NYSE$CTRE

CareTrust REIT Inc · Q3 2020 earnings

Q3 2020 earnings · · Investor relations

Briefing

Reported operating results for the quarter ended September 30, 2020.

CareTrust REIT reported a net income of $21.6 million, normalized FFO of $32.5 million, and normalized FAD of $33.9 million for the quarter ended September 30, 2020. The company's net debt-to-normalized EBITDA ratio was 3.1x, and net debt-to-enterprise value was 22.0% at quarter-end.

  • Net income was $21.6 million, with earnings per diluted share of $0.23.
  • Normalized FFO reached $32.5 million, or $0.34 per diluted share.
  • Normalized FAD totaled $33.9 million, equating to $0.36 per diluted share.
  • Net debt-to-normalized EBITDA stood at 3.1x, with a net debt-to-enterprise value of 22.0% at quarter's end.

Headline financials

Total Revenue

$45.7M

Previous: $33.3M+37.1%
EPS (adj)

$0.34

Previous: $0.35-2.9%
Net Debt to Annualized Normalized Run Rate EBITDA

3.1

Previous: 3.1+0.0%
Quarterly dividend per common share

$0.25

No prior period
Capital Expenditures

-$48.8M

Previous: -$2.93M-1567.4%
Free Cash Flow

-$27.2M

Previous: -$13M-109.8%
Net Income

$21.6M

Previous: -$10.1M+314.4%
Operating Income

$29M

Previous: -$12.2M+338.9%
Gross Profit

$45.1M

Previous: $32.5M+38.8%
Cash & Equivalents

$19.1M

Previous: $5.75M+232.2%
Total Assets

$1.45B

Previous: $1.52B-4.7%

Revenue & EPS history

CareTrust REIT · Revenue · Quarterly

$45.7M

Q3 2020+37.1%vs Q3 2019
Beat estimate in 9 of 16 quarters(56%)
ActualEstimate

Forward guidance

CareTrust increased its 2020 annual guidance projecting, on a per-diluted weighted-average common share basis, net income of approximately $0.83 to $0.84, normalized FFO of approximately $1.36 to $1.37, and normalized FAD of approximately $1.42 to $1.43.

Tailwinds

  • Net income of approximately $0.83 to $0.84 per diluted share.
  • Normalized FFO of approximately $1.36 to $1.37 per diluted share.
  • Normalized FAD of approximately $1.42 to $1.43 per diluted share.
  • Consistent collection of approximately 99% of monthly rents.
  • Revenue added from recent investments.

Headwinds

  • Material changes in economic and other factors related to the COVID-19 pandemic and the government’s responses could alter the outlook at any time.
  • Guidance assumes no new acquisitions, dispositions, new loans or loan repayments beyond those completed or announced to date.
  • Guidance assumes no new debt incurrences or new equity issuances.
  • The COVID-19 pandemic and the measures taken to prevent its spread and the related impact on our business or the businesses of our tenants
  • The ability and willingness of our tenants to meet and/or perform their obligations under the triple-net leases we have entered into with them

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 Q3 2020

Historical avgQ3 2020

+0.5%

Avg return

Earnings day

+1.5%

Avg return

5 days after

+3.1%

Avg return

30 days after

58%

30 / 52 earnings

Positive

+11.7%

Q1 2020

Best reaction

-9.4%

Q4 2017

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-0.7%+7.5%-3.9%
Q4 2025-0.3%+0.0%-0.3%
Q3 2025-1.2%+1.4%+4.7%
Q1 2025+0.8%+1.4%+1.5%
Q4 2024+3.7%+1.5%+11.1%
Q3 2024+4.8%+3.4%-4.5%
Q2 2024+1.6%+1.6%+10.8%
Q1 2024+0.2%-0.2%+2.6%
Q4 2023+9.0%+9.3%+12.7%
Q3 2023+3.5%+7.0%+5.2%
Q2 2023+0.3%+0.8%+0.3%
Q1 2023+1.7%+1.5%+0.6%
Q4 2022-0.6%+0.3%-6.6%
Q3 2022-1.9%+3.4%+5.2%
Q2 2022-1.2%+2.3%-0.6%
Q1 2022-0.5%-4.8%+5.6%
Q4 2021-6.3%-6.9%-3.7%
Q3 2021+0.1%-1.6%+7.3%
Q2 2021+2.7%-1.1%-2.0%
Q1 2021+2.9%+1.6%+3.4%
Q4 2020+0.1%-0.7%+3.0%
Q3 2020+0.9%+9.1%+16.3%
Q2 2020+4.0%+5.1%+7.7%
Q1 2020+11.7%+8.5%+27.5%
Q4 2019+2.2%+0.7%-44.8%
Q3 2019-8.6%-12.2%-4.7%
Q2 2019-0.7%-0.5%+6.4%
Q1 2019-1.5%+0.6%-1.9%
Q4 2018+1.4%+2.6%+9.2%
Q3 2018+8.1%+10.5%+12.9%
Q2 2018+0.7%+5.6%+9.1%
Q1 2018+7.6%+7.0%+18.1%
Q4 2017-9.4%-9.6%-8.3%
Q3 2017-4.4%-4.7%-9.8%
Q2 2017+0.5%-0.7%+6.3%
Q1 2017-3.0%-0.8%+8.0%
Q4 2016+2.3%+2.0%-1.5%
Q3 2016-3.6%+0.6%+6.7%
Q2 2016+4.4%+5.9%+11.2%
Q1 2016-0.7%
Q4 2015+2.4%
Q3 2015-5.4%
Q2 2015-8.4%
Q1 2014+7.6%
Q1 2015+7.6%
Q4 2014-2.6%
Q1 2013+1.6%
Q3 2014+7.5%
Q3 2013+7.5%
Q2 2014-6.8%
Q4 2013-6.8%
Q2 2013-6.8%
Q4 2012
Q3 2012

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