NYSE$MPT

Medical Properties Trust Inc · Q2 2024 earnings

Q2 2024 earnings · · Investor relations

Briefing

Announced financial results for the second quarter ended June 30, 2024, and executed over $2.5 billion in year-to-date liquidity transactions.

Medical Properties Trust reported a net loss of ($0.54) per share and Normalized Funds from Operations (NFFO) of $0.23 per share for the second quarter of 2024. The company successfully executed more than $2.5 billion in year-to-date liquidity transactions and modified its credit facility terms.

  • Closed on the sale of five hospitals to Prime Healthcare for $350 million in April.
  • Completed a £631 million (~$800 million) secured financing of 27 U.K. hospitals leased to Circle Health in May.
  • Sold seven freestanding emergency department facilities and one general acute hospital in Arizona to Dignity Health for approximately $160 million in July.
  • Repaid approximately $1.5 billion in debt, including all 2024 maturities.

Headline financials

Total Revenue

$267M

Previous: $337M-21.0%
EPS

-$0.54

Previous: $0.48-212.5%
Capital Expenditures

-$106M

Previous: -$235M+55.1%
Free Cash Flow

-$426M

Previous: -$277M-53.8%
Net Income

-$321M

Previous: -$42M-662.7%
Operating Income

-$498M

Previous: -$295M-68.7%
Gross Profit

$221M

Previous: $184M+20.3%
Cash & Equivalents

$607M

Previous: $324M+87.2%
Total Assets

$16.2B

Previous: $19.2B-15.7%
Stock-Based Comp

$8.52M

Previous: $6.44M+32.4%

Revenue & EPS history

Medical Properties Trust · Revenue · Quarterly

$267M

Q2 2024-21%vs Q2 2023
Beat estimate in 6 of 14 quarters(43%)
ActualEstimate

Revenue by segment

Medical Properties Trust · $307M total across 4 segments · Q3 2023

  • Rent Billed
    $229M-1.3%
  • Interest and Other Income
    $29.7M-29.9%
  • Income from Financing Leases
    $26.1M-48.9%
  • Straight-line Rent
    $21.5M-19.0%

Forward guidance

MPT amended its credit facility to reflect recent disposition and financing transactions and better align with the Company’s current capital allocation strategy.

Tailwinds

  • Reduction of MPT’s revolver commitment from $1.4 billion to $1.28 billion.
  • Permanent resetting of the facility’s consolidated net worth covenant from approximately $6.7 billion to $5.0 billion.
  • Modifications to certain other covenants through September 30, 2025.
  • MPT has agreed to limit the cash component of total quarterly dividends to no more than $0.08 per share.
  • Company has the right to terminate the amendment provisions earlier than September 30, 2025, if Steward’s hospital operations are transitioned to other operators more rapidly.

Headwinds

  • Potential impact from health crises which may adversely affect MPT’s and its tenants’ business, financial condition, results of operations and liquidity.
  • Risk that previously announced or contemplated property sales, loan repayments, and other capital recycling transactions do not occur as anticipated or at all.
  • Risk that MPT is not able to attain its leverage, liquidity and cost of capital objectives within a reasonable time period or at all.
  • MPT’s ability to obtain debt financing on attractive terms or at all, as a result of changes in interest rates and other factors, which may adversely impact its ability to pay down, refinance, restructure or extend its indebtedness as it becomes due, or pursue acquisition and development opportunities.
  • Risk that the bankruptcy restructuring of Steward, the Company’s largest tenant, does not result in MPT recovering deferred rent or its other investments in Steward at full value, within a reasonable time period or at all.

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 Q2 2024

Historical avgQ2 2024

+1.3%

Avg return

Earnings day

+1.6%

Avg return

5 days after

+0.7%

Avg return

30 days after

65%

42 / 65 earnings

Positive

+17.0%

Q4 2024

Best reaction

-15.8%

Q2 2023

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-2.6%-4.1%-6.0%
Q4 2025+12.1%+6.1%-15.1%
Q3 2025+6.6%+1.4%+18.5%
Q1 2025-6.9%-8.0%-17.2%
Q4 2024+17.0%+18.2%+26.6%
Q3 2024+7.0%-5.2%-9.8%
Q2 2024+1.5%+2.4%+7.4%
Q1 2024+7.2%+31.2%+20.4%
Q4 2023+2.5%+6.7%+13.9%
Q3 2023+9.9%+7.2%+4.7%
Q2 2023-15.8%-20.0%-33.4%
Q1 2023+10.6%+4.9%-0.1%
Q4 2022-13.5%-15.6%-38.3%
Q3 2022+6.8%+6.5%+20.6%
Q2 2022-5.3%-4.3%-15.3%
Q1 2022+4.1%+6.3%+5.2%
Q4 2021-4.0%-5.2%-10.2%
Q3 2021+0.1%-1.2%+1.5%
Q2 2021+1.3%-1.5%-3.3%
Q1 2021-2.0%-4.1%-5.9%
Q4 2020+0.0%+1.6%-2.9%
Q3 2020+3.7%+10.9%+13.8%
Q2 2020-0.8%-1.6%-8.5%
Q1 2020+4.1%+0.5%+9.8%
Q4 2019+2.3%+3.6%+1.1%
Q3 2019+1.2%-6.8%+0.9%
Q2 2019+2.1%-0.1%+6.2%
Q1 2019+3.8%+1.2%+2.0%
Q4 2018+3.4%+1.7%+1.1%
Q3 2018+3.2%+9.9%+16.2%
Q2 2018+1.0%+3.0%+4.2%
Q1 2018+1.8%+2.0%+5.6%
Q4 2017+1.6%+1.5%+6.6%
Q3 2017+3.2%+3.9%+4.8%
Q2 2017-1.7%+0.1%+5.2%
Q1 2017+2.1%+2.5%+4.3%
Q4 2016+1.8%+1.8%-6.3%
Q3 2016-0.8%+1.3%-2.7%
Q2 2016+1.1%+2.0%-0.5%
Q1 2016+3.8%
Q4 2015-2.5%
Q3 2015-3.4%
Q2 2015-3.8%
Q1 2015+2.9%
Q4 2014+0.4%
Q3 2014+2.7%
Q2 2014-0.3%
Q1 2014-0.9%
Q4 2013-0.4%
Q3 2013-0.7%
Q2 2013-2.8%
Q1 2013-1.0%
Q4 2012+1.1%
Q3 2012+3.1%
Q2 2012+0.7%
Q1 2012-0.1%
Q4 2011-0.6%
Q4 2009-0.6%
Q3 2011-4.4%
Q2 2011+4.5%
Q1 2011+2.8%
Q4 2010+2.8%
Q3 2010+0.5%
Q2 2010+1.0%
Q1 2010+7.9%

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