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Jun 30
CareTrust REIT Q2 2025 Earnings Report
CareTrust REIT's Q2 2025 earnings report highlighted significant investment activity, strong rent collection, and increased financial guidance.
Key Takeaways
CareTrust REIT reported a strong second quarter in 2025, driven by substantial investments totaling $1.1 billion, including the strategic acquisition of Care REIT plc, which expanded its presence into the UK market. The company achieved a high contractual rent and interest collection rate of 99.7% and maintained low leverage. Financial results showed net income of $68.5 million and normalized FFO and FAD per share of $0.43, leading to an increase in full-year 2025 guidance.
CareTrust REIT made significant investments of $1.1 billion in Q2 2025, including the acquisition of Care REIT plc, expanding its market reach.
The company maintained strong operational performance with 99.7% of contractual rent and interest collected during the quarter.
CareTrust REIT reported a net income of $68.5 million and normalized FFO and FAD per share of $0.43.
The company increased its full-year 2025 guidance for net income, normalized FFO, and normalized FAD per share, reflecting confidence in future performance.
CareTrust REIT
CareTrust REIT
CareTrust REIT Revenue by Segment
Revenue by Segment
Rental Income Revenue
CapyFin.comInterest Income from Financing Receivable Revenue
CapyFin.comInterest Income from Other Real Estate Related Investments and Other Income Revenue
CapyFin.com Forward Guidance
CareTrust REIT increased its full-year 2025 guidance for net income, normalized FFO, and normalized FAD per diluted weighted-average common share, based on current investments and no new major transactions.
Positive Outlook
- Increased net income guidance to approximately $1.43 to $1.45 per diluted weighted-average common share.
- Increased normalized FFO guidance to approximately $1.77 to $1.79 per diluted weighted-average common share.
- Increased normalized FAD guidance to approximately $1.77 to $1.79 per diluted weighted-average common share.
- Guidance includes all investments made year-to-date, indicating confidence in recent acquisitions.
- Assumes estimated 2.5% CPI-based rent escalators under long-term net leases, contributing to stable revenue.
Challenges Ahead
- Guidance assumes no new investments, which could limit further upside beyond current projections.
- Guidance assumes no new dispositions, which might impact portfolio optimization.
- Guidance assumes no new debt incurrences or new equity issuances, potentially limiting future capital for growth.
- The guidance is based on a diluted weighted-average common share count of 195.3 million shares, which could be subject to change.
- The guidance does not account for any unforeseen market changes or economic downturns.