Omega Healthcare raises 2026 forecast as Q3 revenue tops estimates

Omega Healthcare Investors (OHI) raised its 2026 AFFO forecast, and third-quarter revenue of $340.55 million topped the $299.99 million consensus estimate, the company said in a press release dated Nov. 3, 2026.

Shares were little changed in regular trading as of 9:40 a.m. ET on Nov. 4, from a regular-session close of $47.53.

Omega is a real estate investment trust that invests in the long-term healthcare industry, primarily in skilled nursing, assisted living and care home facilities.

Here’s how the company did:

• Revenue: $340.55 million vs. $311.59 million a year earlier, against a $299.99 million estimate
• AFFO: $262 million, or 82 cents per diluted share, vs. $243 million, or 79 cents per diluted share, a year earlier
• Net income: $87 million, or 27 cents per diluted share, vs. $184.96 million, or 59 cents per diluted share, a year earlier

Revenue has risen in each of the last three quarters, from $311.6 million in the third quarter of 2025 to $328.2 million in the second quarter of 2026, according to its SEC filings.

2026 guidance

The company now expects 2026 AFFO of $3.28 to $3.30 per diluted share, up from the $3.22 to $3.26 range it gave on July 29. The midpoint moved up by five cents, to $3.29.

Chief Executive Officer Matthew Gourmand said, “We are pleased to report strong third quarter results, as we continued to grow FAD per share year over year, while reducing leverage to the lowest level in the Company’s history.”

Investments and portfolio activity

The company completed $182 million of investments in the third quarter and $946 million since quarter-end, bringing 2026 investment activity to about $1.5 billion.

In November, the company funded a £631.7 million ($845.7 million) mortgage loan to Foundation Partners Asset Management Limited. The loan is secured by 48 U.K. care homes and leasehold interests in seven more, and it bears interest at 8.72%, rising to 8.94% in year two. It matures in November 2031.

On Oct. 1, the company transitioned 32 Florida skilled nursing facilities to PACS Group, Inc. (PACS). It paid Airamid Health Services, LLC a $90 million lease termination fee. Initial annual contractual rent on the facilities is $58.0 million, an increase of $26.1 million.

In October, the Genesis Healthcare bankruptcy sale was finalized, with Omega’s lease assumed and assigned to affiliates of 101 W State Street Holdings, LLC. The company received $149.5 million during October related to repayments under its DIP and term loans.

Costs and charges

Acquisition, merger and transition related costs were $59.88 million in the quarter, and severance expense was $18.75 million. The company recorded an $11.36 million net impairment charge related to one facility.

Capital and dividends

The company issued 4.7 million common shares in the quarter for gross proceeds of $234 million. It had $4.1 billion of indebtedness at a weighted average annual interest rate of 4.2%, along with $195.9 million of cash and $2.0 billion of undrawn capacity under its revolving credit facility.

On Oct. 26, the board declared a quarterly cash dividend of 68 cents per share, payable Nov. 16 to stockholders of record on Nov. 5.

The company will host a conference call on Nov. 4, 2026, at 10 a.m. Eastern time.