Sabra Health Care REIT (SBRA) Q4 2025 earnings summary

Executive summary

• Achieved robust NOI growth in the SHOP portfolio and managed senior housing, with transition facilities and new investments expected to further boost performance in 2026.

• Completed $450 million in 2025 investments, including four managed senior housing properties, and disposed of seven skilled nursing facilities for $51.0 million.

• Focus on quality care, deep industry experience, and partnering with skilled operators positions the company for long-term value creation.

• Corporate sustainability initiatives emphasize environmental stewardship, diversity, and governance, with notable workforce diversity achievements.

• Declared a quarterly cash dividend of $0.30 per share, payable February 27, 2026.

Financial highlights

• Q4 2025 normalized FFO per share was $0.36 and normalized AFFO per share was $0.38; net income per diluted share was $0.11.

• Full-year 2025 net income was $155.6 million, up from $126.7 million in 2024.

• Cash NOI from managed senior housing increased $5.5 million sequentially, with 12.6% year-over-year growth in Q4 2025.

• Liquidity at year-end 2025 was $1.2 billion, including $71.5 million cash, $782.4 million revolver availability, and $322.7 million under forward sales agreements.

• Weighted average debt maturity was 4.2 years, with no material maturities until 2028 and a cost of permanent debt at 3.92%.

Outlook and guidance

• 2026 guidance: Net income per share $0.60–$0.64, FFO $1.49–$1.53, AFFO $1.55–$1.59, implying ~5% year-over-year growth.

• Low single-digit Cash NOI growth expected for the triple-net portfolio; low to mid-teens growth projected for same-store managed senior housing.

• General and administrative expenses forecasted at $52 million, including $12 million stock-based compensation; cash interest expense at $103 million.

• Management expects to exceed 2025’s investment total, with $240 million in awarded investments expected to close in early 2026.