Earnings

American Healthcare REIT Lifts Adjusted Earnings Outlook To $2.23–$2.26 Per Share

Senior housing led comparable-property income growth of 13.8%, while third-quarter reported earnings per share fell.

Matteo Parrino Jonathan Ponciano

Matteo Parrino, Jonathan Ponciano

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American Healthcare REIT Lifts Adjusted Earnings Outlook To $2.23–$2.26 Per Share

American Healthcare REIT, which owns and operates healthcare properties, raised its 2026 adjusted real-estate earnings forecast Thursday to $2.23–$2.26 per diluted share, from $2.15–$2.19, according to its SEC filing. Higher resident rates and expense controls helped lift third-quarter operating income at comparable properties by 13.8% from a year earlier.

Senior Housing Leads The Raise

The revised forecast covers normalized funds from operations, an adjusted earnings measure that removes real-estate depreciation and other items. Third-quarter normalized funds from operations were $0.58 per diluted share, versus $0.44 a year earlier, in the company's unaudited results.

Aric Chang, American Healthcare REIT's chief financial officer, said that at the revised forecast's midpoint, "we now expect 31% NFFO per diluted share growth over 2025."

Senior-housing operating properties delivered 28.2% growth in comparable-property net operating income; integrated senior health campuses posted 15.7%. Outpatient medical buildings grew 0.4%, and properties leased to tenants responsible for property expenses grew 2.7%. Across the portfolio, growth for the first nine months was 13.1%.

The company now expects full-year comparable-property income growth of 12.0%–14.0%, versus 11.0%–13.0% previously. Its senior-housing forecast rose to 23.0%–26.0% from 18.0%–21.0%.

Gabe Willhite, the company's president and chief operating officer, said, "Supply and demand dynamics alone do not guarantee success in this business." He credited occupancy improvements, pricing management and expense control. Comparable senior-housing occupancy averaged 90.0% for the quarter, versus 87.6% a year earlier, according to the company's supplemental results.

Reported Earnings Go The Other Way

Reported diluted earnings fell to $0.14 per share from $0.33 a year earlier. Net income attributable to controlling shareholders was $31.2 million, versus $55.9 million.

The accounting comparison includes a $21.1 million tax benefit in the year-earlier quarter, versus a $740,000 tax expense this quarter. Depreciation and amortization also increased to $90.9 million from $49.2 million. Full-year reported earnings guidance nevertheless rose to $0.59–$0.62 per diluted share from $0.54–$0.58.

American Healthcare REIT earns money through property leases and senior-care operations run by third-party operators. Its holdings span senior housing, skilled nursing and outpatient medical buildings in the United States, United Kingdom and Isle of Man; integrated campuses offer care ranging from independent living to skilled nursing.

Expansion And More Shares

The company bought 17 senior-housing properties during the third quarter for approximately $1.69 billion, bringing completed investments since the start of 2026 to approximately $2.07 billion. New and existing regional operators will manage the properties. A separate loan of approximately $86.2 million covered seven properties with options to purchase them.

Share issuance supplied substantial capital. During the quarter, the company delivered 36,833,346 shares to settle forward-sale agreements for approximately $1.88 billion in gross proceeds. After quarter-end, another 589,179 shares were delivered for approximately $31.2 million.

As of Thursday, outstanding forward-sale agreements covered 24,598,011 shares. Full settlement through share delivery would bring approximately $1.32 billion in gross proceeds and add those shares to the outstanding count.

At September 30, debt totaled $1.38 billion. Net debt was 1.9 times annualized adjusted earnings before interest, taxes, depreciation and amortization, down from 2.5 times at June 30. The company put liquidity at approximately $2.35 billion, including cash, unused credit capacity and expected proceeds from unsettled share sales—not solely cash already available.

Pending investments exceed $1.0 billion, with management expecting closings by the end of the first quarter of 2027 but warning that completion is not guaranteed. Those deals are excluded from the raised 2026 forecast.

Sources

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