Medical Properties Trust reported a net loss of $78 million, or $0.13 per share, for the third quarter ended September 30, 2025, a sharp improvement from the $801 million loss ($1.34 per share) recorded in the same period a year earlier. Normalized funds from operations (NFFO) for the quarter were $77 million, or $0.13 per share, down from $94 million ($0.16 per share) in the prior year, reflecting lower revenue from property sales and higher interest expense following recent refinancing.
The company’s balance sheet remains robust, with total assets of approximately $14.9 billion, including $9.0 billion of general acute facilities, $2.5 billion of behavioral health facilities and $1.6 billion of post‑acute facilities. Its portfolio now consists of 388 properties and about 39,000 licensed beds leased to or mortgaged by 51 hospital operators across the United States and several international markets. Cash rent from the newly re‑tenanted former Steward properties increased to $16 million in Q3 from $11 million in Q2 and is expected to reach $17 million in Q4, with 96 % of scheduled rents collected through October except for nominal amounts owed by a Pennsylvania hospital and an Ohio facility.
In addition to the earnings release, the board authorized a strategic common‑stock repurchase program of up to $150 million. The program is intended to provide flexibility to address near‑term debt maturities and to support the company’s liquidity position, which currently stands at $1.2 billion. The company also paid a regular quarterly dividend of $0.08 per share in October.
The announcement reiterated progress in the Prospect Medical Holdings bankruptcy, noting that a settlement agreement approved in March 2025 will enable the sale of Prospect’s California operations and is expected to generate proceeds that exceed the company’s current DIP loan balance of approximately $100 million. Management cited $82 million in impairment charges related to the bankruptcy, which contributed to the net loss for the quarter.
Management expressed confidence that the portfolio’s cash‑rent ramp‑up will allow the company to exceed $1 billion in annualized cash rent by the end of 2026. The company’s focus on re‑tenanting former Steward facilities, resolving the Prospect restructuring, and maintaining a strong liquidity profile positions it to continue delivering value to shareholders while pursuing strategic opportunities in the healthcare real‑estate market.
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