Healthpeak Properties (DOC) Q4 2025 earnings summary

Executive summary

• Finished 2025 with earnings in line with guidance, significant transaction activity, and the planned IPO of Janus Living to unlock value in senior housing.

• Outpatient Medical now represents over 50% of portfolio income, benefiting from merger synergies and sector tailwinds.

• Executed a $1 billion capital recycling plan, including asset sales, recapitalizations, and loan repayments to fund higher-growth opportunities.

• Enhanced technology and innovation initiatives, including hiring a Head of Enterprise Innovation and rolling out an agentic operating system.

• Strengthened leadership team with key hires in innovation, finance, legal, and investments.

Financial highlights

• Q4 2025 FFO as adjusted: $0.47/share; AFFO: $0.40/share; same-store cash NOI growth: 3.9%.

• Full-year 2025 FFO as adjusted: $1.84/share; AFFO: $1.69/share; same-store cash NOI growth: 4%.

• Outpatient Medical: 4.9M sq ft leased, 5% cash re-leasing spreads, 79% retention, 91% occupancy.

• Lab: 1.5% same-store growth, 77% occupancy, 1.5M sq ft lease executions.

• Senior Housing/Life Plan: 12.6% same-store growth for 2025, 16.7% in Q4.

Outlook and guidance

• 2026 FFO as adjusted forecast: $1.70–$1.74/share; diluted EPS: $0.34–$0.38; same-store NOI growth: -1% to +1%.

• Outpatient Medical: 2–3% NOI growth; Lab: -5% to -10%; Senior Housing: 8–12%.

• Earnings reduction driven by lab occupancy loss; Outpatient Medical and Senior Housing expected to offset some headwinds.

• Life science real estate fundamentals expected to be at or near an inflection point, with gradual recovery anticipated.

• 2026 is expected to be the bottom for FFO, with growth anticipated in 2027.