Press Release: National Healthcare Properties Reports Third Quarter 2025 Results

Dow Jones
2025/11/06

NEW YORK, Nov. 05, 2025 (GLOBE NEWSWIRE) -- National Healthcare Properties, Inc. (Nasdaq: NHPAP / NHPBP) (the "Company"), a self-managed diversified healthcare real estate investment trust focusing on seniors housing and outpatient medical facilities, today announced results for the three and nine months ended September 30, 2025.

Michael Anderson, Chief Executive Officer and President, commented, "We are very pleased with the continued strong momentum of our business across-the-board in the third quarter. The exceptional growth of same store cash net operating income within the Senior Housing Operating Property segment and the continued durable performance of the Outpatient Medical Facility segment are laying a solid foundation for our public listing preparation."

Financial Performance and Other Highlights

   -- Net loss of $(0.56) per basic and diluted share. Nareit defined Funds 
      from Operations ("FFO") of $0.23 per diluted share, and Adjusted Funds 
      from Operations ("AFFO") of $0.36 per diluted share. 
 
          -- FFO per share increased 21.1% on a quarter-over-quarter basis. 
 
          -- AFFO per share increased 12.5% on a quarter-over-quarter basis. 
 
   -- Third quarter portfolio Same Store Cash Net Operating Income ("NOI") 
      growth was 12.2% year-over-year. 
 
          -- Senior Housing Operating Property ("SHOP") segment Same Store Cash 
             NOI growth was 27.2%. 
 
          -- Outpatient Medical Facility ("OMF") segment Same Store Cash NOI 
             growth was 4.7%. 
 
   -- Third quarter disposition totaled $1.8 million, representing the sale of 
      one non-core SHOP. 

Operating Update

SHOP Portfolio

   -- Year-over-year Same Store Cash NOI growth of 27.2%. 
 
   -- Quarter-over-quarter Same Store Cash NOI growth of 10.3%. 
 
   -- Same Store average occupancy totaled 83.7%, an increase of 4.0% on a 
      year-over-year basis. 
 
   -- Same Store revenue increased 12.0% on a year-over-year basis. 
 
   -- Same Store Cash NOI Margin totaled 21.5%, an expansion of 2.5% on a 
      year-over-year basis. 

OMF Portfolio

   -- Year-over-year Same Store Cash NOI growth of 4.7%. 
 
   -- Quarter-over-quarter Same Store Cash NOI decreased by 1.6%. 
 
   -- Same Store ending occupancy totaled 93.5%, a decrease of 0.4% on a 
      year-over-year basis. 

Investment Activity

The Company completed the disposition of one non-core SHOP with a contract sales price of $1.8 million during the quarter ended September 30, 2025.

Balance Sheet and Capital

As of September 30, 2025, total debt outstanding (net of unamortized debt issuance costs) was $1.0 billion with a weighted average interest rate of 5.1% (when giving effect to interest rate hedges) and an average remaining term of 3.5 years.

Year-to-date through September 2025, the Company has paid down $83.1 million of debt using proceeds from dispositions. In April 2025, the Company fully repaid the $21.7 million Capital One OMF Warehouse Facility.

Net Leverage (Net Debt to Annualized Adjusted EBITDA) totaled 8.9x as of September 30, 2025, an improvement of 0.4x relative to June 30, 2025.

Preferred Stock

On September 19, 2025, the Board of Directors declared dividends on the Company's outstanding preferred stock as follows:

   -- A dividend of $0.4609375 per share on its 7.375% Series A Cumulative 
      Redeemable Perpetual Preferred Stock to holders of record at the close of 
      business on October 3, 2025. The dividend was paid on October 15, 2025. 
 
   -- A dividend of $0.4453125 per share on its 7.125% Series B Cumulative 
      Redeemable Perpetual Preferred Stock to holders of record at the close of 
      business on October 3, 2025. The dividend was paid on October 15, 2025. 

During the nine months ended September 30, 2025, the Company completed the repurchase of $4.5 million of previously outstanding shares of preferred stock at a weighted average yield of 11.9%, representing a $9.75 discount to face value and reducing leverage by $2.9 million.

Supplemental Information

Additional information regarding these results can be found in the Company's supplemental financial package that will be available on the Investor Relations section of the Company's website at nhpreit.com.

About National Healthcare Properties

National Healthcare Properties is a self-managed real estate investment trust focusing on seniors housing and outpatient medical facilities. The Company's preferred stocks are traded on the Nasdaq Exchange under the tickers "NHPAP" and "NHPBP". Additional information about the Company can be found on its website at nhpreit.com.

Investor & Media Contact

Email: ir@nhpreit.com

Forward-Looking Statements

This press release may contain "forward-looking" statements as defined in the Private Securities Litigation Reform Act of 1995. These forward-looking statements concern and are based upon, among other things, the possible expansion of the Company's portfolio; the sale of properties; the performance of its operators/tenants and properties; its ability to enter into agreements with new viable tenants for vacant space on favorable terms, or at all; its occupancy rates; its ability to acquire, develop and/or manage properties; its ability to make distributions to shareholders; its policies and plans regarding investments, financings and other matters; its tax status as a real estate investment trust; its critical accounting policies; its ability to appropriately balance the use of debt and equity; its ability to access capital markets or other sources of funds; and its ability to finance and complete, and the effect of, future acquisitions. When the Company uses words such as "may," "will," "intend," "should," "believe," "expect," "anticipate," "project," "estimate" or similar expressions, it is making forward-looking statements. Forward-looking statements are not guarantees of future performance and involve risks and uncertainties. The Company's expected results may not be achieved, and actual results may differ materially from expectations. This may be a result of various factors, including, but not limited, the risks and uncertainties described in the section titled Risk Factors of its most recent Annual Report on Form 10-K for the year ended December 31, 2024 and all other filings with the Securities and Exchange Commission. Finally, the Company assumes no obligation to update or revise any forward-looking statements or to update the reasons why actual results could differ from those projected in any forward-looking statements.

Financial Statements and Definitions

This press release includes certain non-GAAP financial measures, including FFO, AFFO, Net Debt, EBITDA, Adjusted EBITDA, NOI, Cash NOI and Same Store Cash NOI. While the Company believes that non-GAAP financial measures are helpful in evaluating its operating performance, the use of non-GAAP financial measures in this press release should not be considered in isolation from, or as an alternative for, a measure of financial or operating performance as defined by GAAP. There are inherent limitations associated with the use of each of these supplemental non-GAAP financial measures as an analytical tool. Additionally, the Company's computation of non-GAAP financial measures may not be comparable to those reported by other REITs. Definitions of these non-GAAP financial measures and reconciliations to their most directly comparable GAAP measures are provided below.

Nareit FFO and AFFO

The Company calculates FFO consistent with the standards established over time by Nareit. Nareit defines FFO as net income or loss (computed in accordance with GAAP), adjusted for (i) real estate-related depreciation and amortization, (ii) impairment charges on depreciable real property, (iii) gains or losses from sales of depreciable real property and (iv) similar adjustments for non-controlling interests and unconsolidated entities.

The Company calculates AFFO by further adjusting FFO to reflect the performance of its portfolio for items it believes are not directly attributable to its operations. The Company's adjustments to FFO to arrive at AFFO include removing the impacts of (i) acquisition and transaction related costs, (ii) amortization of market-lease intangible assets and liabilities, (iii) adjustments for straight-line rent, (iv) termination fees to related parties, (v) equity-based compensation expense, (vi) depreciation and amortization related to non-real estate related assets, (vii) mark-to-market gains and losses from its non-designated derivatives, (viii) non-cash components of interest expense, (ix) casualty-related charges, (x) gains or losses on extinguishment of debt and (xi) similar adjustments for non-controlling interests and unconsolidated entities.

The Company considers FFO and AFFO to be useful supplemental measures for reviewing comparative operating and financial performance because, by excluding the applicable items listed below, FFO and AFFO can help investors compare its operating performance between periods or as compared to other REITs.

Adjusted EBITDA

The Company defines Adjusted EBITDA as earnings before interest, taxes, depreciation and amortization, excluding acquisition and transaction related costs, termination fees to related parties, interest and other income, amortization of market-lease intangible assets and liabilities and other non-cash items including equity-based compensation, impairment charges, casualty-related charges, gains and losses on sale of real estate investments, gains or losses on extinguishment of debt and gains and losses on derivative investments.

Cash NOI and NOI

The Company defines NOI as total revenues from tenants less property operating costs. The Company defines Cash NOI as NOI excluding net amortization of above/below market lease and lease intangibles and straight-line rent adjustments that are included in GAAP revenue from tenants and property operating and maintenance.

Cash NOI Margin

For the SHOP segment, Cash NOI divided by revenue from tenants excluding net amortization of above/below market lease and lease intangibles.

Net Debt

Total gross debt less cash and cash equivalents.

Net Debt to Annualized Adjusted EBITDA or Net Leverage

Net Debt divided by Annualized Adjusted EBITDA (annualized based on Adjusted EBITDA for the quarter multiplied by four).

Non-Core Properties

Assets that have been deemed not essential to generating future economic benefit or value to the Company's day-to-day operations and/or are scheduled to be sold.

Occupancy or Leased %

Occupancy for the OMF segment is presented as of the end of the period shown; occupancy for the SHOP segment is presented for the duration of the period shown.

Same Store

The Company defines "same store" as operational properties owned for the full duration of the comparative periods and that are not otherwise excluded. Properties are excluded from same store if they are (i) Non-Core Properties (as defined above), (ii) sold, classified as held for sale, or classified as discontinued operations in accordance with GAAP, (iii) impacted by materially disruptive events, or (iv) undergoing, or intended to undergo, significant redevelopment. Redeveloped properties in the OMF segment will be included in same store once substantial completion of work has occurred for the full period in the periods presented.

 
 
                                                NATIONAL HEALTHCARE PROPERTIES, INC. 
                                                     CONSOLIDATED BALANCE SHEETS 
                                           (In thousands, except share and per share data) 
                                                             (Unaudited) 
 
                            Q3 2025               Q2 2025               Q1 2025               Q4 2024                Q3 2024 
                      --------------------  --------------------  --------------------  --------------------  ---------------------- 
ASSETS 
Real estate 
investments, at 
cost: 
  Land                $           176,510   $           177,999   $           182,662   $           190,082   $           198,124 
  Buildings, 
   fixtures and 
   improvements                 1,795,014             1,804,274             1,837,150             2,012,401             2,051,313 
  Acquired 
   intangible 
   assets                         248,061               249,941               256,440               284,447               290,408 
  Construction in 
   progress           $             2,535   $             4,126   $             9,558   $             7,867   $             3,930 
                       ------------------    ------------------    ------------------    ------------------    ------------------ 
    Total real 
     estate 
     investments, at 
     cost                       2,222,120             2,236,340             2,285,810             2,494,797             2,543,775 
    Less: 
     accumulated 
     depreciation 
     and 
     amortization                (681,847)             (671,070)             (670,907)             (725,831)             (724,985) 
                       ------------------    ------------------    ------------------    ------------------    ------------------ 
      Total real 
       estate 
       investments, 
       net                      1,540,273             1,565,270             1,614,903             1,768,966             1,818,790 
Assets held for sale                6,215                 1,725                    --                    --                    -- 
Cash and cash 
 equivalents                       47,059                47,123                71,383                21,652                32,858 
Restricted cash                    55,477                56,047                55,025                52,443                52,054 
Derivative assets, 
 at fair value                      8,415                11,208                13,281                19,206                17,177 
Straight-line rent 
 receivable, net                   21,069                20,315                19,967                22,841                23,056 
Operating lease 
 right-of-use 
 assets                             7,280                 6,841                 6,879                 7,480                 7,553 
Prepaid expenses and 
 other assets                      24,972                22,591                23,721                26,316                23,706 
Accounts receivable, 
 net                               10,242                 9,311                 8,096                 5,850                 5,238 
Deferred costs, net                18,055                18,465                18,630                21,269                17,238 
                       ------------------    ------------------    ------------------    ------------------    ------------------ 
      Total assets              1,739,057             1,758,896             1,831,885             1,946,023             1,997,670 
LIABILITIES AND 
EQUITY 
Mortgage notes 
 payable, net         $           696,806   $           696,508   $           711,065   $           779,160   $           816,988 
Fannie Mae Secured 
 Debt                             336,181               337,624               360,774               362,216               363,659 
Market lease 
 intangible 
 liabilities, net                   5,114                 5,380                 5,691                 6,125                 6,910 
Derivative 
liabilities, at fair 
value                                  --                    --                    --                    --                    -- 
   Accounts payable 
    and accrued 
    expenses                       46,440                46,322                54,649                89,575                84,472 
Operating lease 
 liabilities                        8,266                 7,801                 7,815                 8,109                 8,122 
Deferred rent                      10,230                 9,347                 8,275                 7,217                 5,717 
Distributions 
 payable                            3,372                 3,432                 3,496                 3,496                 3,496 
                       ------------------    ------------------    ------------------    ------------------    ------------------ 
      Total 
       liabilities              1,106,409             1,106,414             1,151,765             1,255,898             1,289,364 
Stockholders' Equity 
7.375% Series A 
 cumulative 
 redeemable 
 perpetual preferred 
 stock, $0.01 par 
 value, 4,740,000 
 authorized                            38                    40                    40                    40                    40 
7.125% Series B 
 cumulative 
 redeemable 
 perpetual preferred 
 stock, $0.01 par 
 value, 3,680,000 
 authorized                            35                    35                    36                    36                    36 
Common stock, $0.01 
 par value, 
 300,000,000 shares 
 authorized                         1,132                 1,132                 1,132                 1,132                 1,132 
Additional paid-in 
 capital                        2,530,535             2,532,585             2,533,737             2,533,706             2,533,697 
Accumulated other 
 comprehensive 
 income                             7,560                 9,441                11,646                16,640                14,301 
Distributions in 
 excess of 
 accumulated 
 earnings                      (1,912,081)           (1,896,200)           (1,872,012)           (1,866,994)           (1,846,558) 
                       ------------------    ------------------    ------------------    ------------------    ------------------ 
      Total 
       stockholders' 
       equity                     627,219               647,033               674,579               684,560               702,648 
Non-controlling 
 interests                          5,429                 5,449                 5,541                 5,565                 5,658 
                       ------------------    ------------------    ------------------    ------------------    ------------------ 
    Total equity                  632,648               652,482               680,120               690,125               708,306 
                       ------------------    ------------------    ------------------    ------------------    ------------------ 
      Total 
       liabilities 
       and equity     $         1,739,057   $         1,758,896   $         1,831,885   $         1,946,023   $         1,997,670 
 
 
 
                                               NATIONAL HEALTHCARE PROPERTIES, INC. 
                                                  CONSOLIDATED INCOME STATEMENTS 
                                          (In thousands, except share and per share data) 
                                                            (Unaudited) 
 
                                                                  Three Months Ended 
                          Q3 2025               Q2 2025               Q1 2025               Q4 2024                Q3 2024 
                    --------------------  --------------------  --------------------  --------------------  ---------------------- 
 
Revenue from 
 tenants            $            86,026   $            85,332   $            86,443   $            87,738   $            88,940 
                     ------------------    ------------------    ------------------    ------------------    ------------------ 
 
Operating 
expenses: 
  Property 
   operating and 
   maintenance                   53,845                54,179                57,856                54,895                56,407 
  Impairment 
   charges                        6,641                15,212                11,899                13,383                 8,829 
  Operating fees 
   to related 
   parties                           --                    --                    --                    22                 6,391 
  Termination fees 
   to related 
   parties                           --                    --                    --                    --                 8,409 
  Acquisition and 
   transaction 
   related                           91                   497                    51                 2,263                 5,187 
  General and 
   administrative                 5,671                 5,075                 4,896                 5,502                 5,502 
  Depreciation and 
   amortization                  18,029                18,539                23,706                20,681                20,720 
                     ------------------    ------------------    ------------------    ------------------    ------------------ 
    Total expenses               84,277                93,502                98,408                96,746               111,445 
                     ------------------    ------------------    ------------------    ------------------    ------------------ 
      Operating 
       loss before 
       gain on 
       sale of 
       real estate 
       investments                1,749                (8,170)              (11,965)               (9,008)              (22,505) 
  Gain on sale of 
   real estate 
   investments                      626                 2,652                24,989                 7,953                 1,579 
                     ------------------    ------------------    ------------------    ------------------    ------------------ 
      Operating 
       (loss) 
       income                     2,375                (5,518)               13,024                (1,055)              (20,926) 
Other income 
(expense): 
  Interest expense              (15,060)              (15,836)              (14,529)              (17,305)              (18,007) 
  Interest and 
   other income 
   (expense)                        294                   231                   (15)                  (26)                  548 
  Gain on 
   extinguishment 
   of debt                           --                   257                    --                   392                    -- 
  Gain (loss) on 
   non-designated 
   derivatives                      (77)                   32                    (1)                1,095                (2,384) 
                     ------------------    ------------------    ------------------    ------------------    ------------------ 
    Total other 
     expenses, 
     net                        (14,843)              (15,316)              (14,545)              (15,844)              (19,843) 
                     ------------------    ------------------    ------------------    ------------------    ------------------ 
  Loss before 
   income taxes                 (12,468)              (20,834)               (1,521)              (16,899)              (40,769) 
    Income tax 
     expense 
     (benefit)                      (66)                   --                     6                  (127)                   -- 
                     ------------------    ------------------    ------------------    ------------------    ------------------ 
Net loss                        (12,534)              (20,834)               (1,515)              (17,026)              (40,769) 
  Net loss 
   (income) 
   attributable to 
   non-controlling 
   interests                        (21)                   31                   (54)                   38                    77 
  Allocation for 
   preferred 
   stock                         (3,326)               (3,386)               (3,450)               (3,449)               (3,450) 
                     ------------------    ------------------    ------------------    ------------------    ------------------ 
Net loss 
 attributable to 
 common 
 stockholders                   (15,881)              (24,189)               (5,019)              (20,437)              (44,142) 
 
Other 
comprehensive 
loss: 
  Unrealized 
   (loss) gain on 
   designated 
   derivatives                   (1,881)               (2,205)               (4,994)                2,339               (10,167) 
                     ------------------    ------------------    ------------------    ------------------    ------------------ 
Comprehensive loss 
 attributable to 
 common 
 stockholders       $           (17,762)  $           (26,394)  $           (10,013)  $           (18,098)  $           (54,309) 
                     ==================    ==================    ==================    ==================    ================== 
 
Weighted-average 
 shares 
 outstanding -- 
 Basic and 
 Diluted                     28,296,919            28,296,439            28,296,439            28,296,439            28,291,594 
Net loss per share 
 attributable to 
 common 
 stockholders -- 
 Basic and 
 Diluted            $             (0.56)  $             (0.85)  $             (0.18)  $             (0.72)  $             (1.56) 
 
(1) See the Company's Quarterly Report on Form 10-Q 
 for the period ended September 30, 2025, Part I - 
 Note 2 "Summary of Significant Accounting Policies" 
 for additional details on reclassifications. 
 
 
 
NATIONAL HEALTHCARE PROPERTIES, INC. 
 NON-GAAP FINANCIAL MEASURES RECONCILIATION 
 (In thousands, except share and per share data) 
 (Unaudited) 
 
                                                         Three Months Ended 
                        Q3 2025            Q2 2025            Q1 2025            Q4 2024             Q3 2024 
                                      -----------------  -----------------  -----------------  ------------------- 
OMFs: 
  Revenue from 
   tenants         $         29,022   $         29,252   $         30,635   $         33,744   $         34,303 
  Property 
   operating and 
   maintenance               (8,391)            (8,342)           (11,485)            (9,422)           (10,656) 
OMF segment net 
 operating 
 income            $         20,631   $         20,910   $         19,150   $         24,322   $         23,647 
                    ---------------    ---------------    ---------------    ---------------    --------------- 
SHOPs: 
  Revenue from 
   tenants         $         57,004   $         56,078   $         55,808   $         53,994   $         54,637 
  Property 
   operating and 
   maintenance              (45,454)           (45,835)           (46,371)           (45,473)           (45,751) 
SHOP segment net 
 operating 
 income            $         11,550   $         10,243   $          9,437   $          8,521   $          8,886 
                    ---------------    ---------------    ---------------    ---------------    --------------- 
      Net 
       operating 
       income 
       (NOI)       $         32,181   $         31,153   $         28,587   $         32,843   $         32,533 
                    ---------------    ---------------    ---------------    ---------------    --------------- 
Impairment 
 charges                     (6,641)           (15,212)           (11,899)           (13,383)            (8,829) 
Operating fees to 
 related parties                 --                 --                 --                (22)            (6,391) 
Termination fees 
 to related 
 parties                         --                 --                 --                 --             (8,409) 
Acquisition and 
 transaction 
 related                        (91)              (497)               (51)            (2,263)            (5,187) 
General and 
 administrative              (5,671)            (5,075)            (4,896)            (5,502)            (5,502) 
Depreciation and 
 amortization               (18,029)           (18,539)           (23,706)           (20,681)           (20,720) 
Gain on sale of 
 real estate 
 investments                    626              2,652             24,989              7,953              1,579 
Interest expense            (15,060)           (15,836)           (14,529)           (17,305)           (18,007) 
Interest and 
 other income 
 (expense)                      294                231                (15)               (26)               548 
Gain (loss) on 
 non-designated 
 derivatives                    (77)                32                 (1)             1,095             (2,384) 
Gain on 
 extinguishment 
 of debt                         --                257                 --                392                 -- 
Income tax 
 (expense) 
 benefit                        (66)                --                  6               (127)                -- 
Net loss (income) 
 attributable to 
 non-controlling 
 interests                      (21)                31                (54)                38                 77 
Preferred stock 
 dividends                   (3,326)            (3,386)            (3,450)            (3,449)            (3,450) 
Net loss 
 attributable to 
 common 
 stockholders (in 
 accordance with 
 GAAP)             $        (15,881)  $        (24,189)  $         (5,019)  $        (20,437)  $        (44,142) 
                    ===============    ===============    ===============    ===============    =============== 
 
(1) See the Company's Quarterly Report on Form 10-Q 
 for the period ended September 30, 2025, Part I - 
 Note 2 "Summary of Significant Accounting Policies" 
 for additional details on reclassifications. 
 
 
 
                                                NATIONAL HEALTHCARE PROPERTIES, INC. 
                                             NON-GAAP FINANCIAL MEASURES RECONCILIATION 
                                           (In thousands, except share and per share data) 
                                                             (Unaudited) 
 
                                                                  Three Months Ended 
                   ----------------------------------------------------------------------------------------------------------------- 
                           Q3 2025                Q2 2025               Q1 2025               Q4 2024                Q3 2024 
                   -----------------------  --------------------  --------------------  --------------------  ---------------------- 
Net loss 
 attributable to 
 common 
 stockholders (in 
 accordance with 
 GAAP)             $           (15,881)     $           (24,189)  $            (5,019)  $           (20,437)  $           (44,142) 
Depreciation and 
 amortization on 
 real estate 
 assets                         16,647                   17,127                22,281                19,287                19,293 
Impairment 
 charges                         6,641                   15,212                11,899                13,383                 8,829 
Gain on sale of 
 real estate                      (626)                  (2,652)              (24,989)               (7,953)               (1,579) 
Adjustments for 
 non-controlling 
 interests                         (73)                    (146)                  (56)                 (181)                  (64) 
                    ------------------       ------------------    ------------------    ------------------    ------------------ 
FFO (as defined 
 by NAREIT) 
 attributable to 
 common 
 stockholders                    6,708                    5,352                 4,116                 4,099               (17,663) 
Amortization 
 (accretion) of 
 market lease and 
 other 
 intangibles, 
 net                              (174)                    (135)                2,331                  (606)                 (134) 
Straight-line 
 rent 
 adjustments                      (753)                    (635)               (1,023)                 (434)                 (458) 
Acquisition and 
 transaction 
 related(1)                         91                      497                    51                 2,263                 5,187 
Termination fees 
 to related 
 parties(2)                         --                       --                    --                    --                 8,409 
Equity-based 
 compensation                    1,333                      570                    --                    --                   153 
Depreciation and 
 amortization on 
 non-real estate 
 assets                          1,382                    1,411                 1,425                 1,394                 1,427 
Mark-to-market 
 (gains)/losses 
 from 
 derivatives(3)                    911                      813                   931                   310                 4,224 
Non-cash 
 components of 
 interest 
 expense(4)                        761                    1,481                   858                   879                   880 
Adjustments for 
 non-controlling 
 interests                         (10)                     (13)                  (19)                   --                   (91) 
Gain on 
 extinguishment 
 of debt                            --                     (257)                   --                  (392)                   -- 
Casualty-related 
 charges(5)                        115                        7                   115                   412                     2 
                    ------------------       ------------------    ------------------    ------------------    ------------------ 
AFFO               $            10,364      $             9,091   $             8,785   $             7,925   $             1,936 
Percentage 
 increase Q3 2025 
 vs Q2 2025                       14.0% 
Percentage 
 increase Q3 2025 
 vs Q3 2024                      435.3% 
Recurring Capital 
 Expenditures      $             4,452      $            10,571   $             6,658   $            10,570   $             5,917 
 
FFO and AFFO 
 Weighted-average 
 shares 
 outstanding -- 
 Diluted                    28,549,088               28,533,395            28,530,465            28,530,264            28,525,620 
FFO per common 
 share -- 
 Diluted           $              0.23      $              0.19   $              0.14   $              0.14   $             (0.62) 
AFFO per common 
 share -- 
 Diluted           $              0.36      $              0.32   $              0.31   $              0.28   $              0.07 
 
(1) Includes certain advisory, legal, accounting, 
 information technology, tax and other professional 
 expenses and other non-recurring employee transition 
 expenses that were directly related to the Company's 
 internalization and the reverse stock split. 
 (2) Represents the closing payments paid in connection 
 with the Company's internalization. 
 (3) Presented as total gains or losses from the Company's 
 non-designated derivatives net of cash received. 
 (4) Non-cash components of interest expense include 
 (i) deferred financing cost amortization, (ii) mortgage 
 discount and premium amortization and (iii) amortized 
 gains or losses from terminated hedging instruments. 
 (5) Includes labor, supplies and evacuation expenses 
 from natural disasters not covered by insurance. 
 (6) See the Company's Quarterly Report on Form 10-Q 
 for the period ended September 30, 2025, Part I - 
 Note 2 "Summary of Significant Accounting Policies" 
 for additional details on reclassifications. 
 
 
 
NATIONAL HEALTHCARE PROPERTIES, INC. 
 NON-GAAP FINANCIAL MEASURES RECONCILIATION 
 (In thousands, except share and per share data) 
 (Unaudited) 
 
                                                           Three Months Ended 
Amounts in 
thousands                Q3 2025              Q2 2025            Q1 2025            Q4 2024             Q3 2024 
                                         -----------------  -----------------  -----------------  ------------------- 
Net loss (in 
 accordance with 
 GAAP)             $        (12,534)     $        (20,834)  $         (1,515)  $        (17,025)  $        (40,771) 
Interest expense             15,060                15,836             14,529             17,305             18,007 
Income tax 
 expense                         66                    --                 (6)               127                 -- 
Depreciation and 
 amortization                18,029                18,539             23,706             20,681             20,720 
EBITDA                       20,621                13,541             36,714             21,088             (2,044) 
Acquisition and 
 transaction 
 related                         91                   497                 51              2,263              5,187 
Termination fees 
 to related 
 parties                         --                    --                 --                 --              8,409 
Equity-based 
 compensation                 1,333                   570                 --                 --                153 
Impairment 
 charges                      6,641                15,212             11,899             13,383              8,829 
(Gain)/loss on 
 sale of real 
 estate 
 investments                   (626)               (2,652)           (24,989)            (7,953)            (1,579) 
(Gain)/loss on 
 non-designated 
 derivatives                     77                   (32)                 1             (1,095)             2,384 
Gain on 
 extinguishment 
 of debt                         --                  (257)                --               (392)                -- 
Amortization 
 (accretion) of 
 market lease and 
 other 
 intangibles, 
 net                           (174)                 (135)             2,331               (606)              (135) 
Casualty-related 
 charges                        115                     7                115                412                  2 
Adjusted EBITDA              28,078                26,751             26,122             27,100             21,206 
Operating fees to 
 related parties                 --                    --                 --                 22              6,391 
General and 
 administrative               4,338                 4,505              4,896              5,502              5,349 
Interest and 
 other income                  (294)                 (231)                15                 25               (546) 
Amortization 
 (accretion) of 
 market lease and 
 other 
 intangibles, 
 net                            174                   135             (2,331)               606                135 
Casualty-related 
 charges                       (115)                   (7)              (115)              (412)                (2) 
NOI                          32,181                31,153             28,587             32,843             32,533 
Adjustments for 
 straight-line 
 rent                          (753)                 (634)            (1,021)              (435)              (458) 
Accretion of 
 market lease and 
 other 
 intangibles, 
 net                           (174)                 (135)             2,331               (605)              (133) 
Cash NOI           $         31,254      $         30,384   $         29,897   $         31,803   $         31,942 
Dispositions                    299                   502               (758)            (3,241)            (3,496) 
Redevelopment                    85                    99                160               (196)              (196) 
Non-Core 
 Properties                     297                   158                229                252                220 
Same-store Cash 
 NOI               $         31,935      $         31,143   $         29,528   $         28,618   $         28,470 
                    ===============       ===============    ===============    ===============    =============== 
Percentage 
 increase Q3 2025 
 vs Q2 2025                     2.5% 
Percentage 
 increase Q3 2025 
 vs Q3 2024                    12.2% 
 
(1) See the Company's Quarterly Report on Form 10-Q 
 for the period ended September 30, 2025, Part I - 
 Note 2 "Summary of Significant Accounting Policies" 
 for additional details on reclassifications. 
 
 
 
NATIONAL HEALTHCARE PROPERTIES, INC. 
 NON-GAAP FINANCIAL MEASURES RECONCILIATION 
 (In thousands, except share, per share, and property 
 data) 
 (Unaudited) 
 
                Three Months Ended 
                      Q3 2025            Q2 2025            Q1 2025           Q4 2024             Q3 2024 
                -------------------  ----------------  -----------------  ----------------  ------------------- 
OMF segment - 
 revenue from 
 tenants        $        29,022      $        29,252   $         30,635   $        33,744   $         34,303 
OMF segment - 
 property 
 operating and 
 maintenance             (8,391)              (8,342)           (11,485)           (9,422)           (10,656) 
OMF segment 
 NOI            $        20,631      $        20,910   $         19,150   $        24,322   $         23,647 
Straight line 
 rent 
 adjustments               (754)                (634)            (1,021)             (437)              (460) 
Accretion of 
 market lease 
 and other 
 intangibles, 
 net                       (164)                (167)             2,335              (541)              (131) 
OMF segment 
 cash NOI       $        19,713      $        20,109   $         20,464   $        23,344   $         23,056 
Dispositions                 36                  (51)            (1,456)           (3,798)            (3,852) 
Redevelopment                85                   99                160              (196)              (196) 
Non-Core 
 properties                  94                  103                 76                50                 26 
OMF segment 
 same store 
 cash NOI       $        19,928      $        20,260   $         19,244   $        19,400   $         19,034 
Percentage 
increase Q3 
2025 vs Q2 
2025                       (1.6)% 
Percentage 
 increase Q3 
 2025 vs Q3 
 2024                       4.7% 
 
(1) See the Company's Quarterly Report on Form 10-Q 
 for the period ended September 30, 2025, Part I - 
 Note 2 "Summary of Significant Accounting Policies" 
 for additional details on reclassifications. 
 
 
 
NATIONAL HEALTHCARE PROPERTIES, INC. 
 NON-GAAP FINANCIAL MEASURES RECONCILIATION 
 (In thousands, except share, per share, and property 
 data) 
 (Unaudited) 
 
                                                       Three Months Ended 
                     Q3 2025              Q2 2025            Q1 2025            Q4 2024             Q3 2024 
                                     -----------------  -----------------  -----------------  ------------------- 
SHOP segment 
 - revenue 
 from 
 tenants       $         57,004      $         56,081   $         55,808   $         53,994   $         54,637 
SHOP segment 
 - property 
 operating 
 and 
 maintenance            (45,454)              (45,836)           (46,371)           (45,472)           (45,751) 
SHOP segment 
 NOI           $         11,550      $         10,245   $          9,437   $          8,522   $          8,886 
Non-cash 
 adjustments                 (9)                   30                 (4)               (63)                -- 
SHOP segment 
 cash NOI      $         11,541      $         10,275   $          9,433   $          8,459   $          8,886 
Dispositions                263                   553                698                557                356 
Non-Core 
 properties                 203                    55                153                202                194 
SHOP segment 
 same store 
 Cash NOI      $         12,007      $         10,883   $         10,284   $          9,218   $          9,436 
                ===============       ===============    ===============    ===============    =============== 
Percentage 
 increase Q3 
 2025 vs Q2 
 2025                      10.3% 
Percentage 
 increase Q3 
 2025 vs Q3 
 2024                      27.2% 
 
(1) See the Company's Quarterly Report on Form 10-Q 
 for the period ended September 30, 2025, Part I - 
 Note 2 "Summary of Significant Accounting Policies" 
 for additional details on reclassifications. 
 
 
 
NATIONAL HEALTHCARE PROPERTIES, INC. 
 NON-GAAP FINANCIAL MEASURES RECONCILIATION 
 (In thousands, except share, per share, and property 
 data) 
 (Unaudited) 
 
For the three months ended September 30, 2025 
                                                 OMF  SHOP 
Total properties as of June 30, 2025             133    42 
Dispositions                                      --   (1) 
Total properties as of September 30, 2025        133    41 
Non-Core properties                              (3)   (3) 
Redevelopments                                   (1)    -- 
Same store properties as of September 30, 2025   129    38 
                                                 ===  ==== 
 
(1) See the Company's Quarterly Report on Form 10-Q 
 for the period ended September 30, 2025, Part I - 
 Note 2 "Summary of Significant Accounting Policies" 
 for additional details on reclassifications. 
 

(END) Dow Jones Newswires

November 05, 2025 16:52 ET (21:52 GMT)

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