Strong Tenant Performance
General acute care operators reported a more than $200 million increase in EBITDARM year-over-year. Post-acute operators reported a $50 million EBITDARM increase, with Ernest Health up 17%, Vibra up 33%, and MEDIAN up 7%. Behavioral health portfolio EBITDARM increased by $10 million year-over-year.
New Lease Agreements and Settlements
NOR Healthcare Systems in California was named the successful bidder for Prospect's 6 California facilities. A new lease agreement was promptly agreed upon, with annual rent reaching $45 million.
Share Repurchase Program
The Board of Directors authorized a $150 million share repurchase program, reflecting confidence in the business model and belief that the share price is undervalued.
Record Performance in International Operations
International operators comprise approximately 50% of the total portfolio, with coverages exceeding 2x. Notably, Circle in the U.K. received high patient satisfaction rankings and significant investments in advanced technologies.
Strong Financial Metrics
Normalized FFO of $0.13 per share for the third quarter of 2025, with higher earnings from equity interests due to German tax policy changes and upward real estate adjustments.