NASDAQ$SBRA

Sabra Health Care REIT Inc · Q4 2020 earnings

Q4 2020 earnings · · Investor relations

Briefing

Sabra Health Care REIT reported fourth quarter 2020 results and provided a business update and 1Q 2021 guidance.

Sabra Health Care REIT announced its Q4 2020 results, with key highlights including net income attributable to common stockholders of $0.18 per diluted common share, FFO of $0.42 per diluted common share, Normalized FFO of $0.42 per diluted common share, AFFO of $0.42 per diluted common share, and Normalized AFFO of $0.41 per diluted common share. The company also reported that EBITDARM Coverage for their Skilled Nursing/Transitional Care portfolio increased to 1.93x.

  • Net income attributable to common stockholders was $0.18 per diluted common share.
  • FFO was $0.42 per diluted common share.
  • EBITDARM Coverage for the Skilled Nursing/Transitional Care portfolio increased to 1.93x.
  • Collected 99.9% of forecasted rents since the beginning of the COVID-19 pandemic.

Headline financials

Total Revenue

$152M

Previous: $156M-2.4%
EPS (adj)

$0.42

Previous: $0.48-12.5%
FFO per diluted common share

$0.42

No prior period
Normalized FFO per share

$0.42

No prior period
AFFO per diluted common share

$0.42

No prior period
Normalized AFFO per share

$0.41

No prior period
Net Income

$37.1M

Previous: $39.7M-6.6%
Operating Income

$40.1M

No prior period
Gross Profit

$119M

Previous: $125M-4.6%
Cash & Equivalents

$59.1M

Previous: $39.1M+51.1%
Total Assets

$5.99B

Previous: $6.07B-1.4%
Stock-Based Comp

$2.26M

Previous: $990K+127.9%

Revenue & EPS history

Sabra Health Care REIT · Revenue · Quarterly

$152M

Q4 2020-2.4%vs Q4 2019
Beat estimate in 8 of 16 quarters(50%)
ActualEstimate

Revenue by segment

Sabra Health Care REIT · $162M total across 3 segments · Q3 2023

  • Rental and related revenues
    $93.1M+10.5%
  • Resident fees and services
    $59.7M+25.5%
  • Interest and other income
    $8.79M-1.6%

Forward guidance

Sabra Health Care REIT provided limited guidance for the first quarter of 2021 due to the financial effects of the COVID-19 pandemic, expecting net income per diluted common share of $0.16 - $0.17, FFO per diluted common share of $0.39 - $0.40, and AFFO per diluted common share of $0.38 - $0.39.

Tailwinds

  • Expect investments of $39.0 million with a weighted average initial cash yield of 8.2%.
  • Expect dispositions and loan repayments of $6.2 million, with associated annualized Cash NOI of $0.4 million.
  • Will maintain Net Debt to Annualized Adjusted EBITDA (including unconsolidated joint venture) below 5.50x on expected Annualized Adjusted EBITDA between $479 million and $481 million as of March 31, 2021.
  • Will utilize availability under the revolver.
  • Will issue between $100 million and $110 million of equity under our ATM Program to fund acquisitions and meet our goal of maintaining leverage below 5.50x.

Headwinds

  • Senior Housing - Managed Portfolio Average Quarterly Occupancy is expected to be lower than prior periods.
  • Occupancy declines continue to put pressure on NOI generated from these investments.
  • The potential for rent relief remains as tenants within the leased portfolios continue to experience occupancy declines.
  • Uncertainty remains, and accuracy in projecting the pace of recovery remains difficult beyond the very near term.
  • The estimated amounts do not include any anticipated funds from the Provider Relief Fund for our Senior Housing - Managed communities.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q4 2020

Historical avgQ4 2020

-0.5%

Avg return

Earnings day

-0.2%

Avg return

5 days after

-0.4%

Avg return

30 days after

45%

27 / 60 earnings

Positive

+10.4%

Q1 2022

Best reaction

-13.1%

Q3 2022

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-0.5%+0.1%-2.3%
Q3 2025+2.3%+4.2%+11.7%
Q1 2025+1.2%+0.1%-0.2%
Q4 2024-1.0%-0.8%+4.3%
Q3 2024-4.8%-4.1%-4.3%
Q2 2024-0.1%-1.1%+4.7%
Q1 2024-1.7%-1.7%-5.1%
Q4 2023+0.4%+0.4%+6.0%
Q3 2023+0.7%+2.0%+1.6%
Q2 2023+0.8%-0.9%-1.2%
Q1 2023-0.5%+1.7%+1.7%
Q4 2022-4.2%-6.3%-22.0%
Q3 2022-13.1%-3.5%-7.1%
Q2 2022+0.0%+2.9%-4.0%
Q1 2022+10.4%+6.0%+10.4%
Q4 2021-3.9%-0.7%+5.6%
Q3 2021-2.1%-0.1%-11.2%
Q2 2021-3.7%-4.7%-8.7%
Q1 2021-2.2%+0.0%-1.3%
Q4 2020+1.7%-3.6%-0.8%
Q3 2020-4.0%+15.7%+27.6%
Q2 2020+4.4%+7.7%+5.9%
Q1 2020-5.7%-1.6%+35.6%
Q4 2019-3.5%-11.1%-50.1%
Q3 2019+3.3%+0.6%-6.4%
Q2 2019+5.5%+4.5%+8.5%
Q1 2019-1.6%+0.5%-0.5%
Q4 2018-2.7%-9.6%-2.0%
Q3 2018-0.6%-1.4%-12.9%
Q2 2018-0.3%-0.3%+3.4%
Q1 2018+3.3%+2.9%+7.6%
Q4 2017+2.8%+4.8%+0.2%
Q3 2017-1.5%-2.7%-2.7%
Q2 2017+1.6%+0.9%-4.1%
Q1 2017-10.2%-8.8%-14.2%
Q4 2016+0.6%+5.4%+6.7%
Q3 2016-8.9%-7.2%-0.4%
Q2 2016+1.6%+2.4%+6.6%
Q1 2016+4.4%
Q4 2015+8.3%
Q3 2015-2.9%
Q2 2015-4.6%
Q1 2015-6.0%
Q4 2014-0.9%
Q3 2014-0.9%
Q2 2014-2.0%
Q1 2014-2.6%
Q4 2013+0.8%
Q3 2013+4.1%
Q2 2013-7.3%
Q1 2013+2.4%
Q4 2012+0.0%
Q3 2012+2.6%
Q2 2012+3.0%
Q1 2011-4.6%
Q1 2012+2.4%
Q4 2011+5.1%
Q3 2011+7.5%
Q2 2011+3.9%
Q4 2010-6.5%

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