#United States #Real Estate #Seniors Housing #Welltower #Toledo, Ohio

Welltower Inc. Reports Strong Financial Performance in Q4 2024

Welltower Inc. (NYSE: WELL) has recently published its financial results for the fourth quarter of 2024, showcasing significant growth and strategic advancements in the seniors housing sector. The company reported a net income attributable to common stockholders of $0.19 per diluted share, a clear indication of its financial health.

Key Highlights of Q4 2024

1. Normalized Funds from Operations (FFO): Welltower reported a normalized FFO attributable to common stockholders of $1.13 per diluted share, which reflects a remarkable 17.7% increase compared to the previous year.
2. Same Store Net Operating Income (NOI): The total portfolio experienced a year-over-year same store NOI growth of 12.8%. Notably, the Seniors Housing Operating (SHO) portfolio achieved an impressive 23.9% increase in SSNOI, indicating robust performance in this segment.
3. Revenue Growth: SHO's revenue surged by 8.8% in the fourth quarter, fueled by a 310 basis points increase in average occupancy and a 5.0% rise in Revenue Per Occupied Room (RevPOR).
4. Investment Activities: During this quarter, Welltower made substantial investments totaling $2.4 billion, including $2.2 billion dedicated to acquisitions and loan funding, alongside $233 million earmarked for development efforts.
5. Liquidity Position: As of December 31, 2024, the company boasted approximately $8.7 billion in available liquidity, highlighting financial stability and capacity for future growth.
6. Dividend Increase: Reflecting strong financial performance, Welltower’s Board of Directors approved a 10% rise in quarterly dividends per share, establishing confidence in the company’s positive outlook.

Strategic Developments

In addition to its financial results, Welltower has embarked on significant strategic initiatives:

• - Private Funds Management Launch: In January 2025, Welltower introduced its private funds management business aimed at managing third-party capital. The newly formed fund has potential to source up to $2 billion for investments in stable or near-stable seniors housing properties across the U.S.
• - Executive Promotions: The company announced key executive promotions to nurture talent within its leadership, including the appointment of John Burkart as Vice Chairman and COO, and Nikhil Chaudhri as Co-President and Chief Investment Officer.

Annual Overview and Future Projections

For the full year of 2024, Welltower reported:

• - A net income of $1.57 per diluted share, demonstrating a strong recovery from the previous period.
• - Annual normalized FFO of $4.32 per diluted share, rising 18.7% from the prior year, showcasing effective operational management.
• - A total of $7.0 billion in pro-rata gross investments for 2024, achieving strategic acquisitions at competitive pricing.

Looking ahead to 2025, Welltower anticipates net income attributable to common stockholders in the range of $1.60 to $1.76 per diluted share, backed by the expectation of same store NOI growth between 9.25% and 13.00% across various housing segments.

Conclusion

Welltower Inc. continues to drive the transformation of healthcare infrastructure through its strategic investments in the seniors housing space. The reported Q4 results and strategic initiatives position Welltower as a robust player in the evolving real estate market, and investors can anticipate ongoing growth as the company navigates future opportunities.

For more information, visit Welltower’s website.