Welltower reports strong Q2 results, raises full-year guidance

Published 28/07/2025, 21:40
 Welltower reports strong Q2 results, raises full-year guidance

TOLEDO - Welltower Inc. (NYSE:WELL) reported second quarter earnings that met analyst expectations while revenue exceeded forecasts, driven by robust growth in its seniors housing segment.

The healthcare real estate investment trust reported net income attributable to common stockholders of $0.45 per diluted share for the quarter ended June 30, 2025, in line with analyst estimates. Revenue came in at $2.55 billion, surpassing the consensus estimate of $2.45 billion. Welltower shares edged down 0.18% following the announcement.

Normalized funds from operations (FFO) reached $1.28 per diluted share, representing a 21.9% increase compared to the same period last year. The company’s total portfolio same-store net operating income (SSNOI) grew 13.8% YoY, fueled by a 23.4% increase in its Seniors Housing Operating (SHO) portfolio.

The SHO portfolio saw same-store revenue increase 10.1% YoY, driven by 420 basis points of occupancy growth and a 4.9% increase in Revenue Per Occupied Room (RevPOR). The portfolio’s SSNOI margin expanded by 330 basis points, as revenue growth outpaced expense increases.

Based on its strong performance, Welltower raised its full-year 2025 guidance, now expecting normalized FFO of $5.06 to $5.14 per diluted share, up from the previous range of $4.90 to $5.04. The company also increased its net income guidance to $1.86 to $1.94 per diluted share, compared to the previous range of $1.70 to $1.84.

The company’s board of directors declared a quarterly cash dividend of $0.74 per share, representing a 10.4% increase from the previous dividend.

Welltower reported a net debt to adjusted EBITDA ratio of 2.93x as of June 30, 2025, improved from 3.68x a year earlier, reflecting the company’s strengthened balance sheet.

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