KING OF PRUSSIA, Pa.,
Feb. 25, 2021 /PRNewswire/
-- Universal Health Realty Income Trust (NYSE:UHT) announced
today that for the three-month period ended December 31, 2020,
net income was $5.0 million, or
$.36 per diluted share, as compared
to $5.8 million, or $.42 per diluted share, during the fourth quarter
of 2019. As reflected on the attached Schedule of Non-GAAP
Supplemental Information ("Supplemental Schedule"), our financial
results for the three-month period ended December 31, 2019 included a gain of $1.7 million, or $.12 per diluted share, realized on the sale of
the Kings Crossing II medical office building. After adjusting the
reported results for the three-month period ended December 31, 2019 for the $1.7 million gain, as calculated on the
Supplemental Schedule, our adjusted net income was $4.1 million, or $.30 per diluted share, during the fourth quarter
of 2019, as compared to $5.0 million,
or $0.36 per diluted share during the
fourth quarter of 2020.
As calculated on the attached Supplemental Schedule, our funds
from operations ("FFO"), were $11.8
million, or $.85 per diluted
share, during the fourth quarter of 2020, as compared to
$10.7 million, or $.78 per diluted share, during the fourth quarter
of 2019.
Favorably impacting our net income and FFO during the fourth
quarter of 2020, as compared to the fourth quarter of 2019, in
addition to a combined aggregate net increase in net income and FFO
experienced at various properties, was a decrease in our interest
expense of $427,000, or $.03 per diluted share, and an increase of
$262,000, or $.02 per diluted share, in bonus rental earned on
the three hospital facilities leased to subsidiaries of Universal
Health Services, Inc. ("UHS"). The decreased interest expense
resulted primarily from a decrease in the average cost of
borrowings pursuant to our revolving credit agreement, partially
offset by an increase in our average outstanding borrowings.
Consolidated Results of Operations - Twelve-Month Periods
Ended December 31, 2020 and 2019:
For the twelve-month period ended December 31, 2020, our net income was
$19.4 million, or $1.41 per diluted share, as compared to
$19.0 million, or $1.38 per diluted share, during the twelve-month
period of 2019. As reflected on the attached Supplemental
Schedule, our financial results for the twelve-month period ended
December 31, 2019 included an
aggregate gain of $2.0 million, or
$.14 per diluted share, related to
the sales of real estate assets. As calculated on the Supplemental
Schedule, excluding the impact of the $2.0
million aggregate gain, our adjusted net income was
$17.0 million, or $1.24 per diluted share, during the twelve-month
period ended December 31, 2019, as
compared to $19.4 million, or
$1.41 per diluted share, during the
twelve-month period ended December 31,
2020.
As calculated on the Supplemental Schedule, our FFO were
$46.2 million, or $3.36 per diluted share, during the twelve months
of 2020, as compared to $44.0
million, or $3.20 per diluted
share, during the twelve months of 2019.
Favorably impacting our net income and FFO during the twelve
months ended December 31, 2020, as
compared to the twelve months of 2019, in addition to a combined
aggregate net increase in net income and FFO experienced at various
properties, was a decrease in our interest expense of approximately
$2.3 million, or $.16 per diluted share, and an increase of
$565,000, or $.04 per diluted share, in bonus rental earned on
the three hospital facilities leased to subsidiaries of UHS. The
decrease in interest expense resulted primarily from a decrease in
our average cost of borrowings pursuant to our revolving credit
agreement, partially offset by an increase in our average
outstanding borrowings. Unfavorably impacting our net income
and FFO during the twelve months ended December 31, 2020, as compared to the twelve
months of 2019, were the vacancies that occurred as of June 1, 2019 and September
30, 2019, at two hospital facilities located in Corpus Christi, Texas, and Evansville, Indiana, respectively, as
discussed below. These two properties generated a combined net
operating loss of $677,000 during the
twelve months ended December 31,
2020, as compared to generating combined net operating
income of approximately $1.4 million
during the twelve months ended December
31, 2019.
COVID-19
The COVID-19 pandemic began to significantly impact the United States in mid-March, 2020. As
a result of various policies implemented by the federal and state
governments, and varying by individual state, many non-essential
businesses in the nation were closed for varying time periods.
We believe that by June 30,
2020, substantially all of our tenants had resumed
operations of their businesses.
Tenants representing approximately 99% of our occupied square
footage have paid their rent through December 31, 2020. Although COVID-19 has not had
a material adverse impact on our results of operations through
December 31, 2020, we believe that
the potentially adverse impact that the pandemic may have on our
future operations and financial results of our tenants, and in turn
ours, will depend upon many factors, most of which are beyond our,
or our tenants', ability to control or predict. Since the
underlying businesses in each of our properties are operated by the
tenants, we can provide no assurance that the businesses will
continue to operate in the future or stay current with their lease
obligations.
Throughout the common areas of many properties in our portfolio,
we have implemented COVID-19 risk mitigating actions such as
enhanced cleaning protocols including supplemental cleaning and
sanitizing of high-touch points, limiting points of entry at
certain facilities, and coordinating with health care providers to
assess or screen patients prior to entering certain of our medical
office buildings.
Dividend Information:
The fourth quarter dividend of $.695 per share, or $9.6
million in the aggregate, was declared on December 4, 2020 and paid on December 31, 2020.
Capital Resources Information:
At December 31, 2020, we had $236.2
million of borrowings outstanding pursuant to the terms of
our $350 million credit agreement and
$108.2 million of available borrowing
capacity, net of outstanding borrowings and letters of credit. The
credit agreement has a scheduled maturity date of March, 2022,
however, we have the option to extend the maturity date for up to
two additional six-month periods.
At-the-market Equity Issuance Program ("ATM
Program"):
During the second quarter of 2020, we commenced an at-the-market
equity issuance program pursuant to the terms of which we may sell,
from time-to-time, common shares of our beneficial interest up to
an aggregate sales price of $100
million to or through our agent banks. No shares were
issued pursuant to this ATM Program during the fourth quarter of
2020. Pursuant to this ATM Program, we issued 2,704 shares at
an average price of $101.30 per share
which generated approximately $270,000 of net cash proceeds (net of
compensation to BofA Securities, Inc.) since the program commenced
in the second quarter of 2020. Additionally, as
of December 31, 2020, we have paid or
incurred approximately $507,000 in
various fees and expenses related to the commencement of our ATM
program.
New Construction Projects and Acquisition:
New Construction:
Behavioral Health Hospital – Clive,
Iowa
In late July 2019, a wholly-owned
subsidiary of ours entered into an agreement to build and lease a
newly constructed 100-bed behavioral health care hospital located
in Clive, Iowa. The lease on this
facility, which is triple net and has an initial term of 20 years
with five, 10-year renewal options, was executed with Clive
Behavioral Health, LLC, a joint venture between a wholly-owned
subsidiary of UHS and Catholic Health Initiatives-Iowa, Corp.
Construction of this hospital, for which we have engaged a
wholly-owned subsidiary of UHS to act as project manager, was
substantially completed in December
2020 and the property received a temporary certificate of
occupancy on December 31, 2020. The
hospital lease commenced upon issuance of the temporary certificate
of occupancy and the initial annual rent is estimated to be
approximately $2.5 million. The
approximate cost of the project is estimated to be $35.1 million, approximately $32.0 million of which has been incurred as of
December 31, 2020.
Medical Office Building – Denison,
Texas
In September, 2019, we entered into an agreement whereby we own
a 95% ownership interest in Grayson Properties II LP, which
developed, constructed, owns and operates the Texoma Medical Plaza
II, a 75,000 rentable square feet medical office building ("MOB")
located in Denison, Texas. This
MOB, the core and shell of which was substantially completed in
December, 2020, is located on the campus of Texoma Medical Center,
a hospital that is owned and operated by a wholly-owned subsidiary
of UHS.
A 10-year master flex lease, which commenced in December 2020, was executed with the wholly-owned
subsidiary of UHS for over 50% of the rentable square feet of the
MOB. The master flex lease commitment is subject to reduction upon
the execution of third-party leases and as a result of fully
executed third-party leases, as of December
31, 2020 the master lease commitment has been reduced to
5,840 remaining rentable square feet on the third floor of the
MOB. As of December 31, 2020,
61% of the rentable square feet of the MOB is under lease.
Effective June 1, 2020, a
$13.1 million third-party
construction loan was obtained by Grayson Properties II LP, which
is scheduled to mature on June 1,
2025 and has an outstanding balance of $12.3 million as of December 31, 2020. In addition, we have committed
to invest up to $4.8 million in
equity or member loans in the development and construction of this
MOB, none of which has been invested as of December 31, 2020.
Acquisition:
Sand Point Medical Properties Building – Escanaba, Michigan
On December 28, 2020, we acquired
the Sand Point Medical Properties building located in Escanaba, Michigan for a purchase price of
approximately $2.2 million. The
building is 100% leased under the terms of a 15-year double net
lease ("NN") with a remaining initial lease term of approximately
14 years at the time of purchase, with three, five-year renewal
options.
Disclosures Related to Certain Hospital Facilities:
Southwest Healthcare System, Inland Valley Campus:
A wholly-owned subsidiary of UHS has notified us that it is
considering terminating the existing lease on Southwest Healthcare
System, Inland Valley Campus, upon the scheduled expiration of the
current term on December 31, 2021. As
permitted pursuant to the terms of the lease, UHS has the right to
purchase the leased property at its appraised fair market value at
the end of the existing lease term. However, UHS has notified
us that they are planning to offer us potential substitution
properties, with fair market value substantially equal to that of
Southwest Healthcare System, Inland Valley Campus, in exchange for
the Inland Valley Campus. UHS is expected to submit its
proposal to us during the first quarter of 2021. Upon
receipt, the proposal will be reviewed and evaluated by management
of the Trust as well as by our Board of Trustees. All transactions
with UHS must be approved by a majority of our Independent
Trustees. We can provide no assurance that we will ultimately agree
on a property substitution with UHS in connection with the Inland
Valley Campus property. Pursuant to the terms of the lease on the
Inland Valley Campus, we earned $4.4
million of lease revenue during the year ended December 31, 2020 ($2.6
million in base rental and $1.8
million in bonus rental) and $4.3
million during the year ended December 31, 2019 ($2.6
million in base rental and $1.7
million in bonus rental).
Vacancies – Evansville,
Indiana and Corpus Christi,
Texas:
The leases on two hospital facilities, located in Evansville, Indiana, and Corpus Christi, Texas, expired on May 31, 2019 and June 1,
2019, respectively. The former tenant of the hospital
located in Evansville, Indiana,
entered into a short-term lease with us, which covered the period
of June 1, 2019 through September 30, 2019, at a substantially increased
lease rate as compared to the original lease rate.
The combined lease revenue generated at these facilities
amounted to approximately $1.7
million during the twelve-month period ended December 31, 2019. The hospital located in
Evansville, Indiana, has remained
vacant since September 30, 2019 and
the hospital located in Corpus Christi,
Texas, has remained vacant since June
1, 2019.
We continue to market each property for lease to new tenants.
However, should these properties continue to remain owned and
vacant for an extended period of time, or should we experience
decreased lease rates on future leases, as compared to
prior/expired lease rates, or incur substantial renovation costs to
make the properties suitable for other operators/tenants, our
future results of operations could be materially unfavorably
impacted.
Kindred Hospital Chicago Central:
The existing lease with Kindred Hospital Chicago Central is
scheduled to expire on December 31,
2021. Pursuant to the terms of the lease, we earned
approximately $1.6 million of lease
revenue during the twelve-month period ended December 31, 2020, and approximately $1.5 million during the year ended December 31, 2019. We can provide no
assurance that the lease on this facility, which during the years
ended December 31, 2020 and 2019 did
not generate sufficient operating income to cover its rent due to
us, will be renewed, or renewed at existing lease rates, upon
maturity.
General Information, Forward-Looking Statements and Risk
Factors and Non-GAAP Financial Measures:
Universal Health Realty Income Trust, a real estate investment
trust, invests in healthcare and human-service related facilities
including acute care hospitals, behavioral health care hospitals,
specialty hospitals, medical/office buildings, free-standing
emergency departments and childcare centers. We have investments in
seventy-two properties located in twenty states.
This press release contains forward-looking statements based on
current management expectations. Numerous factors, including
those disclosed herein, those related to the anticipated impact of
COVID-19 on our financial results, as well as the operations and
financial results of each of our tenants, those related to
healthcare industry trends and those detailed in our filings with
the Securities and Exchange Commission (as set forth in Item
1A-Risk Factors and in Item 7-Forward-Looking
Statements in our Form 10-K for the year ended December 31, 2020), may cause the results to
differ materially from those anticipated in the forward-looking
statements. Readers should not place undue reliance on such
forward-looking statements which reflect management's view only as
of the date hereof. We undertake no obligation to revise or update
any forward-looking statements, or to make any other
forward-looking statements, whether as a result of new information,
future events or otherwise.
Many of the factors that could affect our future results are
beyond our control or ability to predict, including the impact of
the COVID-19 pandemic. Future operations and financial results of
our tenants, and in turn ours, could be materially impacted by
developments related to COVID-19. Such developments
include, but are not limited to, the length of time and severity of
the spread of the pandemic; the volume of cancelled or rescheduled
elective procedures and the volume of COVID-19 patients treated by
the operators of our hospitals and other healthcare facilities;
measures our tenants are taking to respond to the COVID-19
pandemic; the impact of government and administrative regulation
and stimulus on the health care industry; declining patient volumes
and unfavorable changes in payer mix caused by deteriorating
macroeconomic conditions (including increases in uninsured and
underinsured patients as the result of business closings and
layoffs); potential disruptions to clinical staffing and shortages
and disruptions related to supplies required for our tenants'
employees and patients; and potential increases to expenses
incurred by our tenants related to staffing, supply chain or other
expenditures. There may be significant declines in future
bonus rental revenue earned on our hospital properties leased to
subsidiaries of UHS to the extent that each hospital continues to
experience significant decline in patient volumes. We believe that
the underlying businesses operated by certain of our other tenants
have been, at various times, either temporarily closed entirely or
operating at substantially reduced hours. These factors may
result in the inability or unwillingness on the part of some of our
tenants to make timely payment of their rent to us at current
levels or to seek to amend or terminate their leases which, in
turn, would have an adverse effect on our occupancy levels and our
revenue and cash flow and the value of our properties, and
potentially, our ability to maintain our dividend at current
levels. Due to COVID-19 restrictions and its impact on the economy,
we may experience a decrease in prospective tenants which could
unfavorably impact the volume of new leases, as well as the renewal
rate of existing leases. The COVID-19 pandemic may delay our
construction projects which could result in increased costs and
delay the timing of opening and rental payments from those
projects, although no such delays have yet occurred. The COVID-19
pandemic could also impact our indebtedness and the ability to
refinance such indebtedness on acceptable terms, as well as risks
associated with disruptions in the financial markets and the
business of financial institutions as the result of the COVID-19
pandemic which could impact us from a financing perspective; and
changes in general economic conditions nationally and regionally in
the markets our properties are located resulting from the COVID-19
pandemic. We are not able to quantify the impact that these factors
will have on our future operations, but developments related to the
COVID-19 pandemic could have a material adverse impact on our
future financial results.
We believe that adjusted net income and adjusted net
income per diluted share (as reflected on the attached Supplemental
Schedules), which are non-GAAP financial measures ("GAAP" is
Generally Accepted Accounting Principles in the United States of America), are helpful to
our investors as measures of our operating performance. In
addition, we believe that, when applicable, comparing and
discussing our financial results based on these measures, as
calculated, is helpful to our investors since it neutralizes the
effect in each year of material items that are non-recurring or
non-operational in nature including items such as, but not limited
to, gains on transactions.
Funds from operations ("FFO") is a widely recognized measure of
performance for Real Estate Investment Trusts ("REITs"). We believe
that FFO and FFO per diluted share, which are non-GAAP financial
measures, are helpful to our investors as measures of our operating
performance. We compute FFO, as reflected on the attached
Supplemental Schedules, in accordance with standards established by
the National Association of Real Estate Investment Trusts
("NAREIT"), which may not be comparable to FFO reported by other
REITs that do not compute FFO in accordance with the NAREIT
definition, or that interpret the NAREIT definition differently
than we interpret the definition. FFO adjusts for the effects of
gains, such as gains on transactions during the periods
presented. To the extent a REIT recognizes a gain or loss
with respect to the sale of incidental assets, such as the sale of
land peripheral to operating properties, the REIT has the option to
exclude or include such gains and losses in the calculation of
FFO. We have opted to exclude gains and losses from sales of
incidental assets in our calculation of FFO. FFO does not
represent cash generated from operating activities in accordance
with GAAP and should not be considered to be an alternative to net
income determined in accordance with GAAP. In addition, FFO should
not be used as: (i) an indication of our financial performance
determined in accordance with GAAP; (ii) an alternative to
cash flow from operating activities determined in accordance with
GAAP; (iii) a measure of our liquidity, or; (iv) an indicator
of funds available for our cash needs, including our ability to
make cash distributions to shareholders. A reconciliation of our
reported net income to FFO is reflected on the Supplemental
Schedules included below.
To obtain a complete understanding of our financial performance
these measures should be examined in connection with net income,
determined in accordance with GAAP, as presented in the condensed
consolidated financial statements and notes thereto in this report
or in our other filings with the Securities and Exchange Commission
including our Report on Form 10-K for the year ended
December 31, 2020. Since the items included or excluded from
these measures are significant components in understanding and
assessing financial performance under GAAP, these measures should
not be considered to be alternatives to net income as a measure of
our operating performance or profitability. Since these measures,
as presented, are not determined in accordance with GAAP and are
thus susceptible to varying calculations, they may not be
comparable to other similarly titled measures of other companies.
Investors are encouraged to use GAAP measures when evaluating our
financial performance.
Universal Health
Realty Income Trust Consolidated Statements of Income
For the Three and Twelve Months Ended December 31, 2020 and
2019
(amounts in thousands, except share information)
(unaudited)
|
|
|
|
Three Months
Ended
|
|
|
Twelve Months
Ended
|
|
|
|
December
31,
|
|
|
December
31,
|
|
|
|
2020
|
|
|
2019
|
|
|
2020
|
|
|
2019
|
|
Revenues:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Lease revenue -
UHS facilities (a.)
|
|
$
|
6,328
|
|
|
$
|
5,830
|
|
|
$
|
24,571
|
|
|
$
|
23,095
|
|
Lease revenue -
Non-related parties
|
|
|
13,036
|
|
|
|
12,556
|
|
|
|
51,562
|
|
|
|
52,020
|
|
Other revenue -
UHS facilities
|
|
|
215
|
|
|
|
215
|
|
|
|
882
|
|
|
|
867
|
|
Other revenue -
Non-related parties
|
|
|
251
|
|
|
|
258
|
|
|
|
995
|
|
|
|
1,181
|
|
|
|
|
19,830
|
|
|
|
18,859
|
|
|
|
78,010
|
|
|
|
77,163
|
|
Expenses:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Depreciation
and amortization
|
|
|
6,421
|
|
|
|
6,306
|
|
|
|
25,581
|
|
|
|
25,870
|
|
Advisory fees
to UHS
|
|
|
1,059
|
|
|
|
1,011
|
|
|
|
4,141
|
|
|
|
3,974
|
|
Other operating
expenses
|
|
|
5,711
|
|
|
|
5,463
|
|
|
|
22,284
|
|
|
|
21,569
|
|
|
|
|
13,191
|
|
|
|
12,780
|
|
|
|
52,006
|
|
|
|
51,413
|
|
Income before equity
in income of unconsolidated limited liability companies ("LLCs"),
interest expense and gains on sales
|
|
|
6,639
|
|
|
|
6,079
|
|
|
|
26,004
|
|
|
|
25,750
|
|
Equity in
income of unconsolidated LLCs
|
|
|
335
|
|
|
|
459
|
|
|
|
1,706
|
|
|
|
1,796
|
|
Gains on sales
of real estate assets
|
|
|
-
|
|
|
|
1,701
|
|
|
|
-
|
|
|
|
1,951
|
|
Interest expense,
net
|
|
|
(1,974)
|
|
|
|
(2,401)
|
|
|
|
(8,263)
|
|
|
|
(10,533)
|
|
Net income
|
|
$
|
5,000
|
|
|
$
|
5,838
|
|
|
$
|
19,447
|
|
|
$
|
18,964
|
|
Basic earnings per
share
|
|
$
|
0.36
|
|
|
$
|
0.43
|
|
|
$
|
1.42
|
|
|
$
|
1.38
|
|
Diluted earnings per
share
|
|
$
|
0.36
|
|
|
$
|
0.42
|
|
|
$
|
1.41
|
|
|
$
|
1.38
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Weighted average
number of shares outstanding - Basic
|
|
|
13,749
|
|
|
|
13,736
|
|
|
|
13,743
|
|
|
|
13,732
|
|
Weighted average
number of shares outstanding - Diluted
|
|
|
13,771
|
|
|
|
13,757
|
|
|
|
13,765
|
|
|
|
13,752
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(a.) Includes bonus
rental on UHS hospital facilities of $1,639 and $1,377 for the
three-month periods ended December 31, 2020 and 2019, respectively,
and $6,116 and $5,551 for the twelve-month periods ended December
31, 2020 and 2019, respectively.
|
|
Universal Health
Realty Income Trust Schedule of Non-GAAP Supplemental
Information ("Supplemental Schedule")
For the Three Months Ended December 31, 2020 and 2019
(amounts in thousands, except share information)
(unaudited)
|
|
Calculation of
Adjusted Net Income
|
|
|
|
Three Months
Ended
|
|
|
Three Months
Ended
|
|
|
|
December 31,
2020
|
|
|
December 31,
2019
|
|
|
|
Amount
|
|
|
Per
Diluted Share
|
|
|
Amount
|
|
|
Per
Diluted Share
|
|
Net income
|
|
$
|
5,000
|
|
|
$
|
0.36
|
|
|
$
|
5,838
|
|
|
$
|
0.42
|
|
Adjustments:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Less: Gain on sale of
real estate assets
|
|
|
-
|
|
|
|
-
|
|
|
|
(1,701)
|
|
|
|
(0.12)
|
|
Subtotal adjustments
to net income
|
|
|
-
|
|
|
|
-
|
|
|
|
(1,701)
|
|
|
|
(0.12)
|
|
Adjusted net
income
|
|
$
|
5,000
|
|
|
$
|
0.36
|
|
|
$
|
4,137
|
|
|
$
|
0.30
|
|
|
|
|
|
Calculation of
Funds From Operations ("FFO")
|
|
|
|
Three Months
Ended
|
|
|
Three Months
Ended
|
|
|
|
December 31,
2020
|
|
|
December 31,
2019
|
|
|
|
Amount
|
|
|
Per
Diluted Share
|
|
|
Amount
|
|
|
Per
Diluted Share
|
|
Net income
|
|
$
|
5,000
|
|
|
$
|
0.36
|
|
|
$
|
5,838
|
|
|
$
|
0.42
|
|
Plus: Depreciation and
amortization expense:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Consolidated
investments
|
|
|
6,421
|
|
|
|
0.47
|
|
|
|
6,306
|
|
|
|
0.46
|
|
Unconsolidated
affiliates
|
|
|
333
|
|
|
|
0.02
|
|
|
|
287
|
|
|
|
0.02
|
|
Less: Gain on sale of
real estate assets
|
|
|
-
|
|
|
|
-
|
|
|
|
(1,701)
|
|
|
|
(0.12)
|
|
FFO
|
|
$
|
11,754
|
|
|
$
|
0.85
|
|
|
$
|
10,730
|
|
|
$
|
0.78
|
|
Dividend paid per
share
|
|
|
|
|
|
$
|
0.695
|
|
|
|
|
|
|
$
|
0.685
|
|
Universal Health
Realty Income Trust Schedule of Non-GAAP Supplemental
Information ("Supplemental Schedule")
For the Twelve Months Ended December 31, 2020 and 2019
(amounts in thousands, except share information)
(unaudited)
|
|
Calculation of
Adjusted Net Income
|
|
|
|
Twelve Months
Ended
|
|
|
Twelve Months
Ended
|
|
|
|
December 31,
2020
|
|
|
December 31,
2019
|
|
|
|
Amount
|
|
|
Per
Diluted Share
|
|
|
Amount
|
|
|
Per
Diluted Share
|
|
Net income
|
|
$
|
19,447
|
|
|
$
|
1.41
|
|
|
$
|
18,964
|
|
|
$
|
1.38
|
|
Adjustments:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Less: Gains on sales
of real estate assets
|
|
|
-
|
|
|
|
-
|
|
|
|
(1,951)
|
|
|
|
(0.14)
|
|
Subtotal adjustments
to net income
|
|
|
-
|
|
|
|
-
|
|
|
|
(1,951)
|
|
|
|
(0.14)
|
|
Adjusted net
income
|
|
$
|
19,447
|
|
|
$
|
1.41
|
|
|
$
|
17,013
|
|
|
$
|
1.24
|
|
|
|
|
|
Calculation of
Funds From Operations ("FFO")
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Twelve Months
Ended
|
|
|
Twelve Months
Ended
|
|
|
|
December 31,
2020
|
|
|
December 31,
2019
|
|
|
|
Amount
|
|
|
Per
Diluted Share
|
|
|
Amount
|
|
|
Per
Diluted Share
|
|
Net income
|
|
$
|
19,447
|
|
|
$
|
1.41
|
|
|
$
|
18,964
|
|
|
$
|
1.38
|
|
Plus: Depreciation and
amortization expense:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Consolidated
investments
|
|
|
25,581
|
|
|
|
1.86
|
|
|
|
25,870
|
|
|
|
1.88
|
|
Unconsolidated
affiliates
|
|
|
1,202
|
|
|
|
0.09
|
|
|
|
1,141
|
|
|
|
0.08
|
|
Less: Gains on sales
of real estate assets
|
|
|
-
|
|
|
|
-
|
|
|
|
(1,951)
|
|
|
|
(0.14)
|
|
FFO
|
|
$
|
46,230
|
|
|
$
|
3.36
|
|
|
$
|
44,024
|
|
|
$
|
3.20
|
|
Dividend paid per
share
|
|
|
|
|
|
$
|
2.760
|
|
|
|
|
|
|
$
|
2.720
|
|
Universal Health
Realty Income Trust Consolidated Balance Sheets
(amounts in thousands, except share information)
(unaudited)
|
|
|
|
December
31,
|
|
|
December 31,
|
|
|
|
2020
|
|
|
2019
|
|
Assets:
|
|
|
|
|
|
|
|
|
Real Estate
Investments:
|
|
|
|
|
|
|
|
|
Buildings and
improvements and construction in progress
|
|
$
|
605,292
|
|
|
$
|
572,503
|
|
Accumulated
depreciation
|
|
|
(216,648)
|
|
|
|
(194,888)
|
|
|
|
|
388,644
|
|
|
|
377,615
|
|
Land
|
|
|
55,157
|
|
|
|
54,892
|
|
Net Real Estate Investments
|
|
|
443,801
|
|
|
|
432,507
|
|
Investments in limited
liability companies ("LLCs")
|
|
|
4,278
|
|
|
|
6,918
|
|
Other
Assets:
|
|
|
|
|
|
|
|
|
Cash and cash
equivalents
|
|
|
5,742
|
|
|
|
6,110
|
|
Lease and other
receivables from UHS
|
|
|
3,199
|
|
|
|
2,963
|
|
Lease receivable -
other
|
|
|
7,504
|
|
|
|
7,640
|
|
Intangible assets (net
of accumulated amortization of $19.5 million and
$26.5 million, respectively)
|
|
|
11,742
|
|
|
|
14,553
|
|
Right-of-use land
assets, net
|
|
|
8,914
|
|
|
|
8,944
|
|
Deferred charges and
other assets, net
|
|
|
8,829
|
|
|
|
9,154
|
|
Total Assets
|
|
$
|
494,009
|
|
|
$
|
488,789
|
|
Liabilities:
|
|
|
|
|
|
|
|
|
Line of credit
borrowings
|
|
$
|
236,200
|
|
|
$
|
212,950
|
|
Mortgage notes
payable, non-recourse to us, net
|
|
|
58,895
|
|
|
|
60,744
|
|
Accrued
interest
|
|
|
351
|
|
|
|
374
|
|
Accrued expenses and
other liabilities
|
|
|
19,802
|
|
|
|
12,888
|
|
Ground lease
liabilities, net
|
|
|
8,914
|
|
|
|
8,944
|
|
Tenant reserves,
deposits and deferred and prepaid rents
|
|
|
10,842
|
|
|
|
11,155
|
|
Total Liabilities
|
|
|
335,004
|
|
|
|
307,055
|
|
Equity:
|
|
|
|
|
|
|
|
|
Preferred shares of
beneficial interest, $.01 par
value; 5,000,000 shares authorized; none issued and outstanding
|
|
|
-
|
|
|
|
-
|
|
Common shares, $.01
par value; 95,000,000 shares
authorized; issued and outstanding: 2020 - 13,771,287;
2019 - 13,757,498
|
|
|
138
|
|
|
|
138
|
|
Capital in excess of
par value
|
|
|
267,368
|
|
|
|
266,723
|
|
Cumulative net
income
|
|
|
680,727
|
|
|
|
661,280
|
|
Cumulative
dividends
|
|
|
(785,413)
|
|
|
|
(747,417)
|
|
Accumulated other
comprehensive (loss)/income
|
|
|
(3,815)
|
|
|
|
1,010
|
|
Total Equity
|
|
|
159,005
|
|
|
|
181,734
|
|
Total Liabilities and Equity
|
|
$
|
494,009
|
|
|
$
|
488,789
|
|
View original
content:http://www.prnewswire.com/news-releases/universal-health-realty-income-trust-reports-2020-fourth-quarter-and-full-year-financial-results-301236071.html
SOURCE Universal Health Realty Income Trust