CareTrust REIT (CTRE) Q4 2025 earnings summary

Executive summary

• 2025 marked a transformational year with record external growth, significant portfolio expansion, entry into the UK Care Home and SHOP segments, and a 61% increase in market cap to $8.2 billion year-over-year.

• The team doubled in size, adding in-house tax and data science capabilities, and executed $1.8 billion in total investments, surpassing the prior year's record.

• Portfolio reached 577 properties with high occupancy rates and diversified mix of skilled nursing and senior housing assets.

• Achieved a ten-year total shareholder return of approximately 439% through year-end 2025.

• Management projects a positive 2026 outlook, citing a strong investment pipeline, world-class operator relationships, and a solid balance sheet.

Financial highlights

• Q4 2025 normalized FFO rose 42.7% sequentially to $104.1 million; normalized FAD increased 38.7% to $103 million.

• FY2025 net income attributable to shareholders was $320.5 million ($1.57 per diluted share), up 96% year-over-year.

• Normalized FFO for FY2025 was $359.7 million ($1.76 per share), up from $232.9 million ($1.50 per share) in FY2024.

• FY2025 revenues reached $476.4 million, up from $296.3 million in FY2024.

• Dividends declared per share for FY2025 were $1.34, up from $1.16 in FY2024.

Outlook and guidance

• FY2026 guidance projects net income of $326–338 million ($1.45–$1.50 per share), normalized FFO and FAD per share of $1.90–$1.95, representing 9.4% growth at the midpoint.

• Guidance assumes no new investments, dispositions, or capital issuances beyond those already announced, and 2.5% inflation-based rent escalators.

• Investment pipeline stands at $500 million, with a balanced mix of UK Care Homes, skilled nursing, SHOP, and loans.