Per Share Normalized FFO of $0.31 and Net Income of $0.13
Completes Balance Sheet Restructuring with New Credit Facility
BIRMINGHAM, Ala.--(BUSINESS WIRE)--Feb. 9, 2017--
Medical Properties Trust, Inc. (the “Company” or “MPT”) (NYSE: MPW)
today announced financial and operating results for the fourth quarter
and year ended December 31, 2016 through 2017’s first quarter.
“In 2016 and through the early days of 2017, MPT achieved all of the
operational goals we set early in the year,” said Edward K. Aldag, Jr.,
MPT’s Chairman, President and Chief Executive Officer. “We successfully
and profitably repositioned our portfolio by capturing sizable gains
from asset sales in the first half and allocating capital to compelling
new opportunities in the second half. The approximate $800 million in
asset sales, and our solid execution in the capital markets, helped to
significantly strengthen our balance sheet, reduce leverage, improve
liquidity, and position the company for long-term growth.
“In the fourth quarter, we added Steward Health Care to our portfolio of
247 hospitals. Forward-thinking operators, such as Steward, have proven
their ability to effectively navigate the changing landscape of
healthcare and profitably provide quality care to their patients,
especially during times of dramatically changing hospital environments
such as the implementation of – and now the unwinding of – the
Affordable Care Act. We see significant acquisition opportunities ahead
as operators with proven healthcare delivery models look to expand into
new markets with the assistance of MPT.”
FOURTH QUARTER AND RECENT HIGHLIGHTS
-
Normalized Funds from Operations (“FFO”) per diluted share was $0.31
in the fourth quarter compared with $0.35 in fourth quarter of 2015;
-
On a full year basis 2016’s Normalized FFO per share increased to
$1.28 compared to $1.26 per diluted share in 2015, an increase even in
a year of significant asset sales;
-
Acquisitions reported in 2016 totaled approximately $1.8 billion,
continuing the trajectory of highly and immediately accretive growth,
compared to approximately $1.7 billion in 2015 and $1.4 billion in
2014;
-
Completed the previously announced acquisition of real estate
interests in nine Steward Health Care hospitals in early October for a
total investment of $1.25 billion;
-
Completed acquisitions of 12 post-acute hospitals to be operated by
MEDIAN and its affiliates in Germany in the fourth quarter for a total
investment of approximately $90 million as part of previously
announced acquisitions aggregating $282 million (based on recent
exchange rates);
-
Completed a new $1.7 billion senior unsecured credit facility with
improved pricing in early February 2017; includes a $1.3 billion
senior unsecured revolving credit facility, a $200 million senior
unsecured term loan, and a €200 million senior unsecured term loan;
-
Gave redemption notice for €200 million 5.750% Senior Notes due 2020
to be redeemed with funds from the €200 million senior unsecured term
loan included in the new $1.7 billion credit facility and cash on hand.
Included in the financial tables accompanying this press release is
information about the Company’s assets and liabilities, net income and
reconciliations of net income to FFO and Adjusted Funds from Operations
(“AFFO”), all on a basis comparable to 2015 results.
PORTFOLIO UPDATE
During and after the fourth quarter, MPT made investments in hospital
real estate totaling approximately $1.4 billion that was leased to
operators under long-term absolute net leases with GAAP lease rates
between 9.5% and 10.5%.
As of December 31, 2016, MPT has leased 59 facilities to Adeptus, with
an aggregate investment of approximately $446 million and an aggregate
lease coverage ratio for 43 open facilities of approximately 2.62 times
for the twelve months ended September 30, 2016. Adeptus has prepaid all
rent through February and, based on facility openings in the fourth
quarter of 2016, total revenue from Adeptus is approximately 7% of MPT’s
estimated 2017 total revenue. As of December 31, 2016, 64% of MPT’s
Adeptus investments are leased to joint ventures or partnerships with
dominant, market leading hospital systems in each market, and 88% of
MPT’s facilities are being operated as Hospital Outpatient Departments.
Among other arrangements, MPT remains beneficiary of irrevocable letters
of credit for an amount equal to approximately four months anticipated
cash rent.
The Company has pro forma total gross assets of approximately $7.1
billion including $4.7 billion in general acute care hospitals, $1.7
billion in inpatient rehabilitation hospitals, and $0.4 billion in
long-term acute care hospitals. The portfolio includes 247 properties
representing more than 27,000 licensed beds in 30 states and in Germany,
the United Kingdom, Italy and Spain. The properties are leased to or
mortgaged by 30 hospital operating companies.
OPERATING RESULTS AND OUTLOOK
Normalized FFO for the fourth quarter increased 22% to $100.7 million
compared with $82.5 million in the fourth quarter of 2015. Per share
Normalized FFO decreased 11% to $0.31 per diluted share in the fourth
quarter compared with $0.35 per share in the fourth quarter of 2015 due
to asset sales and completion of planned deleveraging to a sector
leading ratio of approximately 5.1 times pro forma net debt to EBITDA.
For the twelve months ended December 31, 2016, Normalized FFO increased
22% to $334.8 million from $274.8 million in 2015. On a per diluted
share basis, Normalized FFO increased 2% in 2016 to $1.28 from $1.26 in
2015.
Fourth quarter 2016 total revenues increased 17% to $153.3 million
compared with $131.5 million for the fourth quarter of 2015. Revenue for
the twelve months ended December 31, 2016 increased 22% to $541.1
million from $441.9 million in 2015.
Net income for the fourth quarter of 2016 was $43.0 million (or $0.13
per diluted share), compared to $58.2 million (or $0.24 per diluted
share) in the fourth quarter of 2015. Net income for the twelve months
ended December 31, 2016 was $225.0 million (or $0.86 per diluted share)
compared with net income of $139.6 million (or $0.63 per diluted share)
in 2015.
The Company reaffirms 2017 Normalized FFO guidance between $1.35 and
$1.40 per diluted share and 2017 net income as a range of between $0.97
and $1.03 per diluted share. These estimates assume acquisitions of
between $500 million and $1.0 billion with leverage neutral financing;
sales of $75 million of properties in early 2017; and completion of
previously announced acquisitions and lease backs.
These estimates do not include the effects, if any, of real estate
operating costs, litigation costs, debt refinancing costs, acquisition
costs, currency exchange rate movements, change in accounting
principles, interest rate hedging activities, write-offs of
straight-line rent or other non-recurring or unplanned transactions.
These estimates may change when the Company acquires or sells assets,
market interest rates change, debt is refinanced, new shares are issued,
additional debt is incurred, other operating expenses vary, income from
investments in tenant operations vary from expectations, or existing
leases do not perform in accordance with their terms.
CONFERENCE CALL AND WEBCAST
The Company has scheduled a conference call and webcast for Thursday,
February 9, 2017 at 11:00 a.m. Eastern Time to present the Company’s
financial and operating results for the quarter and year ended December
31, 2016. The dial-in numbers for the conference call are 855-365-5214
(U.S.) and 440-996-5721 (international); both numbers require passcode
52407751. The conference call will also be available via webcast in the
Investor Relations’ section of the Company’s website, www.medicalpropertiestrust.com.
A telephone and webcast replay of the call will be available beginning
shortly after the call’s completion through February 23, 2017. Dial-in
numbers for the replay are 855-859-2056 and 404-537-3406 for U.S. and
International callers, respectively. The replay passcode for both U.S.
and international callers is 52407751.
The Company’s supplemental information package for the current period
will also be available on the Company’s website under the “Investor
Relations” section.
About Medical Properties Trust, Inc.
Medical Properties Trust, Inc. is a self-advised real estate investment
trust formed to capitalize on the changing trends in healthcare delivery
by acquiring and developing net-leased healthcare facilities. MPT’s
financing model allows hospitals and other healthcare facilities to
unlock the value of their underlying real estate in order to fund
facility improvements, technology upgrades, staff additions and new
construction. Facilities include acute care hospitals, inpatient
rehabilitation hospitals, long-term acute care hospitals, and other
medical and surgical facilities. For more information, please visit the
Company’s website at www.medicalpropertiestrust.com.
The statements in this press release that are forward looking are
based on current expectations and actual results or future events may
differ materially. Words such as "expects," "believes," "anticipates,"
"intends," "will," "should” and variations of such words and similar
expressions are intended to identify such forward-looking statements.
Forward-looking statements involve known and unknown risks,
uncertainties and other factors that may cause the actual results of the
Company or future events to differ materially from those expressed in or
underlying such forward-looking statements, including without
limitation: the satisfaction of all conditions to, and the timely
closing (if at all) of pending transactions; net income per share;
Normalized FFO per share; the amount of acquisitions of healthcare real
estate, if any; results from the potential sales, if any, of assets;
capital markets conditions; estimated leverage metrics; the repayment of
debt arrangements; statements concerning the additional income to the
Company as a result of ownership interests in certain hospital
operations and the timing of such income; the payment of future
dividends, if any; completion of additional debt arrangements, and
additional investments; national and international economic, business,
real estate and other market conditions; the competitive environment in
which the Company operates; the execution of the Company's business
plan; financing risks; the Company's ability to maintain its status as a
REIT for income tax purposes; acquisition and development risks;
potential environmental and other liabilities; and other factors
affecting the real estate industry generally or healthcare real estate
in particular. For further discussion of the factors that could affect
outcomes, please refer to the "Risk factors" section of the Company's
Annual Report on Form 10-K for the year ended December 31, 2015 and as
updated by the Company’s subsequently filed Quarterly Reports on Form
10-Q and other SEC filings. Except as otherwise required by the federal
securities laws, the Company undertakes no obligation to update the
information in this press release.
|
|
|
|
|
|
|
|
|
|
|
MEDICAL PROPERTIES TRUST, INC. AND SUBSIDIARIES
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Consolidated Balance Sheets
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(Amounts in thousands, except for per share data)
|
|
|
|
December 31, 2016
|
|
|
December 31, 2015
|
|
Assets
|
|
|
|
(Unaudited)
|
|
|
(A)
|
|
|
Real estate assets
|
|
|
|
|
|
|
|
|
|
|
Land, buildings and improvements, intangible lease assets, and other
|
|
|
|
$
|
4,317,866
|
|
|
|
$
|
3,297,705
|
|
|
|
|
Net investment in direct financing leases
|
|
|
|
|
648,102
|
|
|
|
|
626,996
|
|
|
|
|
Mortgage loans
|
|
|
|
|
1,060,400
|
|
|
|
|
757,581
|
|
|
|
|
|
Gross investment in real estate assets
|
|
|
|
|
6,026,368
|
|
|
|
|
4,682,282
|
|
|
|
|
Accumulated depreciation and amortization
|
|
|
|
|
(325,125
|
)
|
|
|
|
(257,928
|
)
|
|
|
|
|
Net investment in real estate assets
|
|
|
|
|
5,701,243
|
|
|
|
|
4,424,354
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash and cash equivalents
|
|
|
|
|
83,240
|
|
|
|
|
195,541
|
|
|
|
Interest and rent receivables
|
|
|
|
|
57,698
|
|
|
|
|
46,939
|
|
|
|
Straight-line rent receivables
|
|
|
|
|
116,861
|
|
|
|
|
82,155
|
|
|
|
Other assets
|
|
|
|
|
459,494
|
|
|
|
|
860,362
|
|
|
Total Assets
|
|
|
|
$
|
6,418,536
|
|
|
|
$
|
5,609,351
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Liabilities and Equity
|
|
|
|
|
|
|
|
|
|
Liabilities
|
|
|
|
|
|
|
|
|
|
|
Debt, net
|
|
|
|
$
|
2,909,341
|
|
|
|
$
|
3,322,541
|
|
|
|
|
Accounts payable and accrued expenses
|
|
|
|
|
207,711
|
|
|
|
|
137,356
|
|
|
|
|
Deferred revenue
|
|
|
|
|
19,933
|
|
|
|
|
29,358
|
|
|
|
|
Lease deposits and other obligations to tenants
|
|
|
|
|
28,323
|
|
|
|
|
12,831
|
|
|
|
|
|
Total Liabilities
|
|
|
|
|
3,165,308
|
|
|
|
|
3,502,086
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Equity
|
|
|
|
|
|
|
|
|
|
|
Preferred stock, $0.001 par value. Authorized 10,000 shares; no
shares outstanding
|
|
|
|
|
-
|
|
|
|
|
-
|
|
|
|
|
Common stock, $0.001 par value. Authorized 500,000 shares; issued
and outstanding - 320,514 shares at December 31, 2016 and 236,744
shares at December 31, 2015
|
|
|
|
|
321
|
|
|
|
|
237
|
|
|
|
|
Additional paid-in capital
|
|
|
|
|
3,775,336
|
|
|
|
|
2,593,827
|
|
|
|
|
Distributions in excess of net income
|
|
|
|
|
(434,114
|
)
|
|
|
|
(418,650
|
)
|
|
|
|
Accumulated other comprehensive loss
|
|
|
|
|
(92,903
|
)
|
|
|
|
(72,884
|
)
|
|
|
|
Treasury shares, at cost
|
|
|
|
|
(262
|
)
|
|
|
|
(262
|
)
|
|
|
|
|
Total Medical Properties Trust, Inc. Stockholders' Equity
|
|
|
|
|
3,248,378
|
|
|
|
|
2,102,268
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-controlling interests
|
|
|
|
|
4,850
|
|
|
|
|
4,997
|
|
|
|
|
|
Total Equity
|
|
|
|
|
3,253,228
|
|
|
|
|
2,107,265
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total Liabilities and Equity
|
|
|
|
$
|
6,418,536
|
|
|
|
$
|
5,609,351
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(A) Financials have been derived from the prior year audited
financial statements.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
MEDICAL PROPERTIES TRUST, INC. AND SUBSIDIARIES
|
|
|
|
Consolidated Statements of Income
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(Amounts in thousands, except for per share data)
|
|
|
|
For the Three Months Ended
|
|
|
For the Twelve Months Ended
|
|
|
|
|
|
|
|
|
December 31, 2016
|
|
|
December 31, 2015
|
|
|
December 31, 2016
|
|
|
December 31, 2015
|
|
|
|
|
|
|
|
|
(Unaudited)
|
|
|
(Unaudited)
|
|
|
(Unaudited)
|
|
|
(A)
|
|
Revenues
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Rent billed
|
|
|
|
$
|
92,861
|
|
|
|
$
|
70,253
|
|
|
|
$
|
327,269
|
|
|
|
$
|
247,604
|
|
|
|
Straight-line rent
|
|
|
|
|
14,558
|
|
|
|
|
8,372
|
|
|
|
|
41,067
|
|
|
|
|
23,375
|
|
|
|
Income from direct financing leases
|
|
|
|
|
17,126
|
|
|
|
|
18,660
|
|
|
|
|
64,307
|
|
|
|
|
58,715
|
|
|
|
Interest and fee income
|
|
|
|
|
28,738
|
|
|
|
|
34,261
|
|
|
|
|
108,494
|
|
|
|
|
112,184
|
|
|
|
|
Total revenues
|
|
|
|
|
153,283
|
|
|
|
|
131,546
|
|
|
|
|
541,137
|
|
|
|
|
441,878
|
|
|
Expenses
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Real estate depreciation and amortization
|
|
|
|
|
26,524
|
|
|
|
|
20,140
|
|
|
|
|
94,374
|
|
|
|
|
69,867
|
|
|
|
Impairment charges
|
|
|
|
|
(66
|
)
|
|
|
|
-
|
|
|
|
|
7,229
|
|
|
|
|
-
|
|
|
|
Property-related
|
|
|
|
|
1,120
|
|
|
|
|
1,184
|
|
|
|
|
2,712
|
|
|
|
|
3,792
|
|
|
|
Acquisition expenses
|
|
|
|
|
39,894
|
|
|
|
|
4,345
|
|
|
|
|
46,273
|
|
|
|
|
61,342
|
|
|
|
General and administrative
|
|
|
|
|
13,090
|
|
|
|
|
11,314
|
|
|
|
|
48,911
|
|
|
|
|
43,639
|
|
|
|
|
Total operating expenses
|
|
|
|
|
80,562
|
|
|
|
|
36,983
|
|
|
|
|
199,499
|
|
|
|
|
178,640
|
|
|
|
|
|
Operating income
|
|
|
|
|
72,721
|
|
|
|
|
94,563
|
|
|
|
|
341,638
|
|
|
|
|
263,238
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest expense
|
|
|
|
|
(38,465
|
)
|
|
|
|
(35,923
|
)
|
|
|
|
(159,597
|
)
|
|
|
|
(120,884
|
)
|
|
|
Gain (loss) on sale of real estate and other asset dispositions, net
|
|
|
|
|
(70
|
)
|
|
|
|
-
|
|
|
|
|
61,224
|
|
|
|
|
3,268
|
|
|
|
Unutilized financing fees/debt refinancing costs
|
|
|
|
|
-
|
|
|
|
|
(48
|
)
|
|
|
|
(22,539
|
)
|
|
|
|
(4,367
|
)
|
|
|
Other income (expense)
|
|
|
|
|
1,056
|
|
|
|
|
230
|
|
|
|
|
(1,618
|
)
|
|
|
|
175
|
|
|
|
Income tax benefit (expense)
|
|
|
|
|
8,003
|
|
|
|
|
(484
|
)
|
|
|
|
6,830
|
|
|
|
|
(1,503
|
)
|
|
Income from continuing operations
|
|
|
|
|
43,245
|
|
|
|
|
58,338
|
|
|
|
|
225,938
|
|
|
|
|
139,927
|
|
|
|
|
Loss from discontinued operations
|
|
|
|
|
-
|
|
|
|
|
-
|
|
|
|
|
(1
|
)
|
|
|
|
-
|
|
|
|
|
|
Net income
|
|
|
|
|
43,245
|
|
|
|
|
58,338
|
|
|
|
|
225,937
|
|
|
|
|
139,927
|
|
|
|
|
|
Net income attributable to non-controlling interests
|
|
|
|
|
(206
|
)
|
|
|
|
(100
|
)
|
|
|
|
(889
|
)
|
|
|
|
(329
|
)
|
|
|
|
|
Net income attributable to MPT common stockholders
|
|
|
|
$
|
43,039
|
|
|
|
$
|
58,238
|
|
|
|
$
|
225,048
|
|
|
|
$
|
139,598
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Earnings per common share - basic:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Income from continuing operations
|
|
|
|
$
|
0.13
|
|
|
|
$
|
0.24
|
|
|
|
$
|
0.86
|
|
|
|
$
|
0.64
|
|
|
|
|
Loss from discontinued operations
|
|
|
|
|
-
|
|
|
|
|
-
|
|
|
|
|
-
|
|
|
|
|
-
|
|
|
|
|
Net income attributable to MPT common stockholders
|
|
|
|
$
|
0.13
|
|
|
|
$
|
0.24
|
|
|
|
$
|
0.86
|
|
|
|
$
|
0.64
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Earnings per common share - diluted:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Income from continuing operations
|
|
|
|
$
|
0.13
|
|
|
|
$
|
0.24
|
|
|
|
$
|
0.86
|
|
|
|
$
|
0.63
|
|
|
|
|
Loss from discontinued operations
|
|
|
|
|
-
|
|
|
|
|
-
|
|
|
|
|
-
|
|
|
|
|
-
|
|
|
|
|
Net income attributable to MPT common stockholders
|
|
|
|
$
|
0.13
|
|
|
|
$
|
0.24
|
|
|
|
$
|
0.86
|
|
|
|
$
|
0.63
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Dividends declared per common share
|
|
|
|
$
|
0.23
|
|
|
|
$
|
0.22
|
|
|
|
$
|
0.91
|
|
|
|
$
|
0.88
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Weighted average shares outstanding - basic
|
|
|
|
|
319,833
|
|
|
|
|
237,011
|
|
|
|
|
260,414
|
|
|
|
|
217,997
|
|
|
|
|
Weighted average shares outstanding - diluted
|
|
|
|
|
319,994
|
|
|
|
|
237,011
|
|
|
|
|
261,072
|
|
|
|
|
218,304
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(A) Financials have been derived from the prior year audited
financial statements.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
MEDICAL PROPERTIES TRUST, INC. AND SUBSIDIARIES
|
|
Reconciliation of Net Income to Funds From Operations
|
|
(Unaudited)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(Amounts in thousands, except for per share data)
|
|
|
For the Three Months Ended
|
|
For the Twelve Months Ended
|
|
|
|
|
|
|
|
|
December 31, 2016
|
|
December 31, 2015
|
|
December 31, 2016
|
|
December 31, 2015
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
FFO information:
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income attributable to MPT common stockholders
|
|
|
$
|
43,039
|
|
|
$
|
58,238
|
|
|
$
|
225,048
|
|
|
$
|
139,598
|
|
|
|
|
Participating securities' share in earnings
|
|
|
|
(129
|
)
|
|
|
(248
|
)
|
|
|
(559
|
)
|
|
|
(1,029
|
)
|
|
|
|
|
Net income, less participating securities' share in earnings
|
|
|
$
|
42,910
|
|
|
$
|
57,990
|
|
|
$
|
224,489
|
|
|
$
|
138,569
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Depreciation and amortization (A)
|
|
|
|
26,976
|
|
|
|
20,140
|
|
|
|
96,157
|
|
|
|
69,867
|
|
|
|
|
Gain on sale of real estate
|
|
|
|
-
|
|
|
|
-
|
|
|
|
(67,168
|
)
|
|
|
(3,268
|
)
|
|
|
|
Funds from operations
|
|
|
$
|
69,886
|
|
|
$
|
78,130
|
|
|
$
|
253,478
|
|
|
$
|
205,168
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Write-off of straight line rent and other
|
|
|
|
-
|
|
|
|
-
|
|
|
|
3,063
|
|
|
|
3,928
|
|
|
|
|
Transaction costs from non-real estate dispositions
|
|
|
|
70
|
|
|
|
-
|
|
|
|
5,944
|
|
|
|
-
|
|
|
|
|
Acquisition expenses, net of tax benefit (A)
|
|
|
|
34,806
|
|
|
|
4,345
|
|
|
|
46,529
|
|
|
|
61,342
|
|
|
|
|
Release of valuation allowance
|
|
|
|
(3,956
|
)
|
|
|
-
|
|
|
|
(3,956
|
)
|
|
|
-
|
|
|
|
|
Impairment charges
|
|
|
|
(66
|
)
|
|
|
-
|
|
|
|
7,229
|
|
|
|
-
|
|
|
|
|
Unutilized financing fees / debt refinancing costs
|
|
|
|
-
|
|
|
|
48
|
|
|
|
22,539
|
|
|
|
4,367
|
|
|
|
|
Normalized funds from operations
|
|
|
$
|
100,740
|
|
|
$
|
82,523
|
|
|
$
|
334,826
|
|
|
$
|
274,805
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Share-based compensation
|
|
|
|
2,111
|
|
|
|
2,521
|
|
|
|
7,942
|
|
|
|
10,237
|
|
|
|
|
Debt costs amortization
|
|
|
|
1,814
|
|
|
|
1,792
|
|
|
|
7,613
|
|
|
|
6,085
|
|
|
|
|
Additional rent received in advance (B)
|
|
|
|
(300
|
)
|
|
|
(300
|
)
|
|
|
(1,200
|
)
|
|
|
(1,200
|
)
|
|
|
|
Straight-line rent revenue and other
|
|
|
|
(16,921
|
)
|
|
|
(11,118
|
)
|
|
|
(50,687
|
)
|
|
|
(34,218
|
)
|
|
|
|
Adjusted funds from operations
|
|
|
$
|
87,444
|
|
|
$
|
75,418
|
|
|
$
|
298,494
|
|
|
$
|
255,709
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Per diluted share data:
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income, less participating securities' share in earnings
|
|
|
$
|
0.13
|
|
|
$
|
0.24
|
|
|
$
|
0.86
|
|
|
$
|
0.63
|
|
|
|
|
Depreciation and amortization (A)
|
|
|
|
0.09
|
|
|
|
0.09
|
|
|
|
0.37
|
|
|
|
0.32
|
|
|
|
|
Gain on sale of real estate
|
|
|
|
-
|
|
|
|
-
|
|
|
|
(0.26
|
)
|
|
|
(0.01
|
)
|
|
|
|
Funds from operations
|
|
|
$
|
0.22
|
|
|
$
|
0.33
|
|
|
$
|
0.97
|
|
|
$
|
0.94
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Write-off of straight line rent and other
|
|
|
|
-
|
|
|
|
-
|
|
|
|
0.01
|
|
|
|
0.02
|
|
|
|
|
Transaction costs from non-real estate dispositions
|
|
|
|
-
|
|
|
|
-
|
|
|
|
0.02
|
|
|
|
-
|
|
|
|
|
Acquisition expenses, net of tax benefit (A)
|
|
|
|
0.11
|
|
|
|
0.02
|
|
|
|
0.18
|
|
|
|
0.28
|
|
|
|
|
Release of valuation allowance
|
|
|
|
(0.02
|
)
|
|
|
-
|
|
|
|
(0.02
|
)
|
|
|
-
|
|
|
|
|
Impairment charges
|
|
|
|
-
|
|
|
|
-
|
|
|
|
0.03
|
|
|
|
-
|
|
|
|
|
Unutilized financing fees / debt refinancing costs
|
|
|
|
-
|
|
|
|
-
|
|
|
|
0.09
|
|
|
|
0.02
|
|
|
|
|
Normalized funds from operations
|
|
|
$
|
0.31
|
|
|
$
|
0.35
|
|
|
$
|
1.28
|
|
|
$
|
1.26
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Share-based compensation
|
|
|
|
0.01
|
|
|
|
0.01
|
|
|
|
0.03
|
|
|
|
0.05
|
|
|
|
|
Debt costs amortization
|
|
|
|
0.01
|
|
|
|
0.01
|
|
|
|
0.02
|
|
|
|
0.03
|
|
|
|
|
Additional rent received in advance (B)
|
|
|
|
-
|
|
|
|
-
|
|
|
|
-
|
|
|
|
(0.01
|
)
|
|
|
|
Straight-line rent revenue and other
|
|
|
|
(0.06
|
)
|
|
|
(0.05
|
)
|
|
|
(0.19
|
)
|
|
|
(0.16
|
)
|
|
|
|
Adjusted funds from operations
|
|
|
$
|
0.27
|
|
|
$
|
0.32
|
|
|
$
|
1.14
|
|
|
$
|
1.17
|
|
|
|
|
|
|
|
|
(A) In 2016, this includes our share of real estate
depreciation and acquisition expenses from unconsolidated joint
ventures (if any). Any such amounts are included with the activity
of all of our equity interests in the "Other income (expense)"
line on the consolidated statements of income.
|
|
|
|
|
|
|
|
(B) Represents additional rent received from one tenant in
advance of when we can recognize as revenue for accounting
purposes. This additional rent is being recorded to revenue on a
straight-line basis over the lease life.
|
|
|
|
|
|
|
|
Investors and analysts following the real estate industry utilize
funds from operations, or FFO, as a supplemental performance
measure. FFO, reflecting the assumption that real estate asset
values rise or fall with market conditions, principally adjusts
for the effects of GAAP depreciation and amortization of real
estate assets, which assumes that the value of real estate
diminishes predictably over time. We compute FFO in accordance
with the definition provided by the National Association of Real
Estate Investment Trusts, or NAREIT, which represents net income
(loss) (computed in accordance with GAAP), excluding gains
(losses) on sales of real estate and impairment charges on real
estate assets, plus real estate depreciation and amortization and
after adjustments for unconsolidated partnerships and joint
ventures.
|
|
|
|
|
|
|
|
In addition to presenting FFO in accordance with the NAREIT
definition, we also disclose normalized FFO, which adjusts FFO for
items that relate to unanticipated or non-core events or
activities or accounting changes that, if not noted, would make
comparison to prior period results and market expectations less
meaningful to investors and analysts. We believe that the use of
FFO, combined with the required GAAP presentations, improves the
understanding of our operating results among investors and the use
of normalized FFO makes comparisons of our operating results with
prior periods and other companies more meaningful. While FFO and
normalized FFO are relevant and widely used supplemental measures
of operating and financial performance of REITs, they should not
be viewed as a substitute measure of our operating performance
since the measures do not reflect either depreciation and
amortization costs or the level of capital expenditures and
leasing costs necessary to maintain the operating performance of
our properties, which can be significant economic costs that could
materially impact our results of operations. FFO and normalized
FFO should not be considered an alternative to net income (loss)
(computed in accordance with GAAP) as indicators of our financial
performance or to cash flow from operating activities (computed in
accordance with GAAP) as an indicator of our liquidity.
|
|
|
|
|
|
|
|
We calculate adjusted funds from operations, or AFFO, by
subtracting from or adding to normalized FFO (i) unbilled rent
revenue, (ii) non-cash share-based compensation expense, and (iii)
amortization of deferred financing costs. AFFO is an operating
measurement that we use to analyze our results of operations based
on the receipt, rather than the accrual, of our rental revenue and
on certain other adjustments. We believe that this is an important
measurement because our leases generally have significant
contractual escalations of base rents and therefore result in
recognition of rental income that is not collected until future
periods, and costs that are deferred or are non-cash charges. Our
calculation of AFFO may not be comparable to AFFO or similarly
titled measures reported by other REITs. AFFO should not be
considered as an alternative to net income (calculated pursuant to
GAAP) as an indicator of our results of operations or to cash flow
from operating activities (calculated pursuant to GAAP) as an
indicator of our liquidity.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
MEDICAL PROPERTIES TRUST, INC. AND SUBSIDIARIES
|
|
Fiscal Year 2017 Guidance Reconciliation
|
|
(Unaudited)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Fiscal Year 2017 Guidance - Per Share(1)
|
|
|
|
|
|
|
|
Low
|
|
High
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income attributable to MPT common stockholders
|
|
|
$ 0.97
|
|
$ 1.03
|
|
|
|
Participating securities' share in earnings
|
|
|
-
|
|
-
|
|
|
|
|
Net income, less participating securities' share in earnings
|
|
|
$ 0.97
|
|
$ 1.03
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Depreciation and amortization
|
|
|
0.34
|
|
0.34
|
|
|
|
Funds from operations
|
|
|
$ 1.31
|
|
$ 1.37
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Other adjustments(2)
|
|
|
0.04
|
|
0.03
|
|
|
|
Normalized funds from operations
|
|
|
$ 1.35
|
|
$ 1.40
|
|
|
|
|
|
|
|
|
|
|
|
(1) The guidance is based on current expectations and actual
results or future events may differ materially from those
expressed in this table, which is a forward-looking statement
within the meaning of the federal securities laws. Please refer
to the forward-looking statement included in this press release
and our filings with the Securities and Exchange Commission for a
discussion of risk factors that affect our performance.
|
|
|
|
(2) Includes acquisition expenses, write-off of straight line
rent, transaction costs from non-real estate dispositions,
impairment charges, unutilized fees/debt refinancing costs, and
other.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
View source version on businesswire.com: http://www.businesswire.com/news/home/20170209005713/en/
Source: Medical Properties Trust, Inc.
Medical Properties Trust, Inc.
Tim Berryman, 205-969-3755
Director
– Investor Relations
tberryman@medicalpropertiestrust.com