Healthcare Realty Trust Incorporated (NYSE:HR) has reported its financial results for the third quarter ending September 30, 2025. The company's GAAP net loss per share decreased from $(0.26) in September 2024 to $(0.17) in September 2025. NAREIT FFO per share increased from $0.21 to $0.34, and normalized FFO per share increased from $0.39 to $0.41 over the same periods.
The same store cash NOI growth was reported at +5.4%, mainly driven by a 90 basis points increase in occupancy and tenant retention of 88.6%, with +3.9% cash leasing spreads. The company's lease executions totaled 1.6 million square feet, including 441,000 square feet of new lease executions during the third quarter.
In terms of capital allocation, Healthcare Realty Trust made significant progress in its disposition portfolio, completing asset sales of $404 million through 15 separate transactions during the quarter, with approximately $700 million of additional sales under contract or letter of intent. The company reported a run-rate net debt to adjusted EBITDA of 5.8x, anticipated to be between 5.4x and 5.7x by year-end.
The company also made progress on its development and redevelopment pipeline, including a 101,000 square foot, $48 million development in Fort Worth, Texas, and a $13.6 million redevelopment project in Seattle, Washington.
The balance sheet indicated a debt paydown from asset sales, leading to a decrease in run-rate net debt to adjusted EBITDA to 5.8x, with approximately $1.3 billion of liquidity through October, inclusive of asset sales.
Furthermore, the board approved a common stock dividend in the amount of $0.24 per share to be paid on November 21, 2025. The company increased its normalized FFO per share and same store cash NOI growth guidance for 2025. The updated guidance expects normalized FFO per share to be between $1.59 and $1.61, and same store cash NOI growth to be between 4.00% and 4.75%.
The company is scheduled to hold a conference call on October 31, 2025, to discuss its earnings results, quarterly activities, general operations, and industry trends.
Healthcare Realty Trust Incorporated is the largest, pure-play owner, operator, and developer of medical outpatient buildings in the United States. For additional information, the company's operations can be found at www.healthcarerealty.com. Today the company's shares have moved -1.0% to a price of $17.75. For the full picture, make sure to review Healthcare Realty Trust Inc's 8-K report.
