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Dec 31, 2019

Omega Healthcare Q4 2019 Earnings Report

Omega Healthcare's Q4 2019 financial results were announced, showcasing an increase in revenue and strategic investments.

Key Takeaways

Omega Healthcare Investors, Inc. reported a net income of $61.1 million, or $0.27 per common share, on revenues of $246.7 million for the quarter ended December 31, 2019. The company completed $896 million in new investments during the quarter, including the Encore portfolio acquisition and a joint venture in the U.K. senior housing market. The quarterly dividend was increased by $0.01 to $0.67 per share.

Completed $896 million in new investments in Q4 2019.

Increased quarterly dividend by $0.01 to $0.67 in October.

Completed the $735 million Encore portfolio acquisition.

Acquired a 49% interest in a U.K. senior housing joint venture for $93 million.

Total Revenue
$247M
Previous year: $220M
+12.2%
EPS
$0.78
Previous year: $0.73
+6.8%
Gross Profit
$243M
Previous year: $192M
+26.5%
Cash and Equivalents
$24.1M
Previous year: $10.3M
+134.1%
Total Assets
$9.8B
Previous year: $8.59B
+14.0%

Omega Healthcare

Omega Healthcare

Omega Healthcare Revenue by Segment

Omega Healthcare Revenue by Geographic Location

Forward Guidance

The Company expects its 2020 annual net income to be between $1.58 and $1.66 per diluted share and its Adjusted FFO to be between $3.12 to $3.20 per diluted share.

Positive Outlook

  • Annual impact of acquisitions completed in 2019
  • Approximately $21 million of cash rent payments from Maplewood related to the Carnegie Hill project
  • Over $82 million of planned capital renovation projects with 2020 estimated in-service dates or spending that we expect to generate cash in 2020
  • Daybreak continuing on a cash basis
  • Approximately $9.5 million to $10.5 million of quarterly G&A

Challenges Ahead

  • Excludes additional acquisitions and asset sales
  • Excludes the impact of gains and losses from the sale of assets
  • Excludes certain revenue and expense items
  • Excludes interest refinancing expense
  • Excludes additional capital transactions, acquisition costs, and additional provisions for uncollectible accounts, if any.

Revenue & Expenses

Visualization of income flow from segment revenue to net income