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Image source: The Motley Fool. Thursday, July 30, 2026 at 10:00 a.m. ET Chief Executive Officer - Taylor Pickett President - Matthew Gourmand Chief Financial Officer - Bob Stephenson Chief Investment Officer - Vikas Gupta Chief Investment Officer - Neal Ballew Senior Vice President, Data Intelligence and Government Relations - Megan Krull Operator: Hello, everyone. Thank you for joining us, and welcome to Omega Healthcare Investors Second Quarter Earnings Conference Call. After today's prepared remarks, we will host a question-and-answer session. I will now hand the conference over to Michele Reber. Please go ahead. Michele Reber: Thank you, and good morning. With me today is Omega's CEO, Taylor Pickett; President, Matthew Gourmand, CFO, Bob Stephenson; CIO, Vikas Gupta; CIO, Neal Ballew; and Megan Krull, Senior Vice President, Data Intelligence and Government Relations. Comments made during this conference call that are not historical facts may be forward-looking statements such as statements regarding our financial projections, potential transactions, operator prospects and outlook generally. Factors that could cause actual results to differ materially from those in the forward-looking statements are detailed in the company's filings with the SEC. During the call today, we will refer to some non-GAAP financial measures,; such as NAREIT FFO, adjusted FFO, FAD and EBITDA. Reconciliations of these non-GAAP measures to the most comparable measure under generally accepted accounting principles are available in the quarterly supplement. In addition, certain operator coverage and financial information that we discuss is based on data provided by our operators that has not been independently verified by Omega. I will now turn the call over to Taylor. C. Pickett: Thanks, Michele. Good morning, and thank you for joining our second quarter 2026 earnings conference call. For me and Bob, this is our 100th and our final Omega earnings call. Today, I'm going to reflect back on the evolution of nursing and senior housing industry and look forward to Omega's extremely bright future. In the 1990s, skilled nursing and senior housing facilities traded at very similar cap rates. Skilled nursing was considered a low-risk asset class with relatively low volatility. Medicare reimbursement was cost-based, and many state Medicaid rates were also cost based, resulting in low but predictable margins. Senior housing, particularly assisted living and memory care, was viewed as a less intensive but similar health care asset. Over the last 25 years, the cap rate difference between SNFs and senior housing has meaningfully [indiscernible] Why? In the late 1990s, Medicare reimbursement changed from an inefficient cost base system to a fixed fee acuity-driven system called PPS, five of the seven largest SNF public companies filed for bankruptcy, mostly caused by significant leverage used to acquire facilities and ancillary companies, rehab, pharmacy, respiratory, et cetera. The margins of the ancillary companies declined dramatically, making it impossible to maintain debt obligations, billions in investment dollars were lost. The phrase stroke of the pen risk related to SNFs has existed since this major capital market upheaval. As you would expect, SNF cap rates increased significantly. On the other hand, senior housing began to be viewed multi-family. The housing component of monthly rates could be flexed to reflect market demand and residents stayed for extended periods of time. Senior housing cap rates fell. This cap rate differential has persisted and widened over the years. Now, however, the long-anticipated baby boomer aging is here and is showing up in demand for both SNFs and senior housing, which is now resulting in lower cap rates for SNFs and a continuation of the lower cap rates for senior housing. The key takeaway looking back over 25-plus years is that skilled nursing and senior housing facilities are resilient, reliable assets and have weathered reimbursement changes, periods of oversupply, the global financial crisis and pandemic. Omega's portfolio has materially changed as we've responded to capital allocation opportunities and shifting industry dynamics including asset valuation changes. We've gone from nearly 100% SNF exposure in 2001 to significant senior housing and U.K. care home exposure by expanding and growing in those product lines while simultaneously growing our industry-leading SNF portfolio. In addition, we continue to evolve our capital allocation products to gain exposure to operating cash flow upside. Our top 10 operators reflect our capital allocation priorities as we have new top 10 entrants, including PACS and the GoldCare U.K. portfolio, and major ships with Saber jumping to #1. In addition, our operating portfolio [ SHOP ] is growing rapidly, and we expect to deploy significant operating portfolio capital going forward. I'm very confident in Omega's future growth prospects. We have the right culture, products and importantly, the people to maximize value over the next 10 years. Our culture is anchored by fact-based intellectual rigor applied to operator underwriting, conservative balance sheet management and continuous forward-looking portfolio decisions. Our products continue to expand and evolve, going beyond triple-net SNFs with a whole array of property and structuring options, allowing us to solve the capital needs of our partners. Lastly, our people are the difference in the value creation equation. I believe that our team under Matthew's leadership will generate outsized results for many years to come. The team is young, highly driven, and very diverse with talent from both industry backgrounds and sophisticated capital allocation organizations. Focusing on culture, product and people is the playbook that the most successful REITs have deployed, and one that we have enthusiastically embraced. Lastly, a special thanks to Bob. He has been a trusted partner and a good friend for over 30 years. I know that he will have no shortage of future board and business opportunities during his retirement. I wish him and his wife, Sheryl, the very best. I will now turn the call over to Matthew. Matthew Gourmand: Thanks, Taylor. And on behalf of all stakeholders in the company, thanks so much for all you and Bob have done to create prodigious shareholder value and set the company up for continued success. You've done it with humility, intellectual curiosity and a great deal of hard work. The team will look to continue not only the success but also the key tenets that drove this success as we work to build upon your legacy. Moving on to business matters. Today, I will discuss our second quarter results, certain key operating trends as well as certain expectations for the remainder of the year. First quarter adjusted funds from operations, or AFFO, of $0.83 per share and FAD, funds available for distribution, of $0.78 per share reflects strong year-over-year growth. However, sequentially, these financial metrics were effectively flat, driven by the headwind from $563 million of asset sales in the second quarter. With some of these asset sales occurring at the end of the quarter, we would expect this headwind to impact third quarter earnings as well. However, as we have been at pains to stress in our discussions with investors, we are managing this business to create long-term sustainable value. We believe these dispositions, which we sold at an effective 6.7% cap rate on cash flow, not only strengthen the underlying credit support of the related operators, but also sets us up for strong earnings accretion once the proceeds are redeployed. Furthermore, as Taylor highlighted in his press release quotation, we do not believe the acquisition run rate for the first 7 months of 2026 is reflective of what we expect for the remainder of the year. Based on the transactions forecasted to close in the coming months, we would expect a meaningful increase in transaction dollar volume for the end of 2026 and into 2027. Furthermore, similar to our first U.K. care home operating company acquisition which we closed this month, we believe many of these pending deals are creatively structured and should provide a significantly higher level of earnings accretion than our traditional triple net acquisitions. With an excellent cost of capital, EBITDA coverage at the highest level in over a decade, robust secular tailwinds and a portfolio of strong operating partners looking to grow, we are very optimistic about our ability to create shareholder value for the foreseeable future. I will now turn the call over to Vikas. Vikas Gupta: Thank you, Matthew, and good morning, everyone. Today, I will discuss the most recent performance trends for our triple net and operating portfolios, provide an update on Genesis, our strategic sales, our proactive portfolio management strategy and give some additional details on our investment activity in pipeline. Turning to portfolio performance. Our coverage for our core triple-net and mortgage loan portfolio continues to trend in a favorable direction. Our trailing 12-month operator EBITDAR coverage as of March 31, 2026, is 1.65x compared to our fourth quarter 2025 reported coverage of 1.58x. Additionally, despite being in its infancy and with limited reporting periods, our senior housing operating portfolio or SHOP, is performing in line with our underwritten expectations. The Genesis bankruptcy process continues to move forward with the closing expected by the end of the year, at which time the buyer will assume our Genesis master lease at the same economic terms, and we expect both our term loan and DIP loan will be satisfied from the consideration received by the debtors. In the second quarter, Omega received a $16 million paydown on our $25 million superpriority secured DIP loan, reducing our loan balance to $90 million. We completed the previously announced strategic exit of 18 CommuniCare assets located in Maryland and West Virginia for a contractual sales price of $480 million and a rent discount of approximately 7.7%. As we have previously said and Matthew mentioned, this was a strategic sale that was driven by the strong pricing received for these facilities, combined with the ability to significantly improve our credit with CommuniCare. We expect significant value creation when the proceeds are redeployed into new investments. As part of our proactive portfolio management strategy, during the quarter, we transitioned 20 facilities from Ciena to two other current operators, Saber and HHC, each with strong credit. There is no negative FAD impact related to this transaction. Late last year, we approached Ciena regarding exiting their leased Laurels portfolio, a 20 facility portfolio of assets in Ohio, North Carolina, Virginia and Indiana. This portfolio had historically weighed down the performance of Ciena as reflected in the trailing 12-month EBITDAR coverage of 0.87x based on the allocated rent of $33 million. We were able to successfully transition 18 facilities to the Saber master lease, one facility to the HHC master lease, and we sold one facility to the Saber Propco JV. In addition, Ciena agreed to exit their eight owned Laurel assets through a sale to the Saber Propco JV. While the culmination of these transactions is initially FAD neutral for Omega, it allowed us to strengthen the overall credit profile of Ciena. Additionally, given our 9.9% ownership in the Saber operating company, we would expect to further benefit as Saber improves the operating performance of these assets over time. Turning to new investments. We closed $470 million in new investments year-to-date, with $218 million closed in Q2 and subsequently in Q3. As you will see, we continue to support the growth of our existing and new operators in the U.S. skilled nursing space, in U.K. care home space as well as expand our new senior housing operating portfolio, all while providing for strong risk-adjusted returns for Omega shareholders as facilities stabilize. During the second quarter of 2026, Omega completed a total of $126 million in new investments, not including $18 million in CapEx. These new investments included the previously announced $43 million acquisition of three Rhode Island senior housing communities and a $33 million acquisition of two Indiana skilled nursing facilities. Our other second quarter investments included the purchase of a $15 million Tennessee senior housing community, $11 million for U.K. care home, $8 million for a Texas skilled nursing facility and $16 million in real estate loans. Subsequent to quarter end, we closed $93 million of additional investments. We purchased six Texas skilled nursing facilities for $73 million under a triple net structure, and acquired the operations of four Omega-owned care homes in the U.K. for $20 million, converting the investment into our RIDEA structure. This is our first RIDEA investment in the U.K., and to be clear, this transaction was not converted to RIDEA due to any issues with the operator, but rather we saw an opportunity for enhanced accretive growth under our RIDEA structure. For the announced transactions that I just detailed, we expect stabilized unlevered returns in the low double digits for the triple net deals and low to mid-teens for the RIDEA deals. In addition to these investments, and as I previously mentioned, the Saber Propco JV, which Omega owns a 49% equity interested, acquired nine skilled nursing facilities in the Laurels portfolio for $160 million using cash on hand and third-party debt. No additional equity was needed from Saber or Omega. As we have said in the past, we have high confidence in the Saber management team and their operating platform and expect to achieve additional growth in both the OpCo JV and the Propco JV via improvements of same-store financial performance as well as future new deal transactions. Turning to the pipeline. As both Taylor and Matthew mentioned, we have a strong pipeline and expect a material pickup in transactions through year-end. Our pipeline includes both market and off-market opportunities in the U.S. and the U.K., but a large component of these opportunities are RIDEA. While we'll continue to do triple-net deals in the U.K., now that we have completed our first RIDEA transaction there, we can move more efficiently to use this structure going forward in the U.K. for both new deals and conversions of triple-net deals when the underwriting supports enhanced growth. We have such opportunities in our U.K. pipeline as well as additional triple-net opportunities. We continue to build out our infrastructure at Omega by implementing increasingly creative deal structures and adding to our investment professionals, both in the U.S. and the U.K. The team continues to search for deals that meet our investment criteria, including high real estate quality, strong markets based on demographics and healthy stabilized returns. For RIDEA deals, the team can use to develop new relationships with high-performing managers that have demonstrated a proven ability to drive occupancy, margins and cash flow growth. These relationships not only support strong operating performance but also provide an additional source of off-market RIDEA acquisition opportunities to help facilitate future growth. Lastly, we continue to focus on alignment of interest between us and our operating partners, being a triple-net or RIDEA structure. We are pricing deals in a way that allows both parties to win, where ultimately Omega will share in a greater portion of the stabilized cash flow compared to our historical contractual structures. Overall, with the backdrop of our highly experienced team and new structures we have in place, we are excited to deliver further accretive growth in the coming quarters and years at. I will now turn the call over to Neal. Neal Ballew: Thanks, Vikas, and good morning. Turning to financials for the second quarter of 2026. Revenue for the second quarter was $328 million compared to $283 million for the second quarter of 2025. The year-over-year increase was primarily the result of the timing and impact of revenue from net new investments completed throughout 2025 and 2026, annual escalators and active portfolio management. Net income available to common shareholders for Q2 2026 was $363 million or $1.19 per common share compared to $137 million or $0.46 per common share for Q2 2025. The year-over-year increase was primarily a result of a $247 million gain on asset sales in Q2 2026, primarily from the sale of 18 CommuniCare facilities. Adjusted FFO was $261 million or $0.83 per share for the quarter and FAD was $248 million or $0.78 per share. Reconciliations of these non-GAAP measures to net income are included in our earnings release and second quarter financial supplemental posted to our website. Q2 2026 AFFO increased by approximately $0.25 compared to Q1 AFFO. The increase was primarily driven by incremental net income from $377 million in new investments completed during the first and second quarters, $1.6 million of revenue from annual escalators and lower net interest expense of approximately $1.6 million, resulting from credit facility paydowns during the quarter. These items were materially offset by reduced revenue related to $597 million in asset sales and $209 million in loan repayments over the past two quarters, which reduced Q2 AFFO by $7.5 million. Our balance sheet remains incredibly strong. Our debt is well laddered and we have significant liquidity. During the quarter, approximately $700 million in proceeds received from asset sales and loan repayments allowed us to pay down our $2 billion revolver to only $6 million in borrowings. The monetization of assets at accretive valuations created capital for higher return deployment opportunities and further strengthened our balance sheet position. Additionally, as of June 30, we had $39 million in available cash and $145 million in restricted cash, of which $118 million was sales proceeds held by qualified intermediaries and a 1031 exchange to fund future investments. We continue to have access to the equity market through our DRIP and ATM programs and our next scheduled debt maturity is not until April 2027. At quarter end, our fixed charge coverage ratio was 6.5x and our leverage decreased to 3.3x. Our leverage remains at historically low levels, and that, coupled with our substantial liquidity and ATM capacity gives us significant flexibility to fund our 2027 debt maturity and still capitalize on accretive investment opportunities. Turning to guidance. As we announced in yesterday's press release, we increased and tightened our full year adjusted FFO guidance to a range of $3.22 to $3.26 per share from our prior range of $3.19 to $3.25 per share. With that change, the midpoint of our guidance increased to $3.24 per share, a $0.02 increase over the midpoint of our April guidance. Our updated guidance reflects the impact of approximately $9 million of quarterly revenue associated with assets sold and loans repaid late in the second quarter. The volume of asset sales and loan repayments year-to-date muted AFFO growth for Q2. Additionally, the timing of some sales and repayments toward quarter end, along with an investment pipeline more heavily weighted toward the back half of Q3 and Q4 is expected to create a temporary earnings headwind. However, we believe those proceeds position us for meaningful deployment opportunities that support stronger growth in Q4 and into 2027. With that said, I'd like to take a moment to highlight a few of the guidance assumptions we outlined in our press release. Guidance includes the impact of new investments completed as of July 29 and does not include any additional investments not outlined in our press release. Guidance includes the impact of scheduled loan repayments, of the $144 million in mortgages and other real estate loans scheduled to mature in 2026, guidance assumes $56 million will convert to fee simple real estate and that the balance will be repaid. Additionally, $180 million of non-real estate backed loans outstanding as of June 30, 2026, are expected to be repaid throughout 2026. This includes approximately $148 million in Genesis loans that we expect to be repaid at the conclusion of the bankruptcy process. As we said at the beginning of the year, we are always pruning and strengthening our portfolio, which could include $15 million to $25 million per quarter in asset sales. And lastly, the guidance includes the $0.01 increase to our common dividend announced last week. The high end of our guidance range includes, but is not limited to, the timing or potential extension of loan repayments and asset sales, additional payments from cash basis operators, exposure to our operating portfolio through RIDEA and JV investments and G&A at the lower end of the range. Our 2026 adjusted FFO guidance does not include any additional investments, asset sales or capital market transactions other than what I just mentioned or what was included in the earnings release. I will now turn the call over to Megan. Megan Krull: Thanks, Neal, and good morning, everyone. According to industry experts, by 2022, the nursing home industry had lost 14% of its workforce in comparison to prepandemic levels. In June 2026, 4 years later, according to the Bureau of Labor Statistics, the industry finally recovered to those prior levels. We joined with the industry in celebrating this long-awaited milestone. That said, we also recognize that more needs to and should be done to support the industry to ensure that current and future staffing keeps pace with the growing demographic demand. Additionally, we are seeing some positive momentum on the regulatory front with CMS announcing a risk-based survey process to be rolled out later this year. And while there have been a small handful of negative state rate-setting outcomes, none of which is expected to materially impact our coverages, for the most part, rate setting has been consistent or better than our expectations. On a separate note, I would be remiss if I did not note the recent focus of both HHS and CMS on fraud and abuse within the health care sector. While the spotlight has thus far been on home health and hospice, amongst other non-nursing home providers. Similar to the OBBBA, we are watching carefully for any indirect impact to our space caused by state budget constraints. To date, we have heard of none. We applaud efforts to reduce fraud and abuse and health care, thereby leading to a less strained system. However, we hope efforts are squarely focused on those bad actors committing nefarious acts and that upstanding providers aren't inadvertently impacted. I will now turn the call over to Bob. Robert O. Stephenson: Thanks, Megan, and good morning. As Taylor mentioned, this is our 100th and final earnings call in the span of years leading Omega. I'd like to express my gratitude to everyone for the kind and heartwarming words you shared with us since the announcement of our planned retirements a few months ago. I want to extend special thanks to Taylor for asking me to help manage and grow Omega into one of the most successful REITs over the past 25 years. His steadfast leadership, creativity and guidance have been truly admirable and astonishing to produced tremendous value. It takes more than a few individuals to build a great company. Therefore, I would also like to thank all of our past and current Board members, former and current Omega employees, bankers and our operators for their contributions. In addition, I will miss the numerous conversations over the years with our analysts and investors and thank them for their support and investing in Omega. Lastly, we leave Omega and our investors with an incredibly talented executive team and employee base that we know will continue Omega's growth and deliver continued significant total shareholder returns. I will now open the call up for any questions. Operator: Your first question comes from the line of Justin Haasbeek with UBS. Justin Haasbeek: This is Justin on for Michael Goldsmith. Congratulations to Taylor and Bob. On the U.K. OpCo acquisition, if the EBITDAR coverage was previously quite high at 2.4x, can you provide some color on why the operator agreed to shift the structure to triple net or from triple net to RIDEA? Was it because the purchase price on the deal was pretty attractive. And so they agreed to the transition beforehand? Just trying to understand the dynamics of that transaction and the potential for future RIDEA transactions and transitions in the U.K. Matthew Gourmand: This is Matthew here. Well I wouldn't want to speak exactly for the operator in the situation, my sense was that he had created a decent amount of money and value in this portfolio and was looking to monetize some of that. We obviously spent a decent amount of time trying to understand whether there was opportunity for further growth, and we're very comfortable with that. And then we're able to strike a price that will create outsized returns, so meaningfully more than our low to mid-teen returns, we believe, over time, while also allowing him to take a little bit of risk off the table. We will continue, I hope, to grow with that operator, potentially both in a RIDEA and triple net format. So it's all about the alignment of interest longer term with our operators, and this is a perfect reflection of that. Justin Haasbeek: Okay. Great. And then last one for me. Just curious on how you guys think of RIDEA contracts as it relate -- as it becomes a bigger percentage of NOI specifically the management and incentive fees. Has your strategy evolved on that, in order to get aligned more so with your SHOP operators? Or is there still that industry standard of 5% of revenue and the REITs generally need to adhere to? Matthew Gourmand: Yes. We spend an awful lot of time, but both understanding what that promote structure would look like and talking to our potential managing partners and the situation to align those interests as best we can, so I don't know that I would compare it to others because we didn't spend an awful lot of time focusing on that. We really focus primarily on aligning our interest economically, and I think that all of the economic opportunities comes down to buying good assets at decent prices. Ultimately, if you're able to buy a good asset that has growth opportunities, everyone is able to do well, and you're not fighting over the pie because there's enough of it to go around. So I think not only are we focused on an alignment of interest and fairness for superior performance with our managers, we're also primarily focused on just finding the opportunities to create that value that allows both parties to succeed. Operator: Your next question comes from the line of Seth Bergey with Citi. Unknown Analyst: This is Lauren on for Seth. Congrats on the retirement. You mentioned the expected increase in CapEx deployment for the remainder of the year and into 2027, with the investment environment increasingly more competitive, I guess, one, could you go into more detail on where you're seeing the opportunities today? And two, as the spread between stabilized pricing and value-add pricing changed recently, maybe finding it more difficult to source those transactions with that embedded upside? Vikas Gupta: Yes. Lauren, this is Vikas. As we've all said, our pipeline is extremely strong. That's in all three asset classes we look at skilled nursing and senior housing U.K. care homes. At this moment, it's more weighted towards senior housing and care homes. And as we said, yes, a good benefit is value add, and we continue to buy back in all of our asset classes. Operator: Your next question comes from the line of Omotayo Okusanya with Deutsche Bank. Omotayo Okusanya: Bob and Taylor, congratulations to the dynamic duo. I have done 17 over the 25 years with you, and it's been quite a ride and all the best to both of you. In terms of my question, SHOP, curious if you guys are willing to explicitly put out a target of how big you want that to be over time the way some of your peers have. And also if you could talk internally about some of the changes you've made operationally, whether it's with [indiscernible] whether it's with technology to kind of ensure that you are kind of ready to kind of grow that business? Matthew Gourmand: Sure. Matthew here. We've never really given out kind of expectations around skilled nursing quantities of acquisitions. And I think that was by design in the fact that we just didn't know what opportunities we're going to present themselves. And so from that standpoint, in an area that we obviously have huge amounts of expertise in, if we're not willing to provide quantity guidance on that, I think it would be probably somewhat naive for us to provide an area where we're just really getting started. That having been said, we do see a very decent amount of opportunities to put money to work. So I would expect that very much like we've seen in the U.K., where we continue to grow that acquisition quantity over time, we'll look to do the same thing in senior housing. But it's really going to come down to the opportunities that present themselves, that fit within our parameters and that we are fortunate enough to win. In terms of the structuring of the company and that side of things, obviously, you're aware that we've taken some new employees on from Wall Street, have very deep capital allocation backgrounds, have a very logical way of thinking. We've also hired some people from the industry, from the operational side of things, from the relationship management side of things that have deep experience on that side. We've also extended out our data analysis and AI capabilities with some hiring of some talent in that side of things as well. It's still very much all in its infancy. It will probably continue to grow. I think we're going to continue to also increase our accounting and back-office side of things to make sure that not only are we capable of allocating that capital, but we're managing it prudently relative to our expectations and staying on top of those thing. So I think we have the bench now to continue to grow without having to add great amounts to it. But nonetheless, just the very nature of this business being more involved and triple net means that as we continue to expand the platform, we'll probably look to grow the head count to match that. Operator: Your next question comes from the line of [indiscernible] with Wells Fargo. Unknown Analyst: Congratulations Taylor and Bob on to phenomenal careers. I really enjoyed working with you both, and you've done a great job choosing the new leadership team. My first question is, could you give us a breakdown of Maplewood's performance in 2Q, both on the DC side and on the existing portfolio? Vikas Gupta: Yes, John, this is Vikas. As we've always said, we think of RIDEA, I mean we think of Maple as RIDEA today. So what I would just say is Maplewood team is doing an excellent job, and we continue to take all the cash flow, so what I would look at is the rent that's coming into Omega is reflective of the overall performance of Maplewood. Occupancy. The occupancy there is 94% for our New York facility, 66% is our DC facility. And then the rest of the portfolio has stabilized, as I said in the past. Unknown Analyst: Okay. That's helpful. And then just a second, kind of on the operators as you look across your portfolio, as you work through Genesis and then Maplewood coverage continues to improve across the portfolio, is there a watch list today for you? Or are there are there tenants that are a majority of your portfolio maintenance efforts? Or are we in a place right now where you're confident that there aren't many near-term operator concerns given the healthy coverage we're seeing across the sector? Vikas Gupta: Yes, John, Vikas again. we really have no major consumer portfolio-wise. We will, from time to time, play defense and offense with our portfolio management, similar to what we did with CommuniCare and Ciena, but we have nobody major on our troubled list. Matthew Gourmand: The only thing that I would add to that is just as we now -- I mean it seems a phenomenal job of addressing these things so proactively and getting us to a position, as you say, where the coverage has improved and the watch list has dramatically reduced. I think we can start focusing on, as Vikas said, the offense side of active portfolio management. We can't address some of those things right now because they're not fully baked. But I think that in the next few quarters, you will start to see opportunities to improve our accretion through the portfolio as well as, obviously, through capital allocation to external assets. Operator: Your next question comes from the line of Dave Rodgers with Raymond James. Unknown Analyst: This is Robin Reddy on for Dave Rodgers. Congratulations on the quarter. Texas is your largest market, but also has your lowest occupancy. And as your team goes down this path of getting in front of problems and turning the portfolio, do you guys have any concerns about Texas and coverage? . Matthew Gourmand: This is Matthew here. No. We -- this isn't a situation that has manifested itself recently. Texas has historically had low occupancy, and we acquired these assets at that occupancy level. So our coverage in our Texas portfolio today sits in a very strong position. We don't have any worries about that. Quite frankly, we think probably both from a demographic standpoint and the occupancy availability standpoint as all states start to see an increase in occupancy, Texas is probably one of the better positions to meet that increased demand relative to some other states, and I think we'll probably continue to go from strength to strength. So we very much like the state and think we're in a good position today and that it'll only get better. Operator: Your next question comes from the line of Nick Yulico with Scotiabank. Nicholas Yulico: Maybe this is for Neal, but just on the dividend increase, was that a pull forward decision maybe given your ability to get the CommuniCare deal done in the quarter? And prior quarter comments about discussing the dividend maybe later in the year? And then just in the two quarters, just thinking about comfortability with future FAD coverage, what sort of magnitude of acceleration in FAD, do you expect heading into year-end in early 2027 based on the amount of capital you will put to work and associated incremental CapEx in the near term? Neal Ballew: Yes. Nick, I start on the dividend question saying that's very much the Board decision, so it's on the last board. I think as we've reflected in some of our comments, looking at portfolio, where it stands now, where coverage has been, based on the operators and the watch list that Vikas alluded to and how there aren't problems on the watch list, the Board felt confident that now was an appropriate time to take up the dividend. And to your point about CommuniCare, I think you might be referring to the fact that we had a large sale with a large gain. But as I mentioned in my prepared remarks, some of those proceeds went to a lifetime exchange. And so I think we're managing the gain in a tax efficient way. That's not really playing a factor into causing us to step up the dividend. I think that's a completely separate factor, and that didn't play into the calculus for the dividend increase. And then as far as the Q4, I mean, I don't think we historically get to that level of granularity, but I think through my prepared remarks and when I gave the guidance, I think I gave you the building blocks for where we think we'll end up for Q3 and Q4. Nicholas Yulico: And congrats, Bob and Taylor. Operator: Your next question comes from the line of Juan Sanabria with BMO Capital Markets. Unknown Analyst: Good morning. This is [indiscernible] I was just curious on the pipeline, if you could help us quantify the size of it today versus historically. I'm just curious if there are any counter deals you're looking at? Vikas Gupta: Yes. This is Vikas again. So as I said, the pipeline is robust. It is a mix of both small deals and some done deals. We don't give a number for where we see that, but we do think this year it could turn out to be close to historical levels. Unknown Analyst: Got it. And on the SHOP U.K., just curious where cap rates are for those assets compared to triple net. And if you can talk generally about NOI growth expectations versus the U.S., that would be helpful. Matthew Gourmand: Sure. That's a good question. So and this situation was a little bit different, right, because we own the real estate already. So from that standpoint, we were just buying the OpCo, I would say that in that situation, you're normally looking at probably a high-teen yield going in possibly into the 20s. In a situation where you're taking a RIDEA structure where you're taking the OpCo and PropCo together, it very much depends on what the opportunity is very much like in the U.S. seniors housing side of things. If it's a well-managed portfolio, with decent margins and decent occupancy, you're probably going to be looking at a stabilized low double digits. If there's a situation where there's a lot of opportunity for enhancement and you think you can get into the mid-teens or even high teens, you might be willing to start out at a lower initial yield. It very much varies on that side of things, and each -- we look at each asset individually. From a standpoint of the growth opportunity in terms of the cadence of earnings growth, I would say it's somewhat similar to the U.S. RIDEA side of things. You obviously have a little bit of a public pay percentage in that, but that has been growing quite nicely. And so it may be modestly slower growth, but it is predominantly in line with what you'd see in U.S. RIDEA. Operator: Your next question comes from the line of Vikram Malhotra with Mizuho. Unknown Analyst: This is Jodie on for Vikram. Congratulations to Taylor and Bob firstly. And on the question, I wanted to ask, just focusing on Omega strategy to unlock value, like what would you say the dollar opportunity set, maybe like as a percentage of NOI, just a transition or asset management that you've been doing? Matthew Gourmand: It's really tough to quantify that because, obviously, a certain amount of it is with the active portfolio management already in our portfolio today. But at the same time, we continue to grow those opportunities through our acquisitions. I think we've talked about the fact that we would like to be growing in aggregate in that kind of mid-single-digit number. Personally, I think, 6%, 7% annualized FAD growth is eminently achievable, and there will be some years where we're able to move some levers to make that into the high single or possibly low double-digit growth. But I think that's the natural cadence of things as we sit here today. But the opportunities both from an external standpoint and even from an internal standpoint, are going to be very much determined by having partners who are willing to work with us to create that opportunity, and it's just tough to quantify what that dollar amount is until we've had those conversations. Operator: Your next question comes from the line of Henry Newell with RBC Capital Markets. Unknown Analyst: Congratulations on another successful quarter. Just want to talk about the SHOP transaction market. How difficult is it today to source new SHOP acquisitions versus, say, 6 months ago? And who are you seeing as your typical competitors when you're finding deals? Vikas Gupta: Henry, it's Vikas. We are finding SHOP deals. I mean, as we -- our mantra has been looking for value add. And I will say that time has continued, we are finding more opportunities, both marketed and off-marketed and the type of deals we're looking for, so no shortage of deals. They do tend to be smaller, but the team is working hard, and we're doing a lot of those transactions. The competition, we're not playing against the other REITs for the most part. We're playing against private buyers. Operator: Your next question comes from the line of Duane Green with Green Street. Unknown Analyst: Congratulations, Taylor and Bob. I was curious about Saber. This relationship has really grown rather quickly over the last couple of quarters, and there's a strong alignment of economic interest there. I'm just curious if this playbook is replicable for other either operators in the existing portfolio, potentially new operators within SHOP or the U.K. Matthew Gourmand: So yes, I would start by saying that even though, obviously, our relationship has grown in the last couple of years, we've known this team for the better part of a decade, and we've got to really work with them closely and understand how they transact, how they run their business, the quality from a clinical standpoint, from an operational standpoint and just how they see the world and it very, very much aligns with how we see the world. It starts with clinical quality first. It starts with rational decision-making, prudent allocation of capital, and so from that standpoint, to the extent that we find other operating partners that we have that similar kind of alignment of interest and philosophy, I think we'd be open to that. I'll tell you that Sabers don't grow on trees. This is a particularly exceptional company led by an exceptional management team. And so therefore, I don't think it's going to become a pervasive part of our business, but obviously, we continue to evaluate all opportunities to align interests, both with them and with other partners that make sense economically and philosophically. Unknown Analyst: Absolutely. That makes a lot of sense. And then my second question is just on payer mix. How much of that would you say is driven, call it, like organically by SNF operators maybe same-store concept versus shifting portfolio mix? And what are your expectations for how that metric will trend over the next couple of years? Megan Krull: I think there's a good piece of that's related to the fact that we're trying to exit certain states that have reimbursement that we don't know is sustainable like the West Virginia. And we had higher concentration of Medicaid also in the Maryland portfolio that we exited. and so that's some of what you're seeing there. Operator: Your next question comes from the line of Alec Feygin with Baird. Alec Feygin: Just one big one for me. you did CommuniCare last quarter and now the end of this quarter. It seems like on the CommuniCare stuff that was -- that came to you, is it similar for Ciena? Did they come to you? Are they exiting somehow? Or was that something that you pushed? And then following up on that, are there any other kinds of big portfolio transition opportunities that you're actively evaluating? Vikas Gupta: Yes. Like I said in my prepared remarks, this is proactive asset management on our gas for Ciena. We approach them because their coverage is not in those non-Michigan assets. I will note Ciena is an excellent offer in Michigan, but this portfolio that was not in Michigan, they were not performing well. So we saw an opportunity to transition those buildings to high credit operators like Saber and HHC and then improve the coverage with Ciena at the same time. And then we also got the benefit of additional growth with Saber as they continue to stabilize those facilities and to our 9.9%. So overall, win-win for everybody in that situation for Ciena, for the new operators. Again, this was a little bit of defense with some offense. We will continue to look for that. But at this moment, we have nothing of particular... Matthew Gourmand: Yes. The only thing I would add is CommuniCare was led by us as well. The team came up with something that we felt made sense from our standpoint and engaged CommuniCare in that and ultimately came out what I think was an obvious win-win for both parties. But it's all coming from us and the active portfolio management, the operations team is doing an outstanding job of looking at that and have [indiscernible] addressed most of the things from a defensive standpoint that we need to do. And now they are continuing to look for those opportunistic offensive areas where we can enhance the portfolio as well. Operator: Your next question comes from the line of Farrel Granath with Bank of America. Farrell Granath: Congratulations to Taylor, 100 earnings calls, that's a great number. So my first question is, you continue to mention Saber, if you could give a little bit more detail about really where you see this relationship going. We've obviously seen you lean into different aspects of the relationship through your JVs as well as also utilizing them in this transition for operators. And also if you could address that there's a certain cap for exposure that you'd be willing to include. Vikas Gupta: Yes. So I'll start. This is Vikas. So as Matthew said, we know the Saber management team extremely well. We think very highly of them. This was an example of something that's in our portfolio, we were able to move to Saber, stay FAD neutral and then realize future growth as they grow. We could have more opportunities like this, but we really do expect to have other new opportunities we will add. And that could be both in our triple net or in our JVs, that will depend on things like who is the seller, what is the timing and what is the size? It would probably be a combination of both going forward. So the possibilities are somewhat endless with Saber. They do want to continue to grow. They do want to continue to enter new states and we are very supportive of that based on their road map to date. Matthew Gourmand: And then in terms of the sizing, obviously, you want to have a diversified portfolio of operators. But if we think back over the last 10 years, a lot of the challenges that we've had have actually come from some of our smaller operating partners, so when you have this situation, I would put Saber in this bucket, as I put a number of other of our top 10 operators in this bucket, where you have these high-caliber operators that you now provide both strong clinical care and able to achieve decent financial results. From that standpoint, you're quite happy to grow with them, and in many situations, putting incremental assets into their hands, both from an ability standpoint and from the support of the master lease makes more financial sense than just growing for the sake of diversification. So I don't think we have a quantification as to what that will look like. I do think that the pipeline is robust enough that we're going to continue to be adding assets and managers/operators to that portfolio. So intrinsically, it's not going to grow to an outsized amount. But internally, if we see opportunities to grow with Saber or any of our larger operating partners that make financial sense, we'll continue to do so and won't let diversification be the defining decision as to whether we do so or not. Farrell Granath: And my second question is about the U.K. Prime Minister Burnham discussing adult social care systems recently, and potentially implementing tax or having greater reform, and I was curious if you could add any comments or opinions on what that could mean for public REIT exposure, especially in the U.K.? And if that changes at all your deployment of capital into the area? Matthew Gourmand: Sure. Great question. This is a situation that we're seeing in the U.K. And candidly, we've been seeing in the United States as well, where people start to look at their budgets and try to understand whether they're getting value for money. And from our standpoint, we have been very, very disciplined both in our U.K. expansion and in the U.S. in buying assets that not only -- of vital assets within the care continuum, but that also have an alignment of value relative to the underlying real estate. One of the situations we've seen is where cash flows will support or warrant evaluation being assigned to real estate that effectively is significantly higher than the underlying value of the real estate itself. There's a huge need in the United Kingdom to continue to provide care. Candidly, the most efficient way of providing that care is in one holistic setting rather than having carers care for people in individual accommodations, which is far less efficient. And so we actually think that as they start to look at opportunities to cut costs while not cutting quality of care, care homes that provide decent quality in holistic settings and that have fees that are in alignment with the value that they're providing are probably going to benefit in that situation. And that's ultimately where we've been allocating our capital both within the U.K. and within the U.S. And therefore, we feel comfortable that should these situations manifest into changes in reimbursement, our portfolios will likely benefit from that as -- in a net capacity as opposed to having [indiscernible] Operator: Your next question comes from the line of [indiscernible] with Barclays. Unknown Analyst: You mentioned yields on the OpCos range from the high teens to 20%, it seems pretty attractive relative to senior housing, given you still get the growth, but then also get higher yields. So I'm wondering if there's a constraint on your ability to do more acquisitions and how much is in your pipeline? . Matthew Gourmand: Thanks for the question. Yes. So just to clarify, that's a situation where we already own the real estate, and we're just acquiring the OpCo. The OpCo multiples might be 4 or 5x earnings, right? So from that standpoint, we're not going to get 20% when we're going out and buying the OpCo, PropCo combo. That's more an opportunity to grow into the low to mid-teens. Ultimately, there may be opportunities for us to take the operating companies of real estate that we own today. We continue to engage with operators and try to look for a price that suits both parties. But at the same time, there's a finite amount of opportunity in that a lot of operators want to keep operating their facilities, so there has to be an alignment of interest around both an exit decision and the price that makes sense in that situation. But I do think that the U.K. has now three effective ways to allocate capital, both from a triple net standpoint, from RIDEA standpoint where you take down the OpCo and the PropCo and potentially down the line some conversions of OpCos into a RIDEA structure where we already at real estate. Unknown Analyst: That's helpful. And then my next question is in regards to the seasonal transition. Now that Saber is taking on those assets, I'm curious what the coverage is for the OpCo. Matthew Gourmand: You want to know what the coverage is on Ciena or on Saber? Unknown Analyst: Now that Saber is taking on the Ciena assets, I was wondering if you could provide detail on -- assuming there's a master lease or some sort of corporate guarantee, what the coverage is that did the OpCo of Saber. C. Pickett: Yes. So we don't release coverages by operators, but Saber is extremely strong operator recovered well above. So there's no concerns on our upside even with the addition of these buildings that still need to stabilize. Saber's overall company is extremely strong. Operator: We have reached the end of the Q&A session. I will now turn the call back to Taylor Pickett, CEO for closing remarks. C. Pickett: Thanks, everyone, for joining our call this morning. I look forward to future calls as a shareholder. Goodbye. Operator: This concludes today's call. Thank you for attending. You may now disconnect. Before you buy stock in Omega Healthcare Investors, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Omega Healthcare Investors wasn’t one of them. The 10 stocks that made the cut are built for long-term growth and could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $397,405!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,344,091!* That performance is why people listen. With a track record of beating the S&P 500 by 4x, Stock Advisor offers a distinct advantage. Don't miss the latest top 10 list, available with Stock Advisor, and join an investing community built for the long haul. See the 10 stocks » *Stock Advisor returns as of August 7, 2026. This article is a transcript of this conference call produced for The Motley Fool. While we strive for our Foolish Best, there may be errors, omissions, or inaccuracies in this transcript. As with all our articles, The Motley Fool does not assume any responsibility for your use of this content, and we strongly encourage you to do your own research, including listening to the call yourself and reading the company's SEC filings. Please see our Terms and Conditions for additional details, including our Obligatory Capitalized Disclaimers of Liability. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. Omega Healthcare Investors (OHI) Q2 2026 Earnings Call Transcript was originally published by The Motley Fool

Interested in Omega Healthcare Investors, Inc.? Here are five stocks we like better. Omega Healthcare Investors reported stronger Q2 results, with revenue rising to $328 million and net income reaching $363 million, boosted by a $247 million gain on asset sales. Adjusted FFO was $0.83 per share, and full-year 2026 AFFO guidance was raised to $3.22–$3.26 per share. The company significantly strengthened its balance sheet by using roughly $700 million of asset-sale and loan-repayment proceeds to reduce revolver borrowings to $6 million. Portfolio EBITDA coverage improved to 1.65x, while leverage stood at 3.3x. Management expects investment activity to accelerate in the second half of 2026 and into 2027, including expansion in skilled nursing, senior housing and U.K. care homes. Omega is placing greater emphasis on RIDEA operating investments, which it expects to generate higher returns than traditional triple-net deals. 3 Healthcare Stocks With Fresh Dividend Hikes and Different Income Profiles Omega Healthcare Investors (NYSE:OHI) reported second-quarter 2026 results marked by higher revenue, a large gain from asset sales, improved portfolio coverage and an increased full-year Adjusted FFO outlook, while management outlined plans for greater investment activity in the second half of the year. The call was also the 100th and final earnings call for CEO Taylor Pickett and CFO Bob Stephenson, who are retiring after 25 years leading the company. Pickett said Omega has evolved from a nearly exclusively skilled-nursing-focused portfolio in 2001 to one with greater senior housing and U.K. care home exposure, as well as a growing operating portfolio. → Why SK hynix Could Be the Best AI Chip Stock to Buy Now 3 Healthcare Stocks Providing Relief for the Sandwich Generation “I am very confident in Omega’s future growth prospects,” Pickett said, pointing to the company’s culture, expanding capital-allocation products and management team under President Matthew Gourmand. Revenue totaled $328 million in the second quarter, compared with $283 million in the year-ago period. Chief Accounting Officer Neal Ballew said the increase primarily reflected revenue from net new investments completed during 2025 and 2026, annual escalators and portfolio-management activity. → Microsoft Just Flipped the AI Spending Narrative Overnight High Yield Revival: 3 Cash-Rich Dividend Payers on Sale Net income available to common shareholders was $363 million, or $1.19 per share, compared with $137 million, or $0.46 per share, a year earlier. The increase was primarily driven by a $247 million gain on asset sales, largely related to the sale of 18 CommuniCare facilities. Adjusted funds from operations, or AFFO, were $261 million, or $0.83 per share, while funds available for distribution, or FAD, were $248 million, or $0.78 per share. → Carrier Earnings Could Send the Stock to a New All-Time High Ballew said AFFO rose by approximately one-quarter of a penny per share from the first quarter. Contributions from new investments, annual escalators and lower interest expense were mostly offset by lost revenue associated with asset sales and loan repayments during the past two quarters. Omega completed $377 million of new investments during the first and second quarters. Asset sales totaling $597 million and loan repayments of $209 million over the past two quarters reduced second-quarter AFFO by $7.5 million. About $700 million of asset-sale proceeds and loan repayments during the quarter enabled Omega to reduce borrowings on its $2 billion revolver to $6 million. At June 30, the company reported a 6.5x fixed-charge coverage ratio and leverage of 3.3x. The company raised and tightened its 2026 AFFO guidance to $3.22 to $3.26 per share, from prior guidance of $3.19 to $3.25 per share. The revised midpoint of $3.24 represents a $0.02 increase from the midpoint of April guidance. However, Ballew said asset sales and repayments completed late in the second quarter, combined with an investment pipeline weighted toward late third-quarter and fourth-quarter closings, are expected to create a temporary earnings headwind. Management expects redeployment of proceeds to support stronger growth in the fourth quarter and into 2027. Chief Investment Officer Vikas Gupta said trailing-12-month EBITDA coverage for Omega’s core triple-net and mortgage loan portfolio improved to 1.65x as of March 31, from 1.58x reported for the fourth quarter of 2025. The company’s Senior Housing Operating Portfolio, or SHOP, has performed in line with underwriting expectations, he said. Omega completed its previously announced exit from 18 CommuniCare facilities in Maryland and West Virginia for a contractual sales price of $480 million, with a rent discount of approximately 7.7%. Gupta said the sale was driven by strong pricing and the opportunity to materially improve the company’s credit position with CommuniCare. The company also transitioned 20 facilities in Ciena’s Laurels portfolio to other operators. Eighteen facilities were moved to Saber under its master lease, one facility was moved to HHC, and one property was sold to the Saber PropCo joint venture. Ciena also agreed to sell eight owned Laurels assets to the Saber PropCo joint venture. Gupta said the transaction was initially FAD-neutral, but it strengthened Ciena’s overall credit profile. The Laurels portfolio had trailing-12-month EBITDA coverage of 0.87x based on allocated rent of $33 million. Omega owns a 9.9% interest in Saber’s operating company and expects to benefit if Saber improves the facilities’ performance. Management said it had no major current operator concerns. Gourmand said the company has addressed much of its defensive portfolio work and expects to increasingly focus on opportunities to enhance accretion through active portfolio management. Omega closed $470 million in new investments year to date, including $218 million closed in the second quarter and after quarter-end. Second-quarter investments totaled $126 million, excluding $18 million of capital expenditures. Investments during the period included three Rhode Island senior housing communities for $43 million, two Indiana skilled nursing facilities for $33 million, a Tennessee senior housing community for $15 million, a U.K. care home for $11 million, a Texas skilled nursing facility for $8 million and $16 million in real estate loans. After quarter-end, Omega acquired six Texas skilled nursing facilities for $73 million under a triple-net structure. It also acquired the operations of four company-owned U.K. care homes for $20 million, converting the assets to a RIDEA structure. Gupta said the U.K. transaction was Omega’s first RIDEA investment in the country and was not driven by operator issues, but by an opportunity for greater accretive growth. The company expects stabilized unlevered returns in the low-double-digit range for the announced triple-net investments and low- to mid-teen returns for RIDEA transactions. Gupta said Omega’s pipeline includes marketed and off-market opportunities in the U.S. and U.K., with a substantial portion tied to RIDEA structures. Management expects a material pickup in transaction volume through year-end and into 2027. Senior Vice President of Data Intelligence and Government Relations Megan Krull said nursing home employment recovered to pre-pandemic levels in June 2026, according to Bureau of Labor Statistics data, following a period in which the industry had lost 14% of its workforce compared with pre-pandemic staffing levels. Krull also cited generally favorable rate-setting trends, saying that while there have been a small number of negative state outcomes, none is expected to materially affect Omega’s coverage. She said the company is monitoring healthcare fraud-and-abuse initiatives and potential indirect effects from state budget pressures, though management had not identified an impact on its business to date. Gourmand said the company sees strong opportunities across skilled nursing, senior housing and U.K. care homes, particularly in value-add assets. He also said Omega’s senior housing investment activity is generally competing more with private buyers than with other REITs. “With an excellent cost of capital, EBITDA coverage at the highest level in over a decade, robust secular tailwinds, and a portfolio of strong operating partners looking to grow, we are very optimistic about our ability to create shareholder value for the foreseeable future,” Gourmand said. Omega Healthcare Investors, Inc is a real estate investment trust (REIT) that specializes in the ownership and management of healthcare-related facilities. The company's core business involves acquiring and leasing long-term care properties, including skilled nursing facilities and assisted living communities, under net lease agreements. Its portfolio is designed to provide stable, inflation-protected cash flows from operators responsible for day-to-day property management. Founded in 1992 and headquartered in Hunt Valley, Maryland, Omega Healthcare Investors has grown its holdings to encompass hundreds of facilities across the United States, with a smaller presence in select international markets. This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected]. The article "Omega Healthcare Investors Q2 Earnings Call Highlights" was originally published by MarketBeat. View MarketBeat's top stocks for July 2026.

This article first appeared on GuruFocus. Release Date: July 30, 2026 For the complete transcript of the earnings call, please refer to the full earnings call transcript. EBITDA coverage reached the highest level in over a decade at 1.65 times, indicating strong operator performance. Proactive portfolio management, including strategic asset sales and transitions, strengthened credit profiles and set the stage for future growth. Strong pipeline of investment opportunities, including value-add RIDEA structures, expected to drive meaningful earnings accretion in late 2026 and 2027. Balance sheet remains robust with low leverage of 3.3 times, significant liquidity, and access to capital markets for future deployment. Secular tailwinds from aging baby boomer demographics are driving demand for both skilled nursing and senior housing assets. Sequential AFFO and FAD were effectively flat due to $563 million in asset sales during the quarter, creating a temporary earnings headwind. Asset sales and loan repayments reduced Q2 AFFO by $7.5 million, with further impact expected in Q3 from late-quarter dispositions. The investment pipeline is heavily weighted toward the back half of Q3 and Q4, delaying the redeployment of sale proceeds. Texas, Omega's largest market, has the lowest occupancy, though coverage remains strong and no immediate concerns were noted. The company faces ongoing risks from potential state budget constraints and regulatory changes, though no material impacts have been observed to date. Here are the key highlights from the Omega Healthcare Investors Inc (NYSE:OHI) Q2 2026 earnings call, presented as summarized Q&A pairs. Warning! GuruFocus has detected 6 Warning Sign with BPCGY. Is OHI fairly valued? Test your thesis with our free DCF calculator. Q: Can you provide more detail on the UK OpCo acquisition, where coverage was previously high at 2.4 times? Why did the operator agree to shift from a triple-net to an RIDEA structure? A: (Matthew Gourmand, CEO) The operator had created significant value in the portfolio and was looking to take some risk off the table. We saw an opportunity for further growth and were able to strike a price that will create outsized returns for Omega, meaningfully more than our low-to-mid teen targets. This is a perfect reflection of our focus on long-term alignment of interests with our operating partners. Q: You mentioned an expected increase in capital deployment for the remainder of the year. Could you go into more detail on where the opportunities are today, and whether the spread between stabilized and value-add pricing has changed? A: (Vickus Gupta, CIO) Our pipeline is extremely strong across all three asset classes: skilled nursing, senior housing, and UK care homes. It is currently more weighted towards senior housing and care homes, and a good bit of it is value-add. We continue to find these opportunities in all of our asset classes. Q: Are you willing to put out an explicit target for how big you want the RIDEA portfolio to be over time, and what are you doing internally to ensure you are ready to grow that business? A: (Matthew Gourmand, CEO) We have never given quantity guidance on acquisitions, and it would be naive to do so in an area where we are just getting started. However, we see a decent amount of opportunities to put money to work. Internally, we have hired talent from Wall Street with capital allocation backgrounds and from the industry with operational expertise. We are also extending our data and AI capabilities and will likely grow headcount to match the platform's expansion. Q: Could you give the breakdown of Maplewood's performance, specifically on the DC side? A: (Vickus Gupta, CIO) We think of Maplewood as our RIDEA today, and they are doing an excellent job. We continue to take all the cash flow, so the rent coming to Omega is reflective of the overall performance. Occupancy is 94% for our New York facility and 66% for our DC facility, with the rest of the portfolio stabilized. Q: As coverage continues to improve across the portfolio, is there a watchlist for you, or are there tenants that are a majority of your portfolio management efforts? A: (Vickus Gupta, CIO) We really have no major concerns at this time. We will play defense and offense with portfolio management, similar to what we did with Communicare and Sienna. (Matthew Gourmand, CEO) The team has done a phenomenal job of addressing issues proactively, and the watch list has dramatically improved. We can now start focusing on the "offense" type of active portfolio management. Q: Texas is your largest market but also has the lowest occupancy. Do you have any concerns about Texas and coverage? A: (Matthew Gourmand, CEO) No. Texas has historically had low occupancy, but we acquired these assets at that occupancy level. Coverage in our Texas portfolio today sits in a very strong position. From a demographic standpoint, Texas is probably in one of the better positions to meet increased demand, so we think it will only get better. Q: Was the dividend increase a forward decision given your ability to get the Communicare deal done? What sort of magnitude of FAD acceleration do you expect heading into year-end? A: (Neil Ballew, CFO) The dividend was a board decision. Given the portfolio's current strength, coverage, and the lack of problems on the watchlist, the board felt confident that now was the appropriate time. The gain from the Communicare sale was not a factor in the calculus for the dividend increase. We don't get into the granularity of Q4 FAD, but the guidance provides the building blocks for where we think we'll end up. Q: How difficult is it to source RIDEA acquisitions today versus six months ago, and who are your typical competitors? A: (Vickus Gupta, CIO) We are finding RIDEA deals. As time has continued, we are finding more opportunities, both marketed and off-market. The team is working hard and doing a lot of those transactions. For the most part, we are not competing against other REITs but against private buyers. Q: The relationship with Saber has grown quickly. Is this playbook replicable for other operators in the existing portfolio or new operators? A: (Matthew Gourmand, CEO) We have known the Saber team for the better part of a decade and their philosophy aligns with ours. To the extent we find other operating partners with that same alignment, we would be open to it. However, Saber is a particularly exceptional company, so I don't see this as a pervasive part of our business, but we will continue to evaluate opportunities to align interests. Q: Regarding the Sienna transition, now that Saber is taking on those assets, what is the coverage for the OpCo? A: (Vickus Gupta, CIO) We don't release coverages by individual operators, but Saber is an extremely strong operator with coverage well above our portfolio average. There are no concerns on our side. Even with the addition of these buildings that need to stabilize, Saber's overall coverage is extremely strong. For the complete transcript of the earnings call, please refer to the full earnings call transcript.

Completed $126 Million in New Investments in Q2 2026 Increased Quarterly Dividend by $0.01 to $0.68 in August Raises Full Year Adjusted FFO Guidance HUNT VALLEY, Md., July 29, 2026--(BUSINESS WIRE)--Omega Healthcare Investors, Inc. (NYSE: OHI) (the "Company" or "Omega") announced today its results for the quarter ended June 30, 2026. SECOND QUARTER 2026 AND RECENT HIGHLIGHTS Net income for the quarter of $380 million, or $1.19 per diluted share, compared to $140 million, or $0.46 per diluted share, for Q2 2025. Adjusted Funds From Operations ("Adjusted FFO" or "AFFO") for the quarter of $261 million, or $0.83 per diluted share, on 316 million weighted-average common shares outstanding, compared to $232 million, or $0.77 per diluted share, on 303 million weighted-average common shares outstanding, for Q2 2025. Funds Available for Distribution ("FAD") for the quarter of $248 million, or $0.78 per diluted share, compared to FAD of $223 million, or $0.74 per diluted share, for Q2 2025. Net Operating Income ("NOI") for the quarter of $331 million, compared to NOI of $281 million for Q2 2025. Completed $126 million of investments in Q2 primarily consisting of $110 million in real estate acquisitions and $16 million in real estate loan fundings. Expanded partnership with Saber Healthcare Holdings, LLC ("Saber") and affiliates through significant portfolio growth, including $124.3 million of net investment activity at SHH Holdings, LLC ("Saber PropCo JV") and the addition of 27 facilities under Saber’s operations. Issued 1.3 million common shares in Q2 for gross proceeds of $62 million. Completed the sale of 18 CommuniCare facilities in Q2 for gross proceeds of $480 million. Completed $93 million in new investments in July 2026. Increased quarterly common dividend to $0.68 per share effective August 3, 2026. Commencing in the second quarter of 2026, the Company will report its financial results based on two reportable segments: Triple-Net Investments and Operating Portfolio ("Operating"). Nareit Funds From Operations ("Nareit FFO"), AFFO, FAD and NOI are supplemental non-GAAP financial measures the Company believes are useful in evaluating the performance of real estate investment trusts ("REITs"). Reconciliations and further information regarding these non-GAAP measures are provided at the end of this press release. CEO COMMENTS Taylor Pickett, Omega’s Chief Executive Officer, stated, "We are pleased to report strong second quarter results, with FAD per share up 6.3% over the same quarter last year. This reflects our continued accretive investment activity, augmented by active portfolio management. As a result, we were again able to increase our AFFO guidance, moving the midpoint up by two cents to $3.24." Mr. Pickett continued, "While we were able to allocate capital to a diverse selection of accretive investments in the second and early third quarter, including our first UK care home operating company acquisition, the dollar amount of the investments is not reflective of our pipeline. Although we do not provide specific acquisitions guidance, based on our pipeline today, we would expect a significant increase in the amount of capital we are able to allocate through the remainder of this year and into early 2027." Mr. Pickett concluded, "I have been in the industry for 33 years and I have been fortunate enough to lead Omega for the last 25 years. Now, as I prepare to retire, I can safely say that this is the most favorable operating backdrop that I have known in my career. Furthermore, with our strong operating partners and our exceptional, driven team, I believe Omega is excellently positioned to generate outsized returns for shareholders for many years to come." SECOND QUARTER 2026 PORTFOLIO AND RECENT ACTIVITY Operator Updates: Ciena – During the second quarter of 2026, the Company transitioned 20 skilled nursing facilities ("SNFs") included in the Laurels portfolio out of its lease with Ciena Healthcare Management, Inc. ("Ciena"). Of the 20 facilities, 18 were re-leased to Saber, one was re-leased to The Health and Hospital Corporation of Marion County ("HHC"), and one was sold to the Saber PropCo JV. The transaction strengthened the portfolio's credit profile by replacing a lease with trailing 12-month EBITDAR coverage of 0.87x with leases to operators generating EBITDAR coverage above the portfolio mean of 1.65x. In separate transactions completed during the second quarter of 2026 and July 2026, Ciena also sold its eight owned Laurels facilities to the Saber PropCo JV. While these transactions are initially FAD neutral for Omega, they are expected to enhance the operating performance of Ciena's remaining portfolio. Additionally, Omega's 9.9% equity interest in Saber (discussed further below) provides potential upside from future operating improvements at the transitioned facilities. Genesis – As previously disclosed, Genesis Healthcare, Inc. ("Genesis") filed for Chapter 11 bankruptcy protection on July 9, 2025. Since filing for bankruptcy, Genesis has made all required contractual rent and interest payments through July 2026. During the second quarter of 2026, Omega received a $16.3 million paydown on the super-priority secured debtor-in-possession ("DIP") financing, resulting in an outstanding balance of $8.7 million under such financing as of June 30, 2026. In addition, there is $139.8 million of principal outstanding under two secured term loans as of June 30, 2026. In the second quarter of 2026, the Company recognized rental income of $13.3 million for contractual rent payments received from Genesis, and interest income of $5.9 million, consisting of $0.7 million of cash interest and $5.2 million of paid-in-kind interest. Maplewood – In the second quarter of 2026, Maplewood Senior Living (along with affiliates "Maplewood") paid $19.6 million in rent (compared to $19.4 million in the first quarter of 2026). New Investments: The following table presents investment activity: $110 Million in Real Estate Acquisitions – In the second quarter of 2026, the Company acquired eight facilities for aggregate consideration of $109.9 million with expected stabilized yields in the low double digits, comprised of: $41 Million in Triple-Net U.S. Real Estate Acquisitions – In two second quarter transactions, the Company acquired three SNFs, two in Indiana and one in Texas, for aggregate consideration of $41.2 million. The Indiana SNFs were added to an existing operator’s lease and the Texas SNF was leased to a new operator. $58 Million in Operating Portfolio U.S. Real Estate Acquisitions – In two second quarter transactions, the Company acquired three senior housing communities in Rhode Island and one in Tennessee for aggregate consideration of $58.2 million. The Company will operate the four senior housing communities, through two new third-party property managers, utilizing the REIT Investment Diversification and Empowerment Act of 2007 ("RIDEA") structure. $11 Million Triple-Net U.K. Real Estate Acquisition – The Company acquired one care home in the U.K. for $10.5 million that was leased to a new operator. $16 Million in Real Estate Loans – In the second quarter of 2026, the Company funded $16.4 million in real estate loans, comprised of: $14 Million of Fundings on a Canada Development Loan – During the second quarter of 2026, the Company funded an additional $14.1 million ($CAD $20.0 million) under a previously disclosed Canadian dollar denominated real estate loan, bringing the total fundings under the loan to $16.2 million (CAD $23.0 million) as of June 30, 2026. The loan has a maximum commitment of $61.8 million ($CAD $87.6 million), and the proceeds of the loan are being utilized to finance the development of five long-term care facilities in Canada. The loan bears interest at 10.0% and matures in December 2035. At Omega’s option, the loan is convertible into a 34.9% equity stake in the borrower. $2 Million of Additional Fundings on Existing U.S Real Estate Loans – The Company funded $2.0 million of additional draws on existing U.S. real estate loans during the second quarter of 2026 at a weighted average interest rate of 9.9%. $93 Million in Q3 2026 Real Estate Investment Activity – In the third quarter of 2026, the Company completed $93.2 million of new investments with expected stabilized yields in the low double digits, comprised of: $20 Million U.K. OpCo Acquisition – In July 2026, the Company acquired the operator of four care homes in the U.K. for $20.2 million and transitioned the investment to a RIDEA structure. Concurrent with the acquisition, the Company entered into a management agreement with an affiliate of the acquired operator to continue managing the day-to-day operations of the four care homes. The four care homes generated contractual rental income of $0.8 million during the second quarter of 2026, and as of March 31, 2026, trailing 12-month EBITDAR coverage on the four facilities was 2.41x. $73 Million Triple-Net U.S. Real Estate Acquisition – In July 2026, the Company acquired six SNFs in Texas for $72.9 million that were leased to a new operator. Unconsolidated Entities Investment Activity – During the second quarter of 2026 and through July 2026, unconsolidated entities in which the Company holds noncontrolling equity interests completed a number of significant real estate and operating transactions, including $124.3 million of net investment activity and the addition of 27 facilities to the Saber platform: Saber PropCo JV – $124 Million in Net Real Estate Investments – During the second quarter of 2026 and through July 2026, Saber PropCo JV, a property holding company JV in which Omega owns a 49% equity interest, acquired nine SNFs, in conjunction with the Ciena Laurels portfolio transactions described above, for $160.0 million and disposed of three SNFs for $35.7 million. All of the acquisitions completed were funded through a combination of operating cash and third-party debt, with no additional contributions from the Company. Following the investment activity described above, Saber PropCo JV holds 71 facilities subject to triple net leases with Saber that generate $83.1 million in contractual rent per annum. Saber PropCo JV also has $582.0 million of mortgage debt with a weighted average interest rate of 5.6% per annum, which is non-recourse to the Company. In the second quarter of 2026, the Company recognized $1.9 million of income from the Saber PropCo JV, which is net of $3.3 million of depreciation and amortization expense and other non-cash items. Saber – 27 New Facilities Under Operation – As previously disclosed, in the first quarter of 2026, Omega acquired a 9.9% equity interest in Saber. In conjunction with the Laurels portfolio transactions described above, 18 facilities were transitioned from Ciena to the Saber master lease, and Saber assumed operations of nine facilities acquired by the Saber PropCo JV. As of June 30, 2026, Saber leased 69 facilities directly from the Company for monthly contractual rent of $7.7 million. In the second quarter of 2026, the Company recognized $1.1 million of income from its investment in Saber, which is net of $1.5 million of depreciation and amortization expense and other non-cash items. Asset Sales and Loan Repayments: $563 Million in Asset Sales – In the second quarter of 2026, the Company sold 26 facilities for $562.6 million in consideration, recognizing a gain of $246.5 million. This included the previously announced strategic disposition of 18 facilities located throughout Maryland and West Virginia, that were leased to CommuniCare Health Services, Inc. ("CommuniCare") and generated quarterly contractual rent of $9.2 million in the quarter prior to the sale. These 18 facilities were sold for $472.8 million in net cash proceeds ($479.9 million gross), recognizing a gain of $231.7 million. The trailing 12-month EBITDAR coverage of this portfolio was 0.87x as of December 31, 2025. $172 Million in Loan Repayments – In the second quarter of 2026, the Company received $172.4 million of loan repayments on loans with a weighted average interest rate of 11.4%, including $82.4 million of early repayments on loans with CommuniCare associated with the sales discussed above. TRIPLE-NET AND MORTGAGE LOAN OPERATOR COVERAGE DATA The following tables present operator revenue mix, census and coverage data based on information provided by the Company’s operators for the indicated periods. The Company has not independently verified this information and is providing this data for informational purposes only. FINANCING ACTIVITIES ATM Program and Dividend Reinvestment and Common Stock Purchase Plan – The following is a summary of the common shares issued through the second quarter of 2026: BALANCE SHEET AND LIQUIDITY As of June 30, 2026, the Company had $4.1 billion in outstanding indebtedness with a weighted average annual interest rate of 4.2%. The Company’s indebtedness consisted of an aggregate principal amount of $3.8 billion of senior unsecured notes, $6.0 million on its revolving credit facility, and a $300.0 million term loan. As of June 30, 2026, total cash and cash equivalents were $39.0 million, and the Company had $2.0 billion in undrawn capacity under its unsecured revolving credit facility. DIVIDENDS On July 23, 2026, the Board of Directors declared a quarterly cash dividend of $0.68 per share, increasing the quarterly dividend on its common stock by $0.01 per share over the previous quarter. The dividend is payable August 14, 2026, to common stockholders of record as of the close of business on August 3, 2026. 2026 GUIDANCE INCREASED The Company’s expected 2026 Adjusted FFO range is between $3.22 to $3.26 per diluted share compared to the previous range of $3.19 and $3.25 per diluted share. The guidance assumes: all portfolio activity, including new investments outlined above in the press release; no additional operators are placed on a cash-basis for revenue recognition; Genesis continues to pay its full contractual rental obligations of $13.3 million per quarter; Maplewood pays rent at $19.6 million per quarter; quarterly G&A expense of approximately $14 million to $15.5 million; no material changes in market interest rates or changes in foreign currency exchange rates, including those due to derivative instruments entered into to minimize the fluctuation in the GBP spot rates; quarterly dividends of $0.68 per share following the increase effective August 3, 2026; $56 million of the $144 million in mortgages and other real estate-backed investments that are set to mature in 2026 will be converted from loans to fee simple real estate and the remaining balance will be repaid in 2026; $180 million in non-real estate backed loans at June 30, 2026 are expected to be repaid throughout 2026 (including $148 million in loans to Genesis to be repaid in Q4 2026); and asset sales of approximately $15 million to $25 million per quarter. The Company’s guidance is based on several assumptions including those noted above, which are subject to change and many of which are outside the Company’s control. However, it excludes any additional: acquisitions or acquisitions costs; capital markets activity; interest refinancing expenses; provisions for credit losses, if any; and certain revenue and expense items. If actual results vary from these assumptions, the Company's expectations may change. Without limiting the generality of the foregoing, the timing of collection of rental obligations from operators on a cash basis and the timing and completion of acquisitions, divestitures, restructurings and capital and financing transactions may cause actual results to vary materially from the Company’s current expectations. There can be no assurance that the Company will achieve its projected results. The Company may, from time to time, update its publicly announced AFFO guidance, but it is not obligated to do so. The Company does not provide a reconciliation for its AFFO guidance to GAAP net income because it is unable to determine meaningful or accurate estimates of reconciling items without unreasonable effort. This is due to the inherent difficulty of forecasting the timing and/or amounts of various items that would impact future net income. This includes, but is not limited to, changes in the provision for credit losses, real estate impairments, acquisition, merger and transition related costs, straight-line write-offs, gain/loss on assets sold, etc. In particular, the Company is unable to predict with reasonable certainty the amount of change in the provision for credit losses in future periods, which is often a significant reconciling adjustment. ADDITIONAL INFORMATION Additional information regarding the Company can be found in its Second Quarter 2026 Financial Supplemental posted under "Financial Info" in the Investors section of Omega’s website. The information contained on, or that may be accessed through, Omega’s website, including the information contained in the aforementioned supplemental, is not incorporated by any reference into, and is not part of, this document. CONFERENCE CALL The Company will be conducting a conference call on Thursday, July 30, 2026, at 10 a.m. Eastern Time to review the Company’s 2026 second quarter results and current developments. Investors and other interested parties may access the conference call in the following ways: At the Company’s website: https://www.omegahealthcare.com/ Via webcast: https://events.q4inc.com/attendee/160341903. Joining via webcast is recommended for those who will not be asking questions. By telephone: The participant toll-free dial-in number is +1 (833) 461-5787. The international dial-in is +1 (585) 542-9983. The meeting ID number is 160341903. Webcast replays of the call will be available on Omega’s website for approximately two weeks following the call. Additionally, a copy of the earnings release will be available in the "Financial Information" section on the "Investors" page of Omega’s website. Omega is a real estate investment trust ("REIT") that invests in the long-term healthcare industry, primarily in skilled nursing, assisted living, and care home facilities. Its portfolio of assets is operated by a diverse group of healthcare companies and is predominantly structured under long-term triple-net leases, with an increasing portion managed through RIDEA structures. The assets span all regions of the U.S., as well as the U.K. and Canada. Forward-Looking Statements and Cautionary Language This press release includes forward-looking statements within the meaning of the federal securities laws. All statements regarding Omega’s or its tenants’, operators’, borrowers’ or managers’ expected future financial condition, results of operations, cash flows, funds from operations, dividends and dividend plans, financing opportunities and plans, capital markets transactions, business strategy, budgets, projected costs, operating metrics, capital expenditures, competitive positions, acquisitions, investment opportunities, dispositions, facility transitions, growth opportunities, expected lease income, continued qualification as a REIT, plans and objectives of management for future operations and statements that include words such as "anticipate," "if," "believe," "plan," "estimate," "expect," "intend," "may," "could," "should," "will" and other similar expressions are forward-looking statements. These forward-looking statements are inherently uncertain, and actual results may differ from Omega's expectations. Omega’s actual results may differ materially from those reflected in such forward-looking statements as a result of a variety of factors, including, among other things: (i) uncertainties relating to the business operations of the operators of our Triple-Net assets and the managers of our Operating portfolio assets (collectively, our "operators"), including those relating to reimbursement by third-party payors, regulatory matters, occupancy levels and quality of care, including the management of infectious diseases; (ii) our operators’ ability to manage industry challenges, including staffing shortages, which may impact certain regions more acutely, increased costs, and the sufficiency of governmental reimbursement rates to offset such costs and the conditions related thereto; (iii) additional regulatory and other changes in the healthcare sector, including changes to Medicaid and Medicare reimbursements, the potential impact of recent changes to state Medicaid funding levels as well as legislative and regulatory initiatives related to establishing minimum staffing requirements for skilled nursing facilities ("SNFs") that may further exacerbate labor and occupancy challenges for Omega’s operators; (iv) the ability of any of Omega’s operators in bankruptcy to reject unexpired lease obligations, modify the terms of Omega’s mortgages and impede the ability of Omega to collect unpaid rent or interest during the pendency of a bankruptcy proceeding and retain security deposits for the debtor’s obligations, and other costs and uncertainties associated with operator bankruptcies; (v) changes in tax laws and regulations affecting REITs, including as the result of any federal or state policy changes driven by the current focus on capital providers to the healthcare industry; (vi) Omega’s ability to re-lease, otherwise transition or sell underperforming assets or assets held for sale on a timely basis and on terms that allow Omega to realize the carrying value of these assets or to redeploy the proceeds therefrom on favorable terms, including due to the potential impact of changes in the SNF and assisted living facility ("ALF") markets or local real estate conditions; (vii) the availability and cost of capital to Omega; (viii) changes in Omega’s credit ratings and the ratings of its debt securities; (ix) competition in the financing of healthcare facilities; (x) competition in the long-term healthcare industry and shifts in the perception of various types of long-term care facilities, including SNFs and ALFs; (xi) changes in the financial position of Omega’s operators; (xii) the effect of economic, regulatory and market conditions generally, and particularly in the healthcare industry in the U.S. and in other jurisdictions where we conduct business, including the U.K., including changes in immigration policy that may impact labor supply; (xiii) changes in interest rates and foreign currency exchange rates and the impact of inflation and changes in global tariffs and international trade disputes; (xiv) the timing, amount and yield of any additional investments; (xv) Omega’s ability to maintain its status as a REIT; (xvi) operational risks, including management of regulatory requirements and operating expenses, associated with our investments in healthcare operating companies, including senior housing properties managed through structures authorized by the REIT Investment Diversification and Empowerment Act of 2007 (commonly referred to as "RIDEA"); (xvii) the use of, or inability to use, artificial intelligence by us, our operators, managers, vendors and investors; (xviii) the effect of other factors affecting our business or the businesses of Omega’s operators that are beyond Omega’s or operators’ control, including natural disasters, public health crises or pandemics, cyber threats and governmental action, particularly in the healthcare industry, and (xix) other factors identified in Omega’s filings with the Securities and Exchange Commission. Statements regarding future events and developments and Omega’s future performance, as well as management’s expectations, beliefs, plans, estimates or projections relating to the future, are forward-looking statements. We caution you that the foregoing list of important factors may not contain all the material factors that are important to you. Accordingly, readers should not place undue reliance on those statements. All forward-looking statements are based upon information available to us on the date of this release. We undertake no obligation to publicly update or revise any forward-looking statement as a result of new information, future events or otherwise, except as otherwise required by law. Nareit Funds From Operations ("Nareit FFO"), Adjusted FFO, Funds Available for Distribution ("FAD") and Net Operating Income ("NOI") are non-GAAP financial measures. As used in this press release, GAAP refers to generally accepted accounting principles in the United States of America. The Company has provided reconciliations of the non-GAAP financial measures to the most directly comparable GAAP financial measures. The Company calculates and reports Nareit FFO in accordance with the definition and interpretive guidelines issued by the National Association of Real Estate Investment Trusts ("Nareit"), and consequently, Nareit FFO is defined as net income (computed in accordance with GAAP), adjusted for the effects of asset dispositions and certain non-cash items, primarily depreciation and amortization and impairments on real estate assets, and after adjustments for unconsolidated partnerships and joint ventures and changes in the fair value of warrants. Adjustments for unconsolidated partnerships and joint ventures will be calculated to reflect funds from operations on the same basis. Revenue recognized based on the application of security deposits and letters of credit or based on the ability to offset against other financial instruments is included within Nareit FFO. The Company believes that Nareit FFO, Adjusted FFO and FAD are important supplemental measures of its operating performance. Because the historical cost accounting convention used for real estate assets requires depreciation (except on land), such accounting presentation implies that the value of real estate assets diminishes predictably over time, while real estate values instead have historically risen or fallen with market conditions. The term funds from operations was designed by the real estate industry to address this issue. Funds from operations described herein is not necessarily comparable to funds from operations of other real estate investment trusts, or REITs, that do not use the same definition or implementation guidelines or interpret the standards differently from the Company. Adjusted FFO is calculated as Nareit FFO excluding the impact of non-cash stock-based compensation and certain revenue and expense items (e.g., acquisition, merger and transition related costs, straight-line rent and other write-offs, recoveries and provisions for credit losses (excluding certain cash recoveries on impaired loans), severance expense and other normalizing items). FAD is calculated as Adjusted FFO less non-cash expense, such as the amortization of deferred financing costs, and non-cash revenue, such as straight-line rent. FAD includes the non-cash amortization of premiums associated with the fair value of debt assumed in acquisitions. The Company believes these measures provide an enhanced measure of the operating performance of the Company’s core portfolio as a REIT. The Company’s computation of Adjusted FFO and FAD may not be comparable to the Nareit definition of funds from operations or to similar measures reported by other REITs, but the Company believes that they are appropriate measures for this Company. NOI is calculated as total revenues less property-level expenses. NOI also includes the Company’s pro rata share of NOI from its unconsolidated entities. We utilize our share of NOI in assessing our performance as we have various unconsolidated entities that contribute to our performance. Our share of NOI should not be considered a substitute for, and should only be considered together with and as a supplement to, our financial information presented in accordance with GAAP. Our pro rata share information is prepared on a basis consistent with the comparable consolidated amounts, is intended to reflect our proportionate economic interest in the operating results of properties in our portfolio and is calculated by applying our actual ownership percentage for the period. We do not control the unconsolidated entities, and the pro rata presentations of reconciling items included in NOI do not represent our legal claim to such items. The unconsolidated entities’ members or partners are entitled to profit or loss allocations and distributions of cash flows according to the entity agreements, which provide for such allocations generally according to their invested capital. The Company uses these non-GAAP measures among the criteria to measure the operating performance of its business. The Company also uses FAD among the performance metrics for performance-based compensation of officers. The Company further believes that by excluding the effect of depreciation, amortization, impairments on real estate assets and gains or losses from sales of real estate, all of which are based on historical costs, and which may be of limited relevance in evaluating current performance, funds from operations can facilitate comparisons of operating performance between periods. The Company offers these measures to assist the users of its financial statements in analyzing its operating performance. These non-GAAP measures are not measures of financial performance under GAAP and should not be considered as measures of liquidity or cash flow, alternatives to net income or indicators of any other performance measure determined in accordance with GAAP. Investors and potential investors in the Company’s securities should not rely on these non-GAAP measures as substitutes for any GAAP measure, including net income. View source version on businesswire.com: https://www.businesswire.com/news/home/20260729446898/en/ Contacts Andrew Dorsey, VP, Corporate Strategy & Investor RelationsorDavid Griffin, Sr. Director, Corporate Strategy & Investor Relations at (410) 427-1705

HUNT VALLEY, Md., July 23, 2026--(BUSINESS WIRE)--Omega Healthcare Investors, Inc. (NYSE:OHI) today announced that the Company’s Board of Directors declared a cash dividend of $0.68 per share, increasing the quarterly dividend on its common stock by $0.01 per share over the previous quarter. The dividend is payable Friday, August 14, 2026, to common stockholders of record as of the close of business on Monday, August 3, 2026. Taylor Pickett, Omega’s Chief Executive Officer, stated, "We are pleased to announce an increase in our quarterly dividend. This increase reflects both the meaningful growth in our FAD per share in recent quarters, as well as our expectation of further operating growth in the coming years. Prior to the pandemic, we enjoyed seventeen straight years of dividend growth. It has been an important element of our shareholder value proposition. We know that both the dividend itself and its growth are important to our investors, and we are grateful to be able to reward investor patience with what we believe is a return to a consistent dividend growth policy." Omega is a real estate investment that invests in the long-term healthcare industry, primarily in skilled nursing, assisted living, and care home facilities. Its portfolio of assets is operated by a diverse group of healthcare companies and is predominantly structured under long-term triple-net leases, with an increasing portion managed through RIDEA structures. The assets span all regions of the United States, as well as the United Kingdom and Canada. More information on Omega is available at www.omegahealthcare.com. Forward-Looking Statements and Cautionary Language This press release includes forward-looking statements within the meaning of the federal securities laws. All statements regarding Omega’s or its tenants’, operators’, borrowers’ or managers’ expected future financial condition, results of operations, cash flows, funds from operations, dividends and dividend plans, financing opportunities and plans, capital markets transactions, business strategy, budgets, projected costs, operating metrics, capital expenditures, competitive positions, acquisitions, investment opportunities, dispositions, facility transitions, growth opportunities, expected lease income, continued qualification as a REIT, plans and objectives of management for future operations and statements that include words such as "anticipate," "if," "believe," "plan," "estimate," "expect," "intend," "may," "could," "should," "will" and other similar expressions are forward-looking statements. These forward-looking statements are inherently uncertain, and actual results may differ from Omega's expectations. Omega’s actual results may differ materially from those reflected in such forward-looking statements as a result of a variety of factors, including, among other things: (i) uncertainties relating to the business operations of the operators of our assets, including those relating to reimbursement by third-party payors, regulatory matters, occupancy levels and quality of care, including the management of infectious diseases; (ii) our operators’ ability to manage industry challenges, including staffing shortages, which may impact certain regions more acutely, increased costs, and the sufficiency of governmental reimbursement rates to offset such costs and the conditions related thereto; (iii) additional regulatory and other changes in the healthcare sector, including changes to Medicaid and Medicare reimbursements, the potential impact of recent changes to state Medicaid funding levels as well as legislative and regulatory initiatives related to establishing minimum staffing requirements for skilled nursing facilities ("SNFs") that may further exacerbate labor and occupancy challenges for Omega’s operators; (iv) the ability of any of Omega’s operators in bankruptcy to reject unexpired lease obligations, modify the terms of Omega’s mortgages and impede the ability of Omega to collect unpaid rent or interest during the pendency of a bankruptcy proceeding and retain security deposits for the debtor’s obligations, and other costs and uncertainties associated with operator bankruptcies; (v) changes in tax laws and regulations affecting REITs, including as the result of any federal or state policy changes driven by the current focus on capital providers to the healthcare industry; (vi) Omega’s ability to re-lease, otherwise transition or sell underperforming assets or assets held for sale on a timely basis and on terms that allow Omega to realize the carrying value of these assets or to redeploy the proceeds therefrom on favorable terms, including due to the potential impact of changes in the SNF and assisted living facility ("ALF") markets or local real estate conditions; (vii) the availability and cost of capital to Omega; (viii) changes in Omega’s credit ratings and the ratings of its debt securities; (ix) competition in the financing of healthcare facilities; (x) competition in the long-term healthcare industry and shifts in the perception of various types of long-term care facilities, including SNFs and ALFs; (xi) changes in the financial position of Omega’s operators; (xii) the effect of economic, regulatory and market conditions generally, and particularly in the healthcare industry in the U.S. and in other jurisdictions where we conduct business, including the U.K.; (xiii) changes in interest rates and foreign currency exchange rates and the impact of inflation and changes in global tariffs and international trade disputes; (xiv) the timing, amount and yield of any additional investments; (xv) Omega’s ability to maintain its status as a REIT; (xvi) operational risks associated with our investments in healthcare operating companies, including senior housing properties managed through structures authorized by the REIT Investment Diversification and Empowerment Act of 2007 (commonly referred to as "RIDEA"); (xvii) the use of, or inability to use, artificial intelligence by us, our operators, managers, vendors and investors; (xviii) the effect of other factors affecting our business or the businesses of Omega’s operators that are beyond Omega’s or operators’ control, including natural disasters, public health crises or pandemics, cyber threats and governmental action, particularly in the healthcare industry, and (xix) other factors identified in Omega’s filings with the Securities and Exchange Commission. Statements regarding future events and developments and Omega’s future performance, as well as management’s expectations, beliefs, plans, estimates or projections relating to the future, are forward-looking statements. We caution you that the foregoing list of important factors may not contain all the material factors that are important to you. Accordingly, readers should not place undue reliance on those statements. All forward-looking statements are based upon information available to us on the date of this release. We undertake no obligation to publicly update or revise any forward-looking statement as a result of new information, future events or otherwise, except as otherwise required by law. View source version on businesswire.com: https://www.businesswire.com/news/home/20260723576195/en/ Contacts FOR FURTHER INFORMATION, CONTACTAndrew Dorsey, VP, Corporate Strategy & Investor Relations, orDavid Griffin, Senior Director, Corporate Strategy & Investor Relations, at (410) 427-1705

Make better investment decisions with Simply Wall St's easy, visual tools that give you a competitive edge. Omega Healthcare Investors (OHI) just posted first quarter results that showed higher revenue and net income year over year, while keeping its US$0.67 quarterly dividend intact and moving ahead with the planned CommuniCare portfolio sale. See our latest analysis for Omega Healthcare Investors. Following the Q1 update, Omega Healthcare Investors’ share price is at US$46.13, with a 1-year total shareholder return of 38.1% and a 5-year total shareholder return of 94.0%. This suggests that momentum has built over time rather than faded recently. If you are reassessing income focused real estate and healthcare exposure after these results, it might also be worth widening the search to other income ideas through 12 dividend fortresses With OHI trading at US$46.13, showing an intrinsic value gap of around 50% and sitting roughly 8% below the average analyst price target, you have to ask yourself: is there still an opportunity here, or is the market already pricing in future growth? Omega Healthcare Investors' most followed valuation narrative points to a fair value of $49.38 against the current $46.13 share price, leaving a modest implied upside that hinges on how its earnings profile evolves. Read the complete narrative. Want to see what is built into that earnings path? The narrative leans heavily on margins, modest revenue assumptions, and a richer profit multiple. Curious which inputs really move that $49.38 fair value call. Result: Fair Value of $49.38 (UNDERVALUED) Have a read of the narrative in full and understand what's behind the forecasts. However, risks around tenant credit, including the Genesis bankruptcy process, as well as exposure to U.K. regulation and currency swings, could still unsettle that valuation story. Find out about the key risks to this Omega Healthcare Investors narrative. With both risks and rewards in play, do you want to simply accept the headline view, or would you prefer to stress test it yourself using the 5 key rewards and 1 important warning sign If you stop with just one stock, you risk missing opportunities that could fit your goals even better. Broaden your watchlist with a few focused screens instead. Spot potential mispricings by scanning for companies that combine quality metrics with a discount to intrinsic value through the 51 high quality undervalued stocks. Strengthen your income stream by hunting for reliable payers screened as 12 dividend fortresses. Prioritise capital protection by filtering for companies assessed as 71 resilient stocks with low risk scores. This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Companies discussed in this article include OHI. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email [email protected]

Omega reported Q1 results with Adjusted FFO of $0.82 and FAD of $0.78 per share on $323 million of revenue, narrowed full‑year AFFO guidance to $3.19–$3.25, and cut the dividend payout ratio to 82% of AFFO (86% of FAD). Management is selling 18 CommuniCare assets for a contractual $480 million (12 sold after quarter‑end, six expected in Q2) and expects redeployment of proceeds to add about $0.03 of annual AFFO/FAD, assuming reinvestment yields in the low‑to‑mid‑9%s to low‑10%s. Omega remains active on acquisitions with $326 million of new investments YTD and a quarter weighted‑average lease/loan yield of 10.9%, while expanding RIDEA activity and targeting mid‑teen IRRs for senior housing deals. Interested in Omega Healthcare Investors, Inc.? Here are five stocks we like better. 3 Healthcare Stocks Providing Relief for the Sandwich Generation Omega Healthcare Investors (NYSE:OHI) reported first-quarter 2026 results that management said reflected strong revenue growth driven by acquisitions and active portfolio management, while also outlining guidance updates and progress on a major asset sale. On the company’s earnings call, CEO Taylor Pickett said Adjusted FFO (AFFO) came in at $0.82 per share and funds available for distribution (FAD) totaled $0.78 per share. Pickett said the quarter’s results were “principally fueled by acquisitions and active portfolio management,” and noted that the dividend payout ratio declined to 82% of AFFO and 86% of FAD. He also highlighted planned and partially completed second-quarter asset sales expected to generate $480 million in proceeds, which management expects to redeploy in a way that adds roughly $0.03 of annual AFFO and FAD. → Meta Posted Its Best Sales Growth Since 2021—So Why Did Shares Fall? High Yield Revival: 3 Cash-Rich Dividend Payers on Sale President Matthew Gourmand said the team remains focused on “growing FAD per share on a sustainable basis,” and pointed to a 9.5% year-over-year increase in FAD per share. Gourmand said that performance and the company’s investment pipeline supported an increase to the low end of Omega’s full-year AFFO guidance, lifting the midpoint by $0.02 to $3.22. CFO Bob Stephenson said first-quarter revenue was $323 million, up from $277 million in the first quarter of 2025, attributing the increase primarily to revenue from investments completed throughout 2025 and 2026, annual escalators, and portfolio management actions. Net income was $159 million, or $0.47 per share, compared with $112 million, or $0.33 per share, a year earlier. Stephenson reported Adjusted FFO of $260 million ($0.82 per share) and FAD of $247 million ($0.78 per share). → Verizon’s Signal Strength: The Turnaround Call Is Loud and Clear Top 4 Healthcare REITs Turning Care Into Big Investor Payouts Stephenson said AFFO and FAD were each $0.02 higher than the fourth quarter, driven mainly by incremental net income from $585 million of new investments completed over the fourth and first quarters, along with $2 million of revenue from annual escalators. Those benefits were partially offset by income lost from $53 million in asset sales and $88 million in loan repayments over the past two quarters, which Stephenson said reduced first-quarter AFFO and FAD by $1.4 million, as well as dilution from a combined 7.7 million common shares and OP units issued over the past two quarters to help fund investments. Omega narrowed full-year 2026 Adjusted FFO guidance to a range of $3.19 to $3.25 per share, which Stephenson described as a $0.02 increase to the midpoint of February guidance. He said the guidance includes the impact of investments completed as of April 27 and excludes additional transactions beyond those outlined in the earnings release. Guidance assumptions also incorporate scheduled loan repayments and expected asset sales, including the CommuniCare portfolio planned to be sold for $480 million. Stephenson said Omega’s first-quarter rent related to those CommuniCare facilities totaled $9.2 million. → Alphabet’s Earnings Didn’t Just Beat—They Changed the Story Management spent significant time discussing the sale of 18 CommuniCare assets in Maryland and West Virginia for a contractual purchase price of $480 million at a blended 7.7% rent discount. CIO Vikas Gupta said that after quarter-end, Omega sold 12 Maryland facilities and expects to sell the remaining six West Virginia facilities in the second quarter. Gourmand called the disposition “opportunistic,” saying Omega had “an opportunity to sell assets and enhance our credit with CommuniCare,” and cited strong demand in those markets. Responding to a question on whether the sale signaled broader market conditions, he said, “I don’t think you can expect us to be doing this as part of the core business,” adding that he would not expect additional large dispositions in the next few quarters. On redeployment assumptions behind the expected $0.03 annual accretion, Gourmand said management opted for a conservative approach. He said the implied reinvestment math was “probably…in the low 9s,” while adding, “I still think we’re going to expect to deploy capital in the 10s.” He declined to discuss how much capital was tied to specific LOIs. Gupta said operator coverage continued to trend favorably. Omega’s trailing 12-month operator EBITDAR coverage for its triple-net and mortgage core portfolio was 1.58x as of Dec. 31, 2025, up from 1.57x reported for the third quarter of 2025. He said this was the highest coverage level in more than a decade and reflected a “relatively favorable operating backdrop” alongside efforts to strengthen lease credit. Gupta also provided an update on Genesis’ bankruptcy process. He said Omega committed to fund up to $26.7 million (one-third) of a new $80 million debtor-in-possession (DIP) loan and had funded $25 million of the initial $75 million advance by the end of the first quarter. Proceeds from the new DIP financing were used to repay the original DIP loan and fund working capital needs, he said. Gupta said the debtor had been advised that 101 West State Street submitted a qualified financing commitment required under the asset purchase agreement. The closing date can be extended contractually through the end of the third quarter, and Gupta said closing is conditioned on several factors, including regulatory change-of-ownership approvals. He added that Omega anticipates 101 West State Street will assume Omega’s Genesis master lease and that Omega’s DIP loan and term loan would be paid off from closing consideration. Gupta said Omega remained confident its term loan was fully collateralized, while noting the assumptions remain subject to developments in the bankruptcy proceeding. Gupta said Omega’s transaction activity started 2026 with $326 million in new investments year to date. During the first quarter, the company completed $251 million in new investments, excluding $13 million in CapEx, including: A 9.9% equity interest purchase in Saber’s operating company (previously announced) A $109 million acquisition of 13 Georgia skilled nursing facilities A $10 million investment in an Alabama senior housing RIDEA transaction A $7 million purchase of a U.K. care home $27 million in real estate loans Gupta said the weighted-average yield on the quarter’s leases and loans was 10.9%. After quarter-end, he said Omega closed an additional $75 million of investments: two Indiana skilled nursing facilities for $33 million (leased to an existing operator at a 10% lease yield) and three senior housing facilities in Rhode Island for $42 million to be operated through Omega’s RIDEA structure with a third-party manager. Management described a competitive transaction environment across senior housing and skilled nursing, with an emphasis on sourcing value-add opportunities. Gourmand said Omega does not target a specific minimum initial yield, arguing the focus should be on long-term opportunity and visibility rather than “a competition to see how low we can go.” He said Omega has been finding investments “stabilized at 7, 8, 9” where the company believes it can lift returns into double digits through relatively straightforward improvements, and that the company is generally focused on what it considers value-add opportunities. Gupta said Omega continues to target “mid-teen” IRRs for senior housing RIDEA opportunities and acknowledged competition in the space, while saying the company is still finding assets that meet its criteria. He also said Omega is evaluating RIDEA opportunities in the U.K. and that it will become part of the company’s strategy there going forward. SVP Megan Krull discussed the regulatory backdrop, saying state budget discussions related to the OVVBA have been “relatively quiet,” with more meaningful discussions not expected until next year. She also referenced increased scrutiny of Medicare Advantage related to “upcoding, high denial rates, delayed payments, and cost savings not keeping pace with expectations,” and noted bipartisan legislation introduced in Congress that industry associations applauded. Krull said Medicare Advantage is a relatively small portion of Omega operators’ business, though it can affect decision-making in certain markets where rates may be lower than traditional Medicare. She also cited Indiana’s decision to unwind managed Medicaid for long-term care nursing home populations, saying it reflected similar issues seen in Medicare Advantage. On the dividend, Pickett said it remains a board decision, but pointed to FAD per share rising from $0.71 in the first quarter of 2025 to $0.78 in the first quarter of 2026. “I would think by year-end, the board’s going to need to start having conversations about our dividend,” he said. Gourmand added that the pace of capital redeployment is a key variable, saying the “tools are all there” to continue delivering growth, dependent on how quickly Omega recycles capital into new investments. Omega Healthcare Investors, Inc is a real estate investment trust (REIT) that specializes in the ownership and management of healthcare-related facilities. The company's core business involves acquiring and leasing long-term care properties, including skilled nursing facilities and assisted living communities, under net lease agreements. Its portfolio is designed to provide stable, inflation-protected cash flows from operators responsible for day-to-day property management. Founded in 1992 and headquartered in Hunt Valley, Maryland, Omega Healthcare Investors has grown its holdings to encompass hundreds of facilities across the United States, with a smaller presence in select international markets. The article "Omega Healthcare Investors Q1 Earnings Call Highlights" was originally published by MarketBeat.

Completed $251 Million in New Investments in Q1 2026 Raises Full Year Adjusted FFO Guidance Mid-Point HUNT VALLEY, Md., April 28, 2026--(BUSINESS WIRE)--Omega Healthcare Investors, Inc. (NYSE: OHI) (the "Company" or "Omega") announced today its results for the quarter ended March 31, 2026. FIRST QUARTER 2026 AND RECENT HIGHLIGHTS Net income for the quarter of $159 million, or $0.47 per diluted share, compared to $112 million, or $0.33 per diluted share, for Q1 2025. Adjusted Funds From Operations ("Adjusted FFO" or "AFFO") for the quarter of $260 million, or $0.82 per diluted share, on 315 million weighted-average common shares outstanding, compared to $221 million, or $0.75 per diluted share, on 295 million weighted-average common shares outstanding, for Q1 2025. Funds Available for Distribution ("FAD") for the quarter of $247 million, or $0.78 per diluted share, compared to FAD of $211 million, or $0.71 per diluted share, for Q1 2025. Completed $251 million of investments in Q1 consisting of $126 million in real estate acquisitions, $27 million in real estate loan fundings and $97 million of investments in unconsolidated entities, including the acquisition of a 9.9% equity interest in the Saber OpCo JV for $93 million. Issued 2 million common shares in Q1 for gross proceeds of $107 million. Completed $75 million in new investments in April 2026. 18 CommuniCare facilities expected to be sold in Q2 for $480 million. Nareit Funds From Operations ("Nareit FFO"), AFFO and FAD are supplemental non-GAAP financial measures the Company believes are useful in evaluating the performance of real estate investment trusts ("REITs"). Reconciliations and further information regarding these non-GAAP measures are provided at the end of this press release. CEO COMMENTS Taylor Pickett, Omega’s Chief Executive Officer, stated, "We are pleased to report strong first quarter results, with FAD per share up 9.5% over the same quarter last year. This reflects our continued accretive investment activity, augmented by active portfolio management. As a result of our strong start to 2026, we were able to increase the low end of our AFFO guidance, moving the midpoint up by two cents to $3.22." Mr. Pickett continued, "Our first quarter investments included both skilled nursing triple-net and senior housing RIDEA real estate investments, as well as, our equity investment in Saber, and our first investment in Canada. Additionally, we announced the expected sale of 18 skilled nursing facilities for proceeds of $480 million, which, when redeployed, we believe will add a further three cents to FAD. Each of these investment decisions reflect our relentless focus on driving shareholder value through innovative and thoughtful investments, while aligning our interests with our operating partners." Mr. Pickett concluded, "Overall, the backdrop continues to be favorable. Operating metrics remain strong, with coverage continuing to modestly improve in the quarter. Despite elevated interest in senior care real estate, the pipeline is very active, the team is highly engaged, and we have a cost of capital that should allow us to continue to accretively invest." FIRST QUARTER 2026 PORTFOLIO AND RECENT ACTIVITY Operator Updates: Genesis – As previously disclosed, Genesis Healthcare, Inc. ("Genesis") filed for Chapter 11 bankruptcy protection on July 9, 2025. Since filing for bankruptcy, Genesis has made all required contractual rent and interest payments through April 2026. In March 2026, Omega agreed to provide $26.7 million in a new super-priority secured $80.0 million debtor-in-possession ("DIP") financing. As of March 31, 2026, Omega funded $25.0 million under the new DIP financing. A portion of the proceeds was used to fully repay the $9.2 million of outstanding obligations due to Omega under the original DIP loan. In the first quarter of 2026, the Company recognized rental income of $13.3 million for contractual rent payments received from Genesis, and interest income of $7.0 million, consisting of $0.4 million of cash interest and $6.6 million of paid-in-kind interest. Maplewood – In the first quarter of 2026, Maplewood Senior Living (along with affiliates "Maplewood") paid $19.4 million in rent (compared to $18.9 million in the fourth quarter of 2025). New Investments: The following table presents investment activity: $126 Million in Real Estate Acquisitions – In the first quarter of 2026, the Company acquired 15 facilities for aggregate consideration of $126.4 million, comprised of: $120 Million in U.S. Real Estate Acquisitions – In two first quarter transactions, the Company acquired one senior housing facility in Alabama and 13 skilled nursing facilities ("SNFs") in Georgia for aggregate consideration of $119.8 million. The Company will operate the Alabama facility, through a new third-party property manager, utilizing the REIT Investment Diversification and Empowerment Act of 2007 ("RIDEA") structure. The 13 Georgia SNFs were leased to an existing operator with an initial cash yield of 10.6% and annual escalators of 2.5%. $7 Million U.K. Real Estate Acquisition – The Company acquired one care home in the U.K. for $6.6 million and leased it to an existing operator. The investment has an initial annual cash yield of 10.0% with annual escalators of 2.5%. $27 Million in Real Estate Loans – In the first quarter of 2026, the Company funded $27.3 million in real estate loans, comprised of: $21 Million U.K. Mortgage Loan – The Company funded a new $21.3 million mortgage loan to an existing operator secured by a U.K care home. The loan has an interest rate of 13% and a maturity date in March 2027. $4 Million of Additional Fundings on Existing U.S Real Estate Loans – The Company funded $3.8 million of additional draws on existing U.S. real estate loans during the first quarter of 2026 at a weighted average interest rate of 10.7%. $2 Million of Fundings on Canada Development Loan – In the first quarter of 2026, the Company funded $2.2 million ($CAD $3.0 million) under a previously disclosed Canadian dollar denominated real estate loan, with maximum capacity of $62.8 million ($CAD $87.6 million), that was executed in December 2025. The proceeds of the loan will be utilized for the development of five long-term care facilities in Canada. The loan has an interest rate of 10.0% with a maturity date in December 2035. At Omega’s option, the loan is convertible into a 34.9% equity stake in the borrower. $97 Million of Investments in Unconsolidated Entities – In the first quarter of 2026, the Company funded $97.0 million of investments in several unconsolidated entities. The primary investment was a 9.9% equity interest in Saber Healthcare Holdings, LLC ("Saber") that the Company acquired in January 2026 for $92.6 million in cash consideration. Omega will receive minimum quarterly cash distributions equivalent to an annualized yield of 8% on its 9.9% investment. In the first quarter of 2026, the Company recognized income of $1.1 million, which is net of $1.8 million of depreciation and amortization expense, related to the Company’s investment in Saber. Saber leases 53 operating facilities from the Company under a master lease with monthly contractual rent of $5.4 million as of March 31, 2026, and also operates 65 facilities owned by the Saber PropCo joint venture, in which the Company holds a 49% equity interest. $75 Million in Q2 2026 Real Estate Investment Activity – In the second quarter of 2026, the Company completed $75.0 million of new investments, comprised of: $42 Million Real Estate Acquisition – In April 2026, the Company acquired three facilities in Rhode Island for a contractual purchase price of $42.0 million. The Company will operate the facilities, through a new third-party property manager, utilizing a RIDEA structure. $33 Million Real Estate Acquisition – In April 2026, the Company acquired two facilities in Indiana for a contractual purchase price of $33.0 million and leased them to one existing operator. The investment has an initial annual cash yield of 10.0% with annual escalators of 2.0%. The operator’s lease, with $41.3 million in annual contractual rent before the acquisition, was extended from August 2027 to August 2036, concurrent with adding the acquired facilities to the master lease. Asset Sales: $34 Million in Asset Sales – In the first quarter of 2026, the Company sold four facilities for $34.5 million in cash, recognizing a gain of $3.0 million. Assets Held for Sale – As of March 31, 2026, the Company had 19 facilities classified as assets held for sale, totaling $233.1 million in net book value. These include 18 facilities leased to CommuniCare Health Services, Inc. ("CommuniCare") that are part of a strategic disposition. These facilities, located throughout Maryland and West Virginia, were moved from assets held for use. In April 2026, 12 Maryland facilities were sold with the remaining six West Virginia expected to sell in the second quarter of 2026 for an expected aggregate total contractual purchase price of $479.9 million. There can be no assurance that the West Virginia facilities will be sold as expected. Contractual first quarter rent related to these 18 facilities was $9.2 million and, as of December 31, 2025, trailing 12-month EBITDAR coverage was 0.87x. TRIPLE-NET AND MORTGAGE LOAN OPERATOR COVERAGE DATA The following tables present operator revenue mix, census and coverage data based on information provided by the Company’s operators for the indicated periods. The Company has not independently verified this information and is providing this data for informational purposes only. FINANCING ACTIVITIES ATM Program and Dividend Reinvestment and Common Stock Purchase Plan – The following is a summary of the common shares issued in the first quarter of 2026: BALANCE SHEET AND LIQUIDITY As of March 31, 2026, the Company had $4.5 billion in outstanding indebtedness with a weighted average annual interest rate of 4.2%. The Company’s indebtedness consisted of an aggregate principal amount of $3.8 billion of senior unsecured notes, $425.0 million on its revolving credit facility, and $300.0 million on the 2028 Term Loan. As of March 31, 2026, total cash and cash equivalents were $26.1 million, and the Company had $1.6 billion in undrawn capacity under its unsecured revolving credit facility. DIVIDENDS On April 23, 2026, the Board of Directors declared a quarterly cash dividend of $0.67 per share, to be paid May 15, 2026, to common stockholders of record as of the close of business on May 4, 2026. 2026 GUIDANCE MID-POINT INCREASED The Company’s expected 2026 Adjusted FFO range is between $3.19 to $3.25 per diluted share compared to the previous range of $3.15 and $3.25 per diluted share. The guidance assumes: all new investments disclosed above in the press release; no additional operators are placed on a cash-basis for revenue recognition; Genesis continues to pay its full contractual rental obligations of $13.3 million per quarter; Maplewood pays rent at $19.5 million per quarter; quarterly G&A expense of approximately $14 million to $15 million; no material changes in market interest rates or changes in foreign currency exchange rates, including those due to derivative instruments entered into to minimize the fluctuation in the GBP spot rates; $65 million of the $159 million in mortgages and other real estate-backed investments that are set to mature in 2026 will be converted from loans to fee simple real estate and the remaining balance will be repaid in 2026; $224 million in non-real estate backed loans at March 31, 2026 are expected to be repaid throughout 2026 (including $160 million in loans to Genesis to be repaid in Q4 2026); 18 CommuniCare facilities in assets held for sale on March 31st expected to be sold for $480 million; and no other asset sales beyond those described above. The Company’s guidance is based on several assumptions including those noted above, which are subject to change and many of which are outside the Company’s control. However, it excludes any additional: acquisitions or acquisitions costs; capital markets activity; interest refinancing expenses; provisions for credit losses, if any; and certain revenue and expense items. If actual results vary from these assumptions, the Company's expectations may change. Without limiting the generality of the foregoing, the timing of collection of rental obligations from operators on a cash basis and the timing and completion of acquisitions, divestitures, restructurings and capital and financing transactions may cause actual results to vary materially from the Company’s current expectations. There can be no assurance that the Company will achieve its projected results. The Company may, from time to time, update its publicly announced AFFO guidance, but it is not obligated to do so. The Company does not provide a reconciliation for its AFFO guidance to GAAP net income because it is unable to determine meaningful or accurate estimates of reconciling items without unreasonable effort. This is due to the inherent difficulty of forecasting the timing and/or amounts of various items that would impact future net income. This includes, but is not limited to, changes in the provision for credit losses, real estate impairments, acquisition, merger and transition related costs, straight-line write-offs, gain/loss on assets sold, etc. In particular, the Company is unable to predict with reasonable certainty the amount of change in the provision for credit losses in future periods, which is often a significant reconciling adjustment. ADDITIONAL INFORMATION Additional information regarding the Company can be found in its First Quarter 2026 Financial Supplemental posted under "Financial Info" in the Investors section of Omega’s website. The information contained on, or that may be accessed through, Omega’s website, including the information contained in the aforementioned supplemental, is not incorporated by any reference into, and is not part of, this document. CONFERENCE CALL The Company will be conducting a conference call on Wednesday, April 29, 2026, at 10 a.m. Eastern Time to review the Company’s 2026 first quarter results and current developments. Investors and other interested parties may access the conference call in the following ways: At the Company’s website: https://www.omegahealthcare.com/ Via webcast: https://events.q4inc.com/attendee/811963547 . Joining via webcast is recommended for those who will not be asking questions. By telephone: The participant toll-free dial-in number is (800) 715-9871. The international dial-in is +1 (646) 307-1963. The conference ID number is 1388157. Webcast replays of the call will be available on Omega’s website for approximately two weeks following the call. Additionally, a copy of the earnings release will be available in the "Financial Information" section on the "Investors" page of Omega’s website. Omega is a real estate investment trust ("REIT") that invests in the long-term healthcare industry, primarily in skilled nursing and assisted living facilities. Its portfolio of assets is operated by a diverse group of healthcare companies, predominantly in a triple-net lease structure. The assets span all regions within the U.S., as well as in the U.K. Forward-Looking Statements and Cautionary Language This press release includes forward-looking statements within the meaning of the federal securities laws. All statements regarding Omega’s or its tenants’, operators’, borrowers’ or managers’ expected future financial condition, results of operations, cash flows, funds from operations, dividends and dividend plans, financing opportunities and plans, capital markets transactions, business strategy, budgets, projected costs, operating metrics, capital expenditures, competitive positions, acquisitions, investment opportunities, dispositions, facility transitions, growth opportunities, expected lease income, continued qualification as a REIT, plans and objectives of management for future operations and statements that include words such as "anticipate," "if," "believe," "plan," "estimate," "expect," "intend," "may," "could," "should," "will" and other similar expressions are forward-looking statements. These forward-looking statements are inherently uncertain, and actual results may differ from Omega's expectations. Omega’s actual results may differ materially from those reflected in such forward-looking statements as a result of a variety of factors, including, among other things: (i) uncertainties relating to the business operations of the operators of our assets, including those relating to reimbursement by third-party payors, regulatory matters, occupancy levels and quality of care, including the management of infectious diseases; (ii) our operators’ ability to manage industry challenges, including staffing shortages, which may impact certain regions more acutely, increased costs, and the sufficiency of governmental reimbursement rates to offset such costs and the conditions related thereto; (iii) additional regulatory and other changes in the healthcare sector, including changes to Medicaid and Medicare reimbursements, the potential impact of recent changes to state Medicaid funding levels as well as legislative and regulatory initiatives related to establishing minimum staffing requirements for skilled nursing facilities ("SNFs") that may further exacerbate labor and occupancy challenges for Omega’s operators; (iv) the ability of any of Omega’s operators in bankruptcy to reject unexpired lease obligations, modify the terms of Omega’s mortgages and impede the ability of Omega to collect unpaid rent or interest during the pendency of a bankruptcy proceeding and retain security deposits for the debtor’s obligations, and other costs and uncertainties associated with operator bankruptcies; (v) changes in tax laws and regulations affecting REITs, including as the result of any federal or state policy changes driven by the current focus on capital providers to the healthcare industry; (vi) Omega’s ability to re-lease, otherwise transition or sell underperforming assets or assets held for sale on a timely basis and on terms that allow Omega to realize the carrying value of these assets or to redeploy the proceeds therefrom on favorable terms, including due to the potential impact of changes in the SNF and assisted living facility ("ALF") markets or local real estate conditions; (vii) the availability and cost of capital to Omega; (viii) changes in Omega’s credit ratings and the ratings of its debt securities; (ix) competition in the financing of healthcare facilities; (x) competition in the long-term healthcare industry and shifts in the perception of various types of long-term care facilities, including SNFs and ALFs; (xi) changes in the financial position of Omega’s operators; (xii) the effect of economic, regulatory and market conditions generally, and particularly in the healthcare industry in the U.S. and in other jurisdictions where we conduct business, including the U.K.; (xiii) changes in interest rates and foreign currency exchange rates and the impact of inflation and changes in global tariffs and international trade disputes; (xiv) the timing, amount and yield of any additional investments; (xv) Omega’s ability to maintain its status as a REIT; (xvi) operational risks associated with our investments in healthcare operating companies, including senior housing properties managed through structures authorized by the REIT Investment Diversification and Empowerment Act of 2007 (commonly referred to as "RIDEA"); (xvii) the use of, or inability to use, artificial intelligence by us, our operators, managers, vendors and investors; (xviii) the effect of other factors affecting our business or the businesses of Omega’s operators that are beyond Omega’s or operators’ control, including natural disasters, public health crises or pandemics, cyber threats and governmental action, particularly in the healthcare industry, and (xix) other factors identified in Omega’s filings with the Securities and Exchange Commission. Statements regarding future events and developments and Omega’s future performance, as well as management’s expectations, beliefs, plans, estimates or projections relating to the future, are forward-looking statements. We caution you that the foregoing list of important factors may not contain all the material factors that are important to you. Accordingly, readers should not place undue reliance on those statements. All forward-looking statements are based upon information available to us on the date of this release. We undertake no obligation to publicly update or revise any forward-looking statement as a result of new information, future events or otherwise, except as otherwise required by law. Nareit Funds From Operations ("Nareit FFO"), Adjusted FFO and Funds Available for Distribution ("FAD") are non-GAAP financial measures. As used in this press release, GAAP refers to generally accepted accounting principles in the United States of America. The Company has provided reconciliations of the non-GAAP financial measures to the most directly comparable GAAP financial measures. The Company calculates and reports Nareit FFO in accordance with the definition and interpretive guidelines issued by the National Association of Real Estate Investment Trusts ("Nareit"), and consequently, Nareit FFO is defined as net income (computed in accordance with GAAP), adjusted for the effects of asset dispositions and certain non-cash items, primarily depreciation and amortization and impairments on real estate assets, and after adjustments for unconsolidated partnerships and joint ventures and changes in the fair value of warrants. Adjustments for unconsolidated partnerships and joint ventures will be calculated to reflect funds from operations on the same basis. Revenue recognized based on the application of security deposits and letters of credit or based on the ability to offset against other financial instruments is included within Nareit FFO. The Company believes that Nareit FFO, Adjusted FFO and FAD are important supplemental measures of its operating performance. Because the historical cost accounting convention used for real estate assets requires depreciation (except on land), such accounting presentation implies that the value of real estate assets diminishes predictably over time, while real estate values instead have historically risen or fallen with market conditions. The term funds from operations was designed by the real estate industry to address this issue. Funds from operations described herein is not necessarily comparable to funds from operations of other real estate investment trusts, or REITs, that do not use the same definition or implementation guidelines or interpret the standards differently from the Company. Adjusted FFO is calculated as Nareit FFO excluding the impact of non-cash stock-based compensation and certain revenue and expense items (e.g., acquisition, merger and transition related costs, straight-line rent and other write-offs, recoveries and provisions for credit losses (excluding certain cash recoveries on impaired loans), severance expense and other normalizing items). FAD is calculated as Adjusted FFO less non-cash expense, such as the amortization of deferred financing costs, and non-cash revenue, such as straight-line rent. FAD includes the non-cash amortization of premiums associated with the fair value of debt assumed in acquisitions. The Company believes these measures provide an enhanced measure of the operating performance of the Company’s core portfolio as a REIT. The Company’s computation of Adjusted FFO and FAD may not be comparable to the Nareit definition of funds from operations or to similar measures reported by other REITs, but the Company believes that they are appropriate measures for this Company. The Company uses these non-GAAP measures among the criteria to measure the operating performance of its business. The Company also uses FAD among the performance metrics for performance-based compensation of officers. The Company further believes that by excluding the effect of depreciation, amortization, impairments on real estate assets and gains or losses from sales of real estate, all of which are based on historical costs, and which may be of limited relevance in evaluating current performance, funds from operations can facilitate comparisons of operating performance between periods. The Company offers these measures to assist the users of its financial statements in analyzing its operating performance. These non-GAAP measures are not measures of financial performance under GAAP and should not be considered as measures of liquidity or cash flow, alternatives to net income or indicators of any other performance measure determined in accordance with GAAP. Investors and potential investors in the Company’s securities should not rely on these non-GAAP measures as substitutes for any GAAP measure, including net income. View source version on businesswire.com: https://www.businesswire.com/news/home/20260428898988/en/ Contacts FOR FURTHER INFORMATION, CONTACT Andrew Dorsey, VP, Corporate Strategy & Investor Relations or David Griffin, Sr. Director, Corporate Strategy & Investor Relations at (410) 427-1705

Image source: The Motley Fool. Wednesday, April 29, 2026 at 10 a.m. ET Chief Executive Officer — C. Taylor Pickett President — Matthew P. Gourmand Chief Investment Officer — Vikas Gupta Chief Financial Officer — Robert O. Stephenson General Counsel and Chief Administrative Officer — Megan M. Krull Need a quote from a Motley Fool analyst? Email [email protected] C. Taylor Pickett: Thanks, Michele. Good morning, and thank you for joining our first quarter 2026 earnings conference call. Today, I will discuss our first quarter financial results and certain key operating trends. First quarter adjusted funds from operations, AFFO, of $0.82 per share and FAD, funds available for distribution, of $0.78 per share reflect strong revenue and EBITDA growth principally fueled by acquisitions and active portfolio management. Our dividend payout ratio has dropped to 82% for AFFO and 86% for FAD. Our exceptional first quarter results reflect our high-quality capital allocation throughout 2025 and 2026. We continue to find and close RIDEA transactions while still allocating meaningful capital to SNF facilities and UK care homes. We expect our capital allocation and active portfolio management will drive significant future AFFO and FAD growth. Our active portfolio management is highlighted by our planned and partially completed second quarter sales generating $480 million in proceeds. We expect the redeployment of this capital will result in approximately $0.03 of annual AFFO and FAD accretion. I will now turn the call over to Matthew. Matthew P. Gourmand: Thanks, Taylor, and good morning, everyone. We have spoken in previous calls about the team’s focus on creating shareholder value by growing FAD per share on a sustainable basis, and we saw this focus continue to bear fruit in the first quarter, as our FAD per share increased 9.5% over the same quarter last year. This along with a robust pipeline of investment opportunities gave us comfort to be able to increase the low end of our AFFO guidance, moving the midpoint up by $0.02 to $3.22. At the same time, our first quarter investments reflect the breadth of our capital allocation focus. We invested in both triple-net and RIDEA structures, in skilled nursing, seniors housing, and long-term care real estate across the United States, the UK, and Canada. And we closed on our equity investment in Sabra’s operating company. In addition, we are in the process of selling a portfolio of 18 CommuniCare assets for $480 million. Vikas will provide additional details around the sale. However, from an overarching perspective, it was about putting assets into the hands of strong stewards at a price that made sense for each party while also enhancing our credit with CommuniCare. While we would not expect to see this be a core element of our capital allocation strategy, we will continue to evaluate our portfolio and work with our operating partners to find innovative ways to both protect and enhance shareholder value over time. Finally, I would like to thank the team who continue to work tirelessly to execute on our vision as well as our operating partners and their staff who work every day to look after some of the sickest and most frail members of our community. Without them, none of this would be possible. I will now turn the call over to Vikas. Vikas Gupta: Thank you, Matthew, and good morning, everyone. Today, I will discuss the most recent performance trends for Omega Healthcare Investors, Inc.’s operating portfolio, including an update on Genesis, additional detail on our strategic sales, Omega Healthcare Investors, Inc.’s investment activity year to date, and an update on our pipeline. Turning to portfolio performance, core portfolio coverage continues to trend in a favorable direction. Above average coverage levels with our trailing twelve-month operator EBITDAR coverage for our triple-net and mortgage core portfolio as of 12/31/2025 at 1.58x, compared to our third quarter 2025 reported coverage of 1.57x. This represents the highest coverage in our portfolio in over a decade and reflects the combination of a relatively favorable operating backdrop combined with our active portfolio management, where we have focused on strengthening the lease credit across our portfolio. The Genesis bankruptcy process continues to move forward, with a few notable events having taken place in recent weeks. In March, we committed to fund up to $26.7 million, or one third, of a new aggregate $80 million DIP loan. As of the end of the first quarter, we have funded our $25 million of the initial $75 million advance. Proceeds from this new superpriority DIP financing are used to fully repay the original DIP loan and to fund working capital needs. Additionally, the debtor has been advised that 101 West State Street has submitted a qualified financing commitment as required by the asset purchase agreement. The closing date, which can contractually be extended to the end of the third quarter, is conditioned on several factors including receipt of regulatory change-of-ownership approval. We anticipate that 101 West State Street will assume our Genesis master lease and our DIP loan and term loan will be paid off from the consideration received by the debtors at close. We remain confident that our term loan is fully collateralized based on the underlying collateral and the ascribed value of the Genesis estate. These assumptions, along with all elements of the bankruptcy process, are subject to further developments and events in the bankruptcy proceeding. As Taylor and Matthew mentioned, we are in the process of a strategic sale of 18 CommuniCare assets located in Maryland and West Virginia for a contractual purchase price of $480 million and a rent discount at a blended 7.7%. Subsequent to quarter end, 12 Maryland facilities were sold; we expect the remaining 6 West Virginia facilities to be sold in the second quarter. While asset sales are not typically a core component of our capital allocation strategy, the strong pricing offered for these facilities combined with the improvement of our credit with CommuniCare presented an opportunity to realize significant value for our shareholders. Turning to new investments, our transaction activity for 2026 started strong, with $326 million in new investments year to date. Similar to previous quarters, these transactions varied in size and asset type, demonstrating our ability to continue to develop, underwrite, and close accretive transactions in our core asset classes. We continue to support the growth of existing and new operators in the U.S. skilled nursing space and UK care home space, as well as expand our new senior housing RIDEA portfolio. As Matthew said earlier, our primary goal is to allocate capital with a focus on growing FAD per share on a sustainable basis. During 2026, Omega Healthcare Investors, Inc. completed a total of $251 million in new investments not including $13 million in CapEx. These new investments included the previously announced purchase of 9.9% of the equity interest in Sabra’s operating company, the $109 million acquisition of 13 Georgia skilled nursing facilities, and a $10 million investment in an Alabama senior housing RIDEA transaction. Our other first quarter investments included the purchase of a UK care home for $7 million and $27 million in real estate loans. The weighted average yield on these leases and loans was 10.9%. Subsequent to quarter end, we closed $75 million of additional investments. We purchased two Indiana skilled nursing facilities for $33 million and three senior housing facilities in Rhode Island for $42 million. The skilled nursing facilities will be leased to a current Omega Healthcare Investors, Inc. operator at a lease yield of 10%. The senior housing facilities will be operated by Omega Healthcare Investors, Inc. and managed by a third-party manager via a RIDEA structure. Turning to the pipeline, our pipeline includes both marketed and off-market opportunities in the U.S. and UK. A large component of these opportunities are U.S. senior housing assets that will be structured and operated using our new RIDEA platform. As mentioned previously, we have built out our infrastructure at Omega Healthcare Investors, Inc. with an experienced team of investment professionals that are finding deals that meet our investment criteria and then coupling them with proven third-party managers who we believe will deliver on those underwritten expectations. We continue to pursue deals that will achieve IRRs in the mid-teens range. In addition to senior housing RIDEA deals, we are aggressively pursuing both U.S. skilled nursing and UK care home deals. In the UK, we have built out our team to help find off-market transactions and quickly evaluate opportunities with existing and new operators in order to continue deploying meaningful capital through both triple-net and RIDEA structures. I will now turn the call over to Bob. Robert O. Stephenson: Thanks, Vikas, good morning. Turning to our financials for 2026, revenue for the first quarter was $323 million compared to $277 million for 2025. The year-over-year increase is primarily the result of the timing and impact of revenue from new investments completed throughout 2025 and 2026, annual escalators, and active portfolio management. Our net income for 2026 was $159 million, or $0.47 per common share, compared to $112 million, or $0.33 per common share, for 2025. Our adjusted FFO was $260 million, or $0.82 per share for the quarter, and our FAD was $247 million, or $0.78 per share, and both are adjusted for several items outlined in our NAREIT FFO, adjusted FFO, and FAD reconciliations to net income found in our earnings release as well as our first quarter financial supplemental posted to our website. Our first quarter 2026 adjusted FFO and FAD were both $0.02 greater than our fourth quarter AFFO and FAD, with the increase primarily resulting from incremental net income from $585 million in new investments completed during the fourth and first quarters, and revenue from annual escalators of $2 million. These were partially offset by income related to $53 million in asset sales and $88 million in loan repayments over the past two quarters, resulting in a $1.4 million reduction to our first quarter adjusted FFO and FAD, as well as the impact from the issuance of a combined 7.7 million common shares of stock and OP units over the past two quarters to fund the new investments. Our balance sheet remains incredibly strong. Our debt is well laddered, and we have significant liquidity. At March 31, we had $425 million in borrowings on our credit facility. However, we also had $26 million in available cash and assets held for sale which we expect to sell for approximately $480 million. Additionally, we have over $1.5 billion in available capacity on our $2 billion revolver, with our next scheduled debt maturity not until April 2027. At quarter end, our fixed charge coverage ratio was 6.3x and our leverage remained flat at 3.5x. We are excited as our balance sheet and cost of capital continue to position us to accretively fund our active pipeline. Turning to guidance, as we press released yesterday, we narrowed our full year adjusted AFFO guidance to a range between $3.19 to $3.25 per share. This is a $0.02 increase over the midpoint of our February guidance. I would like to take a moment to highlight a few of the guidance assumptions we outlined in our earnings release. Our guidance includes the impact of new investments completed as of April 27, and does not include any additional investments not outlined in our press release. It includes the impact of scheduled loan repayments and expected asset sales. Of the $159 million in mortgages and other real estate loans that are scheduled to mature in 2026, it assumes $65 million will convert to fee simple real estate and that the balance will be repaid. Additionally, $224 million in non–real estate-backed loans at 03/31/2026 are expected to be repaid throughout 2026, which includes approximately $159.5 million in Genesis loans. The 18 CommuniCare facilities and assets held for sale are expected to be sold for $480 million. Our Q1 rent related to these facilities totaled $9.2 million. The high end of the range in our guidance includes, but is not limited to, timing or potential extension of loan repayments and asset sales, additional cash from Maplewood as well as other cash-based operators, and G&A at the lower end of the guidance range, just to name a few. Our 2026 adjusted FFO guidance does not include any additional investments, asset sales, or capital market transactions other than what I just mentioned or that was included in the earnings release. I will now turn the call over to Megan. Megan M. Krull: Thanks, Bob, and good morning, everyone. With the budgetary season well underway in most states, we continue to watch for any signals of state reactions to the OVBBA as it relates to long-term care. As expected, things have been relatively quiet, with most meaningful discussions not expected until sometime next year. On a separate note, over the last year or so, Medicare Advantage has come under scrutiny due to allegations of upcoding, high denial rates, delayed payments, and cost savings not keeping pace with expectations. Last week, bipartisan legislation was introduced in Congress, applauded by industry associations, which addresses just these types of concerns. While I noted last time that Medicare Advantage represents a relatively low portion of our operators’ business, the momentum behind fixing these issues is important to our industry, as similar issues arise in managed Medicaid. Indiana, for instance, which implemented managed Medicaid back in 2024, has decided to unwind that program specifically for the long-term care population in nursing homes for very similar reasons that we see in Medicare Advantage. We applaud these efforts to deal with these fundamental structural problems head on to ensure that our payment systems align with the needs of this frail and vulnerable population. We will now open the call for questions. Operator: Thank you. As a reminder, to ask a question, you will need to press star then the number one on your keypad. And if you would like to withdraw your question, press star 1 again. We do request for today’s session that you please limit to one question and one follow-up. Your first question comes from the line of Nicholas Joseph with Citi. Your line is open. Nicholas Joseph: Hi. This is Marlon for Nick. Could you please elaborate on the rationale behind the CommuniCare asset sales and whether or not they are indicative of broader conditions in the Maryland and West Virginia markets? Vikas Gupta: Thanks. Matthew P. Gourmand: Hi. Yes. The primary reason for the disposition was opportunistic. We had an opportunity to sell assets and enhance our credit with CommuniCare. We were able to get a bid that we thought was fair to both parties. I think a little bit of it is a reflection that these are both relatively hot markets right now. Both Maryland and West Virginia are markets that people are looking to acquire in, so we took advantage of that to a certain extent. But I do not think you can expect us to be doing this as part of the core business. Occasionally, we will look to divest assets. In this situation, we were also able to enhance our credit, so to the extent that we can continue to do that, we will. But as we look out through 2026, I do not think you are going to see any large dispositions like this happening in the next few quarters. Operator: Got it. Thank you. Your next question comes from the line of Richard Anderson with Cantor Fitzgerald. Your line is open. Richard Anderson: Thanks. Good morning, everyone. So when you think about your external growth strategy through all the different layers you mentioned—SHOP, skilled, and care homes—can you talk about your comfort level on the initial yield? How low on the initial yield spectrum are you willing to go if you have line of sight into a reasonable IRR over the long term? Thanks. Matthew P. Gourmand: Yes. I do not think we have a number. I would encourage internally not to see this as a competition to see how low we can go. I think it is more really about trying to find the long-term opportunity. If there truly is a situation today where there is a lot of low-hanging fruit that we can fix immediately, I do not think that there is an element necessarily we ascribe to the lowest we would go. I think we really have to look at (a) what the long-term opportunity is and (b) the visibility around that. Obviously, we would be less reluctant to take a swing at things where there is a cost saving that we know a better manager can operate. I think situations where you are looking at a facility that maybe has very low occupancy and historically had low occupancy—relying on a paradigm shift in that occupancy is probably a level of naivety that we would not underwrite to. But it is contingent on the opportunities that present themselves and the risk-adjusted return that we assign to that. Richard Anderson: Right. So when you think about value add—like a low initial cap rate concept—do you think it would be like a 50/50 split in terms of what you are looking at today relative to a more stabilized entry level? Matthew P. Gourmand: It depends on what the market presents us, Rich. What you are finding right now is the stabilized assets that have the most stabilized margins, high occupancy, relatively newer vintage—they tend to be coming in at lower yields but without that upside. So from that standpoint, we have been fortunate enough to find stuff that is, you know, stabilized 7%, 8%, 9% that we think, with a relatively easy lift, we can take into the double digits. But I do not think that we are going to be looking at the true stabilized assets with a 7% where you are relying predominantly on rate increases to exceed costs to drive that growth, because occupancy and rate, to a certain extent, are already fully baked in. So from that standpoint, I think that most stuff we are going to be looking at is what we would say is value add. Richard Anderson: And then my second question is on RIDEA. Will you take that show on the road a little bit in terms of looking at opportunities in the UK with the RIDEA mindset? Vikas Gupta: Yes. This is Vikas. We actually are looking at a few opportunities right now, so it will become part of our strategy in the UK going forward. Richard Anderson: Thanks very much. Operator: Your next question comes from the line of Michael Goldsmith with UBS. Your line is open. Michael Goldsmith: Good morning. I am here with Dustin Hasbey. Thanks for taking my question. Maybe sticking with CommuniCare—we estimate the cap rate was roughly 7.7% based on a contractual rent, but maybe it was a little bit lower given the EBITDAR coverage and assuming the rent is renegotiated. Is that right? And then also, why do you think the private market for U.S. SNFs is so competitive right now? And is the best path forward for Omega Healthcare Investors, Inc. to focus more on other segments until the competition cools for the SNFs? Thanks. Matthew P. Gourmand: Your math is correct, so you get an A for that. And yes, I think right now the competition has been strong for a number of years. I think a lot of people are looking at this as a long-term secular play. That is part of the reason we really like the space. Ultimately, there has been no net new supply for over a decade in this space. Most states have some sort of restriction on new supply. To the extent that an operator is getting in today, even with, let us say, a mid-6s yield, if they believe that occupancy is going to continue to improve and that they can run these facilities well, the operating leverage that exists within the business alone can move this into the high-single and low-double-digit yields over time for them. And then they have the opportunity once these buildings are stabilized to finance them to HUD, which is obviously relatively low-cost debt. So while there is a strong bid in the market, we do not think it is an irrational bid. We just think that it is reflective of the long-term secular plays that exist, and one of the reasons we are not looking to sell prodigious amounts of our skilled nursing. In terms of opportunities, yes, we are seeing less of them, but we are still seeing select opportunities. I think we are not going to rule out or stop looking at skilled nursing. We are just going to continue to remain very disciplined and look for opportunities that align with what we are trying to achieve from a FAD per share growth standpoint. Michael Goldsmith: Got it. And as a follow-up, noticed another quarter of healthy investing volume for your new SHOP segment. Maybe provide some color on the economics of that Rhode Island portfolio. Does Omega Healthcare Investors, Inc. take more of a hands-off approach to its SHOP operations given it is still a small segment, or are you in the process of building out a data platform and other standard operating procedures related to SHOP? Vikas Gupta: Yes. So this Rhode Island deal falls right in the category of everything we have been about in our SHOP world. We are underwriting to stabilized mid-teens IRRs, and it just follows all the protocols we have been saying. We use our data, underwriting, our entire team to get around it, so it is just a typical RIDEA deal—value add in our book. Matthew P. Gourmand: And then the other thing I would add is you are right—obviously we do not have the level of experience or sophistication of some of our peers who have devoted years and significant amounts of money to rolling out various different technologies and have experience on that side of things. I think our attitude right now is we spend an awful lot of time both hiring people internally who have great experience in this space but also developing relationships as a team to understand really strong operators. Our attitude as of now is we are hiring them because of their expertise, and for us, given our relative lack of expertise in the space, to start second-guessing them straight out of the gate would probably be naive at best. So while we obviously, by our very nature, are extremely focused on what they are doing and seeking to learn from them and understand from them, I do not think we are in a position to necessarily tell them how to run their businesses at this point in time. That is effectively what we are hiring them to do on our behalf. Michael Goldsmith: Thank you very much. Good luck in the second quarter. Matthew P. Gourmand: Thanks. Operator: Your next question comes from the line of Julien Blouin with Goldman Sachs. Your line is open. Julien Blouin: Thank you for taking my question. I wanted to touch on the level of competition you are seeing in the transaction market, specifically in U.S. senior housing or RIDEA structures. We are seeing a lot of capital flowing into this space, so just wondering if you are finding it increasingly more difficult to achieve the mid-teens IRRs you are targeting. Vikas Gupta: Yes, it is competitive. As you know, there are a lot of players in this space now. But as Matthew mentioned, we are looking at a lot of value-add product, and we are finding it. The team is going out there, we are reviewing transactions, and if it fits, it fits. At the same time, everyone has its own underwriting criteria, and for what we are looking for, we continue to find assets. Julien Blouin: Okay, great. And then back to the CommuniCare sale—clearly a strong cap rate just on current rents, but even if we were to assume a resetting of rents to something like your average EBITDAR coverage of 1.5x, that would mean an even lower cap rate, I guess. What kind of buyer is this? Is it a buyer that really sees the potential to change management of the assets and improve operations? Is that a key part of their play? Matthew P. Gourmand: I cannot speak to what their business plan was behind that. What I can tell you is they are long-term players in the space, highly established, like to own the operations and the properties. And I think that their belief is kind of as we spoke to earlier, that there is a 20-year secular play here and that the price that they paid for these assets today, in 10–15 years’ time, may actually look like a bargain given the fact that there is no new supply coming online in most states. So they are an established, reputable player. Beyond that, I cannot speak to what their plans are for the business. Julien Blouin: Thank you. Operator: Next question comes from the line of Omotayo Tejumade Okusanya with Deutsche Bank. Your line is open. Omotayo Tejumade Okusanya: Good morning, guys. I wanted to talk a little bit about Medicare Advantage. We have seen a bunch of healthcare providers report over the past week—UnitedHealth, Humana—all talking about CMS Medicare Advantage and the rollout of these value-based care systems. Some seem to be adopting really well; others are struggling. How do you see this impacting skilled nursing referrals from hospitals over 2026–2027, and does it change anything? How do you expect skilled nursing operators to react to these value-based programs infiltrating the system, so to speak? Megan M. Krull: Like I said last time, Medicare Advantage is not a huge piece of our business. It definitely has less penetration in the skilled nursing space than it does in the general Medicare population. At this point, there is not much in the way that it impacts our operators other than there are certain areas that have higher Medicare Advantage penetration. Sometimes those rates are materially lower than Medicare, and sometimes that means taking a Medicaid resident might make more sense than taking a resident at Medicare Advantage rates. As an industry, I think there is a big push to get those rates up to more reasonable numbers. And like I said in my talking points, there is legislation last week to deal with some of these other issues that are going on, like the high denial rates, where typically you might have a high denial but then if you push back it will get approved. You should not have that type of thing going on. Value-based care is a big thing and something to watch for all of us. Ultimately, we try to partner with the most sophisticated operators, and that plays into their game plan really well. Omotayo Tejumade Okusanya: That is helpful. And then just occupancy trends—the past few quarters have kind of stagnated. What may be happening there? Is it still changing with shift mix? How do we think about that given the backdrop of aging U.S. demographics and limited new supply? Megan M. Krull: I do not think there is any read-through over a few quarters as to what occupancy is doing. The demographics are here and coming, and ultimately you will see that needle move. When you look at our performance, the coverages provide ample coverage for our rent. We are good with where things are, and we expect to see occupancy increase in the next year or two. Omotayo Tejumade Okusanya: Thank you. Operator: Next question comes from the line of Nicholas Philip Yulico with Scotiabank. Your line is open. Next question comes from the line of William John Kilichowski with Wells Fargo. Your line is open. William John Kilichowski: Good morning. Thank you. My first question is just on the transaction market. Earlier, we talked about the competitiveness of SHOP, but I would be interested in the competitiveness of the SNF landscape today. There has been a vacuum of REIT capital and some other capital moving from skilled nursing into SHOP. Are you finding it incrementally any easier to transact in the SNF space given the money that is moving over, or is it still heavily competitive? Vikas Gupta: The short answer is heavily competitive. We were able to find an off-market larger deal that we did in the first quarter, but it is competitive, and a lot of that is coming from the family office space still. Otherwise, we are just not seeing a lot of trading at this time that we like and that fits our investment criteria. William John Kilichowski: Got it. Very helpful. And then my second one for you is that we have got Governor Tim Walz legalizing alcohol in SNFs in Minnesota. What are we thinking for new build-outs—speakeasies or local pub vibes? Vikas Gupta: Is this Medicaid reimbursed? Are non-tenants going to be allowed in? Matthew P. Gourmand: I do not think that is necessarily something that we are looking at right now. Obviously, we have a history of partnering with operators who evolve no matter what the operating backdrop is, even if that includes the use of things previously prohibited in the facility. I suspect that our operators will thrive no matter what the circumstances are. William John Kilichowski: Got it. Thank you. Operator: Next question comes from the line of Nicholas Philip Yulico with Scotiabank. Your line is open. Elmer Chang: Hi. Good morning. This is Elmer Chang on with Nick. Sorry about that earlier—my phone dropped. My first question is on recent senior housing RIDEA communities that you have been acquiring. As you further build out that platform, I know it is dependent on opportunities that may be closer to stabilized assets, but how should we think about underwriting NOI upside to earnings for those recent acquisitions? Matthew P. Gourmand: It is tough for me to be overly precise. Thankfully, we are a $14 billion company and we have put a couple hundred million dollars out. So from that standpoint, I do not think it is going to move the needle that much near term. If you are looking generally at the idea that a blended yield between 7% and 9% coming out of the gate on these things is reasonable, you will not be too far off. Then, hopefully, that will meaningfully improve over time. But given the relative size of it right now, if you are in that ballpark, missing or exceeding expectations is probably going to be limited given the relative size. Elmer Chang: Got it. Thank you. And second, going back to the planned CommuniCare sale, what assumptions in terms of initial yield and future growth are driving your estimates for $0.03 of accretion to FAD that you expect? And how much of the $480 million is going to be reinvested, or maybe already in deals under LOIs or under contract? Matthew P. Gourmand: We went back and forth on what the number was. I wanted to say $0.04 because, technically, putting it back to work at a 10% gives you three and a half pennies, and that rounds up, but we decided to be conservative. So the numbers probably are in the low 9%s in terms of what we are saying. I still think we are going to expect to deploy capital in the 10%s, but that is the math around it. In terms of LOIs, we are not going to talk too much about what is in LOIs today, but this is an interesting market right now. In seniors housing and skilled nursing and care homes, you are seeing probably more appetite and more players than we have seen in well over a decade. This is clearly a space that is exciting people and creating interest, and as a result, there are more competitors out there. But we still, as we look out in the portfolio, see significant opportunities across all three platforms. From that standpoint, I do not want people being confused that just because it is a competitive market that we do not think the pipeline is going to be robust for us over the next 24 months. We are just going to have to be more selective, more creative sometimes in our structuring, and be on the road, quite frankly, finding more off-market deals through relationships. From that standpoint, I think we are in a good place going forward, but nonetheless, it is competitive. Elmer Chang: Thank you. Operator: Next question comes from the line of Michael Albert Carroll with RBC Capital Markets. Your line is open. Michael Albert Carroll: Thanks. I wanted to circle up on the Sabra equity deal. I know that there is a minimum yield to that transaction. It looks like the initial yield is coming in a little bit higher than that. Should we assume growth at a high single-digit to low double-digit rate each year, given the organic growth outlook you are starting to see in skilled nursing facilities and maybe as you layer on new acquisitions and Sabra can continue to grow externally? Is that a good ballpark to think about the growth outlook that equity investment could potentially generate? Vikas Gupta: This is Vikas. Let me answer that a little differently. As we have said before, you are speaking of our Sabra investment. It is a private company, so we cannot release financial information for them, but we are very happy with our investment to date. It is beating expectations, and we are getting returns slightly above what we thought we would get. Sabra plans to keep growing and they think like us—good, smart transactions that are accretive. We plan that there will be further growth here above our underwritten expectations. Michael Albert Carroll: That is helpful. And circling back on Maplewood, has there been any discussion to transition that Maplewood investment into a pure RIDEA contract? I know that Omega Healthcare Investors, Inc. still gets a lot of the upside given how it is struck in the net lease side, but does it help to simplify that agreement? Vikas Gupta: To be honest, that is what we are doing right now. We see it as a RIDEA asset now, so we do not see the need to do that. We thought about it from time to time, but right now, we are truly treating this like our RIDEA asset. All of the cash flow comes to Omega Healthcare Investors, Inc., and the team receives promotes for hitting certain cash flow hurdles. At this point, we do not see a need for a structural change. Michael Albert Carroll: Great. Appreciate it. Operator: Next question comes from the line of Juan Carlos Sanabria with BMO Capital Markets. Your line is open. Juan Carlos Sanabria: Hi. Good morning. On building out the team in SHOP or RIDEA, how should we think about that? Is that more on trying to source opportunities, or inclusive of building out asset management capabilities? Vikas Gupta: Again, the answer is all of the above. We have hired a lot of smart people to help us step up our investment criteria and underwriting abilities, to go out there and find more relationships. For example, we have boots on the ground in the UK now to find off-market transactions for us. Additionally, both on asset management and accounting, we have hired a good bit of people to help us manage our transactions after they close. Juan Carlos Sanabria: And then there is some news about litigation and some punitive damages awarded to victims, where the REIT was held culpable—at the time it was Colony Capital, not DigitalBridge. Thoughts there, and does that change the calculus at all or make you more hesitant on these transactions potentially in states like California where it is more litigious? Megan M. Krull: I would like to think that was a one-off unique situation because REITs do not get involved in the operations and are not involved in the patient care. To hold a REIT accountable for care that they are not providing does not make sense. But we will continue to watch the various different areas and make sure that is part of our investment thesis. Juan Carlos Sanabria: Thank you. Operator: Next question comes from the line of Wesley Golladay with Baird. Your line is open. Wesley Golladay: Good morning, everyone. Quick question on how the SNF pipeline is evolving for the broader market. Are you starting to see more operators stabilizing assets and going directly to HUD? Vikas Gupta: This is Vikas again. To be honest, we are not seeing a lot of SNF assets trading at all right now. I think people are sitting on their assets and taking them to HUD. We have seen broken deals pop up from time to time, and I think we are going to start seeing more of those in the future. Wesley Golladay: For those, would you look to loan on those or buy them outright? Vikas Gupta: Buy them outright. Wesley Golladay: Thank you. Operator: Next question comes from the line of Vikram L. Malhotra with Mizuho. Your line is open. Vikram L. Malhotra: Morning. Thanks for taking the questions. You have had a nice pickup in FAD over the last several quarters. What are your latest thoughts on the dividend—pushing that higher? And, Matthew, you made a comment on focusing on per-share FAD growth. With all these different levers, where do you think that could trend from today’s growth? Robert O. Stephenson: Fair question. In terms of the dividend outlook, obviously it is a Board decision. But when you think about 2025 at $0.71 of FAD, Q1 this year at $0.78 of FAD, and all the same tools in place to replicate that type of performance, I would think by year end the Board is going to need to start conversations about our dividend. It really just comes down to the velocity of putting some of the capital back to work because the escalators are in place, the portfolio is stable, we have excess cash flow rolling into the balance sheet and into investments, and then you have the pipeline. It is just how fast we recycle those dollars. We will get there—whether it is 2026 or 2027. The tools are all there for us to perform at that level of growth. Operator: Next question comes from the line of Michael Lee Stroyeck with Green Street. Your line is open. Michael Lee Stroyeck: Thanks, and good morning. Maybe going back to the earlier question on UK RIDEA, does the competitive backdrop within the UK compare versus the U.S.? And has there been the same level of cap rate compression that we have seen in the States? Vikas Gupta: There are some new players in the UK. But through our relationships, we continue to find a good bit of deal activity that we can do at our current cap rates. We are still quoting 10%. Michael Lee Stroyeck: That goes for the RIDEA side as well? Vikas Gupta: Yes, that goes for RIDEA as well. A little bit of our RIDEA growth there will be through our current relationships. Same thing applies. Michael Lee Stroyeck: Got it. And then one question on Maplewood. Last quarter, you outlined high single-digit rate increases across that portfolio. Can you provide an update on how 1Q has progressed on that front? Vikas Gupta: The net increases were high single-digit increases, with both D.C. and New York being at the very high end of it. Michael Lee Stroyeck: Got it. Thanks for the time. Operator: Next question comes from the line of Farrell Granath with Bank of America. Your line is open. Farrell Granath: This is Farrell Granath. First, how do you consider the balance between triple-net with potential revenue upside baked into the contract versus a pure-play RIDEA, and how do you consider that in your acquisition pipeline? Matthew P. Gourmand: The Maplewood situation is kind of contrived from the background in terms of how the deal started. At the end of the day, there is an operating team and an operating company that have the rights to those operating profits if and when those profits exceed our rents. I do not think we would necessarily be looking to create that situation again. We have had situations where we have provided a lease with upside upon value realization, and that has worked reasonably well. A lot of that was our first foray into some level of participation in the upside. But now we have torn the band-aid off and gone full RIDEA. I think that is where our preference lies. At the same time, it is about creating alignment of interests with our partners. If someone else wants to participate in that upside and is willing to put capital in, we are open to creative situations—be they JVs, leases with upside, or some form of debt that can convert to equity over time. We are agnostic as to structure. We believe we have a strong underwriting ability and an ability to understand where value can be created, and as long as we see where value can be created and we can share in that value, we can structure the deal however it works for our operating partners and us. Farrell Granath: And on a similar vein, when selecting the operators themselves to enter onto your SHOP platform, how do you underwrite these operators in your selection? Do you focus more on scaled operators or those that are maybe smaller and looking to expand rapidly? Vikas Gupta: We are looking for experienced operators who have a proven track record, and they tend to be regional. They know those markets well and have performed in those markets before. It is a process—we interview several managers, and we pick the best one that fits those criteria. Operator: There are no further questions at this time. I will turn it back to C. Taylor Pickett for closing remarks. C. Taylor Pickett: Thanks all for joining us this morning. Please follow up with the team with any additional questions. Have a great day. Operator: Ladies and gentlemen, that concludes today’s call. Thank you all for joining. You may now disconnect. Before you buy stock in Omega Healthcare Investors, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Omega Healthcare Investors wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $497,606!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,306,846!* Now, it’s worth noting Stock Advisor’s total average return is 985% — a market-crushing outperformance compared to 200% for the S&P 500. Don't miss the latest top 10 list, available with Stock Advisor, and join an investing community built by individual investors for individual investors. See the 10 stocks » *Stock Advisor returns as of April 29, 2026. This article is a transcript of this conference call produced for The Motley Fool. While we strive for our Foolish Best, there may be errors, omissions, or inaccuracies in this transcript. As with all our articles, The Motley Fool does not assume any responsibility for your use of this content, and we strongly encourage you to do your own research, including listening to the call yourself and reading the company's SEC filings. Please see our Terms and Conditions for additional details, including our Obligatory Capitalized Disclaimers of Liability. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. Omega Healthcare (OHI) Q1 2026 Earnings Transcript was originally published by The Motley Fool