Ventas Q4 FFO Meet, Revenues Beat Estimates, Same-Store Cash NOI Rises

Ventas, Inc. VTR reported fourth-quarter 2025 normalized funds from operations (FFO) per share of 89 cents, in line with the Zacks Consensus Estimate. The reported figure increased 9.9% from the prior-year quarter’s tally.

Results reflect an increase in same-store cash net operating income (NOI) year over year, driven by strong performance in the senior housing operating portfolio (SHOP) and outpatient medical and research (OM&R) portfolio. However, triple-net leased properties’ same-store cash NOI decreased year over year. The company has issued its guidance for 2026 normalized FFO per share.

VTR recorded revenues of $1.57 billion in the fourth quarter, surpassing the Zacks Consensus Estimate of $1.50 billion. Also, the figure increased 21.7% on a year-over-year basis.

Per Debra A. Cafaro, chairman and CEO of Ventas, “Ventas delivered strong performance and enterprise growth in the fourth quarter and full year 2025. We executed our strategy to drive organic and external growth in senior housing and increased our participation in this multiyear growth opportunity. In 2026 and beyond, the Ventas team remains focused on delivering exceptional performance at scale.”

In 2025, Ventas reported a normalized FFO per share of $3.48, rising 9.1% year over year. The reported figure was in line with the Zacks Consensus Estimate. Total revenues of $5.83 billion improved 18.5% year over year and beat the consensus mark of $5.77 billion.

VTR’s Fourth Quarter in Detail

In the reported quarter, same-store cash NOI for the total property portfolio (1,120 properties) increased 7.8% to $486.3 million from the prior-year quarter.

Segment-wise, the same-store cash NOI for the SHOP portfolio (518 properties) climbed 15.4% year over year to $235.6 million. Average monthly Revenues per Occupied Room (RevPOR) growth of nearly 4.7% resulted in a cash NOI margin expansion of 180 basis points (bps), aiding the rise in the segment’s same-store cash NOI.

The same-store average unit occupancy expanded 300 bps year over year to 90.1% in the fourth quarter for the SHOP portfolio.

For the OM&R portfolio (402 properties), same-store cash NOI improved 3.7% year over year to $140.1 million. The uptick was backed by higher annualized average rent and revenue per occupied square foot.

However, the triple-net leased portfolio’s (200 assets) same-store cash NOI decreased 1.3% year over year to $110.5 million.

VTR’s Balance Sheet Position

Ventas ended the fourth quarter of 2025 with cash and cash equivalents of $741.1 million, up from $188.6 million as of Sept. 30, 2025.

Moreover, it ended the quarter with $5.3 billion of liquidity, up from $4.1 billion as of Sept. 30, 2025. It had a net debt to further adjusted EBITDA ratio of 5.2.

2026 Guidance by VTR

VTR has issued its guidance for 2026 normalized FFO per share in the range of $3.78-$3.88. The Zacks Consensus Estimate of $3.74 lies within the guided range.

The total company same-store cash NOI growth is estimated to be between 8.5% and 10.5%. The SHOP segment's same-store cash NOI is anticipated to be between 13% and 17%.

The OM&R portfolio segment's same-store cash NOI is expected to be in the range of 2-3%. The triple-net leased same-store cash NOI is projected between 3.75% and 4.75%.

The company has provided its guidance for investment volume for the senior housing segment of $2.5 billion.

VTR’s Zacks Rank

Ventas currently carries a Zacks Rank #4 (Sell).

You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Ventas, Inc. Price, Consensus and EPS Surprise

Ventas, Inc. price-consensus-eps-surprise-chart | Ventas, Inc. Quote

Performance of Other REITs

Crown Castle Inc. CCI reported fourth-quarter 2025 adjusted funds from operations per share of $1.12, which topped the Zacks Consensus Estimate of $1.07 per share. However, the figure declined nearly 6.7% year over year.

CCI’s results reflected a rise in services and other revenues year over year. A decrease in site rental revenues affected the results to some extent.

Healthpeak Properties, Inc. DOC reported fourth-quarter 2025 FFO as adjusted per share of 47 cents, beating the Zacks Consensus Estimate of 45 cents. The figure compared favorably with the prior-year quarter’s 46 cents.

Results reflected better-than-expected revenues. Growth in total merger-combined same-store cash (adjusted) NOI was witnessed across DOC’s portfolio. Higher interest expenses affected the results to some extent.

Note: Anything related to earnings presented in this write-up represents funds from operations (FFO) — a widely used metric to gauge the performance of REITs.

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This article originally published on Zacks Investment Research (zacks.com).

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