NYSE$OHI

Omega Healthcare Investors Inc · Q1 2022 earnings

Q1 2022 earnings · · Investor relations

Briefing

Omega Healthcare reported mixed results for Q1 2022, with net income increasing but revenue decreasing compared to the same period in 2021. The company completed new investments and asset sales, but also faced challenges with operator collectibility.

Omega Healthcare Investors reported a net income of $195.2 million for Q1 2022, an increase from $164.4 million in Q1 2021. However, revenues decreased to $249.3 million from $273.8 million year-over-year. The company completed $142 million in new investments and sold Gulf Coast assets for $318 million.

  • Net income for Q1 2022 was $195.2 million, or $0.79 per share.
  • Completed $142 million in new investments during the quarter.
  • Successfully sold the majority of legacy Gulf Coast assets for over $300 million in net proceeds.
  • Portfolio occupancy improved as the quarter progressed, but many facilities remain unprofitable due to low occupancy and elevated labor costs.

Headline financials

Total Revenue

$249M

Previous: $274M-8.9%
EPS (adj)

$0.74

Previous: $0.85-12.9%
Capital Expenditures

-$131M

Previous: -$608M+78.4%
Free Cash Flow

$63.8M

Previous: -$444M+114.4%
Net Income

$195M

Previous: $164M+18.7%
Operating Income

$79.8M

Previous: $81.6M-2.2%
Gross Profit

$247M

Previous: $273M-9.3%
Cash & Equivalents

$491M

Previous: $51.4M+856.2%
Total Assets

$10B

Previous: $9.82B+2.0%
Stock-Based Comp

$6.86M

Previous: $5.4M+27.1%

Revenue & EPS history

Omega Healthcare · Revenue · Quarterly

$249M

Q1 2022-8.9%vs Q1 2021
Beat estimate in 11 of 16 quarters(69%)
ActualEstimate

Revenue by segment

Omega Healthcare · $31.8M total across 3 segments · Q3 2023

  • Real estate loans interest income
    $24.9M
  • Non-real estate loans interest income
    $5.73M
  • Miscellaneous income
    $1.21M+398.8%

Forward guidance

Omega Healthcare faces near-term challenges due to operator nonpayment of rent and may continue for the next few quarters.

Tailwinds

  • Successful sale of the majority of legacy Gulf Coast assets.
  • Strong appetite for skilled nursing assets.
  • Secular tailwinds continue to exist for the industry.
  • Portfolio occupancy improved as the quarter progressed.
  • Incremental federal and state support provided to the industry.

Headwinds

  • Adjusted FFO and FAD financial results were impacted by nonpayment of rent by a few operators.
  • Reduction in collateral supporting non-paying operators.
  • Challenges may continue for the next few quarters.
  • Many facilities remain unprofitable.
  • Low occupancy and elevated labor costs continue to pressure operating performance.

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 Q1 2022

Historical avgQ1 2022

-0.1%

Avg return

Earnings day

+0.2%

Avg return

5 days after

+2.4%

Avg return

30 days after

49%

33 / 68 earnings

Positive

+13.1%

Q1 2022

Best reaction

-9.1%

Q3 2017

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-0.0%-2.6%-1.3%
Q4 2025+6.1%+5.8%+11.0%
Q3 2025+5.3%+7.9%+15.2%
Q1 2025-4.1%-7.5%-4.0%
Q4 2024-0.7%-6.0%-3.7%
Q3 2024+1.4%-4.5%-3.0%
Q2 2024+5.1%+1.8%+8.6%
Q1 2024+2.1%+0.8%+5.3%
Q4 2023+6.9%+10.2%+9.9%
Q3 2023-5.2%-5.8%-3.4%
Q2 2023-1.1%+1.0%+3.2%
Q1 2023+8.5%+7.9%+10.4%
Q4 2022-2.2%-5.1%-7.9%
Q3 2022-1.3%+2.5%-5.1%
Q2 2022+1.8%+3.2%+5.4%
Q1 2022+13.1%+11.3%+15.9%
Q4 2021-8.4%-11.2%-8.7%
Q3 2021+0.2%-4.7%-7.6%
Q2 2021-4.6%-3.2%-6.9%
Q1 2021-2.0%-3.9%-0.1%
Q4 2020-0.6%-1.2%+1.2%
Q3 2020-1.1%+3.8%+23.1%
Q2 2020+3.0%+4.8%-0.2%
Q1 2020+0.0%+1.8%+21.9%
Q4 2019-0.0%+1.4%-7.7%
Q3 2019-2.2%-5.4%-2.6%
Q2 2019+1.5%+7.8%+15.4%
Q1 2019+1.5%+4.3%+2.3%
Q4 2018-5.9%-6.9%-6.5%
Q3 2018+5.2%+7.5%+15.6%
Q2 2018+3.7%+5.5%+10.9%
Q1 2018+3.4%+7.0%+13.1%
Q4 2017-2.9%+1.4%+3.7%
Q3 2017-9.1%-10.6%-15.6%
Q2 2017-3.4%-4.9%-5.8%
Q1 2017-2.6%-0.8%-3.3%
Q4 2016-5.0%-1.8%-3.7%
Q3 2016-1.7%-6.5%-5.8%
Q2 2016+1.5%+1.9%+3.5%
Q1 2016-1.2%
Q4 2015+4.4%
Q3 2015-0.5%
Q2 2015+1.2%
Q1 2015-3.5%
Q4 2014-0.7%
Q3 2014+1.8%
Q2 2014+0.1%
Q1 2014-0.6%
Q4 2013-1.4%
Q3 2013-2.0%
Q2 2013-7.3%
Q1 2013+0.5%
Q4 2012+4.2%
Q3 2012-3.0%
Q2 2012+1.1%
Q1 2012+0.4%
Q4 2011-1.8%
Q3 2011+2.2%
Q2 2011+3.2%
Q1 2010+0.1%
Q1 2011+1.3%
Q4 2008-2.2%
Q4 2010-2.2%
Q3 2010-4.4%
Q3 2009-4.4%
Q2 2009+1.3%
Q2 2010+1.3%
Q4 2009+1.3%

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