Chartwell Retirement Residences (CSH-UN) Q3 2025 earnings summary

Executive summary

• Achieved ninth consecutive quarter of double-digit growth in same-property adjusted NOI and FFO per unit, with FFO up 30.8% year-over-year to $73.1M and FFOPU up 20% to $0.24, driven by operational efficiencies, strong leasing, and portfolio expansion.

• Net loss of $5.2M in Q3 2025 compared to net income of $23.6M in Q3 2024, mainly due to non-cash and one-time items, lower gains on asset disposals, higher expenses, and increased finance costs.

• Same property occupancy increased 470 bps to 93.1%, with gains across all platforms.

• Over $1.0 billion in acquisitions completed year-to-date, with an additional $0.7 billion in committed investments.

• Ongoing improvements in technology, automation, and responsible AI use to support operational excellence.

Financial highlights

• Q3 2025 resident revenue: $275.2 million, up 32.3% year-over-year; direct property operating expense: $165.4 million.

• FFO grew to $73.1 million, up 30.8% year-over-year; FFO per unit rose to $0.24 from $0.20 in Q3 2024.

• Same-property adjusted NOI increased by $10.2 million or 15.8% year-over-year; adjusted NOI for Q3 2025 was $113.99 million.

• Weighted average same property occupancy increased 470 bps to 93.1%.

• Liquidity at September 30, 2025, was $679.3 million; at November 6, 2025, was $508 million, including cash and credit capacity.

Outlook and guidance

• Targeting 95% same property occupancy by December 2025, with continued growth in occupancy and cash flows expected in 2026 and beyond, supported by strong demand and limited new supply.

• Expect rental rate growth to accelerate as incentives are reduced and market conditions tighten; blended rent growth targeted at 4-5% for 2026.

• Distribution increases are planned as cash flow now fully covers distributions and capital investments.