ or operators’ failure to adhere to applicable privacy and data security laws; a material breach of our or our tenants’, borrowers’ or operators’ information technology; our concentration in the healthcare property sector, particularly in skilled nursing/transitional care facilities and senior housing communities, which makes our profitability more vulnerable to a downturn in a specific sector than if we were investing in multiple industries; the significant amount of and our ability to service our indebtedness; covenants in our debt agreements that may restrict our ability to pay dividends, make investments, incur additional indebtedness and refinance indebtedness on favorable terms; adverse changes in our credit ratings; our ability to make dividend distributions at expected levels; our ability to raise capital through equity and debt financings; changes and uncertainty in macroeconomic conditions and disruptions in the financial markets; risks associated with our ownership of property outside the U.S., including currency fluctuations; the relatively illiquid nature of real estate investments; our ability to maintain our status as a real estate investment trust (“REIT”) under the federal tax laws; compliance with REIT requirements and certain tax and tax regulatory matters related to our status as a REIT; changes in tax laws and regulations affecting REITs; the ownership limits and takeover defenses in our governing documents and under Maryland law, which may restrict change of control or business combination opportunities; and the exclusive forum provisions in our bylaws.
Additional information concerning risks and uncertainties that could affect our business can be found in our filings with the Securities and Exchange Commission (the “SEC”), including in Part I, Item 1A of our Annual Report on Form 10-K for the year ended December 31, 2025. We do not intend, and we undertake no obligation, to update any forward-looking information to reflect events or circumstances after the date of this release or to reflect the occurrence of unanticipated events, unless required by law to do so.
TENANT AND BORROWER INFORMATION
This release includes information regarding certain of our tenants that lease properties from us and our borrowers, most of which are not subject to SEC reporting requirements. The information related to our tenants and borrowers that is provided in this release has been provided by, or derived from information provided by, such tenants and borrowers. We have not independently verified this information. We have no reason to believe that such information is inaccurate in any material respect. We are providing this data for informational purposes only.
NOTE REGARDING NON-GAAP FINANCIAL MEASURES
This release includes the following financial measures defined as non-GAAP financial measures by the SEC: Net Debt to Adjusted EBITDA, funds from operations (“FFO”), Normalized FFO, Adjusted FFO (“AFFO”), Normalized AFFO, FFO per diluted common share, Normalized FFO per diluted common share, AFFO per diluted common share, Normalized AFFO per diluted common share, net operating income (“NOI”) and Cash NOI. These measures may be different than non-GAAP financial measures used by other companies, and the presentation of these measures is not intended to be considered in isolation or as a substitute for financial information prepared and presented in accordance with U.S. generally accepted accounting principles. An explanation of these non-GAAP financial measures is included under “Reporting Definitions” in this release, and reconciliations of these non-GAAP financial measures to the GAAP financial measures we consider most comparable are included on the Investors section of our website at https://ir.sabrahealth.com/investors/financials/quarterly-results.
3CONTACT
Investor & Media Inquiries: (888) 393-8248 or investorinquiries@sabrahealth.com
4SABRA HEALTH CARE REIT, INC.
CONSOLIDATED STATEMENTS OF (LOSS) INCOME
(dollars in thousands, except per share data)
| Three Months Ended June 30, | Six Months Ended June 30, | ||||||||||||||||||||||
| 2026 | 2025 | 2026 | 2025 | ||||||||||||||||||||
| Revenues: | |||||||||||||||||||||||
Rental and related revenues (1) | $ | 101,308 | $ | 99,823 | $ | 196,358 | $ | 195,860 | |||||||||||||||
| Resident fees and services | 128,802 | 78,985 | 245,487 | 156,432 | |||||||||||||||||||
| Interest and other income | 5,756 | 10,342 | 15,774 | 20,401 | |||||||||||||||||||
| Total revenues | 235,866 | 189,150 | 457,619 | 372,693 | |||||||||||||||||||
| Expenses: | |||||||||||||||||||||||
| Depreciation and amortization | 56,379 | 43,586 | 109,510 | 87,080 | |||||||||||||||||||
| Interest | 29,779 | 27,548 | 58,188 | 54,648 | |||||||||||||||||||
| Triple-net portfolio operating expenses | 3,656 | 3,698 | 7,429 | 7,177 | |||||||||||||||||||
| Senior housing - managed portfolio operating expenses | 88,616 | 57,404 | 170,485 | 113,858 | |||||||||||||||||||
| General and administrative | 16,819 | 12,514 | 31,681 | 25,242 | |||||||||||||||||||
| Provision for (recovery of) loan losses and other reserves | 102,445 | (227) | 102,232 | (400) | |||||||||||||||||||
| Impairment of real estate | — | 4,103 | 440 | 4,103 | |||||||||||||||||||
| Total expenses | 297,694 | 148,626 | 479,965 | 291,708 | |||||||||||||||||||
| Other income: | |||||||||||||||||||||||
| Other (expense) income | (2,683) | 14,709 | (2,738) | 14,747 | |||||||||||||||||||
| Net gain on sales of real estate | 37,717 | 9,974 | 37,717 | 9,974 | |||||||||||||||||||
| Total other income | 35,034 | 24,683 | 34,979 | 24,721 | |||||||||||||||||||
| (Loss) income before income from unconsolidated joint ventures and income tax expense | (26,794) | 65,207 | 12,633 | 105,706 | |||||||||||||||||||
| Income from unconsolidated joint ventures | 2,224 | 832 | 4,136 | 1,050 | |||||||||||||||||||
| Income tax expense | (678) | (497) | (1,204) | (910) | |||||||||||||||||||
| Net (loss) income | (25,248) | 65,542 | 15,565 | 105,846 | |||||||||||||||||||
| Net loss attributable to noncontrolling interests | 46 | — | 113 | — | |||||||||||||||||||
| Net (loss) income attributable to Sabra Health Care REIT, Inc. | $ | (25,202) | $ | 65,542 | $ | 15,678 | $ | 105,846 | |||||||||||||||
| Net (loss) income attributable to Sabra Health Care REIT, Inc., per: | |||||||||||||||||||||||
| Basic common share | $ | (0.10) | $ | 0.28 | $ | 0.06 | $ | 0.44 | |||||||||||||||
| Diluted common share | $ | (0.10) | $ | 0.27 | $ | 0.06 | $ | 0.44 | |||||||||||||||
| Weighted average number of common shares outstanding, basic | 252,268,939 | 237,976,314 | 252,202,390 | 237,933,910 | |||||||||||||||||||
| Weighted average number of common shares outstanding, diluted | 252,268,939 | 240,929,866 | 255,755,497 | 240,711,387 | |||||||||||||||||||
(1) See the following page for additional details regarding rental and related revenues.
5SABRA HEALTH CARE REIT, INC.
CONSOLIDATED STATEMENTS OF (LOSS) INCOME - SUPPLEMENTAL INFORMATION
(in thousands)
| Three Months Ended June 30, | Six Months Ended June 30, | ||||||||||||||||||||||
| 2026 | 2025 | 2026 | 2025 | ||||||||||||||||||||
| Cash rental income | $ | 94,079 | $ | 92,397 | $ | 183,843 | $ | 182,468 | |||||||||||||||
| Straight-line rental income | 966 | 1,382 | 1,651 | 2,671 | |||||||||||||||||||
| Recoveries of straight-line rental income receivable and lease intangibles | 1,613 | 1,463 | 1,468 | 1,463 | |||||||||||||||||||
| Above/below market lease amortization | 1,075 | 1,059 | 2,134 | 2,198 | |||||||||||||||||||
| Operating expense recoveries | 3,575 | 3,522 | 7,262 | 7,060 | |||||||||||||||||||
| Rental and related revenues | $ | 101,308 | $ | 99,823 | $ | 196,358 | $ | 195,860 | |||||||||||||||
6SABRA HEALTH CARE REIT, INC.
CONSOLIDATED BALANCE SHEETS
(dollars in thousands, except per share data)
| June 30, 2026 | December 31, 2025 | ||||||||||
| Assets | |||||||||||
Real estate investments, net of accumulated depreciation of $1,297,557 and $1,224,663 as of June 30, 2026 and December 31, 2025, respectively | $ | 4,832,255 | $ | 4,686,377 | |||||||
| Loans receivable and other investments, net | 115,078 | 434,100 | |||||||||
| Investment in unconsolidated joint ventures | 113,889 | 118,166 | |||||||||
| Cash and cash equivalents | 231,584 | 71,537 | |||||||||
| Restricted cash | 6,756 | 6,603 | |||||||||
| Lease intangible assets, net | 82,953 | 65,321 | |||||||||
| Accounts receivable, prepaid expenses and other assets, net | 130,095 | 111,292 | |||||||||
| Total assets | $ | 5,512,610 | $ | 5,493,396 | |||||||
| Liabilities | |||||||||||
| Secured debt, net | $ | 42,233 | $ | 43,275 | |||||||
| Revolving credit facility | 317,475 | 217,584 | |||||||||
| Term loans, net | 1,029,516 | 1,032,311 | |||||||||
| Senior unsecured notes, net | 1,236,940 | 1,235,726 | |||||||||
| Accounts payable and accrued liabilities | 114,953 | 119,329 | |||||||||
| Lease intangible liabilities, net | 19,053 | 21,383 | |||||||||
| Total liabilities | 2,760,170 | 2,669,608 | |||||||||
| Equity | |||||||||||
Preferred stock, $0.01 par value; 10,000,000 shares authorized, zero shares issued and outstanding as of June 30, 2026 and December 31, 2025 | — | — | |||||||||
Common stock, $0.01 par value; 500,000,000 shares authorized, 255,462,756 and 251,697,456 shares issued and outstanding as of June 30, 2026 and December 31, 2025, respectively | 2,555 | 2,517 | |||||||||
| Additional paid-in capital | 4,893,653 | 4,836,270 | |||||||||
| Cumulative distributions in excess of net income | (2,151,582) | (2,013,375) | |||||||||
| Accumulated other comprehensive income (loss) | 6,097 | (3,571) | |||||||||
| Total Sabra Health Care REIT, Inc. stockholders’ equity | 2,750,723 | 2,821,841 | |||||||||
| Noncontrolling interests | 1,717 | 1,947 | |||||||||
| Total equity | 2,752,440 | 2,823,788 | |||||||||
| Total liabilities and equity | $ | 5,512,610 | $ | 5,493,396 | |||||||
7SABRA HEALTH CARE REIT, INC.
CONSOLIDATED STATEMENTS OF CASH FLOWS
(in thousands)
| Six Months Ended June 30, | |||||||||||
| 2026 | 2025 | ||||||||||
| Cash flows from operating activities: | |||||||||||
| Net income | $ | 15,565 | $ | 105,846 | |||||||
| Adjustments to reconcile net income to net cash provided by operating activities: | |||||||||||
| Depreciation and amortization | 109,510 | 87,080 | |||||||||
| Non-cash rental and related revenues | (5,253) | (6,331) | |||||||||
| Non-cash interest income | 1 | 7 | |||||||||
| Non-cash interest expense | 4,738 | 3,455 | |||||||||
| Stock-based compensation expense | 7,187 | 5,415 | |||||||||
| Provision for (recovery of) loan losses and other reserves | 102,232 | (400) | |||||||||
| Net gain on sales of real estate | (37,717) | (9,974) | |||||||||
| Impairment of real estate | 440 | 4,103 | |||||||||
| Income from unconsolidated joint ventures | (4,136) | (1,050) | |||||||||
| Distributions of earnings from unconsolidated joint ventures | 4,220 | 4,022 | |||||||||
| Other non-cash items | — | (17,190) | |||||||||
| Changes in operating assets and liabilities: | |||||||||||
| Accounts receivable, prepaid expenses and other assets, net | (11,922) | (6,867) | |||||||||
| Accounts payable and accrued liabilities | (683) | (6,894) | |||||||||
| Net cash provided by operating activities | 184,182 | 161,222 | |||||||||
| Cash flows from investing activities: | |||||||||||
| Acquisition of real estate and lease intangibles | (292,529) | (61,137) | |||||||||
| Origination and fundings of loans receivable | (994) | (3,110) | |||||||||
| Origination and fundings of preferred equity investments | (669) | (9) | |||||||||
| Additions to real estate | (25,160) | (13,569) | |||||||||
| Escrow deposits for potential investments | (400) | — | |||||||||
| Repayments of loans receivable | 205,081 | 7,048 | |||||||||
| Repayments of preferred equity investments | 2,346 | 1,369 | |||||||||
| Investment in unconsolidated joint ventures | — | (1,241) | |||||||||
| Net proceeds from the sales of real estate | 93,601 | 3,573 | |||||||||
| Proceeds from net investment hedges | — | 4,462 | |||||||||
| Insurance proceeds | 136 | 1,038 | |||||||||
| Net cash used in investing activities | (18,588) | (61,576) | |||||||||
| Cash flows from financing activities: | |||||||||||
| Net borrowings from revolving credit facility | 100,800 | 55,144 | |||||||||
| Principal payments on secured debt | (1,066) | (1,038) | |||||||||
| Payments of deferred financing costs | (92) | (80) | |||||||||
| Contributions from noncontrolling interests | 2 | — | |||||||||
| Distributions to noncontrolling interests | (119) | — | |||||||||
| Payment of contingent consideration | (1,178) | — | |||||||||
| Issuance of common stock, net | 47,705 | 24,211 | |||||||||
| Dividends paid on common stock | (151,314) | (142,754) | |||||||||
| Net cash used in financing activities | (5,262) | (64,517) | |||||||||
| Net increase in cash, cash equivalents and restricted cash | 160,332 | 35,129 | |||||||||
| Effect of foreign currency translation on cash, cash equivalents and restricted cash | (132) | 184 | |||||||||
| Cash, cash equivalents and restricted cash, beginning of period | 78,140 | 66,339 | |||||||||
| Cash, cash equivalents and restricted cash, end of period | $ | 238,340 | $ | 101,652 | |||||||
| Supplemental disclosure of cash flow information: | |||||||||||
| Interest paid | $ | 53,775 | $ | 49,747 | |||||||
| Supplemental disclosure of non-cash investing activities: | |||||||||||
| Decrease in loans receivable and other investments due to acquisition of real estate | $ | 16,600 | $ | — | |||||||
8SABRA HEALTH CARE REIT, INC.
FUNDS FROM OPERATIONS (FFO), NORMALIZED FFO,
ADJUSTED FUNDS FROM OPERATIONS (AFFO) AND NORMALIZED AFFO
(dollars in thousands, except per share data)
| Three Months Ended June 30, | Six Months Ended June 30, | ||||||||||||||||||||||
| 2026 | 2025 | 2026 | 2025 | ||||||||||||||||||||
| Net (loss) income attributable to Sabra Health Care REIT, Inc. | $ | (25,202) | $ | 65,542 | $ | 15,678 | $ | 105,846 | |||||||||||||||
| Add: | |||||||||||||||||||||||
| Depreciation and amortization of real estate assets | 56,379 | 43,586 | 109,510 | 87,080 | |||||||||||||||||||
| Depreciation and amortization of real estate assets related to noncontrolling interests | (122) | — | (244) | — | |||||||||||||||||||
| Depreciation and amortization of real estate assets related to unconsolidated joint ventures | 1,477 | 2,043 | 3,004 | 4,223 | |||||||||||||||||||
| Net gain on sales of real estate | (37,717) | (9,974) | (37,717) | (9,974) | |||||||||||||||||||
| Impairment of real estate | — | 4,103 | 440 | 4,103 | |||||||||||||||||||
| FFO attributable to Sabra Health Care REIT, Inc. | $ | (5,185) | $ | 105,300 | $ | 90,671 | $ | 191,278 | |||||||||||||||
| Recoveries of straight-line rental income receivable and lease intangibles | (1,613) | (1,463) | (1,468) | (1,463) | |||||||||||||||||||
| Provision for (recovery of) loan losses and other reserves | 102,445 | (227) | 100,959 | (400) | |||||||||||||||||||
| Lease termination expense | 2,873 | — | 2,873 | — | |||||||||||||||||||
Other normalizing items (1) | (290) | (14,451) | 943 | (14,449) | |||||||||||||||||||
| Normalized FFO attributable to Sabra Health Care REIT, Inc. | $ | 98,230 | $ | 89,159 | $ | 193,978 | $ | 174,966 | |||||||||||||||
| FFO attributable to Sabra Health Care REIT, Inc. | $ | (5,185) | $ | 105,300 | $ | 90,671 | $ | 191,278 | |||||||||||||||
| Stock-based compensation expense | 4,089 | 2,704 | 7,187 | 5,415 | |||||||||||||||||||
| Non-cash rental and related revenues | (3,654) | (3,903) | (5,253) | (6,331) | |||||||||||||||||||
| Non-cash interest expense | 2,370 | 1,726 | 4,738 | 3,455 | |||||||||||||||||||
| Provision for (recovery of) loan losses and other reserves | 101,172 | (227) | 100,959 | (400) | |||||||||||||||||||
| Other adjustments related to unconsolidated joint ventures | 77 | 128 | 153 | 19 | |||||||||||||||||||
Other adjustments (2) | 638 | (16,528) | 1,145 | (16,082) | |||||||||||||||||||
| AFFO attributable to Sabra Health Care REIT, Inc. | $ | 99,507 | $ | 89,200 | $ | 199,600 | $ | 177,354 | |||||||||||||||
| Lease termination expense | 2,873 | — | 2,873 | — | |||||||||||||||||||
| Write-off of cash interest income receivable | 1,273 | — | — | — | |||||||||||||||||||
Other normalizing items (1) | (193) | 2,441 | 929 | 2,525 | |||||||||||||||||||
| Normalized AFFO attributable to Sabra Health Care REIT, Inc. | $ | 103,460 | $ | 91,641 | $ | 203,402 | $ | 179,879 | |||||||||||||||
| Amounts per diluted common share attributable to Sabra Health Care REIT, Inc.: | |||||||||||||||||||||||
| Net (loss) income | $ | (0.10) | $ | 0.27 | $ | 0.06 | $ | 0.44 | |||||||||||||||
| FFO | $ | (0.02) | $ | 0.44 | $ | 0.35 | $ | 0.79 | |||||||||||||||
| Normalized FFO | $ | 0.38 | $ | 0.37 | $ | 0.76 | $ | 0.73 | |||||||||||||||
| AFFO | $ | 0.39 | $ | 0.37 | $ | 0.78 | $ | 0.73 | |||||||||||||||
| Normalized AFFO | $ | 0.40 | $ | 0.38 | $ | 0.79 | $ | 0.74 | |||||||||||||||
| Weighted average number of common shares outstanding, diluted: | |||||||||||||||||||||||
| Net (loss) income and FFO | 252,268,939 | 240,929,866 | 255,755,497 | 240,711,387 | |||||||||||||||||||
| Normalized FFO | 255,912,180 | 240,929,866 | 255,755,497 | 240,711,387 | |||||||||||||||||||
| AFFO and Normalized AFFO | 256,733,670 | 241,996,970 | 256,640,712 | 241,865,769 | |||||||||||||||||||
(1) Other normalizing items for FFO and AFFO for the three months ended June 30, 2026 include a catch-up adjustment of $1.9 million and $1.8 million, respectively, related to a rent reset under a triple-net lease, each partially offset by a $1.2 million catch-up adjustment related to changes in performance-based assumptions on management’s compensation. Other normalizing items for FFO for the three and six months ended June 30, 2025 include a $17.2 million gain reclassified from other comprehensive loss related to six previously terminated interest rate swaps as the related forecasted transactions were determined to be probable not to occur and $3.2 million of transition expenses related to the transition of Senior Housing - Managed communities to new operators. Other normalizing items for AFFO for the three and six months ended June 30, 2025 include $3.2 million of transition expenses related to the transition of Senior Housing - Managed communities to new operators. In addition, other normalizing items for FFO and AFFO include triple-net operating expenses, net of recoveries.
(2) Other adjustments for the three and six months ended June 30, 2025 include a $17.2 million gain reclassified from other comprehensive loss related to six previously terminated interest rate swaps as the related forecasted transactions were determined to be probable not to occur.
9REPORTING DEFINITIONS
Adjusted EBITDA*
Adjusted EBITDA is calculated as earnings before interest, taxes, depreciation and amortization (“EBITDA”) excluding the impact of merger-related costs, stock-based compensation expense under the Company’s long-term equity award program, and loan loss reserves. Adjusted EBITDA is an important non-GAAP supplemental measure of operating performance.
Behavioral Health
Includes behavioral hospitals that provide inpatient and outpatient care for patients with mental health conditions, chemical dependence or substance addictions and addiction treatment centers that provide treatment services for chemical dependence and substance addictions, which may include inpatient care, outpatient care, medical detoxification, therapy and counseling.
Cash Net Operating Income (“Cash NOI”)*
The Company believes that net income as defined by GAAP is the most appropriate earnings measure. The Company considers Cash NOI an important supplemental measure because it allows investors, analysts and its management to evaluate the operating performance of its investments. The Company defines Cash NOI as total revenues less operating expenses and non-cash revenues and expenses. Cash NOI excludes all other financial statement amounts included in net income and is presented at Sabra’s pro rata share.
EBITDARM
Earnings before interest, taxes, depreciation, amortization, rent and management fees (“EBITDARM”) for a particular facility accruing to the operator/tenant of the property (not the Company), for the period presented. The Company uses EBITDARM in determining EBITDARM Coverage. EBITDARM has limitations as an analytical tool. EBITDARM does not reflect historical cash expenditures or future cash requirements for facility capital expenditures or contractual commitments. In addition, EBITDARM does not represent a property’s net income or cash flows from operations and should not be considered an alternative to those indicators. The Company utilizes EBITDARM to evaluate the core operations of the properties by eliminating management fees, which may vary by operator/tenant and operating structure, and as a supplemental measure of the ability of the Company’s operators/tenants and relevant guarantors to generate sufficient liquidity to meet related obligations to the Company.
EBITDARM Coverage
Represents the ratio of EBITDARM to cash rent for owned facilities (excluding Senior Housing - Managed communities) for the period presented. EBITDARM Coverage is a supplemental measure of a property’s ability to generate cash flows for the operator/tenant (not the Company) to meet the operator’s/tenant’s related cash rent and other obligations to the Company. However, its usefulness is limited by, among other things, the same factors that limit the usefulness of EBITDARM. EBITDARM Coverage includes only Stabilized Facilities and excludes facilities for which data is not available or meaningful.
Funds From Operations (“FFO”) and Adjusted Funds from Operations (“AFFO”)*
The Company believes that net income as defined by GAAP is the most appropriate earnings measure. The Company also believes that funds from operations, or FFO, as defined in accordance with the definition used by the National Association of Real Estate Investment Trusts (“Nareit”), and adjusted funds from operations, or AFFO (and related per share amounts) are important non-GAAP supplemental measures of the Company’s operating performance. Because the historical cost accounting convention used for real estate assets requires straight-line depreciation (except on land), such accounting presentation implies that the value of real estate assets diminishes predictably over time. However, since real estate values have historically risen or fallen with market and other conditions, presentations of operating results for a real estate investment trust that uses historical cost accounting for depreciation could be less informative. Thus, Nareit created FFO as a supplemental measure of operating performance for real estate investment trusts that excludes historical cost depreciation and amortization, among other items, from net income, as defined by GAAP. FFO is defined as net income, computed in accordance with GAAP, excluding gains or losses from real estate dispositions and the Company’s share of gains or losses from real estate dispositions related to its unconsolidated joint ventures, plus real estate depreciation and amortization, net of amounts related to noncontrolling interests, plus the Company’s share of depreciation and amortization related to its unconsolidated joint ventures, and real estate impairment charges of both consolidated and unconsolidated entities when the impairment is directly attributable to decreases in the value of depreciable real estate held by the entity. AFFO is defined as FFO excluding stock-based compensation expense, non-cash rental and related revenues, non-cash interest income, non-cash interest expense, non-cash portion of loss on extinguishment of debt, provision for (recovery of) loan losses and other reserves, non-cash lease termination income and deferred income taxes, as well as other non-cash revenue and expense items (including noncapitalizable acquisition costs, transaction costs related to operator transitions and organizational or other restructuring activities, gain/loss on derivative
10REPORTING DEFINITIONS
instruments, and non-cash revenue and expense amounts related to noncontrolling interests) and the Company’s share of non-cash adjustments related to its unconsolidated joint ventures. The Company believes that the use of FFO and AFFO (and the related per share amounts), combined with the required GAAP presentations, improves the understanding of the Company’s operating results among investors and makes comparisons of operating results among real estate investment trusts more meaningful. The Company considers FFO and AFFO to be useful measures for reviewing comparative operating and financial performance because, by excluding the applicable items listed above, FFO and AFFO can help investors compare the operating performance of the Company between periods or as compared to other companies. While FFO and AFFO are relevant and widely used measures of operating performance of real estate investment trusts, they do not represent cash flows from operations or net income as defined by GAAP and should not be considered an alternative to those measures in evaluating the Company’s liquidity or operating performance. FFO and AFFO also do not consider the costs associated with capital expenditures related to the Company’s real estate assets nor do they purport to be indicative of cash available to fund the Company’s future cash requirements. Further, the Company’s computation of FFO and AFFO may not be comparable to FFO and AFFO reported by other real estate investment trusts that do not define FFO in accordance with the current Nareit definition or that interpret the current Nareit definition or define AFFO differently than the Company does.
Investment
Represents the carrying amount of real estate assets after adding back accumulated depreciation and amortization and excludes net intangible assets and liabilities.
Net Debt*
The principal balances of the Company’s revolving credit facility, term loans, senior unsecured notes, and secured indebtedness as reported in the Company’s consolidated financial statements, net of cash and cash equivalents as reported in the Company’s consolidated financial statements.
Net Debt to Adjusted EBITDA*
The Company believes that net income as defined by GAAP is the most appropriate earnings measure. The Company considers Net Debt to Adjusted EBITDA an important supplemental measure because it provides investors, analysts, and management with a meaningful indicator of the Company’s financial leverage and its capacity to service and repay debt from operating cash flows. Net Debt to Adjusted EBITDA is calculated as Net Debt divided by Annualized Adjusted EBITDA, which is Adjusted EBITDA, as adjusted for annualizing adjustments that give effect to the acquisitions and dispositions completed during the respective period as though such acquisitions and dispositions were completed as of the beginning of the period presented.
Net Operating Income (“NOI”)*
The Company believes that net income as defined by GAAP is the most appropriate earnings measure. The Company considers NOI an important supplemental measure because it allows investors, analysts and its management to evaluate the operating performance of its investments. The Company defines NOI as total revenues less operating expenses. NOI excludes all other financial statement amounts included in net income.
Normalized FFO and Normalized AFFO*
Normalized FFO and Normalized AFFO represent FFO and AFFO, respectively, adjusted for certain income and expense items that the Company does not believe are indicative of its ongoing operating results. The Company considers Normalized FFO and Normalized AFFO to be useful measures to evaluate the Company’s operating results excluding these income and expense items to help investors compare the operating performance of the Company between periods or as compared to other companies. Normalized FFO and Normalized AFFO do not represent cash flows from operations or net income as defined by GAAP and should not be considered an alternative to those measures in evaluating the Company’s liquidity or operating performance. Normalized FFO and Normalized AFFO also do not consider the costs associated with capital expenditures related to the Company’s real estate assets nor do they purport to be indicative of cash available to fund the Company’s future cash requirements. Further, the Company’s computation of Normalized FFO and Normalized AFFO may not be comparable to Normalized FFO and Normalized AFFO reported by other real estate investment trusts that do not define FFO in accordance with the current Nareit definition or that interpret the current Nareit definition or define FFO and AFFO or Normalized FFO and Normalized AFFO differently than the Company does.
Senior Housing
Senior Housing communities include independent living, assisted living, continuing care retirement and memory care communities.
11REPORTING DEFINITIONS
Senior Housing - Managed
Senior Housing communities operated by third-party property managers pursuant to property management agreements.
Skilled Nursing/Transitional Care
Skilled Nursing/Transitional Care facilities include skilled nursing, transitional care, multi-license designation and mental health facilities.
Specialty Hospitals and Other
Includes acute care, long-term acute care and rehabilitation hospitals, facilities that provide residential services, which may include assistance with activities of daily living, and other facilities not classified as Skilled Nursing/Transitional Care, Senior Housing or Behavioral Health.
Stabilized Facility
At the time of acquisition, the Company classifies each facility as either stabilized or non-stabilized. In addition, the Company may classify a facility as non-stabilized after acquisition. Circumstances that could result in a facility being classified as non-stabilized include newly completed developments, facilities undergoing major renovations or additions, facilities being repositioned or transitioned to new operators, and significant transitions within the tenants’ business model. Such facilities are typically reclassified to stabilized upon the earlier of maintaining consistent performance or 24 months after the date of classification as non-stabilized. Stabilized Facilities generally exclude (i) facilities held for sale, (ii) strategic disposition candidates, (iii) facilities being transitioned to a new operator, (iv) facilities being transitioned from being leased by the Company to being operated by the Company and (v) leased facilities acquired during the three months preceding the period presented.
*Non-GAAP Financial Measures
Reconciliations, definitions and important discussions regarding the usefulness and limitations of the Non-GAAP Financial Measures used in this release can be found at https://ir.sabrahealth.com/investors/financials/quarterly-results.
12
2 SABRA 2Q 2026 SUPPLEMENTAL INFORMATION June 30, 2026 03 COMPANY INFORMATION 04 OVERVIEW 05 PORTFOLIO Triple-Net Portfolio Senior Housing - Managed Portfolio Loans and Other Investments NOI Concentrations Geographic Concentrations - Consolidated Portfolio Triple-Net Lease Expirations 12 INVESTMENTS Summary 13 CAPITALIZATION Overview Indebtedness Debt Maturity Credit Metrics and Ratings 17 FINANCIAL INFORMATION Consolidated Financial Statements - Statements of (Loss) Income Consolidated Financial Statements - Balance Sheets Consolidated Financial Statements - Statements of Cash Flows FFO, Normalized FFO, AFFO and Normalized AFFO Components of Net Asset Value (NAV) 23 APPENDIX Disclaimer Reporting Definitions Discussion and Reconciliation of Certain Non-GAAP Financial Measures: CONTENT https://ir.sabrahealth.com/investors/financials/quarterly-results
3 SABRA 2Q 2026 SUPPLEMENTAL INFORMATION June 30, 2026 SENIOR MANAGEMENT Rick Matros Michael Costa Darrin Smith Chief Executive Officer, President Chief Financial Officer, Treasurer Chief Investment Officer, Secretary and Chair and Executive Vice President and Executive Vice President Jessica Flores Chief Accounting Officer and Executive Vice President BOARD OF DIRECTORS Rick Matros Michael Foster Jeffrey Malehorn Chief Executive Officer, President Lead Independent Director Director and Chair Craig Barbarosh Lynne Katzmann Director Director Katie Cusack Ann Kono Director Director CONTACT INFORMATION Sabra Health Care REIT, Inc. Transfer Agent 1781 Flight Way Equiniti Trust Company, LLC Tustin, CA 92782 P.O. Box 500 888.393.8248 Newark, NJ 07101 sabrahealth.com 800.937.5449 equiniti.com COMPANY INFORMATION
4 SABRA 2Q 2026 SUPPLEMENTAL INFORMATION June 30, 2026 Financial Metrics Reflect Sabra’s pro rata share; dollars in thousands, except per share data June 30, 2026 Three Months Ended Six Months Ended Revenues $ 235,530 $ 456,966 Net operating income 147,985 288,259 Cash net operating income 144,340 283,023 Diluted per share data: EPS $ (0.10) $ 0.06 FFO (0.02) 0.35 Normalized FFO 0.38 0.76 AFFO 0.39 0.78 Normalized AFFO 0.40 0.79 Dividends per common share 0.30 0.60 Capitalization and Market Facts Key Credit Metrics (1) June 30, 2026 June 30, 2026 Common shares outstanding 255.5 million Net Debt to Adjusted EBITDA 4.61x Common equity Market Capitalization $5.0 billion Interest Coverage 4.63x Consolidated Debt $2.6 billion Fixed Charge Coverage Ratio 4.54x Consolidated Enterprise Value $7.4 billion Total Debt/Asset Value 37 % Secured Debt/Asset Value 1 % Common stock closing price $19.51 Unencumbered Assets/Unsecured Debt 265 % Common stock 52-week range $17.17 - $21.28 Common stock ticker symbol SBRA Portfolio Dollars in thousands, units and Cash NOI reflect Sabra’s pro rata share Three Months Ended June 30, 2026As of June 30, 2026 Property Count Investment Beds/Units Cash NOI Investment in Real Estate Properties, gross Triple-Net Portfolio: Skilled Nursing/Transitional Care 207 $ 2,819,686 23,124 $ 68,843 Senior Housing - Leased 32 360,736 2,623 8,604 Behavioral Health 16 473,813 1,159 11,615 Specialty Hospitals and Other 15 225,498 392 4,940 Total Triple-Net Portfolio 270 3,879,733 27,298 Senior Housing - Managed 94 2,247,573 9,745 40,066 Consolidated Real Estate Investments 364 6,127,306 37,043 Unconsolidated Joint Venture Senior Housing - Managed 16 199,458 1,256 4,515 Total Equity Investments 380 6,326,764 38,299 Investments in Loans Receivable, gross 11 47,938 Preferred Equity Investments, gross (2) 4 67,224 Includes 61 relationships in 40 U.S. states and CanadaTotal Investments 395 $ 6,441,926 (1) See page 16 of this supplement for important information about these credit metrics. (2) Our preferred equity investments include investments in entities owning four Senior Housing developments with 625 aggregate units. OVERVIEW
5 SABRA 2Q 2026 SUPPLEMENTAL INFORMATION June 30, 2026 Operating Statistics Twelve Months Ended March 31, 2025 June 30, 2025 September 30, 2025 December 31, 2025 March 31, 2026 Occupancy Skilled Nursing/Transitional Care 82.6 % 83.0 % 83.4 % 83.9 % 83.9 % Senior Housing - Leased 90.1 % 88.7 % 89.0 % 89.3 % 88.3 % Behavioral Health, Specialty Hospitals and Other 77.5 % 76.4 % 76.5 % 76.0 % 81.7 % Skilled Mix Skilled Nursing/Transitional Care 38.1 % 38.3 % 38.3 % 38.3 % 38.5 % PORTFOLIO Triple-Net Portfolio (1) (1) Occupancy Percentage and Skilled Mix (together, “Operating Statistics”) and EBITDARM Coverage for each period presented include only Stabilized Facilities owned by the Company as of the end of the quarter following the period presented and only for the duration such facilities were owned by the Company and classified as Stabilized Facilities. EBITDARM Coverage Twelve Months Ended March 31, 2025 June 30, 2025 September 30, 2025 December 31, 2025 March 31, 2026 Skilled Nursing/Transitional Care 2.27x 2.35x 2.38x 2.46x 2.49x Senior Housing - Leased 1.49x 1.52x 1.52x 1.58x 1.52x Behavioral Health, Specialty Hospitals and Other 3.87x 3.90x 3.99x 4.00x 4.14x Key Triple-Net Relationships EBITDARM Coverage Twelve Months Ended Relationship Primary Property Type December 31, 2025 March 31, 2026 Avamere Family of Companies Skilled Nursing 1.83x 1.75x Ensign Group Skilled Nursing 2.97x 3.10x Signature Healthcare Skilled Nursing 2.69x 2.70x Signature Behavioral Behavioral Hospitals 1.55x 1.53x The McGuire Group Skilled Nursing 2.16x 2.14x Healthmark Group Skilled Nursing 1.69x 1.73x Focused Post Acute Care Partners Skilled Nursing 2.41x 2.76x Cadia Healthcare Skilled Nursing 1.81x 1.73x Southern Healthcare Skilled Nursing 3.37x 3.55x Communicare Skilled Nursing 2.14x 2.11x Other Mulitple 3.44x 3.57x Total 2.62x 2.66x
6 SABRA 2Q 2026 SUPPLEMENTAL INFORMATION June 30, 2026 PORTFOLIO Senior Housing - Managed Portfolio (1) Same store Senior Housing - Managed portfolio includes Stabilized Facilities owned as the same property type for the full period in all comparison periods. Resident fees and services, Cash NOI and REVPOR have been adjusted for changes in the foreign currency exchange rate where applicable by applying the average exchange rate for the current period to prior period results. Operating Performance Reflects Sabra’s pro rata share, except number of properties; dollars in thousands Three Months Ended June 30, 2025 September 30, 2025 December 31, 2025 March 31, 2026 June 30, 2026 Consolidated Portfolio Number of Properties 73 83 87 90 94 Number of Units 6,981 8,282 8,677 9,078 9,745 Recurring capital expenditures $ 1,271 $ 1,965 $ 2,140 $ 2,098 $ 2,613 Nonrecurring capital expenditures $ 3,180 $ 4,955 $ 10,332 $ 4,942 $ 7,801 Occupancy 82.8 % 83.5 % 84.8 % 84.5 % 85.4 % Resident fees and services $ 78,985 $ 91,900 $ 108,122 $ 116,368 $ 128,466 Cash NOI $ 21,581 $ 26,032 $ 31,527 $ 34,717 $ 40,066 Cash NOI Margin % 27.3 % 28.3 % 29.2 % 29.8 % 31.2 % Unconsolidated Portfolio Number of Properties 16 16 16 16 16 Number of Units 1,256 1,256 1,256 1,256 1,256 Recurring capital expenditures $ 196 $ 278 $ 306 $ 259 $ 215 Nonrecurring capital expenditures $ 247 $ 302 $ 376 $ 151 $ 378 Occupancy 91.0 % 92.9 % 93.5 % 93.0 % 93.2 % Resident fees and services $ 10,989 $ 11,524 $ 11,611 $ 11,978 $ 12,206 Cash NOI $ 3,764 $ 4,039 $ 4,065 $ 4,266 $ 4,515 Cash NOI Margin % 34.3 % 35.0 % 35.0 % 35.6 % 37.0 % Same Store Operating Performance (1) Reflects Sabra’s pro rata share, except number of properties; dollars in thousands, except REVPOR Three Months Ended June 30, 2025 September 30, 2025 December 31, 2025 March 31, 2026 June 30, 2026 Number of Properties 71 71 71 71 71 Number of Available Units 6,452 6,453 6,452 6,453 6,453 REVPOR $ 4,612 $ 4,634 $ 4,721 $ 4,814 $ 4,914 Occupancy 86.5 % 87.2 % 88.2 % 88.0 % 88.2 % Resident fees and services $ 77,201 $ 78,255 $ 80,647 $ 82,023 $ 83,861 Cash NOI $ 25,110 $ 25,190 $ 26,281 $ 26,706 $ 28,560 Cash NOI Margin % 32.5 % 32.2 % 32.6 % 32.6 % 34.1 % Key Senior Housing - Managed Relationships As of June 30, 2026 Number of Properties Sienna Senior Living 21 Inspirit Senior Living 19 Traditions Management 14 Discovery Senior Living 12 Health Dimensions Group 6 Other 38 Total 110
7 SABRA 2Q 2026 SUPPLEMENTAL INFORMATION June 30, 2026 PORTFOLIO Loans and Other Investments Loans Receivable and Other Investments Dollars in thousands As of June 30, 2026 Loan Type Number of Loans Property Type Principal Balance Book Value Weighted Average Contractual Interest Rate Weighted Average Annualized Effective Interest Rate Interest Income Three Months Ended June 30, 2026 (1) Maturity Date Mortgage 1 Behavioral Health $ 19,000 $ 19,000 10.0 % 10.0 % $ 480 01/31/27 Other 10 Multiple 36,218 34,110 7.3 % 6.6 % 597 08/31/26 - 08/31/33 11 55,218 53,110 8.2 % 7.8 % $ 1,077 Allowance for loan losses — (5,256) $ 55,218 $ 47,854 Other Investment Type Number of Investments Property Type Total Funding Commitments Total Amount Funded Book Value Rate of Return Other Income Three Months Ended June 30, 2026 (1) Preferred Equity 4 Senior Housing $ 55,263 $ 49,455 $ 67,224 11.0 % $ 1,764 (1) Includes income related to loans receivable and other investments held as of June 30, 2026.
8 SABRA 2Q 2026 SUPPLEMENTAL INFORMATION June 30, 2026 The Ensign Group: 7.5% Signature Healthcare: 7.2% Signature Behavioral: 6.1% The McGuire Group: 3.6% Healthmark Group: 3.1% Managed (No Operator Credit Exposure): 32.8% Other: 31.3% Avamere Family of Companies: 8.4% RELATIONSHIP CONCENTRATION PROPERTY TYPE CONCENTRATION PAYOR SOURCE CONCENTRATION (2) PORTFOLIO NOI Concentrations (1) As of June 30, 2026 (1) Relationship and asset class concentrations include real estate investments and investments in loans receivable and other investments. Relationship concentrations use Annualized Cash NOI, and asset class concentrations use Annualized Cash NOI, as adjusted to reflect Annualized Cash NOI from our mortgage and construction loans receivable and preferred equity investments in the related asset class of the underlying real estate. Payor source concentration excludes Annualized Cash NOI from investments in loans receivable and other investments. (2) Tenant payor source allocation presented one quarter in arrears. Behavioral Health: 8.6% Senior Housing - Leased: 7.0% Specialty Hospital and Other: 3.5% Other: 0.4% Skilled Nursing/Transitional Care: 47.7% Senior Housing - Managed: 32.8% Private Pay: 52.4% Non-Private: 47.6%
9 SABRA 2Q 2026 SUPPLEMENTAL INFORMATION June 30, 2026 PORTFOLIO Geographic Concentrations - Consolidated Portfolio Property Type As of June 30, 2026 Location Skilled Nursing/ Transitional Care Senior Housing - Leased Senior Housing - Managed Consolidated Behavioral Health Specialty Hospitals and Other Total % of Total Texas 34 3 7 — 13 57 15.7 % Kentucky 23 2 1 1 1 28 7.7 California 23 — 1 3 1 28 7.7 Indiana 15 1 7 2 — 25 6.9 Oregon 15 1 3 — — 19 5.2 North Carolina 13 — 2 — — 15 4.1 Washington 10 — 2 — — 12 3.3 Michigan 1 5 5 — — 11 3.0 Missouri 8 — 2 1 — 11 3.0 Virginia 6 — 4 — — 10 2.7 Other (30 states & Canada) 59 20 60 9 — 148 40.7 Total 207 32 94 16 15 364 100.0 % % of Total 56.9 % 8.8 % 25.8 % 4.4 % 4.1 % 100.0 % Distribution of Beds/Units As of June 30, 2026 Property Type Location Total Number of Properties Skilled Nursing/ Transitional Care Senior Housing - Leased Senior Housing - Managed Consolidated Behavioral Health Specialty Hospitals and Other Total % of Total Texas 57 4,204 350 856 — 325 5,735 15.5 % Kentucky 28 2,476 225 142 60 40 2,943 7.9 Indiana 25 1,535 137 1,004 138 — 2,814 7.6 California 28 1,924 — 102 334 27 2,387 6.4 Oregon 19 1,520 215 162 — — 1,897 5.1 North Carolina 15 1,454 — 237 — — 1,691 4.6 New York 10 1,576 — 107 — — 1,683 4.5 Washington 12 1,123 — 165 — — 1,288 3.5 Virginia 10 894 — 246 — — 1,140 3.1 Missouri 11 703 — 311 82 — 1,096 3.0 Other (30 states & Canada) 149 5,715 1,696 6,413 545 — 14,369 38.8 Total 364 23,124 2,623 9,745 1,159 392 37,043 100.0 % % of Total 62.4 % 7.1 % 26.3 % 3.1 % 1.1 % 100.0 %
10 SABRA 2Q 2026 SUPPLEMENTAL INFORMATION June 30, 2026 PORTFOLIO Geographic Concentrations - Consolidated Portfolio Continued Investment Dollars in thousands As of June 30, 2026 Property Type Location Total Number of Properties Skilled Nursing/ Transitional Care Senior Housing - Leased Senior Housing - Managed Consolidated Behavioral Health Specialty Hospitals and Other Total % of Total Texas 57 $ 362,811 $ 27,335 $ 208,332 $ — $ 187,387 $ 785,865 12.8 % California 28 412,859 — 40,028 217,699 7,798 678,384 11.1 Indiana 25 218,842 33,604 247,693 12,156 — 512,295 8.4 Oregon 19 261,316 33,002 53,557 — — 347,875 5.7 Kentucky 28 237,577 44,714 24,526 9,373 30,313 346,503 5.6 New York 10 298,545 — 22,256 — — 320,801 5.2 Ohio 6 13,447 — 197,075 — — 210,522 3.4 North Carolina 15 125,549 — 76,272 — — 201,821 3.3 Florida 9 — 27,352 149,593 5,744 — 182,689 3.0 Michigan 11 27,591 33,661 120,710 — — 181,962 3.0 Other (30 states and Canada) (1) 156 861,149 161,068 1,107,531 228,841 — 2,358,589 38.5 Total 364 $ 2,819,686 $ 360,736 $ 2,247,573 $ 473,813 $ 225,498 $ 6,127,306 100.0 % % of Total 46.0 % 5.9 % 36.7 % 7.7 % 3.7 % 100.0 % (1) Investment balance in Canada is based on the exchange rate as of June 30, 2026 of $0.7033 per 1 CAD.
11 SABRA 2Q 2026 SUPPLEMENTAL INFORMATION June 30, 2026 PORTFOLIO Triple-Net Lease Expirations Triple-Net Lease Expirations Dollars in thousands Skilled Nursing/ Transitional Care Senior Housing - Leased Behavioral Health Specialty Hospitals and Other Total Annualized RevenuesAs of June 30, 2026 % of Total 07/01/26 - 12/31/26 (1) $ 2,946 $ — $ 5,330 $ — $ 8,276 2.3 % 2027 6,432 4,766 — — 11,198 3.0 2028 24,286 1,198 — 3,703 29,187 7.9 2029 49,977 2,678 — 6,449 59,104 16.0 2030 — — — 4,883 4,883 1.3 2031 94,780 5,740 — — 100,520 27.3 2032 8,067 1,836 34,475 3,938 48,316 13.1 2033 — 3,944 5,077 — 9,021 2.5 2034 4,454 2,256 — — 6,710 1.8 2035 11,037 1,506 — 786 13,329 3.6 Thereafter 68,203 8,165 1,590 — 77,958 21.2 Total Annualized Revenues $ 270,182 $ 32,089 $ 46,472 $ 19,759 $ 368,502 100.0 % (1) Includes leases on a month-to-month term.
12 SABRA 2Q 2026 SUPPLEMENTAL INFORMATION June 30, 2026 INVESTMENTS Summary Investment Activity Dollars in thousands Investment Number of Properties Beds/Units 2026 Amounts Invested (1) Expected Initial Cash Yield Real Estate Senior Housing - Managed 1Q 2026 3 379 $ 76,000 7.88 % 2Q 2026 (2) 4 553 145,000 7.27 % Skilled Nursing / Transitional Care 1Q 2026 (3) 1 133 19,500 8.50 % 2Q 2026 (4) 3 273 53,700 9.35 % Additions to Real Estate (5) N/A N/A 1,607 9.50 % 295,807 7.90 % Preferred Equity Investment (6) 1 109 652 13.00 % Loans Receivable Fundings N/A N/A 994 9.90 % All Investments through June 30, 2026 $ 297,453 7.91 % (1) Excludes capitalized acquisition costs and origination fees. (2) Excludes Sabra’s purchase of the operations of one Senior Housing - Managed community previously leased under a triple-net operating lease for $16.3 million. Concurrent with the purchase, the triple-net operating lease was terminated and Sabra entered into a property management agreement with the former tenant. (3) Yield increases to 9.0% in year two and 9.6% in year three. (4) Includes (i) the exercise of Sabra's option to purchase one facility, of which $16.6 million was used to repay our loan investment and (ii) the purchase of bed rights and land related to the development of one facility with a total project budget of $40.3 million and an expected capacity of 124 beds upon completion. (5) Excludes capital expenditures for the Senior Housing - Managed portfolio and recurring capital expenditures for the Triple-Net portfolio. (6) Sabra has committed to fund a $6.5 million investment in the development of a Senior Housing community. Unit count reflects expected capacity at the completion of development. Sabra has the option to purchase the development at fair market value upon achievement of specified milestones.
13 SABRA 2Q 2026 SUPPLEMENTAL INFORMATION June 30, 2026 CAPITALIZATION Overview Consolidated Debt Dollars in thousands As of June 30, 2026 Secured debt $ 42,955 Revolving credit facility 317,475 Term loans 1,035,495 Senior unsecured notes 1,250,000 Total 2,645,925 Deferred financing costs and premiums/discounts, net (19,761) Total, net $ 2,626,164 Revolving Credit Facility Dollars in thousands As of June 30, 2026 Credit facility availability $ 682,525 Credit facility capacity 1,000,000 Enterprise Value Dollars in thousands, except per share amounts As of June 30, 2026 Shares Outstanding Price Value Common stock 255,462,756 $ 19.51 $ 4,984,078 Consolidated Debt 2,645,925 Cash and cash equivalents (231,584) Consolidated Enterprise Value $ 7,398,419 Common Stock and Equivalents Weighted Average Common Shares Three Months Ended June 30, 2026 Six Months Ended June 30, 2026 EPS and FFO Normalized FFO AFFO and Normalized AFFO EPS, FFO and Normalized FFO AFFO and Normalized AFFO Basic common stock 252,268,939 252,268,939 252,268,939 252,202,390 252,202,390 Dilutive securities: Restricted stock units — 2,562,480 3,383,970 2,524,248 3,409,463 Forward equity sale agreements — 1,080,761 1,080,761 1,028,859 1,028,859 Diluted common and common equivalents 252,268,939 255,912,180 256,733,670 255,755,497 256,640,712 At-The-Market Common Stock Offering Program Dollars in thousands, except per share amounts Three Months Ended June 30, 2026 Shares issued 3,215,439 Net proceeds $ 56,254 Weighted average price per share, net of commissions $ 17.50 Availability as of June 30, 2026 $ 334,082 Forward sales agreements as of June 30, 2026 Shares outstanding 21,405,904 Weighted average price per share, net of commissions $ 19.24
14 SABRA 2Q 2026 SUPPLEMENTAL INFORMATION June 30, 2026 CAPITALIZATION Indebtedness Fixed | Variable Rate Debt Dollars in thousands Weighted Average Effective Interest Rate (1)As of June 30, 2026 Principal % of Total Fixed Rate Debt Secured debt $ 42,955 3.37 % 1.6 % Senior unsecured notes 1,250,000 3.57 % 47.3 % Total fixed rate debt 1,292,955 3.56 % 48.9 % Variable Rate Debt (2) Revolving credit facility 317,475 4.68 % 12.0 % Term loans 1,035,495 4.37 % 39.1 % Total variable rate debt 1,352,970 4.44 % 51.1 % Consolidated Debt $ 2,645,925 4.01 % 100.0 % Secured | Unsecured Debt Dollars in thousands Weighted Average Effective Interest Rate (1)As of June 30, 2026 Principal % of Total Secured Debt Secured debt $ 42,955 3.37 % 1.6 % Unsecured Debt Senior unsecured notes 1,250,000 3.57 % 47.3 % Revolving credit facility 317,475 4.68 % 12.0 % Term loans 1,035,495 4.37 % 39.1 % Total unsecured debt 2,602,970 4.02 % 98.4 % Consolidated Debt $ 2,645,925 4.01 % 100.0 % (1) Weighted average effective interest rate includes private mortgage insurance and impact of interest rate hedges. (2) Variable rate debt includes $930.0 million subject to interest rate swaps that fix SOFR at a weighted average rate of 3.20%, and $105.5 million (CAD $150.0 million) subject to swap agreements that fix CORRA at 2.59% as of June 30, 2026. Excluding these amounts, variable rate debt was 12.0% of Consolidated Debt as of June 30, 2026.
15 SABRA 2Q 2026 SUPPLEMENTAL INFORMATION June 30, 2026 CAPITALIZATION Debt Maturity Debt Maturity Schedule Dollars in thousands Secured Debt Senior Unsecured Notes Term Loans Revolving Credit Facility (1) Consolidated Debt As of June 30, 2026 Principal Rate (2) Principal Rate (2) Principal Rate (2) Principal Rate (2) Principal Rate (2) 07/01/26 - 12/31/26 $ 1,081 3.37 % $ — — $ — — $ — — $ 1,081 3.37 % 2027 2,206 3.38 % 100,000 5.38 % — — 317,475 4.68 % 419,681 4.84 % 2028 2,266 3.40 % — — 535,495 4.12 % — — 537,761 4.12 % 2029 2,328 3.42 % 350,000 3.90 % — — — — 352,328 3.90 % 2030 2,392 3.44 % — — 500,000 4.64 % — — 502,392 4.63 % 2031 2,093 3.46 % 800,000 3.20 % — — — — 802,093 3.20 % 2032 1,887 3.47 % — — — — — — 1,887 3.47 % 2033 1,940 3.48 % — — — — — — 1,940 3.48 % 2034 1,995 3.50 % — — — — — — 1,995 3.50 % 2035 2,026 3.52 % — — — — — — 2,026 3.52 % Thereafter 22,741 3.69 % — — — — — — 22,741 3.69 % Total $ 42,955 $ 1,250,000 $ 1,035,495 $ 317,475 $ 2,645,925 Wtd. avg. maturity/years 19.0 4.5 2.8 0.5 3.6 Wtd. avg. interest rate (2) 3.37 % 3.57 % 4.37 % 4.68 % 4.01 % (1) Revolving Credit Facility is subject to two six-month extension options. (2) Includes private mortgage insurance and impact of interest rate hedges.
16 SABRA 2Q 2026 SUPPLEMENTAL INFORMATION June 30, 2026 Key Credit Metrics (1) June 30, 2026 Net Debt to Adjusted EBITDA (2) 4.61x Interest Coverage 4.63x Fixed Charge Coverage Ratio 4.54x Total Debt/Asset Value 37 % Secured Debt/Asset Value 1 % Unencumbered Assets/Unsecured Debt 265 % Cost of Permanent Consolidated Debt (3) 3.92 % Unsecured Notes Ratings S&P (Positive outlook) BBB- Fitch (Stable outlook) BBB- Moody’s (Stable outlook) Baa3 CAPITALIZATION Credit Metrics and Ratings (1) Key credit metrics (except Net Debt to Adjusted EBITDA) are calculated in accordance with the credit agreement relating to the revolving credit facility and the indentures relating to our senior unsecured notes. In addition, key credit metrics give effect to dispositions and acquisitions completed after the period presented as though such dispositions and acquisitions occurred at the beginning of the period. (2) Based on the annualized trailing three-month period ended as of the date indicated. (3) Excludes revolving credit facility balance that had an interest rate of 4.68% as of June 30, 2026.
17 SABRA 2Q 2026 SUPPLEMENTAL INFORMATION June 30, 2026 FINANCIAL INFORMATION Consolidated Financial Statements Consolidated Statements of (Loss) Income Dollars in thousands, except per share data Three Months Ended June 30, Six Months Ended June 30, 2026 2025 2026 2025 Revenues: Rental and related revenues (1) $ 101,308 $ 99,823 $ 196,358 $ 195,860 Resident fees and services 128,802 78,985 245,487 156,432 Interest and other income 5,756 10,342 15,774 20,401 Total revenues 235,866 189,150 457,619 372,693 Expenses: Depreciation and amortization 56,379 43,586 109,510 87,080 Interest 29,779 27,548 58,188 54,648 Triple-net portfolio operating expenses 3,656 3,698 7,429 7,177 Senior housing - managed portfolio operating expenses 88,616 57,404 170,485 113,858 General and administrative 16,819 12,514 31,681 25,242 Provision for (recovery of) loan losses and other reserves 102,445 (227) 102,232 (400) Impairment of real estate — 4,103 440 4,103 Total expenses 297,694 148,626 479,965 291,708 Other income: Other (expense) income (2,683) 14,709 (2,738) 14,747 Net gain on sales of real estate 37,717 9,974 37,717 9,974 Total other income 35,034 24,683 34,979 24,721 (Loss) income before income from unconsolidated joint ventures and income tax expense (26,794) 65,207 12,633 105,706 Income from unconsolidated joint ventures 2,224 832 4,136 1,050 Income tax expense (678) (497) (1,204) (910) Net (loss) income (25,248) 65,542 15,565 105,846 Net loss attributable to noncontrolling interests 46 — 113 — Net (loss) income attributable to Sabra Health Care REIT, Inc. $ (25,202) $ 65,542 $ 15,678 $ 105,846 Net (loss) income attributable to Sabra Health Care REIT, Inc., per: Basic common share $ (0.10) $ 0.28 $ 0.06 $ 0.44 Diluted common share $ (0.10) $ 0.27 $ 0.06 $ 0.44 Weighted average number of common shares outstanding, basic 252,268,939 237,976,314 252,202,390 237,933,910 Weighted average number of common shares outstanding, diluted 252,268,939 240,929,866 255,755,497 240,711,387 (1) See page 18 for additional details regarding Rental and related revenues.
18 SABRA 2Q 2026 SUPPLEMENTAL INFORMATION June 30, 2026 FINANCIAL INFORMATION Consolidated Financial Statements Consolidated Statements of (Loss) Income - Supplemental Information Dollars in thousands Three Months Ended June 30, Six Months Ended June 30, 2026 2025 2026 2025 Cash rental income $ 94,079 $ 92,397 $ 183,843 $ 182,468 Straight-line rental income 966 1,382 1,651 2,671 Recoveries of straight-line rental income receivable and lease intangibles 1,613 1,463 1,468 1,463 Above/below market lease amortization 1,075 1,059 2,134 2,198 Operating expense recoveries 3,575 3,522 7,262 7,060 Rental and related revenues $ 101,308 $ 99,823 $ 196,358 $ 195,860
19 SABRA 2Q 2026 SUPPLEMENTAL INFORMATION June 30, 2026 FINANCIAL INFORMATION Consolidated Financial Statements Consolidated Balance Sheets Dollars in thousands, except per share data June 30, 2026 December 31, 2025 Assets Real estate investments, net of accumulated depreciation of $1,297,557 and $1,224,663 as of June 30, 2026 and December 31, 2025, respectively $ 4,832,255 $ 4,686,377 Loans receivable and other investments, net 115,078 434,100 Investment in unconsolidated joint ventures 113,889 118,166 Cash and cash equivalents 231,584 71,537 Restricted cash 6,756 6,603 Lease intangible assets, net 82,953 65,321 Accounts receivable, prepaid expenses and other assets, net 130,095 111,292 Total assets $ 5,512,610 $ 5,493,396 Liabilities Secured debt, net $ 42,233 $ 43,275 Revolving credit facility 317,475 217,584 Term loans, net 1,029,516 1,032,311 Senior unsecured notes, net 1,236,940 1,235,726 Accounts payable and accrued liabilities 114,953 119,329 Lease intangible liabilities, net 19,053 21,383 Total liabilities 2,760,170 2,669,608 Equity Preferred stock, $0.01 par value; 10,000,000 shares authorized, zero shares issued and outstanding as of June 30, 2026 and December 31, 2025 — — Common stock, $0.01 par value; 500,000,000 shares authorized, 255,462,756 and 251,697,456 shares issued and outstanding as of June 30, 2026 and December 31, 2025, respectively 2,555 2,517 Additional paid-in capital 4,893,653 4,836,270 Cumulative distributions in excess of net income (2,151,582) (2,013,375) Accumulated other comprehensive income (loss) 6,097 (3,571) Total Sabra Health Care REIT, Inc. stockholders’ equity 2,750,723 2,821,841 Noncontrolling interests 1,717 1,947 Total equity 2,752,440 2,823,788 Total liabilities and equity $ 5,512,610 $ 5,493,396
20 SABRA 2Q 2026 SUPPLEMENTAL INFORMATION June 30, 2026 FINANCIAL INFORMATION Consolidated Financial Statements Consolidated Statements of Cash Flows Dollars in thousands Six Months Ended June 30, 2026 2025 Cash flows from operating activities: Net income $ 15,565 $ 105,846 Adjustments to reconcile net income to net cash provided by operating activities: Depreciation and amortization 109,510 87,080 Non-cash rental and related revenues (5,253) (6,331) Non-cash interest income 1 7 Non-cash interest expense 4,738 3,455 Stock-based compensation expense 7,187 5,415 Provision for (recovery of) loan losses and other reserves 102,232 (400) Net gain on sales of real estate (37,717) (9,974) Impairment of real estate 440 4,103 Income from unconsolidated joint ventures (4,136) (1,050) Distributions of earnings from unconsolidated joint ventures 4,220 4,022 Other non-cash items — (17,190) Changes in operating assets and liabilities: Accounts receivable, prepaid expenses and other assets, net (11,922) (6,867) Accounts payable and accrued liabilities (683) (6,894) Net cash provided by operating activities 184,182 161,222 Cash flows from investing activities: Acquisition of real estate and lease intangibles (292,529) (61,137) Origination and fundings of loans receivable (994) (3,110) Origination and fundings of preferred equity investments (669) (9) Additions to real estate (25,160) (13,569) Escrow deposits for potential investments (400) — Repayments of loans receivable 205,081 7,048 Repayments of preferred equity investments 2,346 1,369 Investment in unconsolidated joint ventures — (1,241) Net proceeds from the sales of real estate 93,601 3,573 Proceeds from net investment hedges — 4,462 Insurance proceeds 136 1,038 Net cash used in investing activities (18,588) (61,576) Cash flows from financing activities: Net borrowings from revolving credit facility 100,800 55,144 Principal payments on secured debt (1,066) (1,038) Payments of deferred financing costs (92) (80) Contributions from noncontrolling interests 2 — Distributions to noncontrolling interests (119) — Payment of contingent consideration (1,178) — Issuance of common stock, net 47,705 24,211 Dividends paid on common stock (151,314) (142,754) Net cash used in financing activities (5,262) (64,517) Net increase in cash, cash equivalents and restricted cash 160,332 35,129 Effect of foreign currency translation on cash, cash equivalents and restricted cash (132) 184 Cash, cash equivalents and restricted cash, beginning of period 78,140 66,339 Cash, cash equivalents and restricted cash, end of period $ 238,340 $ 101,652 Supplemental disclosure of cash flow information: Interest paid $ 53,775 $ 49,747 Supplemental disclosure of non-cash investing activities: Decrease in loans receivable and other investments due to acquisition of real estate $ 16,600 $ —
21 SABRA 2Q 2026 SUPPLEMENTAL INFORMATION June 30, 2026 FINANCIAL INFORMATION FFO, Normalized FFO, AFFO and Normalized AFFO (1) Other normalizing items for FFO and AFFO for the three months ended June 30, 2026 include a catch-up adjustment of $1.9 million and $1.8 million, respectively, related to a rent reset under a triple-net lease, each partially offset by a $1.2 million catch-up adjustment related to changes in performance-based assumptions on management’s compensation. Other normalizing items for FFO for the three and six months ended June 30, 2025 include a $17.2 million gain reclassified from other comprehensive loss related to six previously terminated interest rate swaps as the related forecasted transactions were determined to be probable not to occur and $3.2 million of transition expenses related to the transition of Senior Housing - Managed communities to new operators. Other normalizing items for AFFO for the three and six months ended June 30, 2025 include $3.2 million of transition expenses related to the transition of Senior Housing - Managed communities to new operators. In addition, other normalizing items for FFO and AFFO include triple-net operating expenses, net of recoveries. (2) Other adjustments for the three and six months ended June 30, 2025 include a $17.2 million gain reclassified from other comprehensive loss related to six previously terminated interest rate swaps as the related forecasted transactions were determined to be probable not to occur. FFO, Normalized FFO, AFFO and Normalized AFFO Dollars in thousands, except per share data Three Months Ended June 30, Six Months Ended June 30, 2026 2025 2026 2025 Net (loss) income attributable to Sabra Health Care REIT, Inc. $ (25,202) $ 65,542 $ 15,678 $ 105,846 Add: Depreciation and amortization of real estate assets 56,379 43,586 109,510 87,080 Depreciation and amortization of real estate assets related to noncontrolling interests (122) — (244) — Depreciation and amortization of real estate assets related to unconsolidated joint ventures 1,477 2,043 3,004 4,223 Net gain on sales of real estate (37,717) (9,974) (37,717) (9,974) Impairment of real estate — 4,103 440 4,103 FFO attributable to Sabra Health Care REIT, Inc. $ (5,185) $ 105,300 $ 90,671 $ 191,278 Recoveries of straight-line rental income receivable and lease intangibles (1,613) (1,463) (1,468) (1,463) Provision for (recovery of) loan losses and other reserves 102,445 (227) 100,959 (400) Lease termination expense 2,873 — 2,873 — Other normalizing items (1) (290) (14,451) 943 (14,449) Normalized FFO attributable to Sabra Health Care REIT, Inc. $ 98,230 $ 89,159 $ 193,978 $ 174,966 FFO attributable to Sabra Health Care REIT, Inc. $ (5,185) $ 105,300 $ 90,671 $ 191,278 Stock-based compensation expense 4,089 2,704 7,187 5,415 Non-cash rental and related revenues (3,654) (3,903) (5,253) (6,331) Non-cash interest expense 2,370 1,726 4,738 3,455 Provision for (recovery of) loan losses and other reserves 101,172 (227) 100,959 (400) Other adjustments related to unconsolidated joint ventures 77 128 153 19 Other adjustments (2) 638 (16,528) 1,145 (16,082) AFFO attributable to Sabra Health Care REIT, Inc. $ 99,507 $ 89,200 $ 199,600 $ 177,354 Lease termination expense 2,873 — 2,873 — Write-off of cash interest income receivable 1,273 — — — Other normalizing items (1) (193) 2,441 929 2,525 Normalized AFFO attributable to Sabra Health Care REIT, Inc. $ 103,460 $ 91,641 $ 203,402 $ 179,879 Amounts per diluted common share attributable to Sabra Health Care REIT, Inc.: Net (loss) income $ (0.10) $ 0.27 $ 0.06 $ 0.44 FFO $ (0.02) $ 0.44 $ 0.35 $ 0.79 Normalized FFO $ 0.38 $ 0.37 $ 0.76 $ 0.73 AFFO $ 0.39 $ 0.37 $ 0.78 $ 0.73 Normalized AFFO $ 0.40 $ 0.38 $ 0.79 $ 0.74 Weighted average number of common shares outstanding, diluted: Net (loss) income and FFO 252,268,939 240,929,866 255,755,497 240,711,387 Normalized FFO 255,912,180 240,929,866 255,755,497 240,711,387 AFFO and Normalized AFFO 256,733,670 241,996,970 256,640,712 241,865,769
22 SABRA 2Q 2026 SUPPLEMENTAL INFORMATION June 30, 2026 FINANCIAL INFORMATION Components of Net Asset Value (NAV) As of June 30, 2026 (1) Amounts represent principal amounts due and exclude deferred financing costs, net and premiums/discounts, net. (2) Includes balances that impact cash or NOI and excludes non-cash items. Annualized Cash NOI Dollars in thousands Skilled Nursing/Transitional Care $ 270,182 Senior Housing - Leased 32,089 Senior Housing - Managed Consolidated Portfolio 167,691 Senior Housing - Managed Unconsolidated Portfolio 18,061 Behavioral Health 46,472 Specialty Hospitals and Other 19,759 Annualized Cash NOI (excluding loans receivable and other investments) $ 554,254 Obligations Reflects Sabra's pro rata share; dollars in thousands Secured debt (1) $ 42,955 Senior unsecured notes (1) 1,250,000 Revolving credit facility 317,475 Term loans (1) 1,035,495 Unconsolidated joint venture debt 72,293 Total Debt 2,718,218 Add (less): Cash and cash equivalents and restricted cash (238,016) Unconsolidated joint venture cash and cash equivalents and restricted cash (5,920) Accounts payable and accrued liabilities (2) 106,205 Net obligations $ 2,580,487 Other Assets Reflects Sabra's pro rata share; dollars in thousands Loans receivable and other investments, net $ 115,078 Accounts receivable, prepaid expenses and other assets, net (2) 43,689 Total other assets $ 158,767 Common Shares Outstanding Total shares 255,462,756 We disclose components of our business relevant to calculate NAV. We consider NAV to be a useful supplemental measure that assists both management and investors to estimate the fair value of our Company. The calculation of NAV involves significant estimates and can be calculated using various methods. Each individual investor must determine the specific methodology, assumptions and estimates to use to arrive at an estimated NAV of the Company. The components of NAV do not consider potential changes in our investment portfolio. The components include non-GAAP financial measures, such as Cash NOI. Although these measures are not presented in accordance with GAAP, investors can use these non-GAAP financial measures as supplemental information to evaluate our business.
23 SABRA 2Q 2026 SUPPLEMENTAL INFORMATION June 30, 2026 APPENDIX Disclaimer Disclaimer This supplement contains “forward-looking” information as that term is defined in the Private Securities Litigation Reform Act of 1995. Any statements that do not relate to historical or current facts or matters are forward-looking statements. Examples of forward-looking statements include all statements regarding our expected future financial position (including our earnings guidance for 2026, as well as the assumptions set forth therein), results of operations, cash flows, liquidity, business strategy, growth opportunities, potential investments, and plans and objectives for future operations. You can identify some of the forward-looking statements by the use of forward-looking words such as “anticipate,” “believe,” “plan,” “estimate,” “expect,” “intend,” “should,” “may” and other similar expressions, although not all forward-looking statements contain these identifying words. Our actual results may differ materially from those projected or contemplated by our forward-looking statements as a result of various factors, including, among others, the following: increases in market interest rates and inflation; pandemics or epidemics, and the related impact on our tenants, borrowers and Senior Housing - Managed communities; operational risks with respect to our Senior Housing - Managed communities; increased labor costs and labor shortages; competitive conditions in our industry; the loss of key management personnel; uninsured or underinsured losses affecting our properties; potential impairment charges and adjustments related to the accounting of our assets; risks associated with our investment in our unconsolidated joint ventures; catastrophic weather and other natural or man-made disasters, the effects of climate change on our properties and a failure to implement sustainable and energy- efficient measures; increased operating costs and competition for our tenants, borrowers and Senior Housing - Managed communities; increased healthcare regulation and enforcement; our tenants’ dependency on reimbursement from governmental and other third- party payor programs; the effect of our tenants, operators or borrowers declaring bankruptcy or becoming insolvent; our ability to find replacement tenants and the impact of unforeseen costs in acquiring new properties; the impact of litigation and rising insurance costs on the business of our tenants; the impact of required regulatory approvals of transfers of healthcare properties; environmental compliance costs and liabilities associated with real estate properties we own; our tenants’, borrowers’ or operators’ failure to adhere to applicable privacy and data security laws; a material breach of our or our tenants’, borrowers’ or operators’ information technology; our concentration in the healthcare property sector, particularly in skilled nursing/transitional care facilities and senior housing communities, which makes our profitability more vulnerable to a downturn in a specific sector than if we were investing in multiple industries; the significant amount of and our ability to service our indebtedness; covenants in our debt agreements that may restrict our ability to pay dividends, make investments, incur additional indebtedness and refinance indebtedness on favorable terms; adverse changes in our credit ratings; our ability to make dividend distributions at expected levels; our ability to raise capital through equity and debt financings; changes and uncertainty in macroeconomic conditions and disruptions in the financial markets; risks associated with our ownership of property outside the U.S., including currency fluctuations; the relatively illiquid nature of real estate investments; our ability to maintain our status as a real estate investment trust (“REIT”) under the federal tax laws; compliance with REIT requirements and certain tax and tax regulatory matters related to our status as a REIT; changes in tax laws and regulations affecting REITs; the ownership limits and takeover defenses in our governing documents and under Maryland law, which may restrict change of control or business combination opportunities; and the exclusive forum provisions in our bylaws. Additional information concerning risks and uncertainties that could affect our business can be found in our filings with the Securities and Exchange Commission (the “SEC”), including in Part I, Item 1A of our Annual Report on Form 10-K for the year ended December 31, 2025. We do not intend, and we undertake no obligation, to update any forward-looking information to reflect events or circumstances after the date of this supplement or to reflect the occurrence of unanticipated events, unless required by law to do so. Note Regarding Non-GAAP Financial Measures This supplement includes the following financial measures defined as non-GAAP financial measures by the SEC: net operating income (“NOI”), Cash NOI, funds from operations (“FFO”), Normalized FFO, Adjusted FFO (“AFFO”), Normalized AFFO, FFO per diluted common share, Normalized FFO per diluted common share, AFFO per diluted common share, Normalized AFFO per diluted common share and Adjusted EBITDA (defined below). These measures may be different than non-GAAP financial measures used by other companies, and the presentation of these measures is not intended to be considered in isolation or as a substitute for financial information prepared and presented in accordance with U.S. generally accepted accounting principles. An explanation of these non-GAAP financial measures is included under “Reporting Definitions” in this supplement and reconciliations of these non-GAAP financial measures to the GAAP financial measures we consider most comparable are included on the Investors section of our website at https://ir.sabrahealth.com/investors/ financials/quarterly-results. Tenant and Borrower Information This supplement includes information regarding our tenants that lease properties from us and our borrowers, most of which are not subject to SEC reporting requirements. The information related to our tenants and borrowers that is provided in this supplement has been provided by, or derived from information provided by, such tenants and borrowers. We have not independently verified this information. We have no reason to believe that such information is inaccurate in any material respect. We are providing this data for informational purposes only. Sabra Information The information in this supplemental information package should be read in conjunction with the Company’s Annual Report on Form 10- K, Quarterly Reports on Form 10-Q, Current Reports on Form 8-K and other information filed with the SEC. The Reporting Definitions and Reconciliations of Non-GAAP Measures are an integral part of the information presented herein. On Sabra’s website, www.sabrahealth.com, you can access, free of charge, Sabra’s Annual Report on Form 10-K, Quarterly Reports on Form 10-Q, Current Reports on Form 8-K, and amendments to those reports filed or furnished pursuant to Sections 13(a) or 15(d) of the Securities Exchange Act of 1934, as amended, as soon as reasonably practicable after such material is filed with, or furnished to, the SEC. The information contained on Sabra’s website is not incorporated by reference into, and should not be considered a part of, this supplemental information package. All material filed with the SEC can also be accessed through its website, www.sec.gov. For more information, contact Investor Relations at (888) 393-8248 or investorrelations@sabrahealth.com.
24 SABRA 2Q 2026 SUPPLEMENTAL INFORMATION June 30, 2026 APPENDIX Reporting Definitions Adjusted EBITDA* Adjusted EBITDA is calculated as earnings before interest, taxes, depreciation and amortization (“EBITDA”) excluding the impact of merger-related costs, stock-based compensation expense under the Company’s long-term equity award program, and loan loss reserves. Adjusted EBITDA is an important non-GAAP supplemental measure of operating performance. Annualized Cash Net Operating Income (“Annualized Cash NOI”)* The Company believes that net income as defined by GAAP is the most appropriate earnings measure. The Company considers Annualized Cash NOI an important supplemental measure because it allows investors, analysts and its management to evaluate the operating performance of its investments. The Company defines Annualized Cash NOI as Annualized Revenues less operating expenses and non-cash revenues and expenses. Annualized Cash NOI excludes all other financial statement amounts included in net income and is presented at Sabra’s pro rata share. Annualized Revenues The annual contractual rental revenues under leases and interest and other income generated by the Company’s loans receivable and other investments based on amounts invested and applicable terms as of the end of the period presented. Annualized Revenues do not include tenant recoveries and are adjusted to reflect actual payments received related to the twelve months ended at the end of the respective period for leases no longer accounted for on an accrual basis. Behavioral Health Includes behavioral hospitals that provide inpatient and outpatient care for patients with mental health conditions, chemical dependence or substance addictions and addiction treatment centers that provide treatment services for chemical dependence and substance addictions, which may include inpatient care, outpatient care, medical detoxification, therapy and counseling. Cash Net Operating Income (“Cash NOI”)* The Company believes that net income as defined by GAAP is the most appropriate earnings measure. The Company considers Cash NOI an important supplemental measure because it allows investors, analysts and its management to evaluate the operating performance of its investments. The Company defines Cash NOI as total revenues less operating expenses and non-cash revenues and expenses. Cash NOI excludes all other financial statement amounts included in net income and is presented at Sabra’s pro rata share. Cash NOI Margin Cash NOI Margin is calculated as Cash NOI divided by resident fees and services. Consolidated Debt The principal balances of the Company’s revolving credit facility, term loans, senior unsecured notes, and secured indebtedness as reported in the Company’s consolidated financial statements. Consolidated Debt, Net The carrying amount of the Company’s revolving credit facility, term loans, senior unsecured notes, and secured indebtedness, as reported in the Company’s consolidated financial statements. Consolidated Enterprise Value The Company believes Consolidated Enterprise Value is an important measurement as it is a measure of a company’s value. The Company calculates Consolidated Enterprise Value as market equity capitalization plus Consolidated Debt. Market equity capitalization is calculated as (i) the number of shares of common stock multiplied by the closing price of the Company’s common stock on the last day of the period presented plus (ii) the number of shares of preferred stock multiplied by the closing price of the Company’s preferred stock on the last day of the period presented. Consolidated Enterprise Value includes the Company’s market equity capitalization and Consolidated Debt, less cash and cash equivalents. EBITDARM Earnings before interest, taxes, depreciation, amortization, rent and management fees (“EBITDARM”) for a particular facility accruing to the operator/tenant of the property (not the Company), for the period presented. The Company uses EBITDARM in determining EBITDARM Coverage. EBITDARM has limitations as an analytical tool. EBITDARM does not reflect historical cash expenditures or future cash requirements for facility capital expenditures or contractual commitments. In addition, EBITDARM does not represent a property’s net income or cash flows from operations and should not be considered an alternative to those indicators. The Company utilizes EBITDARM to evaluate the core operations of the properties by eliminating management fees, which may vary by operator/tenant and operating structure, and as a supplemental measure of the ability of the Company’s operators/tenants and relevant guarantors to generate sufficient liquidity to meet related obligations to the Company. EBITDARM Coverage Represents the ratio of EBITDARM to cash rent for owned facilities (excluding Senior Housing - Managed communities) for the period presented. EBITDARM Coverage is a supplemental measure of a property’s ability to generate cash flows for the operator/tenant (not the Company) to meet the operator’s/tenant’s related cash rent and other obligations to the Company. However, its usefulness is limited by, among other things, the same factors that limit the usefulness of EBITDARM. EBITDARM Coverage includes only Stabilized Facilities and excludes facilities for which data is not available or meaningful.
25 SABRA 2Q 2026 SUPPLEMENTAL INFORMATION June 30, 2026 APPENDIX Reporting Definitions Funds From Operations (“FFO”) and Adjusted Funds from Operations (“AFFO”)* The Company believes that net income as defined by GAAP is the most appropriate earnings measure. The Company also believes that funds from operations, or FFO, as defined in accordance with the definition used by the National Association of Real Estate Investment Trusts (“Nareit”), and adjusted funds from operations, or AFFO (and related per share amounts) are important non-GAAP supplemental measures of the Company’s operating performance. Because the historical cost accounting convention used for real estate assets requires straight-line depreciation (except on land), such accounting presentation implies that the value of real estate assets diminishes predictably over time. However, since real estate values have historically risen or fallen with market and other conditions, presentations of operating results for a real estate investment trust that uses historical cost accounting for depreciation could be less informative. Thus, Nareit created FFO as a supplemental measure of operating performance for real estate investment trusts that excludes historical cost depreciation and amortization, among other items, from net income, as defined by GAAP. FFO is defined as net income, computed in accordance with GAAP, excluding gains or losses from real estate dispositions and the Company’s share of gains or losses from real estate dispositions related to its unconsolidated joint ventures, plus real estate depreciation and amortization, net of amounts related to noncontrolling interests, plus the Company’s share of depreciation and amortization related to its unconsolidated joint ventures, and real estate impairment charges of both consolidated and unconsolidated entities when the impairment is directly attributable to decreases in the value of depreciable real estate held by the entity. AFFO is defined as FFO excluding stock-based compensation expense, non-cash rental and related revenues, non-cash interest income, non-cash interest expense, non-cash portion of loss on extinguishment of debt, provision for (recovery of) loan losses and other reserves, non-cash lease termination income and deferred income taxes, as well as other non-cash revenue and expense items (including noncapitalizable acquisition costs, transaction costs related to operator transitions and organizational or other restructuring activities, gain/loss on derivative instruments, and non-cash revenue and expense amounts related to noncontrolling interests) and the Company’s share of non-cash adjustments related to its unconsolidated joint ventures. The Company believes that the use of FFO and AFFO (and the related per share amounts), combined with the required GAAP presentations, improves the understanding of the Company’s operating results among investors and makes comparisons of operating results among real estate investment trusts more meaningful. The Company considers FFO and AFFO to be useful measures for reviewing comparative operating and financial performance because, by excluding the applicable items listed above, FFO and AFFO can help investors compare the operating performance of the Company between periods or as compared to other companies. While FFO and AFFO are relevant and widely used measures of operating performance of real estate investment trusts, they do not represent cash flows from operations or net income as defined by GAAP and should not be considered an alternative to those measures in evaluating the Company’s liquidity or operating performance. FFO and AFFO also do not consider the costs associated with capital expenditures related to the Company’s real estate assets nor do they purport to be indicative of cash available to fund the Company’s future cash requirements. Further, the Company’s computation of FFO and AFFO may not be comparable to FFO and AFFO reported by other real estate investment trusts that do not define FFO in accordance with the current Nareit definition or that interpret the current Nareit definition or define AFFO differently than the Company does. Investment Represents the carrying amount of real estate assets after adding back accumulated depreciation and amortization and excludes net intangible assets and liabilities. Market Capitalization Total common shares of Sabra outstanding multiplied by the closing price per common share as of a given period. Net Debt* The principal balances of the Company’s revolving credit facility, term loans, senior unsecured notes, and secured indebtedness as reported in the Company’s consolidated financial statements, net of cash and cash equivalents as reported in the Company’s consolidated financial statements. Net Debt to Adjusted EBITDA* The Company believes that net income as defined by GAAP is the most appropriate earnings measure. The Company considers Net Debt to Adjusted EBITDA an important supplemental measure because it provides investors, analysts, and management with a meaningful indicator of the Company’s financial leverage and its capacity to service and repay debt from operating cash flows. Net Debt to Adjusted EBITDA is calculated as Net Debt divided by Annualized Adjusted EBITDA, which is Adjusted EBITDA, as adjusted for annualizing adjustments that give effect to the acquisitions and dispositions completed during the respective period as though such acquisitions and dispositions were completed as of the beginning of the period presented. Net Operating Income (“NOI”)* The Company believes that net income as defined by GAAP is the most appropriate earnings measure. The Company considers NOI an important supplemental measure because it allows investors, analysts and its management to evaluate the operating performance of its investments. The Company defines NOI as total revenues less operating expenses. NOI excludes all other financial statement amounts included in net income.
26 SABRA 2Q 2026 SUPPLEMENTAL INFORMATION June 30, 2026 APPENDIX Reporting Definitions Normalized FFO and Normalized AFFO* Normalized FFO and Normalized AFFO represent FFO and AFFO, respectively, adjusted for certain income and expense items that the Company does not believe are indicative of its ongoing operating results. The Company considers Normalized FFO and Normalized AFFO to be useful measures to evaluate the Company’s operating results excluding these income and expense items to help investors compare the operating performance of the Company between periods or as compared to other companies. Normalized FFO and Normalized AFFO do not represent cash flows from operations or net income as defined by GAAP and should not be considered an alternative to those measures in evaluating the Company’s liquidity or operating performance. Normalized FFO and Normalized AFFO also do not consider the costs associated with capital expenditures related to the Company’s real estate assets nor do they purport to be indicative of cash available to fund the Company’s future cash requirements. Further, the Company’s computation of Normalized FFO and Normalized AFFO may not be comparable to Normalized FFO and Normalized AFFO reported by other real estate investment trusts that do not define FFO in accordance with the current Nareit definition or that interpret the current Nareit definition or define FFO and AFFO or Normalized FFO and Normalized AFFO differently than the Company does. Occupancy Percentage Occupancy Percentage represents the facilities’ average operating occupancy for the period indicated. The percentages are calculated by dividing the actual census from the period presented by the available beds/units for the same period. Except for Senior Housing - Managed, Occupancy includes only Stabilized Facilities and excludes facilities for which data is not available or meaningful. REVPOR REVPOR represents the average revenues generated per occupied unit per month at Senior Housing - Managed communities for the period indicated. It is calculated as resident fees and services revenues divided by average monthly occupied unit days. REVPOR includes only Stabilized Facilities. Senior Housing Senior Housing communities include independent living, assisted living, continuing care retirement and memory care communities. Senior Housing - Managed Senior Housing communities operated by third-party property managers pursuant to property management agreements. Skilled Mix Skilled Mix is defined as the total Medicare and non-Medicaid managed care patient revenue at Skilled Nursing/Transitional Care facilities divided by the total revenues at Skilled Nursing/Transitional Care facilities for the period indicated. Skilled Mix includes only Stabilized Facilities and excludes facilities for which data is not available or meaningful. Skilled Nursing/Transitional Care Skilled Nursing/Transitional Care facilities include skilled nursing, transitional care, multi-license designation and mental health facilities. Specialty Hospitals and Other Includes acute care, long-term acute care and rehabilitation hospitals, facilities that provide residential services, which may include assistance with activities of daily living, and other facilities not classified as Skilled Nursing/Transitional Care, Senior Housing or Behavioral Health. Stabilized Facility At the time of acquisition, the Company classifies each facility as either stabilized or non-stabilized. In addition, the Company may classify a facility as non-stabilized after acquisition. Circumstances that could result in a facility being classified as non-stabilized include newly completed developments, facilities undergoing major renovations or additions, facilities being repositioned or transitioned to new operators, and significant transitions within the tenants’ business model. Such facilities are typically reclassified to stabilized upon the earlier of maintaining consistent performance or 24 months after the date of classification as non-stabilized. Stabilized Facilities generally exclude (i) facilities held for sale, (ii) strategic disposition candidates, (iii) facilities being transitioned to a new operator, (iv) facilities being transitioned from being leased by the Company to being operated by the Company and (v) leased facilities acquired during the three months preceding the period presented. *Non-GAAP Financial Measures Reconciliations, definitions and important discussions regarding the usefulness and limitations of the Non-GAAP Financial Measures used in this supplement can be found at https://ir.sabrahealth.com/investors/financials/quarterly-results.
Reconciliations of Non-GAAP Financial Measures
June 30, 2026
(Unaudited)
SABRA HEALTH CARE REIT, INC.
RECONCILIATIONS OF NON-GAAP FINANCIAL MEASURES
2026 OUTLOOK
FFO, Normalized FFO, AFFO and Normalized AFFO
The table below sets forth our 2026 guidance (per diluted common share):
| Low | High | ||||||||||||||||||||||
| Net income attributable to Sabra Health Care REIT, Inc. | $ | 0.37 | $ | 0.39 | |||||||||||||||||||
| Add: | |||||||||||||||||||||||
| Depreciation and amortization of real estate assets | 0.88 | 0.88 | |||||||||||||||||||||
| Depreciation and amortization of real estate assets related to unconsolidated joint ventures | 0.02 | 0.02 | |||||||||||||||||||||
| Net gain on sales of real estate | (0.15) | (0.15) | |||||||||||||||||||||
| FFO attributable to Sabra Health Care REIT, Inc. | $ | 1.12 | $ | 1.14 | |||||||||||||||||||
| Normalizing items | 0.41 | 0.41 | |||||||||||||||||||||
| Normalized FFO attributable to Sabra Health Care REIT, Inc. | $ | 1.53 | $ | 1.55 | |||||||||||||||||||
| FFO attributable to Sabra Health Care REIT, Inc. | $ | 1.12 | $ | 1.14 | |||||||||||||||||||
| Stock-based compensation expense | 0.05 | 0.05 | |||||||||||||||||||||
| Non-cash rental and related revenues | (0.02) | (0.02) | |||||||||||||||||||||
| Non-cash interest expense | 0.04 | 0.04 | |||||||||||||||||||||
| Other adjustments | 0.39 | 0.39 | |||||||||||||||||||||
| AFFO attributable to Sabra Health Care REIT, Inc. | $ | 1.58 | $ | 1.60 | |||||||||||||||||||
| Normalizing items | 0.01 | 0.01 | |||||||||||||||||||||
| Normalized AFFO attributable to Sabra Health Care REIT, Inc. | $ | 1.59 | $ | 1.61 | |||||||||||||||||||
Earnings guidance above assumes:
•low-single-digit Cash NOI growth for the triple-net portfolio at the midpoint, ignoring the impact of acquisitions, dispositions and completed or planned tenant transitions;
•average full-year Cash NOI growth for the same-store Senior Housing - Managed portfolio in the low to mid-teens;
•general and administrative expenses at the midpoint of $61 million, which includes $13 million of stock-based compensation expense;
•cash interest expense of $104 million at the midpoint;
•weighted average share count of 258 million and 259 million for Normalized FFO and Normalized AFFO, respectively; and
•only investments, dispositions and capital markets activity completed as of July 21, 2026.
The foregoing guidance ranges reflect management's view of current and future market conditions. There can be no assurance that the Company's actual results will not differ materially from the estimates set forth above. Except as otherwise required by law, the Company assumes no, and hereby disclaims any, obligation to update any of the foregoing guidance ranges as a result of new information or new or future developments.
See reporting definitions. 2SABRA HEALTH CARE REIT, INC.
RECONCILIATIONS OF NON-GAAP FINANCIAL MEASURES
FFO, Normalized FFO, AFFO and Normalized AFFO
(dollars in thousands, except per share data)
| Three Months Ended June 30, | Six Months Ended June 30, | ||||||||||||||||||||||
| 2026 | 2025 | 2026 | 2025 | ||||||||||||||||||||
| Net (loss) income attributable to Sabra Health Care REIT, Inc. | $ | (25,202) | $ | 65,542 | $ | 15,678 | $ | 105,846 | |||||||||||||||
| Add: | |||||||||||||||||||||||
| Depreciation and amortization of real estate assets | 56,379 | 43,586 | 109,510 | 87,080 | |||||||||||||||||||
| Depreciation and amortization of real estate assets related to noncontrolling interests | (122) | — | (244) | — | |||||||||||||||||||
| Depreciation and amortization of real estate assets related to unconsolidated joint ventures | 1,477 | 2,043 | 3,004 | 4,223 | |||||||||||||||||||
| Net gain on sales of real estate | (37,717) | (9,974) | (37,717) | (9,974) | |||||||||||||||||||
| Impairment of real estate | — | 4,103 | 440 | 4,103 | |||||||||||||||||||
| FFO attributable to Sabra Health Care REIT, Inc. | $ | (5,185) | $ | 105,300 | $ | 90,671 | $ | 191,278 | |||||||||||||||
| Recoveries of straight-line rental income receivable and lease intangibles | (1,613) | (1,463) | (1,468) | (1,463) | |||||||||||||||||||
| Provision for (recovery of) loan losses and other reserves | 102,445 | (227) | 100,959 | (400) | |||||||||||||||||||
| Lease termination expense | 2,873 | — | 2,873 | — | |||||||||||||||||||
Other normalizing items (1) | (290) | (14,451) | 943 | (14,449) | |||||||||||||||||||
| Normalized FFO attributable to Sabra Health Care REIT, Inc. | $ | 98,230 | $ | 89,159 | $ | 193,978 | $ | 174,966 | |||||||||||||||
| FFO attributable to Sabra Health Care REIT, Inc. | $ | (5,185) | $ | 105,300 | $ | 90,671 | $ | 191,278 | |||||||||||||||
| Stock-based compensation expense | 4,089 | 2,704 | 7,187 | 5,415 | |||||||||||||||||||
| Non-cash rental and related revenues | (3,654) | (3,903) | (5,253) | (6,331) | |||||||||||||||||||
| Non-cash interest expense | 2,370 | 1,726 | 4,738 | 3,455 | |||||||||||||||||||
| Provision for (recovery of) loan losses and other reserves | 101,172 | (227) | 100,959 | (400) | |||||||||||||||||||
| Other adjustments related to unconsolidated joint ventures | 77 | 128 | 153 | 19 | |||||||||||||||||||
Other adjustments (2) | 638 | (16,528) | 1,145 | (16,082) | |||||||||||||||||||
| AFFO attributable to Sabra Health Care REIT, Inc. | $ | 99,507 | $ | 89,200 | $ | 199,600 | $ | 177,354 | |||||||||||||||
| Lease termination expense | 2,873 | — | 2,873 | — | |||||||||||||||||||
| Write-off of cash interest income receivable | 1,273 | — | — | — | |||||||||||||||||||
Other normalizing items (1) | (193) | 2,441 | 929 | 2,525 | |||||||||||||||||||
| Normalized AFFO attributable to Sabra Health Care REIT, Inc. | $ | 103,460 | $ | 91,641 | $ | 203,402 | $ | 179,879 | |||||||||||||||
| Amounts per diluted common share attributable to Sabra Health Care REIT, Inc.: | |||||||||||||||||||||||
| Net (loss) income | $ | (0.10) | $ | 0.27 | $ | 0.06 | $ | 0.44 | |||||||||||||||
| FFO | $ | (0.02) | $ | 0.44 | $ | 0.35 | $ | 0.79 | |||||||||||||||
| Normalized FFO | $ | 0.38 | $ | 0.37 | $ | 0.76 | $ | 0.73 | |||||||||||||||
| AFFO | $ | 0.39 | $ | 0.37 | $ | 0.78 | $ | 0.73 | |||||||||||||||
| Normalized AFFO | $ | 0.40 | $ | 0.38 | $ | 0.79 | $ | 0.74 | |||||||||||||||
| Weighted average number of common shares outstanding, diluted: | |||||||||||||||||||||||
| Net (loss) income and FFO | 252,268,939 | 240,929,866 | 255,755,497 | 240,711,387 | |||||||||||||||||||
| Normalized FFO | 255,912,180 | 240,929,866 | 255,755,497 | 240,711,387 | |||||||||||||||||||
| AFFO and Normalized AFFO | 256,733,670 | 241,996,970 | 256,640,712 | 241,865,769 | |||||||||||||||||||
(1) Other normalizing items for FFO and AFFO for the three months ended June 30, 2026 include a catch-up adjustment of $1.9 million and $1.8 million, respectively, related to a rent reset under a triple-net lease, each partially offset by a $1.2 million catch-up adjustment related to changes in performance-based assumptions on management’s compensation. Other normalizing items for FFO for the three and six months ended June 30, 2025 include a $17.2 million gain reclassified from other comprehensive loss related to six previously terminated interest rate swaps as the related forecasted transactions were determined to be probable not to occur and $3.2 million of transition expenses related to the transition of Senior Housing - Managed communities to new operators. Other normalizing items for AFFO for the three and six months ended June 30, 2025 include $3.2 million of transition expenses related to the transition of Senior Housing - Managed communities to new operators. In addition, other normalizing items for FFO and AFFO include triple-net operating expenses, net of recoveries.
(2) Other adjustments for the three and six months ended June 30, 2025 include a $17.2 million gain reclassified from other comprehensive loss related to six previously terminated interest rate swaps as the related forecasted transactions were determined to be probable not to occur.
See reporting definitions. 3SABRA HEALTH CARE REIT, INC.
RECONCILIATIONS OF NON-GAAP FINANCIAL MEASURES
EBITDA, Adjusted EBITDA, Adjusted EBITDA, as adjusted and Adjusted EBITDA, as adjusted, annualized
Net Debt and Net Debt to Adjusted EBITDA
(in thousands)
| Three Months Ended | |||||
| June 30, 2026 | |||||
| Net income | $ | (25,248) | |||
| Interest | 29,779 | ||||
| Income tax expense | 678 | ||||
| Depreciation and amortization | 56,379 | ||||
| EBITDA | 61,588 | ||||
| Income from unconsolidated joint ventures | (2,224) | ||||
| Distributions from unconsolidated joint ventures | 2,093 | ||||
| Stock-based compensation expense | 4,089 | ||||
| Acquisition and transaction costs | 631 | ||||
| Provision for loan losses and other reserves | 100,721 | ||||
| Other expense | 2,761 | ||||
| Net gain on sales of real estate | (37,717) | ||||
| Adjusted EBITDA | 131,942 | ||||
Adjustments for current period activity (1) | (1,104) | ||||
| Adjusted EBITDA, as adjusted | $ | 130,838 | |||
| Adjusted EBITDA, as adjusted, annualized | $ | 523,352 | |||
| June 30, 2026 | |||||
| Secured debt | $ | 42,955 | |||
| Revolving credit facility | 317,475 | ||||
| Term loans | 1,035,495 | ||||
| Senior unsecured notes | 1,250,000 | ||||
| Consolidated Debt | 2,645,925 | ||||
| Cash and cash equivalents | (231,584) | ||||
| Net Debt | $ | 2,414,341 | |||
| June 30, 2026 | |||||
| Net Debt | $ | 2,414,341 | |||
| Adjusted EBITDA, as adjusted, annualized | $ | 523,352 | |||
| Net Debt to Adjusted EBITDA | 4.61x | ||||
(1) Adjustments for current period activity give effect to the acquisitions and dispositions completed during the period as though such acquisitions and dispositions were completed as of the beginning of the period and adjust for certain income and expense items that the Company does not believe are indicative of its operating results for the current period.
See reporting definitions. 4SABRA HEALTH CARE REIT, INC.
RECONCILIATIONS OF NON-GAAP FINANCIAL MEASURES
Consolidated Statements of Income
Supplemental Information
(in thousands)
| Three Months Ended June 30, | Six Months Ended June 30, | ||||||||||||||||||||||
| 2026 | 2025 | 2026 | 2025 | ||||||||||||||||||||
| Cash rental income | $ | 94,079 | $ | 92,397 | $ | 183,843 | $ | 182,468 | |||||||||||||||
| Straight-line rental income | 966 | 1,382 | 1,651 | 2,671 | |||||||||||||||||||
| Recoveries of straight-line rental income receivable and lease intangibles | 1,613 | 1,463 | 1,468 | 1,463 | |||||||||||||||||||
| Above/below market lease amortization | 1,075 | 1,059 | 2,134 | 2,198 | |||||||||||||||||||
| Operating expense recoveries | 3,575 | 3,522 | 7,262 | 7,060 | |||||||||||||||||||
| Rental and related revenues | $ | 101,308 | $ | 99,823 | $ | 196,358 | $ | 195,860 | |||||||||||||||
See reporting definitions. 5SABRA HEALTH CARE REIT, INC.
RECONCILIATIONS OF NON-GAAP FINANCIAL MEASURES
Senior Housing - Managed Revenues and Cash NOI
(in thousands)
| Three Months Ended | |||||||||||||||||||||||||||||
| June 30, 2025 | September 30, 2025 | December 31, 2025 | March 31, 2026 | June 30, 2026 | |||||||||||||||||||||||||
| Revenues: | |||||||||||||||||||||||||||||
| Resident fees and services | $ | 78,985 | $ | 92,017 | $ | 108,434 | $ | 116,685 | $ | 128,802 | |||||||||||||||||||
| Resident fees and services attributable to noncontrolling interests | — | (117) | (312) | (317) | (336) | ||||||||||||||||||||||||
| Resident fees and services - pro rata | $ | 78,985 | $ | 91,900 | $ | 108,122 | $ | 116,368 | $ | 128,466 | |||||||||||||||||||
| Income from unconsolidated joint ventures: | |||||||||||||||||||||||||||||
| Resident fees and services | 10,989 | 11,524 | 11,611 | 11,978 | 12,206 | ||||||||||||||||||||||||
Resident fees and services not included in same store (1) | (12,773) | (25,169) | (39,086) | (46,323) | (56,811) | ||||||||||||||||||||||||
| Same store resident fees and services - pro rata | $ | 77,201 | $ | 78,255 | $ | 80,647 | $ | 82,023 | $ | 83,861 | |||||||||||||||||||
| Net income | $ | 65,542 | $ | 22,517 | $ | 27,147 | $ | 40,813 | $ | (25,248) | |||||||||||||||||||
| Adjustments: | |||||||||||||||||||||||||||||
| Net income not related to Senior Housing - Managed | (56,463) | (14,590) | (17,533) | (30,050) | 30,760 | ||||||||||||||||||||||||
| Depreciation and amortization | 14,372 | 19,989 | 23,730 | 25,965 | 29,391 | ||||||||||||||||||||||||
| Interest | — | — | — | — | 38 | ||||||||||||||||||||||||
| Other income | (1,038) | (619) | (73) | — | (29) | ||||||||||||||||||||||||
| Net loss on sale of real estate | — | — | — | — | 7,498 | ||||||||||||||||||||||||
| Income from unconsolidated joint ventures | (832) | (1,226) | (1,652) | (1,912) | (2,224) | ||||||||||||||||||||||||
| Net Operating Income attributable to noncontrolling interests | — | (39) | (92) | (99) | (120) | ||||||||||||||||||||||||
| Sabra's share of unconsolidated joint ventures' Net Operating Income | 3,713 | 4,034 | 4,061 | 4,262 | 4,511 | ||||||||||||||||||||||||
| Net Operating Income - pro rata | $ | 25,294 | $ | 30,066 | $ | 35,588 | $ | 38,979 | $ | 44,577 | |||||||||||||||||||
| Non-cash revenue and expense adjustments | 51 | 5 | 4 | 4 | 4 | ||||||||||||||||||||||||
| Cash Net Operating Income - pro rata | $ | 25,345 | $ | 30,071 | $ | 35,592 | $ | 38,983 | $ | 44,581 | |||||||||||||||||||
Cash Net Operating Income not included in same store (1) | (235) | (4,881) | (9,311) | (12,277) | (16,021) | ||||||||||||||||||||||||
| Same store Cash Net Operating Income - pro rata | $ | 25,110 | $ | 25,190 | $ | 26,281 | $ | 26,706 | $ | 28,560 | |||||||||||||||||||
(1) Includes adjustments for changes in the foreign currency exchange rate where applicable by applying the average exchange rate for the current period to prior period results.
See reporting definitions. 6SABRA HEALTH CARE REIT, INC.
RECONCILIATIONS OF NON-GAAP FINANCIAL MEASURES
Cash NOI by Property Type
(in thousands)
| Three Months Ended June 30, 2026 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Skilled Nursing/ Transitional Care | Senior Housing | Behavioral Health | Specialty Hospitals and Other | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Senior Housing - Leased | Senior Housing - Managed Consolidated | Senior Housing - Managed Unconsolidated | Total Senior Housing | Other | Corporate | Total | |||||||||||||||||||||||||||||||||||||||||||||||||||||
| Net income (loss) | $ | 99,444 | $ | 4,567 | $ | 3,288 | $ | 2,224 | $ | 10,079 | $ | 8,195 | $ | 3,398 | $ | 5,756 | $ | (152,120) | $ | (25,248) | |||||||||||||||||||||||||||||||||||||||
| Adjustments: | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Depreciation and amortization | 19,313 | 2,760 | 29,391 | — | 32,151 | 3,403 | 1,440 | — | 72 | 56,379 | |||||||||||||||||||||||||||||||||||||||||||||||||
| Interest | 188 | 159 | 38 | — | 197 | — | — | — | 29,394 | 29,779 | |||||||||||||||||||||||||||||||||||||||||||||||||
| General and administrative | — | — | — | — | — | — | — | — | 16,819 | 16,819 | |||||||||||||||||||||||||||||||||||||||||||||||||
| Provision for loan losses | — | — | — | — | — | — | — | — | 102,445 | 102,445 | |||||||||||||||||||||||||||||||||||||||||||||||||
| Other (income) expense | — | — | (29) | — | (29) | — | — | — | 2,712 | 2,683 | |||||||||||||||||||||||||||||||||||||||||||||||||
| Net (gain) loss on sales of real estate | (45,215) | — | 7,498 | — | 7,498 | — | — | — | — | (37,717) | |||||||||||||||||||||||||||||||||||||||||||||||||
| Income from unconsolidated joint ventures | — | — | — | (2,224) | (2,224) | — | — | — | — | (2,224) | |||||||||||||||||||||||||||||||||||||||||||||||||
| Income tax expense | — | — | — | — | — | — | — | — | 678 | 678 | |||||||||||||||||||||||||||||||||||||||||||||||||
| Net Operating Income attributable to noncontrolling interests | — | — | (120) | — | (120) | — | — | — | — | (120) | |||||||||||||||||||||||||||||||||||||||||||||||||
| Sabra’s share of unconsolidated joint ventures’ Net Operating Income | — | — | — | 4,511 | 4,511 | — | — | — | — | 4,511 | |||||||||||||||||||||||||||||||||||||||||||||||||
| Net Operating Income - pro rata | $ | 73,730 | $ | 7,486 | $ | 40,066 | $ | 4,511 | $ | 52,063 | $ | 11,598 | $ | 4,838 | $ | 5,756 | $ | — | $ | 147,985 | |||||||||||||||||||||||||||||||||||||||
| Non-cash revenue and expense adjustments | (4,887) | 1,118 | — | 4 | 1,122 | 17 | 102 | 1 | — | (3,645) | |||||||||||||||||||||||||||||||||||||||||||||||||
| Cash Net Operating Income - pro rata | $ | 68,843 | $ | 8,604 | $ | 40,066 | $ | 4,515 | $ | 53,185 | $ | 11,615 | $ | 4,940 | $ | 5,757 | $ | — | $ | 144,340 | |||||||||||||||||||||||||||||||||||||||
See reporting definitions. 7SABRA HEALTH CARE REIT, INC.
RECONCILIATIONS OF NON-GAAP FINANCIAL MEASURES
Cash NOI, Annualized Cash NOI and Annualized Cash NOI, as adjusted by Property Type
(in thousands)
| Six Months Ended June 30, 2026 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Skilled Nursing/ Transitional Care | Senior Housing | Behavioral Health | Specialty Hospitals and Other | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Senior Housing - Leased | Senior Housing - Managed Consolidated | Senior Housing - Managed Unconsolidated | Total Senior Housing | Other | Corporate | Total | |||||||||||||||||||||||||||||||||||||||||||||||||||||
| Net income (loss) | $ | 145,408 | $ | 10,434 | $ | 12,139 | $ | 4,136 | $ | 26,709 | $ | 16,334 | $ | 6,783 | $ | 15,774 | $ | (195,443) | $ | 15,565 | |||||||||||||||||||||||||||||||||||||||
| Adjustments: | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Depreciation and amortization | 38,866 | 5,436 | 55,356 | — | 60,792 | 6,805 | 2,902 | — | 145 | 109,510 | |||||||||||||||||||||||||||||||||||||||||||||||||
| Interest | 378 | 358 | 38 | — | 396 | — | — | — | 57,414 | 58,188 | |||||||||||||||||||||||||||||||||||||||||||||||||
| General and administrative | — | — | — | — | — | — | — | — | 31,681 | 31,681 | |||||||||||||||||||||||||||||||||||||||||||||||||
| Provision for loan losses | — | — | — | — | — | — | — | — | 102,232 | 102,232 | |||||||||||||||||||||||||||||||||||||||||||||||||
| Impairment of real estate | 440 | — | — | — | — | — | — | — | — | 440 | |||||||||||||||||||||||||||||||||||||||||||||||||
| Other (income) expense | — | — | (29) | — | (29) | — | — | — | 2,767 | 2,738 | |||||||||||||||||||||||||||||||||||||||||||||||||
| Net (gain) loss on sales of real estate | (45,215) | — | 7,498 | — | 7,498 | — | — | — | — | (37,717) | |||||||||||||||||||||||||||||||||||||||||||||||||
| Income from unconsolidated joint ventures | — | — | — | (4,136) | (4,136) | — | — | — | — | (4,136) | |||||||||||||||||||||||||||||||||||||||||||||||||
| Income tax expense | — | — | — | — | — | — | — | — | 1,204 | 1,204 | |||||||||||||||||||||||||||||||||||||||||||||||||
| Net Operating Income attributable to noncontrolling interests | — | — | (219) | — | (219) | — | — | — | — | (219) | |||||||||||||||||||||||||||||||||||||||||||||||||
| Sabra’s share of unconsolidated joint ventures’ Net Operating Income | — | — | — | 8,773 | 8,773 | — | — | — | — | 8,773 | |||||||||||||||||||||||||||||||||||||||||||||||||
| Net Operating Income - pro rata | $ | 139,877 | $ | 16,228 | $ | 74,783 | $ | 8,773 | $ | 99,784 | $ | 23,139 | $ | 9,685 | $ | 15,774 | $ | — | $ | 288,259 | |||||||||||||||||||||||||||||||||||||||
| Non-cash revenue and expense adjustments | (6,329) | 911 | — | 9 | 920 | (20) | 192 | 1 | — | (5,236) | |||||||||||||||||||||||||||||||||||||||||||||||||
| Cash Net Operating Income - pro rata | $ | 133,548 | $ | 17,139 | $ | 74,783 | $ | 8,782 | $ | 100,704 | $ | 23,119 | $ | 9,877 | $ | 15,775 | $ | — | $ | 283,023 | |||||||||||||||||||||||||||||||||||||||
Annualizing adjustments (1) | 136,634 | 14,950 | 92,908 | 9,279 | 117,137 | 23,353 | 9,882 | (4,193) | — | 282,813 | |||||||||||||||||||||||||||||||||||||||||||||||||
| Annualized Cash Net Operating Income - pro rata | $ | 270,182 | $ | 32,089 | $ | 167,691 | $ | 18,061 | $ | 217,841 | $ | 46,472 | $ | 19,759 | $ | 11,582 | $ | — | $ | 565,836 | |||||||||||||||||||||||||||||||||||||||
Reallocation adjustments (2) | — | 7,353 | — | — | 7,353 | 1,926 | — | (9,279) | — | — | |||||||||||||||||||||||||||||||||||||||||||||||||
| Annualized Cash Net Operating Income, as adjusted - pro rata | $ | 270,182 | $ | 39,442 | $ | 167,691 | $ | 18,061 | $ | 225,194 | $ | 48,398 | $ | 19,759 | $ | 2,303 | $ | — | $ | 565,836 | |||||||||||||||||||||||||||||||||||||||
(1) Represents the annual effect of acquisitions, dispositions, lease modifications and scheduled rent increases completed during the period and mathematical adjustments needed to make Cash Net Operating Income for the period representative of Cash Net Operating Income for a full year.
(2) Adjustments to reflect Annualized Cash Net Operating Income from mortgage and construction loans receivable and preferred equity investments in the related asset class of the underlying real estate.
See reporting definitions. 8SABRA HEALTH CARE REIT, INC.
REPORTING DEFINITIONS
Adjusted EBITDA. Adjusted EBITDA is calculated as earnings before interest, taxes, depreciation and amortization (“EBITDA”) excluding the impact of merger-related costs, stock-based compensation expense under the Company's long-term equity award program, and loan loss reserves. Adjusted EBITDA is an important non-GAAP supplemental measure of operating performance.
Annualized Cash Net Operating Income (“Annualized Cash NOI”). The Company believes that net income as defined by GAAP is the most appropriate earnings measure. The Company considers Annualized Cash NOI an important supplemental measure because it allows investors, analysts and its management to evaluate the operating performance of its investments. The Company defines Annualized Cash NOI as Annualized Revenues less operating expenses and non-cash revenues and expenses. Annualized Cash NOI excludes all other financial statement amounts included in net income and is presented at Sabra's pro rata share.
Annualized Revenues. The annual contractual rental revenues under leases and interest and other income generated by the Company’s loans receivable and other investments based on amounts invested and applicable terms as of the end of the period presented. Annualized Revenues do not include tenant recoveries and are adjusted to reflect actual payments received related to the twelve months ended at the end of the respective period for leases no longer accounted for on an accrual basis.
Behavioral Health. Includes behavioral hospitals that provide inpatient and outpatient care for patients with mental health conditions, chemical dependence or substance addictions and addiction treatment centers that provide treatment services for chemical dependence and substance addictions, which may include inpatient care, outpatient care, medical detoxification, therapy and counseling.
Cash Net Operating Income (“Cash NOI”). The Company believes that net income as defined by GAAP is the most appropriate earnings measure. The Company considers Cash NOI an important supplemental measure because it allows investors, analysts and its management to evaluate the operating performance of its investments. The Company defines Cash NOI as total revenues less operating expenses and non-cash revenues and expenses. Cash NOI excludes all other financial statement amounts included in net income and is presented at Sabra's pro rata share.
Consolidated Debt. The principal balances of the Company’s revolving credit facility, term loans, senior unsecured notes, and secured indebtedness as reported in the Company’s consolidated financial statements.
Funds From Operations (“FFO”) and Adjusted Funds from Operations (“AFFO”). The Company believes that net income as defined by GAAP is the most appropriate earnings measure. The Company also believes that funds from operations, or FFO, as defined in accordance with the definition used by the National Association of Real Estate Investment Trusts (“Nareit”), and adjusted funds from operations, or AFFO (and related per share amounts) are important non-GAAP supplemental measures of the Company’s operating performance. Because the historical cost accounting convention used for real estate assets requires straight-line depreciation (except on land), such accounting presentation implies that the value of real estate assets diminishes predictably over time. However, since real estate values have historically risen or fallen with market and other conditions, presentations of operating results for a real estate investment trust that uses historical cost accounting for depreciation could be less informative. Thus, Nareit created FFO as a supplemental measure of operating performance for real estate investment trusts that excludes historical cost depreciation and amortization, among other items, from net income, as defined by GAAP. FFO is defined as net income, computed in accordance with GAAP, excluding gains or losses from real estate dispositions and the Company’s share of gains or losses from real estate dispositions related to its unconsolidated joint ventures, plus real estate depreciation and amortization, net of amounts related to noncontrolling interests, plus the Company’s share of depreciation and amortization related to its unconsolidated joint ventures, and real estate impairment charges of both consolidated and unconsolidated entities when the impairment is directly attributable to decreases in the value of depreciable real estate held by the entity. AFFO is defined as FFO excluding stock-based compensation expense, non-cash rental and related revenues, non-cash interest income, non-cash interest expense, non-cash portion of loss on extinguishment of debt, provision for (recovery of) loan losses and other reserves, non-cash lease termination income and deferred income taxes, as well as other non-cash revenue and expense items (including noncapitalizable acquisition costs, transaction costs related to operator transitions and organizational or other restructuring activities, gain/loss on derivative instruments, and non-cash revenue and expense amounts related to noncontrolling interests) and the Company’s share of non-cash adjustments related to its unconsolidated joint ventures. The Company believes that the use of FFO and AFFO (and the related per share amounts), combined with the required GAAP presentations, improves the understanding of the Company’s operating results among investors and makes comparisons of operating results among real estate investment trusts more meaningful. The Company considers FFO and AFFO to be useful measures for reviewing comparative operating and financial performance because, by excluding the applicable items listed above, FFO and AFFO can help investors compare the operating performance of the Company between periods or as compared to other companies. While FFO and AFFO are relevant and widely used measures of operating performance of real estate investment trusts, they do not represent cash flows from operations or net income as defined by GAAP and should not be considered an alternative to those measures in evaluating the Company’s liquidity or operating performance. FFO and AFFO also do not consider the costs associated with capital expenditures related to the Company’s real estate assets nor do they purport to be indicative of cash available to fund the Company’s future cash requirements. Further, the Company’s computation of FFO and AFFO may not be comparable to FFO and AFFO reported by other real estate investment trusts that do not define FFO in accordance with the current Nareit definition or that interpret the current Nareit definition or define AFFO differently than the Company does.
Net Debt. The principal balances of the Company’s revolving credit facility, term loans, senior unsecured notes, and secured indebtedness as reported in the Company’s consolidated financial statements, net of cash and cash equivalents as reported in the Company’s consolidated financial statements.
Net Debt to Adjusted EBITDA. The Company believes that net income as defined by GAAP is the most appropriate earnings measure. The Company considers Net Debt to Adjusted EBITDA an important supplemental measure because it provides investors, analysts, and management with a meaningful indicator of the Company’s financial leverage and its capacity to service and repay debt from operating cash flows. Net Debt to Adjusted EBITDA is calculated as Net Debt divided by Annualized Adjusted EBITDA, which is Adjusted EBITDA, as adjusted for annualizing adjustments that give effect to the acquisitions and dispositions completed during the respective period as though such acquisitions and dispositions were completed as of the beginning of the period presented.
Net Operating Income (“NOI”). The Company believes that net income as defined by GAAP is the most appropriate earnings measure. The Company considers NOI an important supplemental measure because it allows investors, analysts and its management to evaluate the operating performance of its investments. The Company defines NOI as total revenues less operating expenses. NOI excludes all other financial statement amounts included in net income.
See reporting definitions. 9SABRA HEALTH CARE REIT, INC.
REPORTING DEFINITIONS
Normalized FFO and Normalized AFFO. Normalized FFO and Normalized AFFO represent FFO and AFFO, respectively, adjusted for certain income and expense items that the Company does not believe are indicative of its ongoing operating results. The Company considers Normalized FFO and Normalized AFFO to be useful measures to evaluate the Company’s operating results excluding these income and expense items to help investors compare the operating performance of the Company between periods or as compared to other companies. Normalized FFO and Normalized AFFO do not represent cash flows from operations or net income as defined by GAAP and should not be considered an alternative to those measures in evaluating the Company’s liquidity or operating performance. Normalized FFO and Normalized AFFO also do not consider the costs associated with capital expenditures related to the Company’s real estate assets nor do they purport to be indicative of cash available to fund the Company’s future cash requirements. Further, the Company’s computation of Normalized FFO and Normalized AFFO may not be comparable to Normalized FFO and Normalized AFFO reported by other real estate investment trusts that do not define FFO in accordance with the current Nareit definition or that interpret the current Nareit definition or define FFO and AFFO or Normalized FFO and Normalized AFFO differently than the Company does.
Senior Housing. Senior Housing communities include independent living, assisted living, continuing care retirement and memory care communities.
Senior Housing - Managed. Senior Housing communities operated by third-party property managers pursuant to property management agreements.
Skilled Nursing/Transitional Care. Skilled Nursing/Transitional Care facilities include skilled nursing, transitional care, multi-license designation and mental health facilities.
Specialty Hospitals and Other. Includes acute care, long-term acute care and rehabilitation hospitals, facilities that provide residential services, which may include assistance with activities of daily living, and other facilities not classified as Skilled Nursing/Transitional Care, Senior Housing or Behavioral Health.
See reporting definitions. 10
Strategic. Disciplined. Opportunistic. Investor Presentation | August 3, 2026
August 3, 2026 Investor Presentation Forward-Looking Statements This presentation contains “forward-looking” statements as defined in the Private Securities Litigation Reform Act of 1995. Any statements that do not relate to historical or current facts or matters are forward-looking statements. These statements may be identified, without limitation, by the use of “expects,” “believes,” “intends,” “should” or comparable terms or the negative thereof. Examples of forward-looking statements include all statements regarding population and demand growth; and our other expectations regarding our future financial position, results of operations (including our earnings guidance for 2026, as well as the assumptions set forth therein), our expectations regarding cash flows, liquidity, business strategy, growth opportunities, potential investments and dispositions, our expectations regarding our investment activity, our expectations regarding the proposed transition of the Avamere properties, our expectations regarding our investment in and use of AI and related technologies, and our plans and objectives for future operations and capital raising activity. Our actual results may differ materially from those projected or contemplated by our forward-looking statements as a result of various factors, including, among others, the following: the ability to reach a definitive agreement for awarded investments and our ability to close such acquisitions on the expected terms or at all; our ability to complete the proposed transition of the Avamere properties on the expected terms or at all; increases in market interest rates and inflation; pandemics or epidemics, and the related impact on our tenants, borrowers and senior housing - managed communities; operational risks with respect to our senior housing - managed communities; increased labor costs and labor shortages; competitive conditions in our industry; the loss of key management personnel; uninsured or underinsured losses affecting our properties; potential impairment charges and adjustments related to the accounting of our assets; risks associated with our investment in our unconsolidated joint ventures; catastrophic weather and other natural or man-made disasters, the effects of climate change on our properties and a failure to implement sustainable and energy-efficient measures; increased operating costs and competition for our tenants, borrowers and senior housing - managed communities; increased healthcare regulation and enforcement; our tenants’ dependency on reimbursement from governmental and other third-party payor programs; the effect of our tenants, operators or borrowers declaring bankruptcy or becoming insolvent; our ability to find replacement tenants and the impact of unforeseen costs in acquiring new properties; the impact of litigation and rising insurance costs on the business of our tenants; the impact of required regulatory approvals of transfers of healthcare properties; environmental compliance costs and liabilities associated with real estate properties we own; our tenants’, borrowers’ or operators’ failure to adhere to applicable privacy and data security laws; a material breach of our or our tenants’, borrowers’ or operators’ information technology; our concentration in the healthcare property sector, particularly in skilled nursing/transitional care facilities and senior housing communities, which makes our profitability more vulnerable to a downturn in a specific sector than if we were investing in multiple industries; the significant amount of and our ability to service our indebtedness; covenants in our debt agreements that may restrict our ability to pay dividends, make investments, incur additional indebtedness and refinance indebtedness on favorable terms; adverse changes in our credit ratings; our ability to make dividend distributions at expected levels; our ability to raise capital through equity and debt financings; changes and uncertainty in macroeconomic conditions and disruptions in the financial markets; risks associated with our ownership of property outside the U.S., including currency fluctuations; the relatively illiquid nature of real estate investments; our ability to maintain our status as a real estate investment trust (“REIT”) under the federal tax laws; compliance with REIT requirements and certain tax and tax regulatory matters related to our status as a REIT; changes in tax laws and regulations affecting REITs; the ownership limits and takeover defenses in our governing documents and under Maryland law, which may restrict change of control or business combination opportunities; and the exclusive forum provisions in our bylaws. Additional information concerning risks and uncertainties that could affect our business can be found in our filings with the Securities and Exchange Commission (the “SEC”), including in Part I, Item 1A of our Annual Report on Form 10-K for the year ended December 31, 2025. Forward-looking statements made in this presentation are not guarantees of future performance, events or results, and you should not place undue reliance on these forward-looking statements, which speak only as of the date hereof. The Company assumes no, and hereby disclaims any, obligation to update any of the foregoing or any other forward-looking statements as a result of new information or new or future developments, except as otherwise required by law. Disclaimers 2
August 3, 2026 Investor Presentation Tenant and Borrower Information This presentation includes information (e.g., EBITDARM Coverage and Occupancy Percentage) regarding certain of our tenants that lease properties from us and our borrowers, most of which are not subject to SEC reporting requirements. The information related to our tenants and borrowers that is provided in this presentation has been provided by, or derived from information provided by, such tenants and borrowers. We have not independently verified this information. We have no reason to believe that such information is inaccurate in any material respect. We are providing this data for informational purposes only. Non-GAAP Financial Measures This presentation contains certain non-GAAP financial measures related to Sabra Health Care REIT, Inc., including Annualized Cash NOI, Net Debt to Adjusted EBITDA and funds from operations (“FFO”). These measures may be different than non-GAAP financial measures used by other companies, and the presentation of these measures is not intended to be considered in isolation or as a substitute for financial information prepared and presented in accordance with U.S. generally accepted accounting principles (“GAAP”). An explanation of these non-GAAP financial measures is included under “Definitions” in the Appendix, and reconciliations of these non-GAAP financial measures to the GAAP financial measures we consider most comparable are included on the Investors section of our website at https://ir.sabrahealth.com/investors/financials/quarterly-results. Disclaimers 3
LOREM IPSUM Heading August 3, 2026 Investor Presentation Our passion for quality care and deep industry experience uniquely position Sabra to succeed in the dynamic healthcare real estate market. We have the size, know-how and resilient balance sheet necessary to deliver long-term value to shareholders. Uniquely Positioned to Thrive 4
August 3, 2026 Investor Presentation 5 “We know what happens inside our buildings matters most. That’s why we align ourselves with operators who skillfully and compassionately care for the residents and patients in the buildings we own.” -Rick Matros (he/him), Chief Executive Officer STRATEGY
August 3, 2026 Investor Presentation Portfolio Strategy 6 STRATEGY Growing Demand • > 80 population is expected to grow 4% per year through 2040 • Virtually no new senior housing or skilled nursing supply in the foreseeable future Mission-Driven Needs-Based • Passionate workforce • Positive societal impact • Community backbone • Safety net infrastructure • Lifestyle enhancement • Post-acute care • Psychosocial support • Dementia care Skilled Nursing | Senior Housing
August 3, 2026 Investor Presentation Execution — Passion Meets Know-how Unique, Accretive Investments - Utilize our operational and asset management experience to identify and capitalize on new opportunities where off-market price dislocation exists. Support Operator Expansion - Be the capital partner of choice for the expansion and growth of leading operators with regional expertise and concentrated in markets with favorable demographics. Structure deals opportunistically across the capital stack. Creatively Financed Development - Pursue strategic development opportunities and long-term partnerships with leading developers. Optimize Portfolio - Continue to curate our portfolio to optimize diversification and maintain a mix of assets well-positioned for the future of healthcare delivery. Prudent Financing – Maintain balance sheet strength and lower leverage by match funding accretive investing activity with a combination of available liquidity, recycled capital and ATM proceeds. 7 STRATEGY
August 3, 2026 Investor Presentation 2026 Guidance 8 STRATEGY IN ACTION 2026 Guidance: Net Income $ 0.37 — $ 0.39 FFO $ 1.12 — $ 1.14 Normalized FFO $ 1.53 — $ 1.55 AFFO $ 1.58 — $ 1.60 Normalized AFFO $ 1.59 — $ 1.61 Earnings guidance above assumes: • low-single-digit Cash NOI growth for the triple-net portfolio at the midpoint, ignoring the impact of acquisitions, dispositions and completed tenant transitions; • average full-year Cash NOI growth for the same-store Senior Housing - Managed portfolio in the low-to-mid-teens; • general and administrative expenses at the midpoint of $61 million, which includes $13 million of stock-based compensation expense; • cash interest expense of $104 million at the midpoint; • weighted average share count of 258 million and 259 million for Normalized FFO and Normalized AFFO, respectively; • only investments, dispositions and capital markets activity completed as of July 21, 2026. Sabra is reiterating 2026 guidance ranges as follows (attributable to Sabra Health Care REIT, INC., per diluted common share): The foregoing guidance ranges reflect management’s view of current and future market conditions. There can be no assurance that the Company’s actual results will not differ materially from the estimates set forth above. Except as otherwise required by law, the Company assumes no, and hereby disclaims any, obligation to update any of the foregoing guidance ranges as a result of new information or new or future developments. NFFO and NAFFO midpoints imply approximately 7% and 8% year-over-year growth, respectively.
August 3, 2026 Investor Presentation Recent Highlights 9 STRATEGY IN ACTION ▪ ###Investments Closed Year-to-date, Sabra has closed on $599 million of managed senior housing and skilled nursing investments with an estimated initial cash yield of 7.5%. Investment Pipeline Sabra’s pipeline of awarded investments, which is comprised of managed senior housing and skilled nursing investments, stands at $100 million with an estimated initial cash yield of 7.7%. Transitions As previously announced in Sabra’s July 21, 2026, Business Update, Sabra has entered into letters of intent to re-tenant all of its 26 properties leased to Avamere. The transition is expected to be completed during the second half of 2026, with combined annualized cash rent of $53 million.
August 3, 2026 Investor Presentation “We deliver long-term value to our shareholders by deliberately executing on our strategy and investing in our tenants’ success by providing flexible capital solutions that keep them at the forefront of healthcare delivery.” -Darrin Smith, Chief Investment Officer 10 STRATEGY IN ACTION
August 3, 2026 Investor Presentation Increasing Operating Scalability and Efficiency With AI 11 CORPORATE SUSTAINABILITY Data as Strategic Infrastructure: Building a scalable, Sabra-owned data foundation to enhance decision-making across the business and strengthen the analytical platform available to our operators. Practical AI With Clear Business Value: Focusing on targeted use cases that accelerate the path from data to insight and from insight to action. AI-Enabled Investment Process: Piloting AI-assisted deal screening, document review, and diligence workflows to increase deal velocity and analytical rigor. Proprietary Operator Intelligence: Developing a differentiated insight layer that combines financial performance data, operating history, qualitative context, and trend analysis to support asset- and portfolio-level decisions that will also give operators better visibility, benchmarking, and performance management capabilities. Scalable Operating Model: Reducing manual data collection and reconciliation, allowing teams to focus more time on analysis, execution and value-added performance improvement. Responsible and Governed AI Adoption: Embedding governance, source-of-truth architecture, metric ownership, and responsible deployment standards to support trust, security, and consistency. Near-Term Emphasis Create a unified data platform to shorten the time from data to decision, while increasing operating scalability and efficiency. Long-Term Direction Leverage our proprietary data platform to provide Sabra and our operators with a distinct operational advantage.
August 3, 2026 Investor Presentation Advancing Proven Technologies and Sustainability Initiatives 12 CORPORATE SUSTAINABILITY By working closely with our operators and tenants to scale proven technologies and sustainability initiatives, we’re improving the quality of care, enhancing operational efficiency and supporting long-term value creation. • Scaled water conservation initiatives following pilots that reduced toilet water use by 51% and irrigation water use by 31% • Deployed 110 autonomous cleaning robots across nearly 99 million square feet • Achieved 30%+ unit-level efficiency gains through 250+ inverter heat pump retrofits • Expanded DS Smart vital-sign technology to 35 managed assisted living communities • Improved platform interoperability to reduce caregiver documentation burden and software fatigue
August 3, 2026 Investor Presentation Sustainability Framework “Sabra’s unwavering commitment to supporting operators’ success and prioritizing seniors’ well-being extends seamlessly to our corporate sustainability projects, aimed at empowering operators’ energy and water efficiency and enhancing the quality of residents’ lives.” -Armand Markarian, Manager, Asset Management 13 CORPORATE SUSTAINABILITY We understand that good governance underpins sustainability, strengthens the accountability of our Board and management team and supports the long-term interests of our stakeholders. Our corporate sustainability principles are intrinsically tied to our objective to drive shareholder value by operating efficiently, sustainably, and with our stakeholders’ best interests in mind.
August 3, 2026 Investor Presentation E-Initiative Roadmap 14 CORPORATE SUSTAINABILITY Our efforts to improve the environment start with enabling our operators. We take a comprehensive, integrated and collaborative approach to environmental stewardship, as demonstrated by our E-Initiative Roadmap.
August 3, 2026 Investor Presentation E-Playbook: Turning Vision into Action 15 CORPORATE SUSTAINABILITY Sabra’s E-Playbook builds on our E-Roadmap and green initiatives to provide a structured framework for advancing initiatives that drive measurable environmental and operational improvements across our portfolio. • Align internal and external resources • Establish and evaluate preferred vendors • Combine technical expertise with senior living insight • Use data to identify, implement and validate solutions • Scale proven practices and incentives portfolio-wide • Advance from quick wins to long-term improvements • Integrate across asset management, origination and risk “What began as a Roadmap has evolved into a Playbook— one that translates vision into action, enabling environmental and operational improvements at the property level through collaboration, data and scale.” -Peter Nyland, EVP, Strategic Initiatives
August 3, 2026 Investor Presentation Going the Extra Green Mile 16 CORPORATE SUSTAINABILITY At Gardens of Wakefield, Sabra worked with Blue Sky E3 Partners and Carrier engineers to design a custom, energy-efficient solution for the community’s heating and cooling system. By replacing outdated equipment, the project achieved a combined 44 percent improvement in unit efficiency. Building on that success, Sabra completed similar HVAC retrofits at two additional Texas communities, leveraging utility incentives to upgrade systems and enhance performance. These efforts improved unit efficiency by 30 percent, resident comfort, staff working conditions and overall grid resilience.
August 3, 2026 Investor Presentation Committed to Diversity, Equity & Inclusion 55% As of June 30, 2026, women comprised 55% of our workforce and 58% of our management level/ leadership roles. 34% As of June 30, 2026, 34% of our team members self-identified as being members of one or more ethnic minorities. We believe our ethnic diversity is higher than this reported percentage as another 16% of our team members chose not to self-identify. 17 CORPORATE SUSTAINABILITY We believe a diverse workforce is essential to our continued success and gives us a competitive advantage. We believe we attract the best talent by embracing the diversity of our country.
August 3, 2026 Investor Presentation Our Success Is Predicated on a Healthy Portfolio 1 Represents average occupancy for the total consolidated portfolio. 2 Occupancy Percentage and Skilled Mix (together, “Operating Statistics”) and EBITDARM Coverage for the period presented include only Stabilized Facilities owned by the Company as of the end of the quarter following the period presented and only for the duration such facilities were owned by the Company and classified as Stabilized Facilities. In addition, EBITDARM Coverage and Operating Statistics are presented for the twelve months ended at the end of the respective period and one quarter in arrears, and therefore, EBITDARM Coverage and Operating Statistics exclude assets acquired after March 31, 2026. 7 Years Wtd. Avg. Remaining Lease Term 395 Investments 2.49x 1.52x 4.14x 61 Relationships 39% Skilled Mix2 Average Occupancy Percentage2 84% 85% 88% 82% SH - LeasedSNF/TC SNF/TC SH - Leased EBITDARM Coverage2 As of June 30, 2026 BH/Hosp./Oth. BH/Hosp./Oth. 18 PORTFOLIO SH - Managed1
August 3, 2026 Investor Presentation 1 Relationship and asset class concentrations include real estate investments and investments in loans receivable and other investments. Relationship concentrations use Annualized Cash NOI, and asset class concentrations use Annualized Cash NOI, as adjusted to reflect Annualized Cash NOI from our mortgage and construction loans receivable and preferred equity investments in the related asset class of the underlying real estate. See the Appendix to this presentation for the definition of Annualized Cash NOI. Diverse Portfolio, Positioned to Perform Relationship Concentration1 Asset Class Concentration1 As of June 30, 2026 19 PORTFOLIO Avamere Family of Companies, 8.4% The Ensign Group, 7.5% Signature Healthcare, 7.2% Signature Behavioral, 6.1% The McGuire Group, 3.6% Healthmark Group, 3.1% Managed (No Operator Credit Exposure), 32.8% Other 31.3% Senior Housing - Managed, 32.8% Behavioral Health, 8.6% Senior Housing - Leased, 7.0%Specialty Hospital and Other, 3.5% Other, 0.4% Skilled Nursing/ Transitional Care, 47.7%
August 3, 2026 Investor Presentation Favorable Supply and Demand Trends 20 PORTFOLIO Source: Census.gov, AHCA, Care Compare Since 2000, the 85-or-older population has grown by 64%, compared to a 12% decline in skilled nursing beds over the same time frame. SNF Supply and Demand 1,780 1,757 1,725 1,712 1,706 1,703 1,697 1,695 1,693 1,675 1,628 1,594 1,571 4,399 4,641 4,946 5,296 5,600 5,880 6,055 6,304 6,468 6,590 6,467 6,677 7,047 SNF Beds (000s) Population 85 or older (000s) 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 — 1,000 2,000 3,000 4,000 5,000 6,000 7,000 8,000
August 3, 2026 Investor Presentation Skilled Nursing Medicaid and Medicare Rates Medicaid Average Daily Rate Medicare Average Daily Rate As of June 30, 2026 21 PORTFOLIO $180 $187 $198 $210 $236 $262 $285 $325 Ja n-13 Ja n-14 Ja n-15 Ja n-16 Ja n-17 Ja n-18 Ja n-19 Ja n-2 0 Ja n-2 1 Ja n-2 2 Ja n-2 3 Ja n-2 4 Ja n-2 5 Ja n-2 6 $150 $200 $250 $300 $350 4.5% CAGR $523 $531 $528 $552 $635 $662 $697 $730 Ja n-13 Ja n-14 Ja n-15 Ja n-16 Ja n-17 Ja n-18 Ja n-19 Ja n-2 0 Ja n-2 1 Ja n-2 2 Ja n-2 3 Ja n-2 4 Ja n-2 5 Ja n-2 6 $500 $550 $600 $650 $700 $750 2.5% CAGR
August 3, 2026 Investor Presentation “We invest in relationships with operators who are nimble and poised to deliver excellent care now and in the future.” -Peter Nyland, Executive Vice President, Strategic Initiatives 22 PORTFOLIO
August 3, 2026 Investor Presentation Advancing the Quality of Care We Work with Operators Who Are: • Committed to their mission • Nimble • Regional experts • In markets with favorable demographics • Well-positioned for the future of healthcare delivery OPERATORS 23
August 3, 2026 Investor Presentation We Support Our Operators We Invest in Our Tenants’ Success: • Redevelopment / Adaptive Reuse • Expansion • Strategic development • Flexible equity and debt capital solutions OPERATORS 24
August 3, 2026 Investor Presentation “What started with a single sale/leaseback transaction for a senior living community in Indiana has grown into a multi-state, multi- community relationship. We truly value the collaboration, insight and support we receive from Sabra. Sabra is who we think about first when it comes to a capital partner to support our company’s growth.” – Tom Smith, Chief Executive Officer & Co-Founder Leo Brown Group 25 OPERATORS
August 3, 2026 Investor Presentation “Our strong balance sheet and ready access to capital allows us to thoughtfully finance investment opportunities and drive value for our shareholders.” –Michael Costa, Chief Financial Officer 26 PERFORMANCE
August 3, 2026 Investor Presentation Common Equity Value 69% Secured Debt 1% Hedged Term Loans 13% Fixed Rate Bonds 13% Line of Credit 4% Prudent Balance Sheet Management 1 As of 6/30/2026. Common equity value estimated using outstanding common stock of 255.5 million shares and Sabra’s closing price of $21.32 as of 7/30/2026. 27 PERFORMANCE • Hedged variable rate exposure, resulting in interest savings of $7 million over the last 12 months. • Weighted average debt maturity of approximately 4 years with no material debt maturities until 2028. • Weighted average effective interest rate on permanent debt of 3.92%. • Ample liquidity of approximately $1.3 billion ensures we have ready access to capital. • $334 million of availability under at-the- market (ATM) equity offering program. • 98% of borrowings are unsecured, providing additional balance sheet flexibility. CONSOLIDATED ENTERPRISE VALUE1 $7.9B June 30, 2026
August 3, 2026 Investor Presentation Key Credit Metrics 1 Net Debt to Adjusted EBITDA2 4.61x Interest Coverage Ratio 4.63x Debt as a % of Asset Value 37% Secured Debt as a % of Asset Value 1% Balance Sheet Built for Growth 1 Key credit metrics (except Net Debt to Adjusted EBITDA) are calculated in accordance with the credit agreement relating to the revolving credit facility and the indentures relating to our senior unsecured notes. In addition, key credit metrics give effect to dispositions and acquisitions completed after the period presented as though such dispositions and acquisitions occurred at the beginning of the period. 2 Based on the annualized trailing three-month period ended as of the date indicated. 28 PERFORMANCE Unsecured Notes Ratings S&P (Positive outlook) BBB- Fitch (Stable outlook) BBB- Moody’s (Stable outlook) Baa3 As of June 30, 2026
August 3, 2026 Investor Presentation 100 350 800 535 500 $1 $2 $2 $2 $2 $2 $2 $2 $2 $23 317 $683 3.4% 4.8% 4.1% 3.9% 4.6% 3.2% 3.5% 3.5% 3.5% 3.5% 3.7% Unsecured Bonds Term Loans Mortgage Debt / Secure Debt Line of Credit Available Line of Credit Wtd. Avg. Interest 2026 2027 2028 2029 2030 2031 2032 2033 2034 2035 Thereafter 0 200 400 600 800 1,000 1,200 Favorable Profile with Staggered Maturities 1 Revolving Credit Facility is subject to two six-month extension options. 2 Includes private mortgage insurance and impact of interest rate hedges. (Dollars in millions) Debt maturity profile at June 30, 2026 29 PERFORMANCE 1 21
August 3, 2026 Investor Presentation Attractive Valuation Relative to Direct Peers Forward FFO multiples 1 Dividend yield 2 Premium / discount to consensus NAV Portfolio composition (% Annualized Cash NOI) 3 Sources: Visible Alpha as of 7/30/2026, unless otherwise noted. 1 Forward FFO multiple is calculated as stock price as of 7/30/2026 divided by the forward four quarter consensus FFO from Visible Alpha. 2 Dividend yield is calculated as most recent quarterly dividends declared per share annualized divided by stock price as of 7/30/2026. 3 Represents latest available concentration for peers from company filings as of 7/30/2026. 4 Based on Annualized Cash NOI for the quarter ended 6/30/2026 for real estate investments, investments in loans receivable and other investments. See the appendix to this presentation for the definition of Annualized Cash NOI. 5 AHR SNF concentration includes both Triple-Net Leased SNF NOI and NOI from Integrated Senior Health Campuses. 30 PERFORMANCE 13.4x 14.4x 15.3x 15.4x 19.5x 25.4x SBRA LTC OHI NHI CTRE AHR 5.6% 1.8% 3.7% 4.8% 5.4% 5.7% SBRA AHR CTRE NHI OHI LTC 24.5% 8.2% 18.0% 44.1% 50.2% 72.3% SBRA LTC NHI OHI CTRE AHR 40% 26% 36% 71% 69% 21% 48% 73% 53% 28% 27% 62% 13% 1% 11% 1% 4% 17% Senior Housing Skilled Nursing Other SBRA CTRE OHI LTC NHI AHR4 5
August 3, 2026 Investor Presentation Well-Positioned Portfolio SNF concentration 1 1 Represents latest available concentration and coverage for peers as of 7/30/2026. 2 Based on Annualized Cash NOI as of 6/30/2026 for real estate investments, investments in loans receivable and other investments. See the appendix to this presentation for the definition of Annualized Cash NOI. 3 OHI and CTRE SNF concentrations exclude NOI from U.K Care Home portfolios. 4 AHR SNF concentration includes both Triple-Net Leased SNF NOI and NOI from Integrated Senior Health Campuses. 5 Represents SNF EBITDARM Coverage for LTC, AHR and NHI; total portfolio EBITDARM Coverage for OHI and CTRE. 6 See appendix to this presentation for the definition of EBITDARM Coverage. Top five relationships concentration 1 SNF EBITDARM Coverage 1,5 SH EBITDARM Coverage 1 31 PERFORMANCE 48% 27% 28% 53% 62% 73% SBRA NHI LTC OHI AHR CTRE 33% 34% 50% 55% 55% SBRA OHI CTRE LTC NHI 2.49x 2.01x 2.12x 2.50x 3.14x 3.41x SBRA OHI AHR LTC CTRE NHI 1.52x 1.30x 1.34x 1.37x 1.46x 1.61x SBRA VTR AHR LTC WELL NHI2 2 6 643 3
August 3, 2026 Investor Presentation Appendix 32 i
August 3, 2026 Investor Presentation Adjusted EBITDA.* Adjusted EBITDA is calculated as earnings before interest, taxes, depreciation and amortization (“EBITDA”) excluding the impact of merger-related costs, stock-based compensation expense under the Company’s long-term equity award program, and loan loss reserves. Adjusted EBITDA is an important non- GAAP supplemental measure of operating performance. Annualized Cash Net Operating Income (“Annualized Cash NOI”).* The Company believes that net income as defined by GAAP is the most appropriate earnings measure. The Company considers Annualized Cash NOI an important supplemental measure because it allows investors, analysts and its management to evaluate the operating performance of its investments. The Company defines Annualized Cash NOI as Annualized Revenues less operating expenses and non-cash revenues and expenses. Annualized Cash NOI excludes all other financial statement amounts included in net income and is presented at Sabra’s pro rata share. Annualized Revenues. The annual contractual rental revenues under leases and interest and other income generated by the Company’s loans receivable and other investments based on amounts invested and applicable terms as of the end of the period presented. Annualized Revenues do not include tenant recoveries and are adjusted to reflect actual payments received related to the twelve months ended at the end of the respective period for leases no longer accounted for on an accrual basis. Behavioral Health. Includes behavioral hospitals that provide inpatient and outpatient care for patients with mental health conditions, chemical dependence or substance addictions and addiction treatment centers that provide treatment services for chemical dependence and substance addictions, which may include inpatient care, outpatient care, medical detoxification, therapy and counseling. Cash Net Operating Income (“Cash NOI”)* The Company believes that net income as defined by GAAP is the most appropriate earnings measure. The Company considers Cash NOI an important supplemental measure because it allows investors, analysts and its management to evaluate the operating performance of its investments. The Company defines Cash NOI as total revenues less operating expenses and non-cash revenues and expenses. Cash NOI excludes all other financial statement amounts included in net income and is presented at Sabra’s pro rata share. Consolidated Debt. The principal balances of the Company’s revolving credit facility, term loans, senior unsecured notes, and secured indebtedness as reported in the Company’s consolidated financial statements. Consolidated Enterprise Value. The Company believes Consolidated Enterprise Value is an important measurement as it is a measure of a company’s value. The Company calculates Consolidated Enterprise Value as market equity capitalization plus Consolidated Debt. Market equity capitalization is calculated as (i) the number of shares of common stock multiplied by the closing price of the Company’s common stock on the last day of the period presented plus (ii) the number of shares of preferred stock multiplied by the closing price of the Company’s preferred stock on the last day of the period presented. Consolidated Enterprise Value includes the Company’s market equity capitalization and Consolidated Debt, less cash and cash equivalents. EBITDARM. Earnings before interest, taxes, depreciation, amortization, rent and management fees (“EBITDARM”) for a particular facility accruing to the operator/tenant of the property (not the Company), for the period presented. The Company uses EBITDARM in determining EBITDARM Coverage. EBITDARM has limitations as an analytical tool. EBITDARM does not reflect historical cash expenditures or future cash requirements for facility capital expenditures or contractual commitments. In addition, EBITDARM does not represent a property’s net income or cash flows from operations and should not be considered an alternative to those indicators. The Company utilizes EBITDARM to evaluate the core operations of the properties by eliminating management fees, which may vary by operator/tenant and operating structure, and as a supplemental measure of the ability of the Company’s operators/tenants and relevant guarantors to generate sufficient liquidity to meet related obligations to the Company. EBITDARM Coverage. Represents the ratio of EBITDARM to cash rent for owned facilities (excluding Senior Housing - Managed communities) for the period presented. EBITDARM Coverage is a supplemental measure of a property’s ability to generate cash flows for the operator/tenant (not the Company) to meet the operator’s/ tenant’s related cash rent and other obligations to the Company. However, its usefulness is limited by, among other things, the same factors that limit the usefulness of EBITDARM. EBITDARM Coverage includes only Stabilized Facilities and excludes facilities for which data is not available or meaningful. Definitions 33 APPENDIX
August 3, 2026 Investor Presentation Funds From Operations (“FFO”) and Adjusted FFO (“AFFO”).* The Company believes that net income as defined by GAAP is the most appropriate earnings measure. The Company also believes that funds from operations, or FFO, as defined in accordance with the definition used by the National Association of Real Estate Investment Trusts (“Nareit”), and adjusted funds from operations, or AFFO (and related per share amounts) are important non-GAAP supplemental measures of the Company’s operating performance. Because the historical cost accounting convention used for real estate assets requires straight-line depreciation (except on land), such accounting presentation implies that the value of real estate assets diminishes predictably over time. However, since real estate values have historically risen or fallen with market and other conditions, presentations of operating results for a real estate investment trust that uses historical cost accounting for depreciation could be less informative. Thus, Nareit created FFO as a supplemental measure of operating performance for real estate investment trusts that excludes historical cost depreciation and amortization, among other items, from net income, as defined by GAAP. FFO is defined as net income, computed in accordance with GAAP, excluding gains or losses from real estate dispositions and the Company’s share of gains or losses from real estate dispositions related to its unconsolidated joint ventures, plus real estate depreciation and amortization, net of amounts related to noncontrolling interests, plus the Company’s share of depreciation and amortization related to its unconsolidated joint ventures, and real estate impairment charges of both consolidated and unconsolidated entities when the impairment is directly attributable to decreases in the value of depreciable real estate held by the entity. AFFO is defined as FFO excluding stock-based compensation expense, non-cash rental and related revenues, non-cash interest income, non-cash interest expense, non-cash portion of loss on extinguishment of debt, provision for (recovery of) loan losses and other reserves, non-cash lease termination income and deferred income taxes, as well as other non-cash revenue and expense items (including noncapitalizable acquisition costs, transaction costs related to operator transitions and organizational or other restructuring activities, gain/loss on derivative instruments, and non-cash revenue and expense amounts related to noncontrolling interests) and the Company’s share of non-cash adjustments related to its unconsolidated joint ventures. The Company believes that the use of FFO and AFFO (and the related per share amounts), combined with the required GAAP presentations, improves the understanding of the Company’s operating results among investors and makes comparisons of operating results among real estate investment trusts more meaningful. The Company considers FFO and AFFO to be useful measures for reviewing comparative operating and financial performance because, by excluding the applicable items listed above, FFO and AFFO can help investors compare the operating performance of the Company between periods or as compared to other companies. While FFO and AFFO are relevant and widely used measures of operating performance of real estate investment trusts, they do not represent cash flows from operations or net income as defined by GAAP and should not be considered an alternative to those measures in evaluating the Company’s liquidity or operating performance. FFO and AFFO also do not consider the costs associated with capital expenditures related to the Company’s real estate assets nor do they purport to be indicative of cash available to fund the Company’s future cash requirements. Further, the Company’s computation of FFO and AFFO may not be comparable to FFO and AFFO reported by other real estate investment trusts that do not define FFO in accordance with the current Nareit definition or that interpret the current Nareit definition or define AFFO differently than the Company does. Net Debt.* The principal balances of the Company’s revolving credit facility, term loans, senior unsecured notes, and secured indebtedness as reported in the Company’s consolidated financial statements, net of cash and cash equivalents as reported in the Company’s consolidated financial statements. Net Debt to Adjusted EBITDA.* The Company believes that net income as defined by GAAP is the most appropriate earnings measure. The Company considers Net Debt to Adjusted EBITDA an important supplemental measure because it provides investors, analysts, and management with a meaningful indicator of the Company’s financial leverage and its capacity to service and repay debt from operating cash flows. Net Debt to Adjusted EBITDA is calculated as Net Debt divided by Annualized Adjusted EBITDA, which is Adjusted EBITDA, as adjusted for annualizing adjustments that give effect to the acquisitions and dispositions completed during the respective period as though such acquisitions and dispositions were completed as of the beginning of the period presented. Net Operating Income (“NOI”).* The Company believes that net income as defined by GAAP is the most appropriate earnings measure. The Company considers NOI an important supplemental measure because it allows investors, analysts and its management to evaluate the operating performance of its investments. The Company defines NOI as total revenues less operating expenses. NOI excludes all other financial statement amounts included in net income. Definitions 34 APPENDIX
August 3, 2026 Investor Presentation Normalized FFO and Normalized AFFO.* Normalized FFO and Normalized AFFO represent FFO and AFFO, respectively, adjusted for certain income and expense items that the Company does not believe are indicative of its ongoing operating results. The Company considers Normalized FFO and Normalized AFFO to be useful measures to evaluate the Company’s operating results excluding these income and expense items to help investors compare the operating performance of the Company between periods or as compared to other companies. Normalized FFO and Normalized AFFO do not represent cash flows from operations or net income as defined by GAAP and should not be considered an alternative to those measures in evaluating the Company’s liquidity or operating performance. Normalized FFO and Normalized AFFO also do not consider the costs associated with capital expenditures related to the Company’s real estate assets nor do they purport to be indicative of cash available to fund the Company’s future cash requirements. Further, the Company’s computation of Normalized FFO and Normalized AFFO may not be comparable to Normalized FFO and Normalized AFFO reported by other real estate investment trusts that do not define FFO in accordance with the current Nareit definition or that interpret the current Nareit definition or define FFO and AFFO or Normalized FFO and Normalized AFFO differently than the Company does. Occupancy Percentage. Occupancy Percentage represents the facilities’ average operating occupancy for the period indicated. The percentages are calculated by dividing the actual census from the period presented by the available beds/units for the same period. Except for Senior Housing - Managed, Occupancy includes only Stabilized Facilities and excludes facilities for which data is not available or meaningful. Senior Housing. Senior Housing communities include independent living, assisted living, continuing care retirement and memory care communities. Senior Housing - Managed. Senior Housing communities operated by third-party property managers pursuant to property management agreements. Skilled Mix. Skilled Mix is defined as the total Medicare and non-Medicaid managed care patient revenue at Skilled Nursing/Transitional Care facilities divided by the total revenues at Skilled Nursing/Transitional Care facilities for the period indicated. Skilled Mix includes only Stabilized Facilities and excludes facilities for which data is not available or meaningful. Skilled Nursing/Transitional Care. Skilled Nursing/Transitional Care facilities include skilled nursing, transitional care, multi-license designation and mental health facilities. Specialty Hospitals and Other. Includes acute care, long-term acute care and rehabilitation hospitals, facilities that provide residential services, which may include assistance with activities of daily living, and other facilities not classified as Skilled Nursing/Transitional Care, Senior Housing or Behavioral Health. Stabilized Facility. At the time of acquisition, the Company classifies each facility as either stabilized or non-stabilized. In addition, the Company may classify a facility as non-stabilized after acquisition. Circumstances that could result in a facility being classified as non-stabilized include newly completed developments, facilities undergoing major renovations or additions, facilities being repositioned or transitioned to new operators, and significant transitions within the tenants’ business model. Such facilities are typically reclassified to stabilized upon the earlier of maintaining consistent performance or 24 months after the date of classification as non-stabilized. Stabilized Facilities generally exclude (i) facilities held for sale, (ii) strategic disposition candidates, (iii) facilities being transitioned to a new operator, (iv) facilities being transitioned from being leased by the Company to being operated by the Company and (v) leased facilities acquired during the three months preceding the period presented. * Non-GAAP Financial Measures: Reconciliations, definitions and important discussions regarding the usefulness and limitations of the Non-GAAP Financial Measures used in this presentation can be found at https://ir.sabrahealth.com/investors/financials/quarterly-results. APPENDIX Definitions 35