National Health Properties, Inc. (NHP) has released its investor webcast presentation for the fourth quarter of 2024, providing a detailed overview of its portfolio and financial performance.
In the fourth quarter of 2024, NHP reported a net loss attributable to common stockholders of $20,437, representing a 27.7% improvement from the previous year. Funds from operations (FFO) for the same period were $4,099, a substantial increase from a loss of $3,164 in the fourth quarter of 2023. Adjusted funds from operations (AFFO) saw a remarkable surge, reaching $7,925, compared to $1,172 in the same period a year earlier, marking a 576.2% increase. AFFO per common share * diluted also exhibited a significant surge, rising by 600.0% to $0.28 from $0.04 in Q4 2023.
The full-year enterprise results for 2024 revealed a net loss attributable to common stockholders of $203,495, a substantial increase of 136.4% compared to the previous year. FFO for 2024 was reported at a loss of $109,156, which is a significant change from a loss of $1,445 in 2023. AFFO for the full year showed a 40.8% increase, reaching $15,740 from $11,179 in the prior year. AFFO per common share * diluted also rose by 41.0% from $0.39 to $0.55.
In terms of portfolio results, the fourth quarter of 2024 saw a notable increase in same-store cash net operating income (NOI) for the shop segment, which reached $8,965, reflecting a 22.8% growth from the same period in 2023. The outpatient medical facilities (OMF) segment also experienced a 5.0% increase in same-store cash NOI, totaling $19,759 in Q4 2024.
For the full year, the shop segment's same-store cash NOI climbed to $36,098, marking an 11.2% increase from 2023. The OMF segment's same-store cash NOI for the entire year 2024 reached $77,902, representing a modest 0.6% increase from the previous year.
NHP's net leverage showed improvement, with the net debt to annualized adjusted EBITDA ratio dropping to 10.2x in Q4 2024 from 13.6x in Q4 2023, indicating a stronger financial position.
Furthermore, NHP completed strategic dispositions in 2024, with 15 properties sold for a total of $118,200 and a cash cap rate of 7.6%. In 2025, 11 properties were disposed of for $114,400 at a cash cap rate of 6.2%. The total dispositions in these two periods reached 26 properties, amounting to $232,600 at a cash cap rate of 6.9%.
The company also outlined a strategic pipeline, with 8 properties under consideration for disposition, amounting to $38,000, with a mix of outpatient medical facilities and senior housing operating properties.
NHP's management highlighted the proactive leasing activity in the OMF portfolio and the robust same-store occupancy growth in the shop segment, expressing confidence in the demographic trends that position the shop portfolio for organic growth in occupancy and cash NOI.
Following these announcements, the company's shares moved 0.6%, and are now trading at a price of $14.38. For more information, read the company's full 8-K submission here.
