NYSE$OHI
Omega Healthcare Investors Inc · Q4 2022 earnings
Q4 2022 earnings · · Investor relations
Briefing
Omega Healthcare reported mixed results for Q4 2022, with a decrease in revenue offset by gains on asset sales.
Omega Healthcare Investors, Inc. reported a net income of $47 million for Q4 2022, an increase compared to the same period in 2021. However, total revenues decreased due to operator restructurings and asset sales. The company completed new investments and continued to work through operator restructurings.
- Net income for the quarter was $47 million, or $0.19 per common share.
- Adjusted Funds From Operations (AFFO) for the quarter was $177 million, or $0.73 per common share.
- Completed $89 million in real estate acquisitions and funded $15 million in capital renovation and construction-in-progress projects.
- Sold 33 facilities for $321 million in cash proceeds and $105 million in seller financing, generating a $180 million gain.
Headline financials
Revenue & EPS history
Omega Healthcare · Revenue · Quarterly
$145M
Revenue by segment
Omega Healthcare · $34.4M total across 4 segments · Q4 2022
- Real estate loans interest income$25M—72.4%
- Non-real estate loans interest income$5.1M—14.8%
- Real estate tax and ground lease income$4.16M—12.1%
- Miscellaneous income$228K-49.4%0.7%
Forward guidance
Omega Healthcare's first quarter earnings are expected to be impacted by deferred rents associated with additional operator restructurings, which will result in a decline in earnings and a related increase in the dividend payout ratio. Operating performance is expected to improve as the year progresses and operator restructurings are completed. However, the risk of further operator issues remains due to facility occupancy and profitability still being meaningfully below pre-pandemic levels.
Tailwinds
- Portfolio occupancy continues to grow, albeit modestly, as the labor market gradually improves.
- Many states have implemented much needed Medicaid reimbursement rate increases.
- Skilled nursing industry is an integral part of the healthcare continuum and an important tool in the effort to meet increasing clinical needs at a manageable price.
- The industry is well positioned to benefit from multi-decade demographic tailwinds.
- Omega will continue to work with its operators to help them meet this increased demand.
Headwinds
- First quarter earnings will be further impacted by deferred rents associated with additional operator restructurings.
- Expected decline in first quarter earnings and a related increase in the dividend payout ratio.
- Risk of further operator issues remains.
- Facility occupancy and profitability are still meaningfully below pre-pandemic levels.
- Inflation is still at elevated levels which leads to a challenging cost environment for the industry.
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 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
| Quarter | Report date | Reaction (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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