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Mar 31, 2022

Welltower Q1 2022 Earnings Report

Welltower's first quarter 2022 results were reported, demonstrating growth in key areas.

Key Takeaways

Welltower reported a solid first quarter in 2022, marked by normalized FFO exceeding guidance, significant growth in Seniors Housing Operating portfolio occupancy and same-store NOI, and substantial investment activity.

Net income attributable to common stockholders was reported at $0.14 per diluted share.

Normalized FFO attributable to common stockholders was reported at $0.82 per diluted share, surpassing the guidance midpoint.

Seniors Housing Operating portfolio average same-store occupancy increased by approximately 460 bps year-over-year to 78.0%.

Total portfolio same-store NOI grew by 8.9%, driven by an 18.4% increase in the SHO portfolio.

Total Revenue
$1.4B
Previous year: $1.05B
+32.7%
EPS
$0.82
Previous year: $0.8
+2.5%
Normalized FFO
$368M
Gross Profit
$542M
Previous year: $435M
+24.7%
Cash and Equivalents
$301M
Previous year: $2.13B
-85.9%
Total Assets
$35.5B
Previous year: $33B
+7.5%

Welltower

Welltower

Welltower Revenue by Segment

Forward Guidance

Welltower anticipates net income per share between $0.20 and $0.25 and normalized FFO per share between $0.82 and $0.87 for the second quarter of 2022.

Positive Outlook

  • Expects average blended SSNOI growth of 8.0% to 10.0%.
  • Seniors Housing Operating SSNOI growth is projected at approximately 15.0% to 20.0%.
  • Seniors Housing Triple-net SSNOI growth is anticipated at approximately 7.0% to 8.0%.
  • Outpatient Medical SSNOI growth is expected to be approximately 2.0% to 3.0%.
  • Includes approximately $6 million of Provider Relief Funds expected to be received during the quarter.

Challenges Ahead

  • The impact of the COVID-19 pandemic remains highly uncertain.
  • General and administrative expenses are anticipated to be approximately $35 million to $37 million.
  • Stock-based compensation expense is expected to be approximately $6 million.
  • Guidance includes only acquisitions closed or announced to date.
  • Guidance does not include any additional investments, dispositions, or capital transactions beyond those announced.

Revenue & Expenses

Visualization of income flow from segment revenue to net income