NHI Announces Third Quarter 2026 Results
NATIONAL HEALTH INVESTORS INC (NHI) filed an SEC Form 8-K — Results of Operations and Financial Condition. Exhibit 99.1 Contact: Todd M. Siefert, Chief Financial Officer Phone: (615) 890-9100 NHI Announces Third Quarter 2026 Results MURFREESBORO, Tenn. – (Monday, November 9, 2026) National Health Investors, Inc. (NYSE: NHI) announced today its results for the quarter ended September 3
How this was made
The 30-second read
Why it matters
The filing provides fresh quarterly datapoints: reported net income per diluted share surged year over year, while normalized FFO per diluted share and normalized FAD declined, suggesting investors will reassess earnings quality and sustainable NOI growth.
Market read
Traders can update positioning based on the new quarter’s reported and normalized earnings metrics, plus the stated capital allocation activity and portfolio transition effects.
What to watch
Investors may focus too much on headline net income; the filing also cites transaction costs, deferred tax expense, and rental income impacts from lease terminations and SHOP transitions that can distort comparability.
NHI reports Q3 2026 NAREIT FFO of $1.12 per diluted share, up 2.8%, while Normalized FFO of $1.12 fell 15.2%; GAAP EPS of $11.47 reflects a $541.6 million gain on the NHC portfolio sale
Quarterly NAREIT FFO per diluted share rose 2.8% and nine-month NAREIT FFO rose 3.5%, but Normalized FFO per diluted share fell 15.2% in the quarter and 4.1% for nine months. Rental income and Real Estate Investments NOI declined, while SHOP NOI more than doubled on acquisitions and transitioned properties. The company also reports a $9.9 million impairment, $1.1 million of costs on a transaction it stopped pursuing, and a Same Store SHOP NOI guide of 0% to 1% for Q4 2026.
Key metrics
shortened, hover for the filing’s print| Metric | Value | q/q | y/y |
|---|---|---|---|
| Total revenues, Q3 2026 (three months ended September 30)GAAP | $113.5M | – | – |
| Rental income, Q3 2026GAAP | $60.65M | – | decreased $1.5 million, or 2.5% |
| Resident fees and services, Q3 2026GAAP | $47.71M | – | – |
| Interest and other income, Q3 2026GAAP | $5.13M | – | – |
| Senior housing operating expenses, Q3 2026GAAP | $36.19M | – | – |
| Depreciation and amortization, Q3 2026GAAP | $25.76M | – | increased $5.5 million, or 27.4% |
| Interest expense, Q3 2026GAAP | $12.52M | – | decreased $1.2 million, or 9.0% |
| Legal expense, Q3 2026GAAP | $1.05M | – | – |
| General and administrative expenses, Q3 2026GAAP | $8.01M | – | increased $1.7 million, or 26.8% |
| Loan and realty losses (gains), net, Q3 2026GAAP | $9.72M | – | – |
| Total expenses, Q3 2026GAAP | $96.24M | – | – |
| Gains on dispositions of real estate properties, Q3 2026GAAP | $542.7M | – | – |
| Net income, Q3 2026GAAP | $563.2M | – | – |
| Net income attributable to common stockholders, Q3 2026GAAP | $562.7M | – | – |
| Diluted EPS (net income attributable to common stockholders per diluted share), Q3 2026GAAP | $11.47 | – | – |
| NAREIT FFO attributable to common stockholders, Q3 2026non-GAAP | $54.96M | – | – |
| NAREIT FFO per diluted share, Q3 2026non-GAAP | $1.12 | – | increased 2.8% |
| Normalized FFO attributable to common stockholders, Q3 2026non-GAAP | $54.96M | – | – |
| Normalized FFO per diluted share, Q3 2026non-GAAP | $1.12 | – | decreased 15.2% |
| Normalized FAD attributable to common stockholders, Q3 2026non-GAAP | $57.08M | – | decreased $5.1 million |
| NOI (total), Q3 2026non-GAAP | $74.55M | – | – |
| Total revenues, nine months ended September 30, 2026GAAP | $349.9M | – | – |
| Rental income, nine months ended September 30, 2026GAAP | $205.2M | – | – |
| Resident fees and services, nine months ended September 30, 2026GAAP | $129.5M | – | – |
| Interest and other income, nine months ended September 30, 2026GAAP | $15.20M | – | – |
| Senior housing operating expenses, nine months ended September 30, 2026GAAP | $98.11M | – | – |
| Depreciation and amortization, nine months ended September 30, 2026GAAP | $75.00M | – | – |
| Interest expense, nine months ended September 30, 2026GAAP | $43.38M | – | – |
| General and administrative expenses, nine months ended September 30, 2026GAAP | $24.68M | – | – |
| Gains on dispositions of real estate properties, nine months ended September 30, 2026GAAP | $567.3M | – | – |
| Net income, nine months ended September 30, 2026GAAP | $658.3M | – | – |
| Net income attributable to common stockholders, nine months ended September 30, 2026GAAP | $658.3M | – | – |
| Diluted EPS (net income attributable to common stockholders per diluted share), nine months ended September 30, 2026GAAP | $13.52 | – | – |
| NAREIT FFO attributable to common stockholders, nine months ended September 30, 2026non-GAAP | $172.6M | – | – |
| NAREIT FFO per diluted share, nine months ended September 30, 2026non-GAAP | $3.54 | – | increased 3.5% |
| Normalized FFO attributable to common stockholders, nine months ended September 30, 2026non-GAAP | $172.6M | – | – |
| Normalized FFO per diluted share, nine months ended September 30, 2026non-GAAP | $3.54 | – | decreased 4.1% |
| Normalized FAD attributable to common stockholders, nine months ended September 30, 2026non-GAAP | $181.2M | – | increased $7.0 million |
| NOI (total), nine months ended September 30, 2026non-GAAP | $243.5M | – | – |
Segments
| Segment | Revenue | q/q | y/y |
|---|---|---|---|
| Real Estate Investments segment, NOI, Q3 2026Prior-year Q3 NOI was $66,060 thousand. The filing attributes the decline in cash rental income to 42 dispositions since July 1, 2025 (including the 35-property NHC portfolio), a $6.0 million decrease from seven properties transitioned to SHOP in August 2025, partly offset by a $2.8 million increase from five acquisitions and a $12.1 million write-off of straight-line rents receivable on the transitioned properties in the prior year period. | Segment revenue not printed; NOI $63,028 thousand | – | – |
| SHOP segment, NOI, Q3 2026Prior-year Q3 NOI was $4,924 thousand. The filing attributes the increase to the acquisition of 20 SHOP properties since the beginning of Q4 2025 and to the seven transitioned properties. | Segment revenue not printed; NOI $11,518 thousand | – | – |
| SHOP, Same Store properties NOI, Q3 2026Prior-year Q3 Same Store SHOP NOI was $2,962 thousand. The filing states that on a Same Store basis, resident fees and services less senior housing operating expenses increased $0.6 million. | Segment revenue not printed; NOI $3,539 thousand | – | – |
| SHOP, Acquisitions NOI, Q3 2026Prior-year Q3 figure for acquisitions is not printed in the filing (shown as a dash). | Segment revenue not printed; NOI $5,471 thousand | – | – |
| SHOP, Transitioned properties NOI, Q3 2026Prior-year Q3 NOI was $1,962 thousand. These are the seven properties transitioned to the SHOP segment in August 2025. | Segment revenue not printed; NOI $2,508 thousand | – | – |
| Real Estate Investments segment, NOI, nine months ended September 30, 2026Prior-year nine-month NOI was $212,061 thousand. The filing does not give a driver for this period beyond the disposition and transition items noted for the quarter. | Segment revenue not printed; NOI $212,092 thousand | – | – |
| SHOP segment, NOI, nine months ended September 30, 2026Prior-year nine-month NOI was $11,831 thousand. The filing attributes the change to the 20 acquired SHOP properties and the seven transitioned properties. | Segment revenue not printed; NOI $31,431 thousand | – | – |
| SHOP, Same Store properties NOI, nine months ended September 30, 2026Prior-year nine-month Same Store SHOP NOI was $9,869 thousand. | Segment revenue not printed; NOI $10,133 thousand | – | – |
| SHOP, Acquisitions NOI, nine months ended September 30, 2026Prior-year nine-month figure for acquisitions is not printed in the filing (shown as a dash). | Segment revenue not printed; NOI $13,172 thousand | – | – |
| SHOP, Transitioned properties NOI, nine months ended September 30, 2026Prior-year nine-month NOI was $1,962 thousand. | Segment revenue not printed; NOI $8,126 thousand | – | – |
FY2026 (full-year guidance, in millions except per share amounts) outlook
- NoteNet income attributable to common stockholders: $687.0 million low, $687.6 million high
- NoteNAREIT FFO attributable to common stockholders: $228.5 million low, $229.2 million high
- NoteNormalized FFO attributable to common stockholders: $228.5 million low, $229.2 million high
- NoteFAD attributable to common stockholders: $236.6 million low, $237.7 million high
- NoteWeighted average common shares outstanding, diluted: 48.8 million low, 48.8 million high
- NoteNAREIT FFO per diluted share: $4.68 low, $4.70 high
- NoteNormalized FFO per diluted share: $4.68 low, $4.70 high
- NoteSame Store SHOP NOI growth on 15 properties, 2026 vs 2025: 1% to 3%
- NoteSame Store SHOP NOI growth on 26 properties, Q4 2026 vs Q4 2025: 0% to 1%
- NoteTotal SHOP NOI on 48 properties: $43.8 million to $44.3 million, including $1.8 million from an October 1, 2026 acquisition
- NoteAssumption: $190 million in unidentified new investments; continued fulfillment of existing commitments
Capital returns
- Dividend declared November 6, 2026: $0.94 per share, payable January 29, 2027 to common stockholders of record as of December 31, 2026.
- ATM equity program: $500.0 million available as of September 30, 2026 under the program entered into in March 2026 for up to $500.0 million.
- Basic weighted average common shares outstanding: 49,037,240 in Q3 2026 vs 47,433,336 in Q3 2025 (as printed in the reconciliation).
- No share repurchase program amounts are reported in the filing.
What drove it
- The company states that rental income decreased $1.5 million, or 2.5%, primarily due to an $11.8 million decrease in cash rental income from 42 dispositions since July 1, 2025, and a $6.0 million decrease from seven properties transitioned to SHOP in August 2025, partly offset by a $2.8 million increase from five acquisitions and the $12.1 million write-off of straight-line rents receivable on the transitioned properties in the prior year period.
- The company states that resident fees and services, less senior housing operating expenses, increased $6.6 million, primarily from a $5.5 million increase from 20 SHOP acquisitions since the beginning of Q4 2025 and a $0.5 million increase from the seven transitioned properties.
- The company states that interest income from mortgage and other notes receivable decreased $1.3 million, or 20.6%, primarily due to a net reduction in principal amounts outstanding versus the prior year period.
- The company states that depreciation and amortization increased $5.5 million, or 27.4%, primarily due to a $6.2 million increase from properties acquired after July 1, 2025, partly offset by a $1.3 million decrease related to properties sold after July 1, 2025 and one property classified as held for sale.
- The company states that interest expense decreased $1.2 million, or 9.0%, reflecting a $3.4 million decrease from 2025 term loan repayments and a $2.4 million decrease attributable to the Credit Facility, offset by a $4.5 million increase due to the 2033 Senior Notes issued in September 2025.
- The company states that Q3 2026 legal expense of $1.1 million consisted primarily of costs for a large SHOP transaction the company is no longer pursuing.
- The company states that general and administrative expenses increased $1.7 million, or 26.8%, primarily due to a $1.0 million increase in compensation costs (headcount and share-based compensation) and a $0.5 million increase in professional fees.
- The company states that Q3 2026 loan and realty losses of $9.7 million primarily included $9.9 million of impairment on a Real Estate Investments property sold in November 2026.
- The company states that Q3 2026 gains on dispositions of $542.7 million primarily related to the gain on the NHC portfolio sale, and that other non-operating income primarily consisted of interest earned on the proceeds from that sale.
- The company states that Normalized FFO for Q3 2026 included $1.1 million of transaction costs for acquisitions it stopped pursuing, and Q3 2025 Normalized FFO included a $3.9 million reduction in cash rental income from the lease terminations of the transitioned properties.
- The company states that NAREIT FFO for Q3 2025 included a $10.8 million net reduction in rental income for lease terminations associated with the seven transitioned properties, and that nine-month 2025 Normalized FFO included a $3.4 million reduction in credit loss reserves.
- Reconciliation: Q3 2026 Normalized FAD included $1.1 million of transaction costs, $2.2 million of recurring capital expenditures (shown as a reduction) and $1.5 million of share-based compensation expense in the adjustments.
Concerns
- Normalized FFO per diluted share fell 15.2% to $1.12 in Q3 2026 from $1.32, and fell 4.1% to $3.54 for nine months from $3.69. The company's own reconciliation shows the prior-year figures include the $12.1 million straight-line rent write-off and the $1.4 million non-cash rental income item in Q3 2025.
- The CEO states the team has 'developed a focused plan to address underperformance' in the portfolio, and the company has not identified in the filing which properties or segments are underperforming.
- Q4 2026 Same Store SHOP NOI growth guidance is 0% to 1%, below the 1% to 3% full-year range for the 15-property Same Store pool.
- Q3 2026 included a $9.9 million impairment on an assisted living facility, and $1.1 million of transaction costs for a SHOP acquisition the company stopped pursuing.
- Real Estate Investments segment NOI declined from $66,060 thousand to $63,028 thousand in Q3 and nine-month NOI for that segment was essentially flat at $212,092 thousand vs $212,061 thousand, while SHOP NOI growth depended on acquisitions.
- Q3 2026 resident fees and services less senior housing operating expenses is affected by SHOP acquisitions. The Same Store SHOP NOI contribution was $3,539 thousand in Q3, while acquisitions contributed $5,471 thousand.
- Normalized FAD for Q3 2026 declined to $57,078 thousand from $62,248 thousand, while the company notes an increase in basic weighted average shares outstanding to 49,037,240 from 47,433,336.
What to watch
- Same Store SHOP NOI growth against the 0% to 1% Q4 2026 guide and the 1% to 3% full-year guide, and whether the company identifies the underperforming portfolio referred to by management.
- Deployment of the approximately $285.3 million of signed LOIs at an expected average initial NOI yield of approximately 6.5%, and the approximately $400 million evaluation pipeline, against the $500.0 million ATM capacity and the $700.0 million revolver.
- Full-year NAREIT FFO and Normalized FFO per diluted share guidance of $4.68 to $4.70, which implies a result for Q4 2026 that will be derived from the full-year figures printed in the guidance table once Q4 actuals are reported.
- Whether the $1.1 million of transaction costs and the $9.9 million impairment recur in future periods.
- Real Estate Investments NOI following the NHC portfolio sale and the 42 dispositions in 2026.
- Interest expense and debt balances as the 2026 revolver draws and 2033 Senior Notes are refinanced or repaid.
- Dividend coverage: $0.94 per share declared, against Normalized FFO per share guidance of $4.68 to $4.70 for FY 2026 and the Q3 Normalized FAD of $57,078 thousand.
Balance sheet and cash flow
- Consolidated net debt: $1.0 billion as of September 30, 2026, including $203.0 million outstanding on the $700.0 million revolving credit facility.
- Consolidated net debt to annualized adjusted EBITDA: 3.6x, within the company's target range of 3.5x to 4.5x (as stated by the company).
- Cash and cash equivalents: $46,559 thousand at September 30, 2026 vs $19,624 thousand at December 31, 2025.
- Restricted cash: $231,738 thousand at September 30, 2026 vs no balance printed at December 31, 2025.
- Deposits on real estate acquisitions: $108,309 thousand at September 30, 2026 vs no balance printed at December 31, 2025.
- Debt, net: $1,040,329 thousand at September 30, 2026 vs $1,163,814 thousand at December 31, 2025.
- Real estate properties, net: $2,534,822 thousand at September 30, 2026 vs $2,472,272 thousand at December 31, 2025.
- Mortgage and other notes receivable, net: $209,445 thousand at September 30, 2026 vs $203,296 thousand at December 31, 2025.
- National Health Investors, Inc. stockholders' equity: $2,089,956 thousand at September 30, 2026 vs $1,521,543 thousand at December 31, 2025.
- Company states it is in compliance with all debt covenants as of September 30, 2026 and holds investment grade credit ratings from Moody's, S&P Global and Fitch Ratings.
- Portfolio activity: NHC portfolio of 35 properties sold in July 2026 for $560.0 million in cash consideration and $5.3 million of closing costs, with a $541.6 million gain. Nine-month dispositions totaled 42 properties for aggregate net proceeds of $672.1 million.
Analysis
NHI's Q3 2026 results combine a large one-time gain with weaker recurring earnings. GAAP net income attributable to common stockholders was $562,680 thousand, or $11.47 per diluted share, compared with $32,812 thousand, or $0.69, a year earlier. The company attributes the step-up mainly to the $541.6 million gain on the July 2026 sale of the 35-property NHC portfolio, and gains on dispositions of real estate properties were $542,704 thousand in the quarter. On the company's non-GAAP measures, NAREIT FFO per diluted share rose 2.8% to $1.12 from $1.09, while Normalized FFO per diluted share fell 15.2% to $1.12 from $1.32. The reconciliation shows the prior-year Normalized FFO included a $12.1 million write-off of straight-line rents and a $1.4 million non-cash rental income item that are not repeated in 2026.
The mix is shifting from triple-net leases toward SHOP. Total revenues were $113,483 thousand vs $89,847 thousand, with resident fees and services rising to $47,706 thousand from $21,177 thousand and rental income falling to $60,652 thousand from $62,178 thousand. Real Estate Investments NOI declined to $63,028 thousand from $66,060 thousand, while SHOP NOI rose to $11,518 thousand from $4,924 thousand. Within SHOP, Same Store NOI was $3,539 thousand vs $2,962 thousand, and acquisitions contributed $5,471 thousand. The company's Same Store SHOP NOI guidance for Q4 2026 is 0% to 1%, and the CEO refers to a plan to 'address underperformance,' but the filing does not identify which assets are underperforming.
Below the operating line, several items weighed on the quarter as printed. Senior housing operating expenses rose to $36,188 thousand from $16,253 thousand, depreciation and amortization to $25,763 thousand from $20,216 thousand, and general and administrative expenses to $8,005 thousand from $6,311 thousand. Loan and realty losses were $9,717 thousand, mainly the $9.9 million impairment on an assisted living facility sold in November 2026, and legal expense of $1,050 thousand related to a SHOP transaction the company stopped pursuing. Interest expense declined to $12,521 thousand from $13,766 thousand.
Balance sheet and capital allocation: debt, net was $1,040,329 thousand at September 30, 2026, down from $1,163,814 thousand at December 31, 2025, and stockholders' equity rose to $2,089,956 thousand from $1,521,543 thousand. Consolidated net debt was $1.0 billion, with a stated 3.6x net debt to annualized adjusted EBITDA against a 3.5x to 4.5x target. Cash was $46,559 thousand, with $231,738 thousand of restricted cash and $108,309 thousand of acquisition deposits. The company reports $500.0 million of ATM capacity still available, and has signed LOIs for about $285.3 million at an expected average initial NOI yield of about 6.5%. The $0.94 dividend declared November 6, 2026 is set against full-year NAREIT FFO and Normalized FFO per diluted share guidance of $4.68 to $4.70.
Full-year 2026 guidance is unchanged in the filing in the sense that no prior range is printed for comparison, so no revision can be stated. The range assumes $190 million of unidentified new investments and Same Store SHOP NOI growth of 1% to 3% for the year on 15 properties, with total SHOP NOI of $43.8 million to $44.3 million on 48 properties. The key items to track are the Q4 Same Store SHOP NOI result, the conversion of the signed LOIs and pipeline into NOI, and whether Normalized FFO stabilises after the 2025 comparison effects drop out.
Management, verbatim
SHOP and private-pay senior housing remain central to our long-term growth strategy, and we have invested in our executive management team to strengthen operating execution and improve portfolio performance.
Eric Mendelsohn, President and CEO
Our strengthened team has developed a focused plan to address underperformance and position the portfolio for sustainable NOI growth consistent with our underwriting standards.
Eric Mendelsohn, President and CEO
Not in the filing
stated, not guessed- Prior-year and prior-quarter figures for total revenue, net income and most line items in the quarter-over-quarter sense (no sequential Q2 2026 figures are printed in this filing).
- Year-over-year percentage changes for total revenues, net income, resident fees and services, senior housing operating expenses, total expenses, Normalized FAD (as a percentage), NOI and net income attributable to common stockholders.
- Segment revenue for Real Estate Investments and SHOP (only NOI is printed).
- Q3 2025 figure for the Acquisitions line within SHOP NOI (shown as a dash).
- Prior-year comparison for income tax expense (shown as a dash).
- Gross margin, cost of sales and operating income as separately defined lines (not printed).
- Operating cash flow, investing cash flow and free cash flow (no cash flow statement is included in the filing).
- Total assets (balance sheet data is partial and does not include total assets).
- Adjusted EBITDA amount (only the 3.6x ratio is printed).
- Prior guidance for FY2026 (no previous outlook was provided, so no guidance comparison is made).
- Guidance for revenue, gross margin, operating expenses and tax rate (not printed in the guidance table).
- Share repurchase activity (not reported).
- Consensus estimates and share price reaction (not provided and not used).
Written by an AI language model from the company’s SEC earnings filing (Form 8-K Item 2.02, or Form 6-K for a foreign private issuer). Every figure is checked against the filing text, and a metric the filing does not print, or whose value, prior period and change do not add up, is dropped from the metrics. The model can still misread a table, in the metrics or in the text, so check a number in the filing before you rely on it. Consensus estimates, price targets and share-price reactions are not shown because they are not in the filing. AI-generated research, not investment advice.
Background
NHI furnished its Q3 2026 results via SEC 8-K Item 2.02, including CEO commentary on SHOP/private-pay strategy and portfolio execution.
Ticker impact
National Health Investors reported Q3 2026 results, including NAREIT FFO per diluted share up 2.8% and net income per diluted share jumping versus the prior year.
Likely choppy trading as investors weigh higher reported FFO and net income against weaker normalized FFO and lower normalized FAD.
The filing highlights a large gain from the NHC leased portfolio sale, while normalized FFO and normalized FAD declined, implying earnings quality and run-rate concerns despite portfolio activity.
Market effects
Read-through for senior housing REIT peers on SHOP/private-pay execution and the earnings quality of disposition-driven gains versus normalized cash flow.
Limited, as the disclosure is company-specific and not tied to a particular geography.
Low, since this is a US REIT earnings filing with no cross-border policy or macro catalyst.
Counterpoint
The normalized declines may be temporary, driven by timing of dispositions and acquisition/transition effects, while reported FFO and net income benefit from discrete portfolio transactions.
Key entities
- companyNational Health Investors, Inc.
NYSE-listed senior housing REIT reporting Q3 2026 results and portfolio activity, including dispositions and SHOP acquisitions.
- assetNHC leased portfolio
Portfolio sold July 1, 2026, generating a large gain cited in the quarter’s results.
- business_segmentSHOP segment
Private-pay senior housing segment where NHI acquired 20 properties since late 2025 and transitioned seven properties in 2025.
