Healthpeak Properties, Inc. · NYSE:DOC
Healthpeak Properties — Q2 2024 Earnings Presentation
32 slides from Healthpeak Properties's earnings presentation, Jul 26, 2024
Slide 1: Earnings Release and Supplemental Report Second Quarter 2024
Nexus on Grand South San Francisco, CA Earnings Release and Supplemental Report ___________________________________________________________________ Second Quarter 2024
Slide 2: Table of Contents
TABLE OF Contents Earnings Release 3 Consolidated Financial Statements 9 Guidance 13 Portfolio Summary 14 Merger-Combined Same-Store 15 Capitalization and Debt Ratios 16 Indebtedness 17 Investment Summary 18 Developments and Redevelopments 19 Capital Expenditures 20 Portfolio Diversification 21 Tena
Slide 3: Healthpeak Reports Second Quarter 2024 Results and Declares Quarterly Dividend
Healthpeak Properties Reports Second Quarter 2024 Results and Declares Quarterly Cash Dividend on Common Stock DENVER, July 25, 2024 - Healthpeak Properties, Inc. (NYSE: DOC), a leading owner, operator, and developer of real estate for healthcare discovery and delivery, today announced results for t
Slide 4: Second Quarter and Year to Date Comparison
SECOND QUARTER COMPARISON Three Months Ended Three Months Ended June 30, 2024 June 30, 2023 (in thousands, except per share amounts) Amount Per Share Amount Per Share Net income, diluted $ 145,904 $ 0.21 $ 51,750 $ 0.09 Nareit FFO, diluted 318,610 0.44 247,754 0.45 FFO as Adjusted, diluted 320,220 0
Slide 5: Physicians Realty Trust Merger Integration and Disposition Update
PHYSICIANS REALTY TRUST MERGER INTEGRATION In July, Healthpeak internalized outpatient property management in two additional markets. To date, the company has completed internalization of property management in 12 markets covering more than 17 million square feet, with two additional markets expecte
Slide 6: Share Repurchase Activity and Development Updates
SHARE REPURCHASE ACTIVITY Healthpeak repurchased 4.6 million shares at a weighted average share price of $19.09 for an aggregate total of $88 million from the beginning of the second quarter through and including July 25, 2024. Year-to-date 2024, Healthpeak has repurchased 10.5 million shares at a w
Slide 7: 2024 Guidance
2024 GUIDANCE We are updating the following guidance ranges for full year 2024: ▪ Diluted earnings per common share from $0.16 – $0.20 to $0.27 – $0.31 ▪ Diluted Nareit FFO per share from $1.56 – $1.60 to $1.59 – $1.63 ▪ Diluted FFO as Adjusted per share from $1.76 – $1.80 to $1.77 – $1.81 ▪ Diluted
Slide 8: Forward-Looking Statements
FORWARD-LOOKING STATEMENTS Statements contained in this release that are not historical facts are "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Forward-looking statements i
Slide 9: Consolidated Balance Sheets
Healthpeak Properties, Inc. Consolidated Balance Sheets In thousands, except share and per share data June 30, 2024 December 31, 2023 Assets Real estate: Buildings and improvements $ 16,448,690 $ 13,329,464 Development costs and construction in progress 739,318 643,217 Land and improvements 3,005,97
Slide 10: Consolidated Statements of Operations
Healthpeak Properties, Inc. Consolidated Statements of Operations In thousands, except per share data Three Months Ended June 30, Six Months Ended June 30, 2024 2023 2024 2023 Revenues: Rental and related revenues $ 546,781 $ 409,967 $ 1,008,814 $ 802,398 Resident fees and services 140,891 130,184 2
Slide 11: Funds From Operations
Healthpeak Properties, Inc. Funds From Operations In thousands, except per share data Three Months Ended Six Months Ended June 30, June 30, 2024 2023 2024 2023 Net income (loss) applicable to common shares $ 145,833 $ 51,750 $ 152,309 $ 169,449 Real estate related depreciation and amortization 283,4
Slide 12: Adjusted Funds From Operations
Healthpeak Properties, Inc. Adjusted Funds From Operations In thousands, except per share data Three Months Ended Six Months Ended June 30, June 30, 2024 2023 2024 2023 FFO as Adjusted applicable to common shares $ 315,639 $ 249,202 $ 590,919 $ 478,741 Stock-based compensation amortization expense 4
Slide 13: 2024 Guidance Information
(1) 2024 Guidance Information Bolded items represent updates from previous Guidance ranges and assumptions Projected full year 2024, dollars in millions, except per share amounts FY 2024 Guidance FY 2024 Guidance July 25, 2024 April 25, 2024 2024 Guidance Ranges and Supplemental Information Diluted
Slide 14: Portfolio Summary
Portfolio Summary As of and for the quarter ended June 30, 2024, dollars and square feet in thousands Portfolio Cash Portfolio Cash Property Occupancy Portfolio Real Estate Operating Interest Portfolio (1) Count Capacity %(2) Investment Revenues Expenses Income Income Operating Portfolio Outpatient
Slide 15: Merger-Combined Same-Store
(1) Merger-Combined Same-Store As of June 30, 2024, dollars and square feet in thousands MERGER-COMBINED SAME-STORE Three-Month Same-Store Year-Over- Sequential 2Q23 3Q23 4Q23 1Q24 2Q24 Year Growth Growth Total Merger-Combined Same-Store Same-Store Cash Real Estate Revenues $ 592,479 $ 606,604 $ 601
Slide 16: Capitalization and Debt Ratios
Capitalization and Debt Ratios Dollars and shares in thousands, except price per share data TOTAL CAPITALIZATION DEBT RATIOS June 30, 2024 Three Months Ended June 30, 2024 Shares Price Total Value Net Debt to Adjusted EBITDAre 5.2x Common stock (NYSE: DOC) 700,317 $ 19.60 $ 13,726,213 Floating Rate
Slide 17: Indebtedness
Indebtedness As of June 30, 2024, dollars in thousands DEBT MATURITIES AND SCHEDULED PRINCIPAL REPAYMENTS (AMORTIZATION) Term Loans Senior Unsecured Notes Mortgage Debt Enterprise Debt Bank LOC, Share of Commercial Consolidated Unconsolidated Paper(1) Amounts Rate %(2) Amounts Rate % (2) Amounts Rat
Slide 18: Investment Summary
Investment Summary As of and for the six months ended June 30, 2024, dollars and square feet in thousands INVESTMENT SUMMARY Three Months Ended Six Months Ended June 30, 2024 June 30, 2024 Development fundings 62,538 108,167 Redevelopment fundings 24,273 51,731 Total $ 86,811 $ 159,898 (1) DISPOSITI
Slide 19: Developments and Redevelopments
Developments and Redevelopments As of June 30, 2024, dollars and square feet in thousands; includes JV project dollars at share DEVELOPMENT PROJECTS IN PROCESS Total Estimated Project % of Total Projected Property Cost to Total at Capacity Project Initial Stabilized Cash (1) Project MSA Property Typ
Slide 20: Capital Expenditures
(1) Capital Expenditures For the three and six months ended June 30, 2024, dollars in thousands, except per unit/square foot Outpatient SECOND QUARTER Medical Lab CCRC Other Total Portfolio at share Recurring Capital Expenditures $ 4,569 $ 1,271 $ 4,288 $ 946 $ 11,074 Tenant improvements 10,313 1,95
Slide 21: Portfolio Diversification
(1) Portfolio Diversification As of and for the quarter ended June 30, 2024, square feet in thousands TOP 20 MARKETS Leased % of Square Combined Market Feet ABR San Francisco, CA(2) 5,317 24% Boston, MA 2,691 10% Dallas, TX 4,237 8% San Diego, CA 1,664 6% Houston, TX 3,186 4% Nashville, TN 1,622 3%
Slide 22: Tenant Diversification
(1) Tenant Diversification As of and for the quarter ended June 30, 2024 square feet in thousands TOP 20 TENANTS (2) Tenant Diversification Weighted Average Remaining Physician Group Practices Leased Lease 15.8% Square Term in Tenant / Parent Classification(2) Feet Years % of ABR (3) HCA Healthcare
Slide 23: Leasing Metrics
Leasing Metrics As of June 30, 2024, square feet in thousands, presented at 100% 2Q24 LEASING ACTIVITY CONTRACTUAL LEASE ESCALATORS Outpatient Medical Lab Total Leased Square Feet Renewals, amendments and extensions Outpatient Leased Square Feet 533 571 1,104 Medical Lab Total % of Total Annualized
Slide 24: Lease Expirations
Lease Expirations As of June 30, 2024, dollars and square feet in thousands LEASE EXPIRATION DATA Outpatient Medical(1) Lab Total(1) Leased Annualized Leased Annualized Leased Annualized Year Square Feet Base Rent(2) Square Feet Base Rent(2) Square Feet % Base Rent(2) % 2024(2) 2,051 $ 61,844 100 $
Slide 25: CCRC
CCRC As of and for the quarter ended June 30, 2024, dollars in thousands, except REVPOR INVESTMENTS Resident Fees and Portfolio Property Net Portfolio Services, excluding NREF Portfolio Adjusted Occupancy REVPOR NREF Cash Count Investment(1) NREFS(2) Amortization Cash Opex NOI Units % CCRC Collectio
Slide 26: Other
Other As of and for the quarter ended June 30, 2024, dollars in thousands, except REVPOR SOVEREIGN WEALTH FUND SENIOR HOUSING JV AT SHARE Year-Over-Year 2Q23 3Q23 4Q23 1Q24 2Q24 Growth Property count 19 19 19 19 19 — Units 3,354 3,354 3,354 3,354 3,354 Occupancy % 78.3 79.3 78.6 78.1 78.9 60 bps (1)
Slide 27: Components of Net Asset Value
Components of Net Asset Value As of and for the quarter ended June 30, 2024, dollars and shares in millions PORTFOLIO CASH (ADJUSTED) NOI AT SHARE Quarter Ending Significant June 30, 2024 Adjustments(1) Annualized Outpatient Medical $ 208 $ (2) $ 824 Lab 147 1 592 CCRC 34 — 135 SWF SH JV 6 — 24 Tota
Slide 28: Glossary
Glossary Adjusted Fixed Charge Coverage* Cost to Complete Adjusted EBITDAre divided by Fixed Charges. Adjusted Fixed Charge Coverage is a supplemental Includes lease commissions and tenant improvements incurred to date, and projected lease measure of liquidity and our ability to meet interest paymen
Slide 29: Glossary
Glossary Financial Leverage* Enterprise Debt divided by Enterprise Gross Assets. Financial Leverage is a supplemental measure of our Merger-Combined Same-Store Cash (Adjusted) NOI* financial position, which enables both management and investors to analyze our leverage and to Merger-Combined Same-Sto
Slide 30: Glossary
Glossary Portfolio Cash Operating Expenses* REVPOR* Portfolio Cash Operating Expenses are non-GAAP supplemental measures. Portfolio Cash Operating The 3-month average Cash Real Estate Revenues per occupied unit for the most recent period available. Expenses represent property level operating expense
Slide 31: Additional Information
Additional Information UF Health North Jacksonville, FL The information in this supplemental report should be read in conjunction with our Annual Report on Form 10-K, Quarterly Reports on Form 10-Q, Current Reports on Form 8-K, and other information filed with the SEC. The Reporting Definitions (and
Slide 32: healthpeak.com
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