LTC Properties Inc
Q4 2025 Earnings
Market Reaction
S&P 500 over the same 30 days: −8.52%.
Did LTC Beat Earnings? Q4 2025 Results
LTC Properties delivered a headline-grabbing Q4 2025 earnings beat, posting diluted EPS of $2.11 against a consensus estimate of just $0.47, a 348.94% positive surprise, though the result was heavily shaped by a $78.06 million gain on the sale of seven skilled nursing centers for $123.00 million during the quarter. Revenue of $84.29 million rose 71.9% year over year, fueled largely by the company's rapidly expanding Seniors Housing Operating Portfolio, which contributed $37.96 million in resident fees and services, a line that did not exist in Q4 2024; however, revenue fell short of the $92.49 million consensus estimate by 8.86%. Stripping out the one-time gain, Core FFO grew a more measured 13% to $0.70 per diluted share. SHOP NOI margins expanded to 28.1% in Q4 from 21.2% at the segment's launch, with average occupancy reaching 89.3%, and insider buying following the report signals some confidence in the strategic pivot. Looking ahead, LTC guided for 2026 diluted Core FFO of $2.75 to $2.79 per share, targeting SHOP at 45% of gross investments by year-end.
- SHOP acquisitions of $353 million in 2025 and $108 million in January 2026
- SHOP NOI growth of 22% over 2024 proforma NOI for original 13 property SHOP conversions
- SHOP NOI margin expanded to 28.1% in Q4 2025 from 21.2% in Q2 2025
- SHOP average unit occupancy of 89.3% in Q4 2025
- $78 million gain on sale of seven skilled nursing centers sold for $123 million
- 60% total revenue growth year-over-year and 13% Core FFO growth
- Market-based rent resets generated $5,625 of revenue from a 14-property portfolio in 2025 vs $3,448 in 2024 (63% increase)
“Our strategic shift toward SHOP is delivering higher growth and fundamentally reshaping our long-term earnings profile. With a more resilient portfolio consisting of newer assets and a focused approach to capital allocation, we ended 2025 with momentum and confidence in our ability to continue creating long-term value for shareholders.”
LTC Properties CEO, on the earnings call
Forward Guidance & Outlook
LTC introduced 2026 full-year guidance with diluted earnings per share of $1.80 to $1.84, diluted Core FFO per share of $2.75 to $2.79, and diluted Core FAD per share of $2.82 to $2.86. First quarter 2026 guidance calls for diluted earnings per share of $0.60 to $0.62, diluted Core FFO per share of $0.66 to $0.68, and diluted Core FAD per share of $0.68 to $0.70. Key assumptions include gross investments of $400M to $800M for the full year, asset sales and loan payoffs of $265.9M, SHOP NOI of $65.1M to $77.2M, and G&A costs of $31.7M to $33.9M. The company targets SHOP representing 45% of its investment portfolio by year-end 2026. SHOP NOI growth is projected at approximately 14% over 2025 proforma NOI at the midpoint, with occupancy growth of approximately 150 basis points.
LTC YoY Financials
LTC Revenue by Segment
Figures from SEC filings and company reports. Not investment advice.