Community Healthcare Trust Posts Strong Income Results for Q3
Overview of Community Healthcare Trust's Financial Results
Community Healthcare Trust Incorporated (NYSE: CHCT) recently unveiled its financial performance for the quarter ending September 30, 2025. The company has reported a net income of approximately $1.6 million, equivalent to $0.03 per diluted common share. The funds from operations (FFO) for this period stood at $0.50 per diluted common share, while adjusted funds from operations (AFFO) reached $0.56 per diluted common share.
Key Highlights of Financial Performance
Several significant developments occurred during the quarter, impacting the overall financial results of Community Healthcare Trust:
Acquisition of New Facilities:
The company made a strategic acquisition of an inpatient rehabilitation facility in Florida at a purchase price of about $26.5 million. This facility is fully leased to a tenant until 2040, with an expected return of around 9.4%. The funding for this acquisition was sourced from their Revolving Credit Facility and available cash.
Tenant Updates
One of the notable tenants, operating a geriatric behavioral hospital, paid approximately $0.2 million in rent and interest during the quarter. Furthermore, on July 17, 2025, this tenant signed a Letter of Intent to transition their business to a behavioral healthcare provider. While the buyer continues their due diligence, the company is cautiously optimistic regarding the potential new leases that would emerge from this transaction.
Property Dispositions:
In this quarter, Community Healthcare Trust successfully disposed of a property in Pennsylvania, garnering net proceeds of around $0.7 million, albeit recognizing a loss of roughly $0.2 million on this sale.
Future Acquisitions:
The company currently has six properties under purchase agreements, with an aggregate expected cost of approximately $146.0 million. These investments are projected to yield returns between 9.1% and 9.75%. Anticipation is high for the closure of one of these acquisitions in the upcoming quarter, while the remaining properties will close throughout the following years.
Capital Recycling Program
Community Healthcare Trust is also actively engaging in a capital recycling program. Recently, they identified an inpatient rehabilitation facility that met the criteria to be sold. This sale is expected to take place in Q4 2025, and proceeds are anticipated to facilitate future acquisitions in accordance with Section 1031 of the U.S. Internal Revenue Code. A gain of approximately $11.5 million from this sale is projected.
Dividend Announcements
As a testament to their financial stability, on October 23, 2025, the company's Board of Directors declared a quarterly dividend of $0.4750 per share to be payable on November 21, 2025, to stockholders of record by November 7, 2025. This underscores the company's commitment to returning value to its shareholders.
About Community Healthcare Trust Incorporated
Community Healthcare Trust Incorporated primarily focuses on owning income-generating real estate properties that facilitate outpatient healthcare services across distinct sub-markets in the United States. As of the reporting date, the company has made substantial investments totaling around $1.2 billion in approximately 200 real estate properties spread across 36 states, covering an aggregate of about 4.6 million square feet.
For more in-depth information regarding the company's financial results and operations, interested parties can reach out via phone or through their official channels.
Frequently Asked Questions
What was Community Healthcare Trust's net income for Q3 2025?
Community Healthcare Trust reported a net income of approximately $1.6 million for the quarter.
What is the FFO reported for this quarter?
The funds from operations (FFO) for the quarter stood at $0.50 per diluted common share.
How many properties does Community Healthcare Trust currently manage?
As of the latest report, the company manages about 200 real estate properties.
What dividend did the company declare recently?
The company declared a quarterly dividend of $0.4750 per share payable on November 21, 2025.
Are there any ongoing acquisitions by the company?
Yes, the company currently has six properties under purchase agreements with expected returns ranging from 9.1% to 9.75%.
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