Ventas Reports 2021 First Quarter Results

Rhea-AI Impact

(Low)

Rhea-AI Sentiment

(Very Positive)

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Rhea-AI Summary

Ventas reported its first-quarter 2021 results, showing a significant recovery in its Senior Housing Operating Portfolio (SHOP). Occupancy rates improved by 190 basis points since mid-March, aided by successful vaccine rollouts. The company noted March and April were the first consecutive months with move-ins exceeding pre-pandemic levels. However, Net Income attributed to common stockholders fell to ($0.15) per share, a 112% decline from $1.26 in 2020. Nareit FFO decreased by 49% to $0.67 per share, while Normalized FFO also dropped by 26% to $0.72 per share.

Positive

Occupancy rates in SHOP improved by 190 basis points from pandemic lows.
March and April saw move-ins exceed both pre-pandemic levels and move-outs.
Vaccination rollout contributed to enhanced resident health and safety.
Management is optimistic about portfolio enhancement and financial strength.

Negative

Net Income decreased to ($0.15) per share, down 112% from $1.26 in 2020.
Nareit FFO fell by 49% to $0.67 per share.
Normalized FFO decreased by 26% to $0.72 per share.

05/07/2021 - 06:55 AM

Ventas, Inc. (NYSE: VTR) (“Ventas” or the “Company”) today reported results for the first quarter ended March 31, 2021.

“Our strong, diverse and high-quality portfolio delivered better than expected financial results in the first quarter, driven by outperformance in our Senior Housing Operating Portfolio (“SHOP”) and the reliable performance of our Office and Triple-Net (“NNN”) businesses,” said Debra A. Cafaro, Ventas Chairman and CEO.

“Most importantly, led by a 280 basis point increase in our U.S. communities, occupancy in SHOP improved by 190 basis points from pandemic lows in mid-March through the end of April. We have experienced dramatic benefits in resident health and safety from the broad and effective roll out of vaccines earlier in the first quarter. With leads continuing to gain traction, and all our communities open to new move-ins, March and April were the first two consecutive months since the onset of COVID-19 when move-ins exceeded both pre-pandemic levels and move-outs. This improvement, while still in its early stages, demonstrates resilient demographic demand for senior housing and the essential care and socialization available to residents in our communities. These factors provide the basis for the powerful upside that lies ahead in senior housing and for Ventas as an industry leader.

“We are optimistic about our ongoing initiatives to recycle capital to further enhance the quality of our portfolio, fund new investment opportunities and maintain financial strength and flexibility. The emerging momentum in SHOP, combined with our high-quality portfolio, leading operators and partners and experienced leadership, position Ventas to win the recovery,” Cafaro concluded.

First Quarter 2021 Results
(per share)

For the first quarter 2021, reported per share results were:
	Quarter Ended March 31
	2021	2020	$ Change	% Change
Net Income (Loss) Attributable to Common Stockholders	($0.15)	$1.26	($1.41)	(112%)
Nareit FFO Attributable to Common Stockholders (“Nareit FFO”)*	$0.67	$1.31	($0.64)	(49%)
Normalized FFO Attributable to Common Stockholders (“Normalized FFO”)*	$0.72	$0.97	($0.25)	(26%)

*	This is a non-GAAP financial measure. Refer to the Non-GAAP Financial Measures Reconciliation tables at the end of this press release and our first quarter 2021 supplemental for additional information and a reconciliation to the most directly comparable GAAP measure.

First Quarter 2021 Property Results

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