National Healthcare Properties (NHP) Q2 2025 earnings summary

Executive summary

• Internalization of management in late 2024 eliminated related party fees, was accretive to FFO, and supported preparations for a public listing and increased disclosure transparency.

• Portfolio of SHOP and OMF assets delivered strong operational performance in Q2 2025, with SHOP segment leading same-store NOI growth and OMF segment maintaining high occupancy.

• Management focused on reducing leverage through portfolio income growth, asset sales, and preferred equity repurchases.

• Portfolio as of June 30, 2025: 175 properties in 30 states, totaling 7.3 million rentable square feet, with 91% occupancy in OMFs and 83% in SHOPs.

• Pre-IPO preparations include producing a REIT standard quarterly supplemental for investor transparency.

Financial highlights

• Nareit-defined FFO for Q2 2025 was $5.4 million ($0.19/share), up $0.05 from the prior quarter; AFFO was $9.1 million ($0.32/share), up 3.2% quarter-over-quarter.

• Portfolio same-store cash NOI grew 8.5% year-over-year, with SHOP segment up 17.3% and OMF segment up 4.4%.

• Quarterly Portfolio Cash NOI reached $29.1 million in Q2 2025, up from $28.6 million in Q1 2025.

• Net loss attributable to common stockholders was $24.2 million for Q2 2025, a significant improvement from $119.9 million in Q2 2024.

• Net loss per share was $(0.85) for Q2 2025.

Outlook and guidance

• Management expects stable capital expenditures for the remainder of 2025 and sufficient liquidity to meet obligations for at least the next twelve months.

• Momentum in SHOP portfolio expected to continue into Q3, supported by rising occupancy and rates; anticipation of closing the unsecured credit facility in Q4, followed by IPO preparations, subject to market conditions.

• Forward-looking statements highlight potential portfolio expansion, property sales, and continued focus on occupancy and operator performance.