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Dec 31, 2024
Ventas Q4 2024 Earnings Report
Ventas reported strong financial performance and growth in the fourth quarter and full year 2024, driven by its senior housing operating portfolio.
Key Takeaways
Ventas, Inc. delivered strong financial performance and growth in Q4 2024, with significant increases in revenue and net income. The company's senior housing operating portfolio (SHOP) showed robust growth, contributing to overall positive results. Ventas also completed over $2 billion in accretive investments focused on senior housing.
Net Income Attributable to Common Stockholders per share was $0.19 for the full year 2024.
Normalized Funds From Operations per share increased by approximately 7% compared to the prior year for the full year 2024.
Total Company Net Operating Income year-over-year growth was 7.5% and Total Company Same-Store Cash NOI year-over-year growth was 7.7% for the full year 2024.
The senior housing operating portfolio (SHOP) grew nearly 16% year-over-year on a Same-Store Cash NOI basis for the full year 2024.
Ventas
Ventas
Ventas Revenue by Segment
Revenue by Segment
Triple-net leased properties Revenue
CapyFin.comResident fees and services Revenue
CapyFin.comThird-party capital management Revenue
CapyFin.comIncome from loans & investments Revenue
CapyFin.comInterest and other income Revenue
CapyFin.com Forward Guidance
Ventas expects significant NOI growth in the SHOP segment and benefits from accretive senior housing investment activity in 2025. The company anticipates a Normalized FFO per share of $3.41 at the midpoint of the range.
Positive Outlook
- Expect to close approximately $1 billion of senior housing investments, weighted in the first half of 2025.
- Significant NOI growth expected in the SHOP segment.
- Benefits from accretive senior housing investment activity in 2024 and expected in 2025.
- Normalized FFO per share expected to increase by approximately 7% year-over-year.
- The company's Board of Directors has declared a quarterly dividend of $0.48 per share, representing a 7% increase.
Challenges Ahead
- Higher net interest expense is expected.
- Impact of foreign exchange is expected to be negative.
- Dilutive impact of a higher share price is expected.
- Expect to dispose of assets for approximately $200 million in net proceeds.
- Net interest expense is expected to increase by ~$32 million year-over-year due to refinancing maturing debt at higher rates and lower cash balances.