Diversified Healthcare Trust · NASDAQ:DHC

Diversified Healthcare Trust — Q1 2026 Earnings Presentation

44 slides from Diversified Healthcare Trust's earnings presentation, May 5, 2026

  1. Slide 1: Financial Results and Supplemental Information First Quarter 2026

    Financial Results and Supplemental Information FIRST QUARTER 2026 May 4, 2026

  2. Slide 2: Table of Contents

    Table of Contents Highlights and Guidance 4 Financial Statements, Debt and Leverage 9 Trading Symbols: Common Shares: DHC Investments 15 Senior Unsecured Notes due 2042: DHCNI Senior Unsecured Notes due 2046: DHCNL Issuer Credit Rating: Moody's: B3 Portfolio Information 20 Standard & Poor's: B- Inve

  3. Slide 3: Diversified Healthcare Trust Announces First Quarter 2026 Financial Results

    Diversified Healthcare Trust Announces First Quarter 2026 Financial Results “DHC delivered a strong first quarter, reflecting continued Newton, MA (May 4, 2026): Diversified Healthcare Trust (Nasdaq: DHC) today announced its momentum in our operating performance and balance sheet, financial results

  4. Slide 4: Highlights and Guidance

    Highlights and Guidance RETURN TO TABLE OF CONTENTS Q1 2026 4

  5. Slide 5: First Quarter 2026 Highlights

    First Quarter 2026 Highlights (As of and for the three months ended March 31, 2026, unless otherwise noted) (dollars in thousands) As of and For the Three Months Ended % / Basis Point % / Basis Point March 31, 2026 December 31, 2025 Change March 31, 2025 Change Same Property Cash Basis NOI SHOP $ 44

  6. Slide 6: First Quarter 2026 Highlights

    First Quarter 2026 Highlights Financial Highlights $33.1M / $0.14 $75.9M $(43.3)M / $(0.18) Normalized FFO / $74.0M Consolidated NOI Normalized FFO per Share Net Loss / Net Loss per Share Adjusted EBITDAre 4.7% 131.4% YoY Growth YoY Growth Same Property Operating Results 8.6% 13.5% 110 Basis Point 5

  7. Slide 7: Key Financial Data

    Key Financial Data (dollars in thousands, except per share data) As of and For the Three Months Ended As of 3/31/2026 12/31/2025 9/30/2025 6/30/2025 3/31/2025 3/31/2026 Selected Income Statement Data and Non-GAAP Financial Measures: Capitalization: Total revenues $ 366,471 $ 379,571 $ 388,706 $ 382,

  8. Slide 8: Full Year 2026 Guidance

    Full Year 2026 Guidance (1) (dollars in thousands, except per share data) Full Year 2026 Guidance Low End High End Non-GAAP Financial Measures: Full year 2026 guidance is based in part on the following SHOP $ 175,000 $ 185,000 assumptions: Medical Office / Life Science (2) 94,000 98,000 • Mid-point

  9. Slide 9: Financial Statements, Debt and Leverage

    Financial Statements, Debt and Leverage RETURN TO TABLE OF CONTENTS Q1 2026 9

  10. Slide 10: Condensed Consolidated Balance Sheets

    Condensed Consolidated Balance Sheets (dollars in thousands) March 31, 2026 December 31, 2025 ASSETS Real estate properties $ 5,963,016 $ 5,948,806 Accumulated depreciation (2,144,130) (2,089,906) Total real estate properties, net 3,818,886 3,858,900 Investments in unconsolidated joint ventures 119,

  11. Slide 11: Condensed Consolidated Statements of Income (Loss)

    Condensed Consolidated Statements of Income (Loss) (amounts in thousands, except per share data) For the Three Months Ended March 31, 2026 2025 Revenues: Rental income $ 49,246 $ 58,558 Residents fees and services 317,225 328,306 Total revenues 366,471 386,864 Expenses: Property operating expenses 2

  12. Slide 12: Debt Summary

    Debt Summary As of March 31, 2026 (dollars in thousands) Coupon Interest Principal Maturity Due at Years to Secured By Rate Rate Balance Date Maturity Maturity (1) DHC is required to pay interest on borrowings under Secured Floating Rate Debt: this facility at a rate of daily SOFR plus a premium, $1

  13. Slide 13: Debt Maturity Schedule

    Debt Maturity Schedule As of March 31, 2026 (dollars in thousands) (1) (2) (3) Secured Floating Rate Debt Unsecured Fixed Rate Debt Secured Fixed Rate Debt $800,000 $700,000 $1,572 $133,256 $600,000 $1,975 $500,000 Principal $400,000 $500,000 $300,000 $600,000 $500,000 $435,135 $200,000 $100,000 $13

  14. Slide 14: Leverage Ratios, Coverage Ratios and Bond Covenants

    Leverage Ratios, Coverage Ratios and Bond Covenants As of and For the Three Months Ended 3/31/2026 12/31/2025 9/30/2025 6/30/2025 3/31/2025 Leverage Ratios: Net debt / total gross assets 36.2% 36.3% 38.1% 37.3% 36.4% Net debt / gross book value of real estate assets 37.3% 37.3% 38.7% 37.9% 37.8% Sec

  15. Slide 15: Investments

    Investments RETURN TO TABLE OF CONTENTS Q1 2026 15

  16. Slide 16: Summary of Capital Expenditures

    Summary of Capital Expenditures (dollars and sq. ft. in thousands, except per sq. ft. and unit data) For the Three Months Ended 3/31/2026 12/31/2025 9/30/2025 6/30/2025 3/31/2025 Recurring Capital Expenditures: SHOP fixed assets and capital improvements $ 14,193 $ 18,236 $ 33,306 $ 24,283 $ 21,115 M

  17. Slide 17: Redevelopment Information

    Redevelopment Information As of March 31, 2026 (dollars in thousands) SHOP Property Number of Estimated Total Costs Estimated Project Scope of Project Location Type Units (1) Project Costs Incurred Completion Date Pueblo Norte Senior Living SNF to Memory Care unit conversion and common area renovati

  18. Slide 18: Property Acquisitions / Dispositions Information Since January 1, 2026

    Property Acquisitions / Dispositions Information Since January 1, 2026 (dollars in thousands) Acquisitions Date Acquired Location Segment Number of Properties Units Gross Purchase Price April 2026 (1) Lexington, KY SHOP — — $ 14,500 Dispositions Gross Sales Date Sold Location Segment Number of Prope

  19. Slide 19: Investments in Unconsolidated Joint Ventures

    Investments in Unconsolidated Joint Ventures (1) (2) As of March 31, 2026 (dollars in thousands) Investments in Unconsolidated Joint Ventures Three Months Ended March 31, 2026 Number of Weighted Average DHC DHC Carrying Value Joint Venture Location Property Type Properties Square Feet Occupancy Leas

  20. Slide 20: Portfolio Information

    Portfolio Information RETURN TO TABLE OF CONTENTS Q1 2026 20

  21. Slide 21: Portfolio Summary

    Portfolio Summary As of and For the Three Months Ended March 31, 2026 (dollars and sq. ft. in thousands) Medical Office and Life Science Portfolio All Other Triple Net Leased Medical Life Senior Living DHC SHOP Office Science Total Communities Wellness Centers Total Consolidated Number of properties

  22. Slide 22: Consolidated Results by Segment

    Consolidated Results by Segment (dollars and sq. ft. in thousands, except average monthly rate) As of and For the Three Months Ended 3/31/2026 12/31/2025 9/30/2025 6/30/2025 3/31/2025 SHOP Properties 199 212 229 230 231 Units 22,573 23,217 24,906 24,872 25,005 Occupancy 81.7 % 81.6 % 81.5 % 80.6 % 8

  23. Slide 23: Same Property Results by Segment

    Same Property Results by Segment (dollars and sq. ft. in thousands, except average monthly rate) As of and For the Three Months Ended 3/31/2026 12/31/2025 9/30/2025 6/30/2025 3/31/2025 SHOP Properties 184 184 184 184 184 Units 21,226 21,226 21,226 21,226 21,226 Occupancy 82.4 % 82.4 % 82.4 % 81.5 %

  24. Slide 24: Portfolio Information by Segment

    Portfolio Information by Segment RETURN TO TABLE OF CONTENTS Q1 2026 24

  25. Slide 25: SHOP Summary

    SHOP Summary As of March 31, 2026 (dollars in thousands, except average monthly rate) Units by Geographic Concentration NOI by Manager VA: 4.5% Remaining: 8.3% KY: 4.6% GA: 4.7% Charter Senior Living: 7.3% Sinceri Senior Living: 27.7% MD: 5.3% Tutera Senior Living: 7.4% NC: 5.6% Remaining: 48.8% TX:

  26. Slide 26: SHOP Summary by Operator

    SHOP Summary by Operator As of March 31, 2026 (dollars in thousands) Number of Units Independent Number of Living and % of Total Top 10 Managers Location Properties Active Adult Assisted Living Memory Care Skilled Nursing Total NOI NOI 1 Sinceri Senior Living Various (11 States) 38 4,352 2,563 371 —

  27. Slide 27: SHOP Results of Operations by Location

    SHOP Results of Operations by Location (dollars in thousands, except average monthly rate) As of and For the Three Months Ended NOI Occupancy Average Monthly Rate Number of % Basis Point % Markets Properties 3/31/2026 3/31/2025 Change 3/31/2026 3/31/2025 Change 3/31/2026 3/31/2025 Change Primary 85

  28. Slide 28: Medical Office and Life Science Portfolio - Leasing Summary

    Medical Office and Life Science Portfolio - Leasing Summary (1) (dollars and sq. ft. in thousands, except per sq. ft. data) As of and For the Three Months Ended 3/31/2026 12/31/2025 9/30/2025 6/30/2025 3/31/2025 Properties 67 67 88 92 93 Total square feet 5,558 5,558 6,931 7,400 7,620 Occupancy 91.8

  29. Slide 29: Tenants Representing 1% Or More of Total Annualized Rental Income

    Tenants Representing 1% Or More of Total Annualized Rental Income As of March 31, 2026 (dollars in thousands) Annualized % of Annualized Tenant Property Type Rental Income Rental Income Expiration 1 Advocate Aurora Health Medical Office $ 16,939 8.7% 2031 2 Life Time Athletic Wellness Centers 12,285

  30. Slide 30: Medical Office and Life Science Portfolio - Lease Expiration Schedule

    Medical Office and Life Science Portfolio - Lease Expiration Schedule As of March 31, 2026 (dollars in thousands) Annualized Rental Income Expiring Year Medical Office Life Science Total % of Total Cumulative % of Total 2026 $ 10,265 $ 5,346 $ 15,611 9.5% 9.5% 2027 9,509 3,938 13,447 8.2% 17.7% 2028

  31. Slide 31: All Other - Lease Expiration Schedule

    All Other - Lease Expiration Schedule As of March 31, 2026 (dollars in thousands) % of Total Cumulative % of Total Annualized Annualized Annualized Number of Number of Rental Income Rental Income Rental Income Year Properties Units or Square Feet Expiring Expiring Expiring 2026 — — $ — —% —% 2027 (1

  32. Slide 32: Appendix

    Appendix RETURN TO TABLE OF CONTENTS Q1 2026 32

  33. Slide 33: Calculation and Reconciliation of Non-GAAP Financial Measures

    Calculation and Reconciliation of Non-GAAP Financial Measures (dollars in thousands) For the Three Months Ended 3/31/2026 12/31/2025 9/30/2025 6/30/2025 3/31/2025 Calculation of NOI and Cash Basis NOI: Rental income $ 49,246 $ 56,157 $ 55,316 $ 55,167 $ 58,558 Residents fees and services 317,225 323

  34. Slide 34: Calculation and Reconciliation of Non-GAAP Financial Measures - NOI

    Calculation and Reconciliation of Non-GAAP Financial Measures - NOI (dollars in thousands) For the Three Months Ended 3/31/2026 12/31/2025 9/30/2025 6/30/2025 3/31/2025 SHOP Revenues $ 317,225 $ 323,414 $ 333,390 $ 327,545 $ 328,306 Property operating expenses (273,599) $ (287,221) $ (303,770) $ (29

  35. Slide 35: Calculation and Reconciliation of Non-GAAP Financial Measures - Cash Basis NOI

    Calculation and Reconciliation of Non-GAAP Financial Measures - Cash Basis NOI (dollars in thousands) For the Three Months Ended 3/31/2026 12/31/2025 9/30/2025 6/30/2025 3/31/2025 SHOP NOI $ 43,626 $ 36,193 $ 29,620 $ 36,615 $ 36,828 Non-cash adjustments — $ — $ — $ — $ — Cash Basis NOI 43,626 36,19

  36. Slide 36: Calculation and Reconciliation of Non-GAAP Financial Measures

    Calculation and Reconciliation of Non-GAAP Financial Measures (dollars in thousands) For the Three Months Ended 3/31/2026 12/31/2025 9/30/2025 6/30/2025 3/31/2025 Net loss $ (43,275) $ (21,221) $ (164,040) $ (91,639) $ (8,986) Interest expense 37,045 46,855 48,886 50,926 57,831 Income tax expense 62

  37. Slide 37: Calculation and Reconciliation of Non-GAAP Financial Measures

    Calculation and Reconciliation of Non-GAAP Financial Measures (dollars in thousands) For the Three Months Ended 3/31/2026 12/31/2025 9/30/2025 6/30/2025 3/31/2025 Net loss $ (43,275) $ (21,221) $ (164,040) $ (91,639) $ (8,986) Depreciation and amortization 62,914 62,008 65,324 66,266 68,325 Loss (ga

  38. Slide 38: Calculation and Reconciliation of Non-GAAP Financial Measures

    Calculation and Reconciliation of Non-GAAP Financial Measures (amounts in thousands, except per share data) For the Three Months Ended 3/31/2026 12/31/2025 9/30/2025 6/30/2025 3/31/2025 Normalized FFO $ 33,098 $ 21,823 $ 9,721 $ 18,572 $ 14,305 General and administrative expense paid in common share

  39. Slide 39: Company Profile, Research Coverage and Governance Information

    Company Profile, Research Coverage and Governance Information Officers Board of Trustees Christopher J. Bilotto Matthew C. Brown Anthony Paula Christopher J. Bilotto Alan L. Felder Lisa Harris Jones President and Chief Financial Officer and Vice President Managing Trustee Independent Trustee Lead In

  40. Slide 40: Non-GAAP Financial Measures and Certain Definitions

    Non-GAAP Financial Measures and Certain Definitions Non-GAAP Financial Measures: DHC presents certain "non-GAAP financial measures" within the meaning of applicable rules of the Securities and Exchange Commission, or SEC, including net operating income, or NOI, Cash Basis NOI, same property NOI, sam

  41. Slide 41: Non-GAAP Financial Measures and Certain Definitions (Continued)

    Non-GAAP Financial Measures and Certain Definitions (Continued) Adjusted total assets - Adjusted total assets is the original cost of real estate assets calculated in accordance with GAAP before depreciation and after impairment write downs, if any, and excludes accounts receivable and intangible as

  42. Slide 42: Non-GAAP Financial Measures and Certain Definitions (Continued)

    Non-GAAP Financial Measures and Certain Definitions (Continued) ExPOR - ExPOR, or expenses per occupied room, is calculated by dividing total operating expenses by the number of occupied units for the period presented. GAAP - GAAP is U.S. generally accepted accounting principles. Gross book value of

  43. Slide 43: Non-GAAP Financial Measures and Certain Definitions (Continued)

    Non-GAAP Financial Measures and Certain Definitions (Continued) Medical Office and Life Science Portfolio - Medical Office and Life Science Portfolio consists of medical office properties leased to medical providers and other medical related businesses, as well as life science properties leased to b

  44. Slide 44: Warning Concerning Forward-Looking Statements

    Warning Concerning Forward-Looking Statements This presentation contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 and other securities laws that are subject to risks and uncertainties. These statements may include words such as “believe”,

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