Key Highlights

  • Revenues totaled $286.6 million in the third quarter, down from $297.8 million a year earlier.
  • Net loss attributable to common stockholders came to $15.8 million, or $0.05 per share, versus $57.7 million, or $0.17.
  • Normalized FFO reached $145.9 million, or $0.42 per diluted share, compared with $0.41.
  • Impairment charges declined to $16.2 million from $104.4 million a year ago.
  • A quarterly Dividend of $0.24 per share was declared on October 29, 2026.

A smaller loss on lower impairments and reduced interest costs

Healthcare Realty Trust (NYSE:HR) is a real estate Investment trust that owns, leases, manages, develops and redevelops outpatient healthcare properties across the United States. As of September 30, 2026, it held gross investments of about $10.2 billion in 495 consolidated properties totaling roughly 28.7 million square feet across 25 states. It filed its Quarterly Report for the period on October 29, 2026.

Net loss was $15.9 million, versus $58.5 million a year earlier, and the loss attributable to common stockholders was $0.05 per share against $0.17. The improvement stemmed mainly from Impairment charges of $16.2 million, down from $104.4 million, and from interest expense that dropped 14.8% to $44.8 million.

Revenue slips about 3.7% as dispositions outweigh leasing

Total revenues came to $286.6 million, down from $297.8 million, a decline of about 3.7% on a calculated basis. Rental income fell $9.8 million, or 3.4%. Dispositions in 2025 and 2026 removed $28.7 million, while leasing activity added $15.6 million.

Property operating expenses decreased $5.2 million, or 4.8%, to $102.4 million. General and administrative expense was $12.4 million, down from $21.8 million.

FFO edges higher on lower costs

FFO attributable to common stockholders was $131.7 million, or $0.38 per diluted share, versus $118.9 million, or $0.34. Normalized FFO came to $145.9 million, or $0.42 per share, compared with $145.3 million, or $0.41.

For the nine months, Normalized FFO was $1.25 per share versus $1.20. Same store cash NOI for 462 properties reached $459.8 million against $434.6 million for the first nine months of 2025, a rise of about 5.8% on a calculated basis.

Portfolio activity and occupancy

Across the nine months the company sold 10 properties and four land parcels for $81.3 million, with net proceeds of $74.8 million. After quarter end, on October 22, 2026, it sold a medical office building and a garage in Atlanta for $36.0 million. Capital spending for the nine months totaled $159.5 million.

Occupancy across the total portfolio was 91.2% at September 30, 2026, with same store occupancy at 93.1%.

Balance sheet, Buybacks and the dividend

Notes and bonds payable came to $4.25 billion, up from $3.91 billion at year end, while cash was $17.5 million. The company had $1.6 billion available under its delayed draw term Loan and revolving facility, net of Commercial Paper borrowings and cash. In May 2026 it issued $700.0 million of 3.00% exchangeable senior notes due 2032.

During the quarter it repurchased 2.8 million shares for $49.9 million, and bought another 1.5 million shares for $24.9 million in October. On October 26, 2026, the board authorized a new repurchase program of up to $500.0 million. The quarterly dividend of $0.24 per share is payable November 20, 2026 to holders of record on November 10, 2026.

What to watch after the quarter

The filing flags continuing effects of the Prospect Medical Bankruptcy and the exposure of its leases to health system finances. Further dispositions, redevelopment lease-up and the pace of buybacks against Debt levels will shape later quarters.