Ventas, Inc. (NYSE:VTR) watched its shares move up on the release of second-quarter results.
Net income revealed a loss of 42 cents per share, compared to a gain of 58 cents in the prior-year quarter. The Company recorded $260 million in non-cash items as a result of its evaluation of the value of certain of its assets and the go forward collectability of certain of its future rents as a result of the pandemic’s impact primarily on senior housing.
For the second quarter 2020, as expected, the Chicago-based Company’s reported year-over-year same-store total property portfolio (1,074 assets, representing 92% of the Company’s cash net operating income ("NOI")) declined compared to the same period in 2019 driven primarily by the impact of the COVID-19 pandemic.
All COVID-19 impacts, including testing, labor, cleaning and supplies, have been reflected in property operating results. The Company’s sequential same-store total property portfolio (1,128 assets, representing 97% of the Company’s cash NOI) declined in the second quarter 2020 versus the first quarter 2020 for the same reason.
CEO Debra Cafaro said, "Our second quarter results demonstrate the significant benefit of Ventas’s diversified portfolio. We achieved strong performance in our Office and Triple-Net Lease segments, which partially offset the unprecedented impact of the COVID-19 pandemic on our senior housing operating portfolio.
"During the quarter, we focused on the health and safety of our employees and those individuals using our properties as a first priority. We also took decisive actions to keep Ventas strong and stable and to weather the initial impact of the pandemic." she added.
VTR shares gathered 64 cents, or 1.6%, to $40.15.
