Welltower Inc
Q1 2025 Earnings
Market Reaction
S&P 500 over the same 30 days: +6.33%.
Did WELL Beat Earnings? Q1 2025 Results
Welltower posted a strong first quarter for 2025, with net income of $0.40 per diluted share — nearly double the $0.22 reported a year earlier — while revenue reached $2.42 billion, a remarkable 32.4% year-over-year surge, even as it came in just fractionally below the $2.43 billion consensus estimate. The real headline was normalized FFO, which climbed 18.8% year-over-year to $1.20 per diluted share, powered chiefly by the Seniors Housing Operating portfolio, where same-store NOI surged 21.7% on the back of 400 basis points of occupancy improvement and 5.9% RevPOR growth. The company deployed $2.80 billion in gross investments during the quarter, including a transformative $4.60 billion agreement to acquire 38 ultra-luxury seniors housing communities from Amica Senior Lifestyles in Canada. Balance sheet strength was notable as well, with net debt to Adjusted EBITDA tightening to 3.33x from 4.03x, prompting credit upgrades from both S&P and Moody's. Management raised full-year normalized FFO guidance to $4.90–$5.04 per share, reflecting confidence that <a href="https://247wallst.com/investing/2025/06/21/4-bofa-securities-strong-buy-growth-10-stocks-also-pay-reliable-dividends/">reliable dividend growth</a> and operational momentum will continue through year-end.
- SHO portfolio SSNOI growth of 21.7% year-over-year
- 400 basis points of year-over-year average occupancy growth in SHO portfolio
- RevPOR growth of 5.9% meaningfully outpacing ExpPOR growth
- SHO same store NOI margin expanded 290 basis points year-over-year
- SHO same store occupancy reached 88.0% vs 84.0% in Q1 2024
- Total portfolio same store NOI growth of 12.9%
- $2.8 billion of pro rata gross investments completed at 7.7% yield
Forward Guidance & Outlook
Welltower raised its full-year 2025 guidance. Net income attributable to common stockholders is now expected at $1.70-$1.84 per diluted share (up from $1.60-$1.76). Normalized FFO guidance was increased to $4.90-$5.04 per diluted share (up from $4.79-$4.95). Blended same store NOI growth is expected at 10.00%-13.25%, comprised of SHO at 16.5%-21.5%, SH-NNN at 3.0%-4.0%, Outpatient Medical at 2.0%-3.0%, and LT/PAC at 2.0%-3.0%. G&A expenses are expected at $240-$250 million with stock-based compensation of approximately $51 million. Additional development funding of $340 million is anticipated for projects underway. Pro rata disposition proceeds of $166 million are expected at a blended yield of 4.8%. Guidance includes only acquisitions announced or closed to date.
WELL YoY Financials
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WELL Revenue by Geography
Figures from SEC filings and company reports. Not investment advice.