American Healthcare REIT (AHR) investor relations material

Market environment and demand trends

• Current operating environment is the strongest in decades, with significant organic earnings growth driven by a supply-demand imbalance in senior care facilities.

• Demand for long-term care is expected to surge for at least 15 years as baby boomers age, while new construction remains low, supporting continued occupancy and margin growth.

• RevPOR (revenue per occupied room) growth is projected to outpace expense growth, with occupancy and NOI expected to improve over the next five years.

Portfolio performance and operational strategy

• Trilogy, an integrated senior health campus, represents over half of NOI and is central to growth, with a mix of skilled nursing, assisted living, and independent living.

• Occupancy has rebounded strongly post-flu season, with July and August showing robust growth and expectations for a strong Q3.

• Dynamic pricing and revenue management are increasingly adopted, with a shift from static annual rate sheets to more frequent adjustments based on occupancy and demand.

• Focus has shifted from occupancy incentives to maximizing RevPOR, reducing discounts and external referral fees.

Payer mix and reimbursement

• Medicare Advantage days have increased, with Trilogy leveraging market power to negotiate higher rates and prioritize higher-paying residents.

• The payer mix is shifting from private pay and Medicaid toward Medicare Advantage, with expectations for continued rate improvements.

• Value-based payments are growing, and recent legal developments in Ohio may result in retroactive payments, though no permanent reimbursement increases are assumed.