National Health Investors, Inc. · NYSE:NHI
National Health Investors — Q4 2023 Earnings Presentation
17 slides from National Health Investors's earnings presentation, Feb 20, 2024
Slide 1: Investor Update February 20, 2024
National Health Investors Investor Update February 20, 2024
Slide 2: Safe Harbor Statement
Safe Harbor Statement NATIONAL HEALTH INVESTORS These slides and other materials we have filed or may file with the Securities and Exchange Commission, as well as information included in oral statements made, or to be made, by our senior management contain forward-looking statements that are based o
Slide 3: Overview of Fourth Quarter 2023
Ove rview of Fourth Qua rter 2023 NATIONAL HHALTH INVESTORS Summary of Quarterly Financial Results Key Operating and Balance Sheet Highlights Real Estate Investments (ia thousands except per share and percentages) Q4 2022 * Cash lease revenue of $57.7 million compares to $56.9 million in the prior y
Slide 4: Initial 2024 Guidance
Initial 2024 Guidance NATIONAL HEALTH INVESTORS 24 Guidance Range 24 Guidance Assumptions & Consideratio jare amounts) ‘Net income attributable to common stockholders $ 126.3 $ 127.7 $ 129.1 Adjustments to NAREIT Funds From Operations (FFO) Depreciation (net) 1 66.8 66.8 66.7 Gains on sales (net) an
Slide 5: Investment Overview
Investment Overview Hy HEALTH INVESTORS Optimization Creates Significant Organic Growth in SHOP Platform Stronger Portfolio Improving operator * — Significant upside opportunity performance driving stronger as SHOP performance starts EBITDARM coverage improving Lease resets and deferral * Expect 202
Slide 6: Optimization Creates Stronger Portfolio
Co) Optimization Creates Stronger Portfolio NAT J, HEALTH INVESTORS EBITDARM Coverage Improvement Coverage across most NHI asset classes experienced sequential improvement for the trailing twelve months (TTM) through 3Q 2023. Need Driven Senior Housing EBITDARM coverage continues to show improvement
Slide 7: Senior Housing - Need Driven Fundamentals Improving
Co) Senior Housing - Need Driven Fundamentals Improving NATIONAL HEALTH INVESTORS Senior Housing — Need Driven Main Optimization Focus + The Senior Housing - Need Driven leased portfolio represents approximately 26% of annualized adjusted NOI including im approximately 12% from the Bickford leased p
Slide 8: Deferrals & Repayments
Deferrals & Repayments (dollars in thousands) NATIONAL HEALTH INVESTORS Deferral Balances Create Source for Organic Growth 12,7 * — Since the beginning of the pandemic, NHI has deferred approximately $37.5 million, net of credits. * Deferrals slowed significantly in 2023 and NHI did not experience a
Slide 9: Senior Housing Operating Portfolio (SHOP) Opportunity
Senior Housing Operating Portfolio (SHOP) Opportunity (dollars in thousands except RevPOR) NATIONAL HEALTH INVESTORS Significant Organic NOI Upside in Deferral Repayments, Rent Resets, and SHOP * SHOP Upside: NHI converted 15 former Holiday properties from triple-net to senior housing operating join
Slide 10: Senior Housing Operating Portfolio (SHOP) Opportunity
NATIONAL HEALTH INVES RS: G Senior Housing Operating Portfolio (SHOP) Opportunity * Prior to the pandemic, the 15-community portfolio that transitioned to SHOP averaged occupancy in the high-80% range which was comparable to NIC MAP IL properties in secondary markets. * The pandemic, lack of investm
Slide 11: Financial Strength Positions NHI for Accretive External Growth
& Financial Strength Positions NHI for Accretive External Growth (dollars in millions) NATIONAL HEALTH INVESTORS Strong Balance Sheet Provides Ample Liquidity for Investment Date —— ; ; ; 3Q 2023 * Despite significant deferrals and rent restructuring, NHI has maintained its target leverage in the 4.
Slide 12: Optimization Creating More Invested Capital Efficiency
& Optimization Creating More Invested Capital Efficiency Optimization Improving ROIC * Pandemic impacts start in late 2020 with first rent concessions granted 8.50% 8.33% 8.27% 8.16% 8.04% 8.00% 7.92% 7.94% 7.80% 7.81% 1.12% 7.69% er 7.58% 7.53% 7.50% 7.47% 7.30% 7.16% 7.00% 6.50% 6.00% 20213021 4az
Slide 13: Favorable Industry Dynamics: Supply Growth is Slowing
Favorable Industry Dynamics: A Pathway For Long Term Growth Nl Hy NATIONAL HEALTH INVESTORS pply Growth is Slowi Inventory growth across the care continuum at less than 1.5% New starts in Q4 2023 were the lowest since Q3 2011 an is near historic lows more than 50% below the historical average Invent
Slide 14: Favorable Industry Dynamics: Demand Growth is Surging
Favorable Industry Dynamics: A Pathway For Long Term Growth NEY D) nd Growth is Surging The 85+ population is expected to grow by 4.5% annually Absorption is at historically high levels which has resulted in through 2030 compared to 0.3% in the prior decade the highest ever number of occupied senior
Slide 15: Definitions
Definitions NATIONAL HEALTH INVESTOI ADJUSTED EBITDA & EBITDARM. NHI considers Adjusted EBITDA to be an important supplemental measure because it provides information which is used to evaluate the Company's performance and serves as an indication of the ability to service debt. NHI defines Adjusted
Slide 16: Appendix: Senior Housing & SNF Dispositions
Appendix: Senior Housing & SNF Dispositions (dollars in thousands) NATIONAL HEALTH INVESTORS Q2 2021 03 2021 Q3 2021 Q4 2021 Q4 2021 Q4 2021 Qi 2022 Q2 2022 Q2 2022 2 2022 Q2 2022 02 2022 Q3 2022 03 2022 Qi 2023 Qi 2023 Q2 2023 Q2 2023 02 2023 Q2 2023 Q2 2023 03 2023 Q4 2023 03 2022 Annualized Annua
Slide 17: Reconciliations: ROIC
Reco ncl I iat i ons: ROI Cc NATIONAL HHALTH INVESTORS 3020 Total Assets $3,167,835 $3,166,971 $3,139,273 $3,120346 $3, 18, 273 $3,077,485 $2,912,177 $2,838,876 $2,802,503 $2,587,291 $2,508,785 $2,507,424 $ 2,533,230 $2,498,495 $ 2,499,090 $ 2,488,480 ‘Add: Accumulated Depreciation 534,905 555,762 5
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