Sabra Health Care reports Q2 FFO 38c, consensus 37c

Reports Q2 revenue $189.2M, consensus $182.8M. Commenting on the second quarter’s results, Rick Matros, CEO and Chair, said, “Sabra had a very productive quarter, and investment opportunities remain plentiful. We have roughly $350 million in closed, in process of closing and awarded investments. These are all senior housing investments, and we are well on our way toward our initial goal of taking our managed senior housing exposure from 20% to 30% of the portfolio. We are seeing some interesting skilled nursing opportunities and hope to transact in that space this year. Rent coverage increased across all of our triple-net segments, and recently announced Medicare and Medicaid rates should be supportive to skilled nursing coverage, which is currently at a new high. We believe the transition of the Holiday portfolio will drive stronger performance and align ourselves with two trusted operators and a new relationship we have been cultivating, diversifying the management of our largest senior housing portfolio. Our leverage dropped to 5.0x net debt to adjusted EBITDA, and we will continue evaluating our leverage target as earnings grow. We have just released our 2024 Sustainability Report and are proud of the work the Sabra team and our operators have done to improve the lives of residents and patients and the work environment for caregivers and staff.”