Diversified Healthcare Trust reported its financial results for the third quarter and the nine months ended September 30, 2024, highlighting both revenue growth and increased net losses compared to the previous fiscal period. Total revenues for the three months ended September 30, 2024, reached $373.6 million, up from $356.5 million in the same period of 2023. For the nine months, revenues increased to $1.116 billion from $1.049 billion year-over-year.
Despite the revenue growth, the company experienced a net loss of $98.7 million for the third quarter, compared to a loss of $65.8 million in the prior year. For the nine months, the net loss widened to $282.8 million from $191.0 million in 2023. The net loss per common share also increased, reaching $(0.41) for the third quarter and $(1.18) for the nine months, compared to $(0.28) and $(0.80), respectively, in the previous year.
The company’s total assets decreased to $5.285 billion as of September 30, 2024, from $5.446 billion at the end of 2023. Total liabilities rose to $3.237 billion, up from $3.109 billion, while total shareholders' equity fell to $2.048 billion from $2.337 billion. Cash and cash equivalents increased slightly to $256.5 million from $245.9 million.
In terms of operational performance, the company reported a significant increase in net operating income (NOI) for its SHOP (managed senior living communities) segment, which rose to $27.4 million for the third quarter, a 32.6% increase from the previous year. Total NOI for the quarter was $63.9 million, up 10.1% year-over-year.
Strategically, Diversified Healthcare Trust has been active in property sales, having sold four properties for $29.1 million during the nine months ended September 30, 2024. As of November 4, 2024, the company had 28 properties under agreements to sell for a total of $348.1 million. The company also recorded impairment charges of $41.7 million for the nine months, significantly higher than the $18.4 million recorded in the same period of 2023.
The company continues to navigate market challenges, including high interest rates and inflation, while focusing on optimizing its asset management and evaluating its properties for potential dispositions or operator transitions.
About DIVERSIFIED HEALTHCARE TRUST
About 10-Q Filings
A 10-Q form is an important financial report that public companies in the United States must submit every three months. It gives a clear picture of a company's financial health and recent performance.
Key points about the 10-Q:
- Frequency: Companies file it three times a year, covering the first three quarters. The fourth quarter is covered in a more comprehensive annual report.
-
Content: It includes:
- Financial statements showing the company's current financial position
- Updates from management on the performance and projections of the business
- Information about potential risks the company faces
- Details on how the company is run internally
- Deadline: Must be filed within 40 or 45 days after the quarter ends, depending on the size of the company.
Our Methodology
AssetRoom is committed to providing timely summaries of news from public companies. We use AI to generate these summaries quickly, but they are not reviewed by human experts.
Our method:
- Data Collection: We continuously monitor for new filings (currently limited to US-listed stocks).
- AI-Powered Analysis: Our advanced AI system processes each filing, identifying key information and extracting relevant data.
- Summary Generation: The AI creates a concise, easy-to-understand summary of the filing, highlighting the most important points.
- Publication: The summary is immediately published on our platform, allowing users instant access to the latest information.
- Email users: We distribute round-up emails according to our users preferences, keeping them in the loop with the companies they follow.
Feedback & Corrections
Spot an error or have a suggestion? Contact us.