Healthcare Realty Trust Inc (HR) Q1 2025 earnings call Highlights: strategic steps and …

• Same shop assignment: 89.3% at the end of the first quarter.

• New and renewal rental contracts: Almost 1.5 million square foot began in the quarter.

• Signed non -occupied pipeline: Over 630,000 square meters, almost 165 basis points of future occupancy.

• Tenant storage: Improved by more than 300 basis points to almost 85%.

• Normalized FFO per share: USD 0.39 for the quarter.

• Cash Noi growth in the same business: 2.3% for the quarter.

• Disposition activity: Four buildings were sold in the first quarter for $ 28 million.

• Net pay of adapted EBITDA: 6.4 times, unchanged from 2024 years.

• Revolving line of credit capacity: 1.4 billion US dollars at the end of the quarter.

• Dividend: At $ 0.31 per share for the quarter.

Appearance date: May 02, 2025

You can find the complete copy of the earnings call in the complete earnings call.

• Healthcare Realty Trust Inc (NYSE: HR) is the only outpatient medical riding with pure playing and focuses 100% on a single asset class.

• The underlying operational basics in outpatient medicine are strong, with increasing demand and a limited new offer.

• The portfolio is high quality and focuses on growing markets such as Dallas, Seattle, Nashville, Houston and Denver.

• The company has a strong tenant manager with market -leading health systems, including HCA, Common Spirit, Baylor, Ascension and Advocate.

• Healthcare Realty Trust Inc (NYSE: HR) included its dividend of USD 0.31 per share, which reflects trust in its financial stability.

• The utilization of the same business was 89.3%, which indicates that improvement space to achieve the stabilized occupancy level in the low range of 90%.

• The company is in the process of portfolio optimization, in which the markets are ended, on which it is only limited.

• There is a need to extend the tenor of the debts and reduce the debt of the overall debt in order to improve the balance sheet.

• The NOI margins are currently located in low areas of 60%, with the efficiency gains improved.

• The increased distribution rate of the dividend is discussed, with potential adjustments based on future earnings clarity.

Q: Have you listed your focus areas in the order of priority and how high is the time frame for implementing these changes? A: The focus areas are not necessarily in the order of priority. The main goal is to complete the portfolio optimization and replacement until 2026. The leasing improvements last two to three years to achieve the stabilized occupancy level.

Q: How do you think about the JV model (joint venture) and is there a plan to handle it over time? A: We appreciate JVS as part of our tool kit and have strong relationships with our partners. We want to grow JVs through acquisitions instead of contributing more assets. The focus is on the sale of 100% of assets in markets in which we have no scaling.