NYSE:MPT Medical Properties Trust Q1 2026 Earnings Report $5.11 -0.05 (-0.97%) As of 05/22/2026 03:58 PM Eastern ProfileEarnings HistoryForecast Medical Properties Trust EPS ResultsActual EPS$0.05Consensus EPS $0.15Beat/MissMissed by -$0.10One Year Ago EPS$0.14Medical Properties Trust Revenue ResultsActual Revenue$252.07 millionExpected Revenue$252.59 millionBeat/MissMissed by -$520.00 thousandYoY Revenue Growth+12.60%Medical Properties Trust Announcement DetailsQuarterQ1 2026Date4/30/2026TimeBefore Market OpensConference Call DateThursday, April 30, 2026Conference Call Time11:00AM ETConference Call ResourcesConference Call AudioConference Call TranscriptPress Release (8-K)Quarterly Report (10-Q)Earnings HistoryCompany ProfilePowered by Medical Properties Trust Q1 2026 Earnings Call TranscriptProvided by QuartrApril 30, 2026 ShareLink copied to clipboard.Key Takeaways Positive Sentiment: Total portfolio operating metrics were stable with EBITDARM coverage at 2.5x; post-acute EBITDARM rose about $80 million year-over-year (MEDIAN +24%, Ernest +16%, Vibra +61%) and general acute EBITDARM increased nearly $40 million. Positive Sentiment: Cash-rent ramp is progressing toward the company target of over $1 billion in annualized cash rent by year-end — tenants across FL, TX, AZ and LA are current through April, Quorum and HonorHealth reached stabilized rent, and HSA is at 75% with 100% expected by October. Negative Sentiment: Behavioral health faces material headwinds — U.S. staffing shortages and reduced NHS reimbursements in the U.K. have pressured Priory, lowering its trailing‑12 EBITDARM coverage (Priory reduced ~40 bps and now ~1.6x), with timing of a recovery uncertain. Neutral Sentiment: Q1 normalized FFO was $0.14 per share in line with expectations, but the quarter included one-time impacts (approximately $0.03–$0.04 benefit from cash rent receipts and a $44 million one-time U.K. tax benefit) and lower G&A from stock‑comp adjustments. Neutral Sentiment: Balance-sheet posture remains managed but with near-term refinancing items — a EUR500M note maturing Oct 2026, a $200M term loan and revolver due June 2027, and $1.4B notes due Oct 2027; dispositions and modest M&A continue, an impairment was taken on two non-performing Ohio/PA facilities, and a ~$60M DIP loan is secured by bankruptcy estate proceeds expected to exceed the loan. AI Generated. May Contain Errors.Conference Call Audio Live Call not available Earnings Conference CallMedical Properties Trust Q1 202600:00 / 00:00Speed:1x1.25x1.5x2xTranscript SectionsPresentationParticipantsPresentationSkip to Participants Operator00:00:00Thank you for standing by. My name is Jeannie, I will be your conference operator today. At this time, I would like to welcome everyone to the Medical Properties Trust first quarter 2026 earnings conference call. All lines have been placed on mute to prevent any background noise during this 60-minute call. After the speaker's remarks, there will be a question-and-answer session. If you would like to ask a question during this time, simply press star followed by the number one on your telephone keypad. If you would like to withdraw your question, press star one again. Thank you. I would now like to turn the call over to Charles Lambert, Senior Vice President. Please go ahead. Charles LambertSenior Vice President at Medical Properties Trust00:00:40Good morning. Welcome to the MPT conference call to discuss our first quarter 2026 financial results. With me today are Edward K. Aldag Jr., Chairman, President, and Chief Executive Officer of the company, Steven Hamner, Executive Vice President and Chief Financial Officer, Kevin Hanna, Senior Vice President, Controller, and Chief Accounting Officer, Rosa Williams, Senior Vice President of Operations and Secretary, and Jason Fry, Managing Director, Asset Management, and Underwriting. Our press release was distributed this morning and furnished on Form 8-K with the Securities and Exchange Commission. If you did not receive a copy, it is available on our website at mpt.com in the investor relations section. Additionally, we're hosting a live webcast of today's call, which you can access in that same section. Charles LambertSenior Vice President at Medical Properties Trust00:01:34During the course of this call, we will make projections and certain other statements that may be considered forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are subject to known and unknown risks, uncertainties, and other factors that may cause our financial results and future events to differ materially from those expressed in or underlying such forward-looking statements. We refer you to the company's reports filed with the Securities and Exchange Commission for a discussion of the factors that could cause the company's actual results or future events to differ materially from those expressed in this call. The information being provided today is as of this date only, and except as required by the federal securities laws, the company does not undertake a duty to update any such information. Charles LambertSenior Vice President at Medical Properties Trust00:02:27In addition, during the course of the conference call, we will describe certain non-GAAP financial measures which should be considered in addition to and not in lieu of comparable GAAP financial measures. Please note that in our press release, MPT has reconciled all non-GAAP financial measures to the most directly comparable GAAP measures in accordance with Reg G requirements. You can also refer to our website at mpt.com for the most directly comparable financial results and related reconciliations. I will now turn the call over to our Chief Executive Officer, Ed Aldag. Edward K. Aldag Jr.Chairman, President, and CEO at Medical Properties Trust00:03:02Thank you, Charles, and thanks to all of you for joining us this morning on our first quarter 2026 earnings call. In a moment, you will hear details from the rest of the team, but let me first summarize what we're seeing across our diverse portfolio of hospitals. Total portfolio EBITDARM coverage remained steady year-over-year at 2.5x. Our post-acute portfolio delivered standout results, with EBITDARM increasing approximately $80 million year-over-year, led by a 24% increase at MEDIAN, a 16% increase at Ernest Health, and a 61% increase at Vibra, which continues to deliver excellent results following the new 20-year master lease agreement executed in late 2025. General acute performance was largely stable, with EBITDARM increasing nearly $40 million year-over-year. Edward K. Aldag Jr.Chairman, President, and CEO at Medical Properties Trust00:03:56These strong results were partially offset by our behavioral health portfolio, which continues to navigate two entirely separate challenges in the U.S. and U.K. markets. While both markets continue to experience strong demand, in the U.S., providers are grappling with staffing shortages, and in the U.K., demand is being dampened by funding pressures at the NHS. Rosa will elaborate shortly on strategic actions being taken to address this. Looking ahead, we are encouraged by the trends we see across the portfolio in early 2026. Our momentum continues to build in post-acute. Our general acute care performance remains stable, with strong performance across the portfolio. We continue to see solid demand trends in the behavioral sector. Additionally, our portfolio of recently transitioned tenant rent continues to ramp as expected, with our tenants across Florida, Texas, Arizona, and Louisiana fully current on rent due through April. Edward K. Aldag Jr.Chairman, President, and CEO at Medical Properties Trust00:05:03Quorum and HonorHealth reached their fully stabilized rents in the third quarter of last year, and HSA ramped to 75% in March, and we continue to expect 100% of monthly payments from HSA beginning in October. Based on these encouraging trends, we remain confident in reaching our goal of over $1 billion in annualized cash rent by year-end. Rosa? Rosa WilliamsSenior Vice President of Operations and Secretary at Medical Properties Trust00:05:31Thank you, Ed. This past quarter marked a period where our mature portfolio continued to deliver steady results while new operators began moving from transition towards stabilization. That progress is increasingly visible as we look forward through 2026 and beyond. In this context, our international assets have provided a meaningful stabilizing force. In Germany, MEDIAN delivered one of its best operating periods to date, supported by high occupancy, improving reimbursements, and sustained demand across orthopedics and other rehabilitation services. We are confident in MEDIAN's ability to drive strong performance throughout 2026, given its scale and operating discipline. Swiss Medical Network reinforced its leading position in the Swiss healthcare market through strategic acquisitions and expanded outpatient activities, focusing on disciplined capital deployment and the growth of their integrated care models. Rosa WilliamsSenior Vice President of Operations and Secretary at Medical Properties Trust00:06:44In the U.K., Circle Health continues to perform well within the general acute segment, benefiting from private pay utilization and higher acuity case mix. Priory reports that demand for inpatient mental health services in the U.K. continues at record levels. Historically, the National Health Service has reimbursed private providers for a substantial majority of these patients. As we have reported on previous earnings updates, the NHS is significantly reducing that reimbursement. In reaction, Priory continues to prioritize service line optimization, cost management, and selective repositioning of certain facilities. We and Priory believe this to be a temporary condition, but the timing and degree of any recovery is unpredictable. For purposes of our reported Priory EBITDARM coverages in this morning's supplemental, we have revised our allocated central cost better reflecting retrospective, recent, and future facility-level actual performance. Rosa WilliamsSenior Vice President of Operations and Secretary at Medical Properties Trust00:08:03Applying these allocations retrospectively has the effect of reducing trailing 12 months coverage by 40 basis points for Priory, by 20 basis points for the behavioral health property type, and not at all for the consolidated portfolio. Turning to the U.S. portfolio, I'll begin with the operators most closely tied to recent transitions. At HSA, management is focused on improving its constrained liquidity and cash collections. In April, HSA engaged and fully onboarded Conifer to manage its revenue cycle operations. Additionally, HSA will be utilizing its own MEDITECH electronic health records system beginning tomorrow. These are critically important steps that HSA is confident will improve collections, drive operational efficiency, and reduce IT expense. Management is also continuing efforts to add service lines, recruit physicians, and improve the facilities and equipment. HSA recently obtained equipment financing and has already begun ordering high-priority replacement equipment with these funds. Rosa WilliamsSenior Vice President of Operations and Secretary at Medical Properties Trust00:09:28Additionally, CMS recently granted contingent approval for the state of Florida's Medicaid Directed Payment Program. HSA expects a significant increase in their net benefit compared to 2025, which would substantially improve their liquidity position. HSA has numerous capital projects in process, including a new parking deck, structural and electrical recertifications, wound care center improvements, elevator upgrades and modernization, roof restorations, and replacement of critical equipment. Turning to NOR, operations have been stable in the first few months, with EBITDARM already in excess of its full contractual rent obligation, which goes into effect at the end of the year. Inpatient admissions are ahead of prior year, and NOR is working to add service lines such as interventional radiology and restarting construction of a new emergency department at Culver City. Rosa WilliamsSenior Vice President of Operations and Secretary at Medical Properties Trust00:10:37This new state-of-the-art ED includes 23 private patient rooms, increases treatment and office space by 80%, and fully meets state-mandated seismic standards. This project is expected to be completed in the summer of 2027. We are encouraged by the steps NOR is taking to improve these facilities that anchor care for some of the most underserved communities in Los Angeles County. More broadly, across the transitioned U.S. portfolio, performance remains aligned with underwriting expectations. As Ed mentioned, Quorum Health and HonorHealth are paying fully stabilized rent as of the third quarter 2025. With HSA now ramped to 75%, we have line of sight towards full contractual rent across these assets as we move through the ramp period. Turning to the rest of our U.S. operators, performance trends remain stable. Rosa WilliamsSenior Vice President of Operations and Secretary at Medical Properties Trust00:11:47Ernest Health remains a standout across post-acute rehabilitation, with strong inpatient rehab performance, improving operating leverage, and balance sheet strengthening following its refinancing. Ernest plans to convert all six MPT-owned LTAC facilities to IRFs by the end of 2026, as it transforms into a pure-play rehab operator. Ernest Rehabilitation Hospitals have historically had meaningfully higher EBITDARM coverages than their average LTAC. At LifePoint, while performance has moderated from the elevated growth experienced in 2024, admissions and acuity continue to support stable cash generation. Following the balance sheet and portfolio repositioning actions discussed last quarter, Vibra's EBITDARM coverage improved to 3x, driven by accelerating volumes across both the rehabilitation and long-term acute care segments. Vibra's California assets performed particularly well, including the Redding facility, which is tracking ahead of MPT's underwriting expectations. Rosa WilliamsSenior Vice President of Operations and Secretary at Medical Properties Trust00:13:10As we look into 2026, we expect sustained progress around rent ramps, stabilization across transitioned assets, and steady performance from our core operators. Collectively, these trends give us a clear view toward normalized contractual rent across the portfolio as we approach 2027. We believe the portfolio is increasingly positioned to deliver durable, sustainable cash flows and strategic growth opportunities over the long term. Kevin? Kevin HannaSenior Vice President, Controller, and Chief Accounting Officer at Medical Properties Trust00:13:50Thank you, Rosa. Today, we reported normalized FFO of $0.14 per share for the first quarter of 2026, which was in line with our expectations. As we disclosed in last quarter's results, we're approximately $0.03-$0.04 higher than it otherwise would have been due to one-time cash rent receipts. G&A expense was lower year-over-year in the quarter, primarily driven by the lower stock compensation expense due to the change in fair market value of certain cash settled awards in 2024 and 2025, of which no award has been earned or vested at this time. Additionally, as discussed in our Form 10-K filing, we moved seven additional legal entities into our U.K. restructure effective in the first quarter, which resulted in a one-time $44 million tax benefit in the first quarter. Steve? Steven HamnerEVP and CFO at Medical Properties Trust00:14:41Thank you, Kevin. I have just a few brief comments. Our balance sheet is relatively unchanged from the fourth quarter. Our nearest maturity is a EUR 500 million unsecured notes issue due in October of this year, which has a coupon of only 0.99%. Our $200 million term loan will mature in June of 2027, as will our revolver, subject to our extension right. Our $1.4 billion unsecured notes issue matures in October 2027. We retain the options that we have discussed on recent quarterly updates, and we continue to plan around our ample security value and indenture flexibility to maximize delevering and interest coverage as our revenue continues to grow. As we have previously suggested, our near-term use of capital for acquisitions is expected to be modest, strategic, and accretive. Steven HamnerEVP and CFO at Medical Properties Trust00:15:37During the quarter, we completed only the EUR 23 million acquisition of a hospital in Germany that we had previously reported and had been negotiating for well over a year. Separately, and again consistent with our previous guidance that dispositions may continue at modest levels, we completed the sales of two small hospitals in the U.S. Operationally, as already discussed, cash rent collections from the hospitals we re-tenanted in September 2024 continue to be paid in accordance with the contractual ramp, with the exception of the small Ohio and Pennsylvania facilities that we have previously explained. Based on cash rent received for April, our annualized rent for these facilities, net of those we have sold, represents about 74% of the contractual cash rent that was required under the previous master lease at the time of the September 2024 transition. Steven HamnerEVP and CFO at Medical Properties Trust00:16:38Once HSA reaches its fully stabilized cash rent beginning in this year's fourth quarter, that percentage is expected to grow to about 98% of the previous rent. The remaining 2% generally relates to the Ohio and Pennsylvania facilities. We again received no rent from these tenants in the first quarter, and we believe it is increasingly unlikely that they will return to operational profitability in the immediate future, partially because local health regulators have not granted necessary approvals to reopen. Accordingly, we recognize an impairment of our loan collateral related to these two facilities. As Ed mentioned, we remain confident that our fourth quarter run rate for cash rents, including our portion of JV rents, will approximate $1 billion. During the quarter, Prospect completed the sales of its remaining hospitals and continues to collect patient and other receivables in the ordinary course. Steven HamnerEVP and CFO at Medical Properties Trust00:17:38MPT's previously discussed DIP loan at quarter end was approximately $60 million and is secured primarily by the proceeds from the claims that the bankruptcy estate is litigating. As of March 31, those proceeds are estimated to substantially exceed our DIP loan commitment. To the extent there is such an excess, we will also receive a significant but as yet undetermined portion over and above our DIP loan balance. While outstanding, the DIP loan accrues interest at all-in rates approximating 16%, although we will recognize any such income only as received. With that, I will turn the call back to the operator to queue any questions. Jeannie? Operator00:18:23At this time, I would like to remind everyone in order to ask a question, press star then the number one on your telephone keypad. Please limit to one question and one follow-up. We will pause for just a moment to compile the Q&A roster. Your first question comes from the line of Michael Mueller with JPMorgan. Please go ahead. Michael MuellerAnalyst at JPMorgan00:18:49Yeah. Hi. I know you gave some, you gave some color around the percentage of rents tied, I guess, the cash collections in April as compared to the prior master lease. Can you give us any more clarity in terms of the actual dollars, dollar amounts collected, and are you still targeting that roughly $160 as it relates to that Steward pool? Steven HamnerEVP and CFO at Medical Properties Trust00:19:14We are, Mike. When I gave those percentages, 74%, 98%, that's with respect to that $160 million target amount. Going forward, again, pro forma for what we collected in April, we'll be collecting 74% of that $160 million. Michael MuellerAnalyst at JPMorgan00:19:35Got it. Okay. Just wanted to make sure that that was the right way to think about that. Second question. I know you talked about maintaining financial flexibility as it relates to upcoming maturities, can you just tell us if you were heading down that path today, number one, where do you think refi? Are you largely looking particularly for the 2026 maturity at a refi? What would rates be? I mean, just get a little more granular, if you can, about what we should be expecting the next couple of quarters there. Steven HamnerEVP and CFO at Medical Properties Trust00:20:10Yeah. We're not in a position to really know with any precision what a coupon may be. That'll be driven by a lot of things, including, you know, as you point out, the sequencing of what we might address first, what we might address comprehensively. I'll just point, just for reference and nothing else, our most recent secured lending has been done with our German portfolio that we did about one year ago at a 10-year, roughly 5%+ coupon. Obviously, a little over one year ago, we did secured senior notes that are today trading in the 6%-7% range. I'm not predicting that that's what we'll be able to refinance at. Steven HamnerEVP and CFO at Medical Properties Trust00:21:01Those are data points that, you know, we all have to look at. Michael MuellerAnalyst at JPMorgan00:21:05Okay. Appreciate it. Thank you. Operator00:21:09Your next question comes from the line of Michael Carroll with RBC Capital Markets. Please go ahead. Michael CarrollAnalyst at RBC Capital Markets00:21:16Yep. Thanks. Can you guys provide us some color on HSA's current financial position, just given the noise that has occurred over the past few months? Will the Florida DPP payments that Rosa mentioned, will that just be used to catch up on their accounts payable, or do you think that they could use some of those proceeds to pay down the working capital loan that you have out to them? Edward K. Aldag Jr.Chairman, President, and CEO at Medical Properties Trust00:21:41Mike, I answer the last part of that question first. The answer is yes. We think they'll use some of the DIP funding to repay our ABL. We also believe that they are in a position now where they've got real interest in getting a permanent ABL, which hopefully will replace our 100% of our ABL in the recent near future. Second part of the question was how are they doing financially. From an EBITDARM standpoint, they continue to perform exceptionally well. They're generating approximately 3x EBITDARM coverage on a current cash rent basis. They still are continuing not to collect as much cash as we and they would like to see. Edward K. Aldag Jr.Chairman, President, and CEO at Medical Properties Trust00:22:30If you remember recently in their press releases, they've entered into a transaction with Conifer to take over their revenue cycle management. That literally just happened last month, and they have just recently begun getting off of the old Steward MEDITECH license and having their own, literally going, the first hospital, I believe, was sometime in late April. They've gone from roughly a 78% to roughly an 82% in cash collections. That's a big number, but they need to get up in, obviously in the 90s for those numbers to work well. Michael CarrollAnalyst at RBC Capital Markets00:23:12Okay. That's helpful. Just switching to Priory real quick. When Rosa was kind of highlighting that the NHS payment reductions were dropped or reduced, when does that actually start hitting their P&L? Does the 1/6 coverage ratio in the supplemental fully reflect those lower payments, or should we expect that coverage ratio to continue to drop as more quarters of that lower payment starts to roll on into that calculation? Steven HamnerEVP and CFO at Medical Properties Trust00:23:43No, we're hopeful that we're near the bottom of that. As I think I said or Rosa said in her prepared remarks, we think it's a temporary situation. There's no predictability of that. Historically, private providers in the U.K. have provided a significant majority of all of the mental health, especially inpatient services. What that means is if the NHS is not paying, then those people are going untreated, and we think that's unsustainable. We're hopeful that at a trailing 12, 1.6x coverage, and again, keep in mind, that's an EBITDARM coverage, that we're near the bottom. There's no assurance of that. We're comfortable with our original underwriting. Our facilities continue to be fully paid rent. Steven HamnerEVP and CFO at Medical Properties Trust00:24:43You know, I think again, the biggest takeaway is, this really isn't sustainable. Once again, we can't predict the timing or the velocity of any recovery. Edward K. Aldag Jr.Chairman, President, and CEO at Medical Properties Trust00:24:58Mike, it's really a political issue here. The good news for us and for all behavioral health operators in the U.K. is that demand is exceptionally strong, continues to increase. The NHS has limited the number of beds available in private care for NHS patients in the behavioral sector. Obviously, as Steve points out, that can't last forever. Michael CarrollAnalyst at RBC Capital Markets00:25:24Just real quick, when you say it's temporary, do you think that the NHS could change those standards? I'm assuming that's gonna take some time, right? That's not gonna happen in the next year or so. Edward K. Aldag Jr.Chairman, President, and CEO at Medical Properties Trust00:25:36I don't know that we agree with that. With the amount of demand that you have for the patients there, it literally is just a funding and political issue and the funding for the NHS and the demand in the public that they have access to behavioral health matters. It literally could be fixed overnight. I'm not suggesting that it will be, but it could be. Michael CarrollAnalyst at RBC Capital Markets00:26:00Okay, thanks. Operator00:26:04Your next question comes from the line of John Kilichowski with Wells Fargo. Please go ahead. John KilichowskiAnalyst at Wells Fargo00:26:11Hi, thank you. Good morning. My first question is just on the potential impacts of the one big beautiful bill to your portfolio. When you think about the flow throughs of once that, you know, bills is implemented, you know, how will that affect your tenants and maybe specifically HCA as it's tracking towards, you know, you said one time coverage at full rate? Edward K. Aldag Jr.Chairman, President, and CEO at Medical Properties Trust00:26:32John, from the big beautiful bill overall, very broadly speaking, our operators do not believe overall that it will have a negative effect. There are obviously a few hospitals that it will have more of effect than it will on others. HCA is fortunate in their portfolio that they don't believe it will have a significant negative effect on any of their facilities. John KilichowskiAnalyst at Wells Fargo00:26:58Okay, that's helpful. Thank you. My second question is, did you lend to any of your tenants in the quarter? Steven HamnerEVP and CFO at Medical Properties Trust00:27:07Very limited. During the quarter, the only working capital loan we made was to the small Pennsylvania tenant that I mentioned earlier, and that was for less than $1 million. We previously reported we're funding through a secured loan the approximate $25 million cost of HSA's conversion to the MEDITECH EMR system that Rosa mentioned, that actually goes into effect, she may have said, as early as today or tomorrow. We loaned about $13 million during the quarter under that loan. Then we also funded through a second secured loan approximately $12 million in capitation liabilities that remained at the Prospect California hospitals when they exited bankruptcy very early this year. John KilichowskiAnalyst at Wells Fargo00:28:03Very helpful. Thank you. Operator00:28:08Your next question comes from the line of Farrell Granath with Bank of America. Please go ahead. Farrell GranathAnalyst at Bank of America00:28:15Hello, good morning. This is Farrell Granath. My first question was just about the dispositions. Just quickly wanted to touch on the first quarter disposition that was expected, that was mentioned on the last call. I believe it was with the Prospect remaining Waterbury asset. Was that completed in this quarter, or is that still ongoing? Steven HamnerEVP and CFO at Medical Properties Trust00:28:39The, yes, the broader Waterbury transaction was completed in the quarter. I think I mentioned on my remarks that while those proceeds had been received and paid to us, the estate continues to collect receivables and will continue to do that probably for at least a few more months, just in the ordinary course. Those proceeds will also come in to repay our DIP loan. Farrell GranathAnalyst at Bank of America00:29:04Thank you. Also when just considering your portfolio, how do you evaluate potential targets for dispositions? Is there a certain product that you're receiving inbound, either as a value add or more stabilized assets that get more attention that you'd consider disposing of? Edward K. Aldag Jr.Chairman, President, and CEO at Medical Properties Trust00:29:24Yeah, Farrell, we obviously get a lot of inbounds and have for the last 20-something years on different assets. When those come in, we look at the total picture and whether or not it's something that we would like to get rid of or whether the price was high enough that it would be something that we would be willing to accept. We don't have a list of properties other than some of the few remaining Steward closed facilities that we're actively marketing. Other than that, we don't have facilities that we're actively marketing. Farrell GranathAnalyst at Bank of America00:29:57Okay, thank you very much. Operator00:30:01There are no further questions at this time. I will now turn the call back over to Ed Aldag for closing remarks. Edward K. Aldag Jr.Chairman, President, and CEO at Medical Properties Trust00:30:08Amy, thank you very much. As always, if you have any additional questions, don't hesitate to call us once the call is over. Thank you for your time. Operator00:30:18Ladies and gentlemen, that concludes today's call. Thank you all for joining. You may now disconnect.Read moreParticipantsExecutivesCharles LambertSenior Vice PresidentEdward K. Aldag Jr.Chairman, President, and CEOKevin HannaSenior Vice President, Controller, and Chief Accounting OfficerRosa WilliamsSenior Vice President of Operations and SecretarySteven HamnerEVP and CFOAnalystsFarrell GranathAnalyst at Bank of AmericaJohn KilichowskiAnalyst at Wells FargoMichael CarrollAnalyst at RBC Capital MarketsMichael MuellerAnalyst at JPMorganPowered by Earnings DocumentsPress Release(8-K)Quarterly report(10-Q) Medical Properties Trust Earnings HeadlinesMedical Properties Trust: The Comeback Setup Is Finally Lining UpMay 21 at 8:30 AM | seekingalpha.comMedical Properties Trust: Cheap Enough To Watch Closely, Not Yet Enough To BuyMay 21 at 7:04 AM | seekingalpha.com$30 stock to buy before Starlink goes public (WATCH NOW!)A little-known stock pick with money-doubling potential over the next year is revealed for free in the first three minutes of a new video. This company is a critical piece of Elon Musk's fast-growing Starlink technology. It could climb 100 percent or more over the next year as Elon brings Starlink public in what may be the biggest IPO in history. No credit card is required to get the ticker.May 23 at 1:00 AM | Paradigm Press (Ad)Medical Properties Trust Inc.May 18, 2026 | marketwatch.comA Look At Medical Properties Trust (MPT) Valuation After Q1 2026 Results And Portfolio UpdatesMay 2, 2026 | finance.yahoo.comMPT Reports First Quarter ResultsApril 30, 2026 | finance.yahoo.comSee More Medical Properties Trust Headlines About Medical Properties TrustMedical Properties Trust (NYSE:MPT) (NYSE: MPT) is a real estate investment trust (REIT) that acquires, owns and finances hospitals and other healthcare facilities. Founded in 2003 by Edward K. Aldag Jr., the company’s business model centers on providing real estate capital to healthcare operators through long-term leases, sale-leaseback transactions, build-to-suit developments and mortgage financing. By specializing in healthcare real estate, MPT aims to deliver steady rental income and asset-based returns while enabling operators to access capital for clinical operations and growth. The company’s portfolio primarily comprises acute care hospitals, inpatient rehabilitation hospitals, long-term acute care facilities, behavioral health centers and other specialty hospitals. MPT typically structures transactions as long-term triple-net or net leases, under which operators are responsible for facility operations and many property-level expenses. In addition to owning assets, the firm occasionally provides structured financings and sale-leaseback solutions that allow operators to monetize real estate while continuing to run clinical services on the sites. Medical Properties Trust maintains a geographically diversified portfolio with a significant presence in the United States and properties in several international markets, including parts of Europe and Australia. The company pursues growth through acquisitions, selective development and portfolio optimization, seeking to balance regional diversification with sector focus. Its counterparties include a mix of for-profit and nonprofit hospital systems, specialty operators and government-affiliated providers. As a sector-focused REIT, MPT emphasizes long-term lease commitments and asset-level underwriting to support predictable cash flows, while its results are influenced by the credit profile and operational performance of its healthcare tenants as well as by regulatory and reimbursement environments in the jurisdictions where it operates. Edward K. Aldag Jr. is the company’s founder and has been a prominent figure in establishing its strategy and transaction approach.View Medical Properties Trust ProfileRead more More Earnings Resources from MarketBeat Earnings Tools Today's Earnings Tomorrow's Earnings Next Week's Earnings Upcoming Earnings Calls Earnings Newsletter Earnings Call Transcripts Earnings Beats & Misses Corporate Guidance Earnings Screener Latest Articles Was Decker’s Double Beat a Bullish Signal—Or Mere HOKA’s-Pocus?Workday Validates AI Flywheel: Stock Price Recovery BeginsOverextended, e.l.f. Beauty Is Primed to Rebound in Back HalfDeere Beats Q2 Estimates, But Ag Weakness Weighs on OutlookNVIDIA Price Pullback? 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PresentationSkip to Participants Operator00:00:00Thank you for standing by. My name is Jeannie, I will be your conference operator today. At this time, I would like to welcome everyone to the Medical Properties Trust first quarter 2026 earnings conference call. All lines have been placed on mute to prevent any background noise during this 60-minute call. After the speaker's remarks, there will be a question-and-answer session. If you would like to ask a question during this time, simply press star followed by the number one on your telephone keypad. If you would like to withdraw your question, press star one again. Thank you. I would now like to turn the call over to Charles Lambert, Senior Vice President. Please go ahead. Charles LambertSenior Vice President at Medical Properties Trust00:00:40Good morning. Welcome to the MPT conference call to discuss our first quarter 2026 financial results. With me today are Edward K. Aldag Jr., Chairman, President, and Chief Executive Officer of the company, Steven Hamner, Executive Vice President and Chief Financial Officer, Kevin Hanna, Senior Vice President, Controller, and Chief Accounting Officer, Rosa Williams, Senior Vice President of Operations and Secretary, and Jason Fry, Managing Director, Asset Management, and Underwriting. Our press release was distributed this morning and furnished on Form 8-K with the Securities and Exchange Commission. If you did not receive a copy, it is available on our website at mpt.com in the investor relations section. Additionally, we're hosting a live webcast of today's call, which you can access in that same section. Charles LambertSenior Vice President at Medical Properties Trust00:01:34During the course of this call, we will make projections and certain other statements that may be considered forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are subject to known and unknown risks, uncertainties, and other factors that may cause our financial results and future events to differ materially from those expressed in or underlying such forward-looking statements. We refer you to the company's reports filed with the Securities and Exchange Commission for a discussion of the factors that could cause the company's actual results or future events to differ materially from those expressed in this call. The information being provided today is as of this date only, and except as required by the federal securities laws, the company does not undertake a duty to update any such information. Charles LambertSenior Vice President at Medical Properties Trust00:02:27In addition, during the course of the conference call, we will describe certain non-GAAP financial measures which should be considered in addition to and not in lieu of comparable GAAP financial measures. Please note that in our press release, MPT has reconciled all non-GAAP financial measures to the most directly comparable GAAP measures in accordance with Reg G requirements. You can also refer to our website at mpt.com for the most directly comparable financial results and related reconciliations. I will now turn the call over to our Chief Executive Officer, Ed Aldag. Edward K. Aldag Jr.Chairman, President, and CEO at Medical Properties Trust00:03:02Thank you, Charles, and thanks to all of you for joining us this morning on our first quarter 2026 earnings call. In a moment, you will hear details from the rest of the team, but let me first summarize what we're seeing across our diverse portfolio of hospitals. Total portfolio EBITDARM coverage remained steady year-over-year at 2.5x. Our post-acute portfolio delivered standout results, with EBITDARM increasing approximately $80 million year-over-year, led by a 24% increase at MEDIAN, a 16% increase at Ernest Health, and a 61% increase at Vibra, which continues to deliver excellent results following the new 20-year master lease agreement executed in late 2025. General acute performance was largely stable, with EBITDARM increasing nearly $40 million year-over-year. Edward K. Aldag Jr.Chairman, President, and CEO at Medical Properties Trust00:03:56These strong results were partially offset by our behavioral health portfolio, which continues to navigate two entirely separate challenges in the U.S. and U.K. markets. While both markets continue to experience strong demand, in the U.S., providers are grappling with staffing shortages, and in the U.K., demand is being dampened by funding pressures at the NHS. Rosa will elaborate shortly on strategic actions being taken to address this. Looking ahead, we are encouraged by the trends we see across the portfolio in early 2026. Our momentum continues to build in post-acute. Our general acute care performance remains stable, with strong performance across the portfolio. We continue to see solid demand trends in the behavioral sector. Additionally, our portfolio of recently transitioned tenant rent continues to ramp as expected, with our tenants across Florida, Texas, Arizona, and Louisiana fully current on rent due through April. Edward K. Aldag Jr.Chairman, President, and CEO at Medical Properties Trust00:05:03Quorum and HonorHealth reached their fully stabilized rents in the third quarter of last year, and HSA ramped to 75% in March, and we continue to expect 100% of monthly payments from HSA beginning in October. Based on these encouraging trends, we remain confident in reaching our goal of over $1 billion in annualized cash rent by year-end. Rosa? Rosa WilliamsSenior Vice President of Operations and Secretary at Medical Properties Trust00:05:31Thank you, Ed. This past quarter marked a period where our mature portfolio continued to deliver steady results while new operators began moving from transition towards stabilization. That progress is increasingly visible as we look forward through 2026 and beyond. In this context, our international assets have provided a meaningful stabilizing force. In Germany, MEDIAN delivered one of its best operating periods to date, supported by high occupancy, improving reimbursements, and sustained demand across orthopedics and other rehabilitation services. We are confident in MEDIAN's ability to drive strong performance throughout 2026, given its scale and operating discipline. Swiss Medical Network reinforced its leading position in the Swiss healthcare market through strategic acquisitions and expanded outpatient activities, focusing on disciplined capital deployment and the growth of their integrated care models. Rosa WilliamsSenior Vice President of Operations and Secretary at Medical Properties Trust00:06:44In the U.K., Circle Health continues to perform well within the general acute segment, benefiting from private pay utilization and higher acuity case mix. Priory reports that demand for inpatient mental health services in the U.K. continues at record levels. Historically, the National Health Service has reimbursed private providers for a substantial majority of these patients. As we have reported on previous earnings updates, the NHS is significantly reducing that reimbursement. In reaction, Priory continues to prioritize service line optimization, cost management, and selective repositioning of certain facilities. We and Priory believe this to be a temporary condition, but the timing and degree of any recovery is unpredictable. For purposes of our reported Priory EBITDARM coverages in this morning's supplemental, we have revised our allocated central cost better reflecting retrospective, recent, and future facility-level actual performance. Rosa WilliamsSenior Vice President of Operations and Secretary at Medical Properties Trust00:08:03Applying these allocations retrospectively has the effect of reducing trailing 12 months coverage by 40 basis points for Priory, by 20 basis points for the behavioral health property type, and not at all for the consolidated portfolio. Turning to the U.S. portfolio, I'll begin with the operators most closely tied to recent transitions. At HSA, management is focused on improving its constrained liquidity and cash collections. In April, HSA engaged and fully onboarded Conifer to manage its revenue cycle operations. Additionally, HSA will be utilizing its own MEDITECH electronic health records system beginning tomorrow. These are critically important steps that HSA is confident will improve collections, drive operational efficiency, and reduce IT expense. Management is also continuing efforts to add service lines, recruit physicians, and improve the facilities and equipment. HSA recently obtained equipment financing and has already begun ordering high-priority replacement equipment with these funds. Rosa WilliamsSenior Vice President of Operations and Secretary at Medical Properties Trust00:09:28Additionally, CMS recently granted contingent approval for the state of Florida's Medicaid Directed Payment Program. HSA expects a significant increase in their net benefit compared to 2025, which would substantially improve their liquidity position. HSA has numerous capital projects in process, including a new parking deck, structural and electrical recertifications, wound care center improvements, elevator upgrades and modernization, roof restorations, and replacement of critical equipment. Turning to NOR, operations have been stable in the first few months, with EBITDARM already in excess of its full contractual rent obligation, which goes into effect at the end of the year. Inpatient admissions are ahead of prior year, and NOR is working to add service lines such as interventional radiology and restarting construction of a new emergency department at Culver City. Rosa WilliamsSenior Vice President of Operations and Secretary at Medical Properties Trust00:10:37This new state-of-the-art ED includes 23 private patient rooms, increases treatment and office space by 80%, and fully meets state-mandated seismic standards. This project is expected to be completed in the summer of 2027. We are encouraged by the steps NOR is taking to improve these facilities that anchor care for some of the most underserved communities in Los Angeles County. More broadly, across the transitioned U.S. portfolio, performance remains aligned with underwriting expectations. As Ed mentioned, Quorum Health and HonorHealth are paying fully stabilized rent as of the third quarter 2025. With HSA now ramped to 75%, we have line of sight towards full contractual rent across these assets as we move through the ramp period. Turning to the rest of our U.S. operators, performance trends remain stable. Rosa WilliamsSenior Vice President of Operations and Secretary at Medical Properties Trust00:11:47Ernest Health remains a standout across post-acute rehabilitation, with strong inpatient rehab performance, improving operating leverage, and balance sheet strengthening following its refinancing. Ernest plans to convert all six MPT-owned LTAC facilities to IRFs by the end of 2026, as it transforms into a pure-play rehab operator. Ernest Rehabilitation Hospitals have historically had meaningfully higher EBITDARM coverages than their average LTAC. At LifePoint, while performance has moderated from the elevated growth experienced in 2024, admissions and acuity continue to support stable cash generation. Following the balance sheet and portfolio repositioning actions discussed last quarter, Vibra's EBITDARM coverage improved to 3x, driven by accelerating volumes across both the rehabilitation and long-term acute care segments. Vibra's California assets performed particularly well, including the Redding facility, which is tracking ahead of MPT's underwriting expectations. Rosa WilliamsSenior Vice President of Operations and Secretary at Medical Properties Trust00:13:10As we look into 2026, we expect sustained progress around rent ramps, stabilization across transitioned assets, and steady performance from our core operators. Collectively, these trends give us a clear view toward normalized contractual rent across the portfolio as we approach 2027. We believe the portfolio is increasingly positioned to deliver durable, sustainable cash flows and strategic growth opportunities over the long term. Kevin? Kevin HannaSenior Vice President, Controller, and Chief Accounting Officer at Medical Properties Trust00:13:50Thank you, Rosa. Today, we reported normalized FFO of $0.14 per share for the first quarter of 2026, which was in line with our expectations. As we disclosed in last quarter's results, we're approximately $0.03-$0.04 higher than it otherwise would have been due to one-time cash rent receipts. G&A expense was lower year-over-year in the quarter, primarily driven by the lower stock compensation expense due to the change in fair market value of certain cash settled awards in 2024 and 2025, of which no award has been earned or vested at this time. Additionally, as discussed in our Form 10-K filing, we moved seven additional legal entities into our U.K. restructure effective in the first quarter, which resulted in a one-time $44 million tax benefit in the first quarter. Steve? Steven HamnerEVP and CFO at Medical Properties Trust00:14:41Thank you, Kevin. I have just a few brief comments. Our balance sheet is relatively unchanged from the fourth quarter. Our nearest maturity is a EUR 500 million unsecured notes issue due in October of this year, which has a coupon of only 0.99%. Our $200 million term loan will mature in June of 2027, as will our revolver, subject to our extension right. Our $1.4 billion unsecured notes issue matures in October 2027. We retain the options that we have discussed on recent quarterly updates, and we continue to plan around our ample security value and indenture flexibility to maximize delevering and interest coverage as our revenue continues to grow. As we have previously suggested, our near-term use of capital for acquisitions is expected to be modest, strategic, and accretive. Steven HamnerEVP and CFO at Medical Properties Trust00:15:37During the quarter, we completed only the EUR 23 million acquisition of a hospital in Germany that we had previously reported and had been negotiating for well over a year. Separately, and again consistent with our previous guidance that dispositions may continue at modest levels, we completed the sales of two small hospitals in the U.S. Operationally, as already discussed, cash rent collections from the hospitals we re-tenanted in September 2024 continue to be paid in accordance with the contractual ramp, with the exception of the small Ohio and Pennsylvania facilities that we have previously explained. Based on cash rent received for April, our annualized rent for these facilities, net of those we have sold, represents about 74% of the contractual cash rent that was required under the previous master lease at the time of the September 2024 transition. Steven HamnerEVP and CFO at Medical Properties Trust00:16:38Once HSA reaches its fully stabilized cash rent beginning in this year's fourth quarter, that percentage is expected to grow to about 98% of the previous rent. The remaining 2% generally relates to the Ohio and Pennsylvania facilities. We again received no rent from these tenants in the first quarter, and we believe it is increasingly unlikely that they will return to operational profitability in the immediate future, partially because local health regulators have not granted necessary approvals to reopen. Accordingly, we recognize an impairment of our loan collateral related to these two facilities. As Ed mentioned, we remain confident that our fourth quarter run rate for cash rents, including our portion of JV rents, will approximate $1 billion. During the quarter, Prospect completed the sales of its remaining hospitals and continues to collect patient and other receivables in the ordinary course. Steven HamnerEVP and CFO at Medical Properties Trust00:17:38MPT's previously discussed DIP loan at quarter end was approximately $60 million and is secured primarily by the proceeds from the claims that the bankruptcy estate is litigating. As of March 31, those proceeds are estimated to substantially exceed our DIP loan commitment. To the extent there is such an excess, we will also receive a significant but as yet undetermined portion over and above our DIP loan balance. While outstanding, the DIP loan accrues interest at all-in rates approximating 16%, although we will recognize any such income only as received. With that, I will turn the call back to the operator to queue any questions. Jeannie? Operator00:18:23At this time, I would like to remind everyone in order to ask a question, press star then the number one on your telephone keypad. Please limit to one question and one follow-up. We will pause for just a moment to compile the Q&A roster. Your first question comes from the line of Michael Mueller with JPMorgan. Please go ahead. Michael MuellerAnalyst at JPMorgan00:18:49Yeah. Hi. I know you gave some, you gave some color around the percentage of rents tied, I guess, the cash collections in April as compared to the prior master lease. Can you give us any more clarity in terms of the actual dollars, dollar amounts collected, and are you still targeting that roughly $160 as it relates to that Steward pool? Steven HamnerEVP and CFO at Medical Properties Trust00:19:14We are, Mike. When I gave those percentages, 74%, 98%, that's with respect to that $160 million target amount. Going forward, again, pro forma for what we collected in April, we'll be collecting 74% of that $160 million. Michael MuellerAnalyst at JPMorgan00:19:35Got it. Okay. Just wanted to make sure that that was the right way to think about that. Second question. I know you talked about maintaining financial flexibility as it relates to upcoming maturities, can you just tell us if you were heading down that path today, number one, where do you think refi? Are you largely looking particularly for the 2026 maturity at a refi? What would rates be? I mean, just get a little more granular, if you can, about what we should be expecting the next couple of quarters there. Steven HamnerEVP and CFO at Medical Properties Trust00:20:10Yeah. We're not in a position to really know with any precision what a coupon may be. That'll be driven by a lot of things, including, you know, as you point out, the sequencing of what we might address first, what we might address comprehensively. I'll just point, just for reference and nothing else, our most recent secured lending has been done with our German portfolio that we did about one year ago at a 10-year, roughly 5%+ coupon. Obviously, a little over one year ago, we did secured senior notes that are today trading in the 6%-7% range. I'm not predicting that that's what we'll be able to refinance at. Steven HamnerEVP and CFO at Medical Properties Trust00:21:01Those are data points that, you know, we all have to look at. Michael MuellerAnalyst at JPMorgan00:21:05Okay. Appreciate it. Thank you. Operator00:21:09Your next question comes from the line of Michael Carroll with RBC Capital Markets. Please go ahead. Michael CarrollAnalyst at RBC Capital Markets00:21:16Yep. Thanks. Can you guys provide us some color on HSA's current financial position, just given the noise that has occurred over the past few months? Will the Florida DPP payments that Rosa mentioned, will that just be used to catch up on their accounts payable, or do you think that they could use some of those proceeds to pay down the working capital loan that you have out to them? Edward K. Aldag Jr.Chairman, President, and CEO at Medical Properties Trust00:21:41Mike, I answer the last part of that question first. The answer is yes. We think they'll use some of the DIP funding to repay our ABL. We also believe that they are in a position now where they've got real interest in getting a permanent ABL, which hopefully will replace our 100% of our ABL in the recent near future. Second part of the question was how are they doing financially. From an EBITDARM standpoint, they continue to perform exceptionally well. They're generating approximately 3x EBITDARM coverage on a current cash rent basis. They still are continuing not to collect as much cash as we and they would like to see. Edward K. Aldag Jr.Chairman, President, and CEO at Medical Properties Trust00:22:30If you remember recently in their press releases, they've entered into a transaction with Conifer to take over their revenue cycle management. That literally just happened last month, and they have just recently begun getting off of the old Steward MEDITECH license and having their own, literally going, the first hospital, I believe, was sometime in late April. They've gone from roughly a 78% to roughly an 82% in cash collections. That's a big number, but they need to get up in, obviously in the 90s for those numbers to work well. Michael CarrollAnalyst at RBC Capital Markets00:23:12Okay. That's helpful. Just switching to Priory real quick. When Rosa was kind of highlighting that the NHS payment reductions were dropped or reduced, when does that actually start hitting their P&L? Does the 1/6 coverage ratio in the supplemental fully reflect those lower payments, or should we expect that coverage ratio to continue to drop as more quarters of that lower payment starts to roll on into that calculation? Steven HamnerEVP and CFO at Medical Properties Trust00:23:43No, we're hopeful that we're near the bottom of that. As I think I said or Rosa said in her prepared remarks, we think it's a temporary situation. There's no predictability of that. Historically, private providers in the U.K. have provided a significant majority of all of the mental health, especially inpatient services. What that means is if the NHS is not paying, then those people are going untreated, and we think that's unsustainable. We're hopeful that at a trailing 12, 1.6x coverage, and again, keep in mind, that's an EBITDARM coverage, that we're near the bottom. There's no assurance of that. We're comfortable with our original underwriting. Our facilities continue to be fully paid rent. Steven HamnerEVP and CFO at Medical Properties Trust00:24:43You know, I think again, the biggest takeaway is, this really isn't sustainable. Once again, we can't predict the timing or the velocity of any recovery. Edward K. Aldag Jr.Chairman, President, and CEO at Medical Properties Trust00:24:58Mike, it's really a political issue here. The good news for us and for all behavioral health operators in the U.K. is that demand is exceptionally strong, continues to increase. The NHS has limited the number of beds available in private care for NHS patients in the behavioral sector. Obviously, as Steve points out, that can't last forever. Michael CarrollAnalyst at RBC Capital Markets00:25:24Just real quick, when you say it's temporary, do you think that the NHS could change those standards? I'm assuming that's gonna take some time, right? That's not gonna happen in the next year or so. Edward K. Aldag Jr.Chairman, President, and CEO at Medical Properties Trust00:25:36I don't know that we agree with that. With the amount of demand that you have for the patients there, it literally is just a funding and political issue and the funding for the NHS and the demand in the public that they have access to behavioral health matters. It literally could be fixed overnight. I'm not suggesting that it will be, but it could be. Michael CarrollAnalyst at RBC Capital Markets00:26:00Okay, thanks. Operator00:26:04Your next question comes from the line of John Kilichowski with Wells Fargo. Please go ahead. John KilichowskiAnalyst at Wells Fargo00:26:11Hi, thank you. Good morning. My first question is just on the potential impacts of the one big beautiful bill to your portfolio. When you think about the flow throughs of once that, you know, bills is implemented, you know, how will that affect your tenants and maybe specifically HCA as it's tracking towards, you know, you said one time coverage at full rate? Edward K. Aldag Jr.Chairman, President, and CEO at Medical Properties Trust00:26:32John, from the big beautiful bill overall, very broadly speaking, our operators do not believe overall that it will have a negative effect. There are obviously a few hospitals that it will have more of effect than it will on others. HCA is fortunate in their portfolio that they don't believe it will have a significant negative effect on any of their facilities. John KilichowskiAnalyst at Wells Fargo00:26:58Okay, that's helpful. Thank you. My second question is, did you lend to any of your tenants in the quarter? Steven HamnerEVP and CFO at Medical Properties Trust00:27:07Very limited. During the quarter, the only working capital loan we made was to the small Pennsylvania tenant that I mentioned earlier, and that was for less than $1 million. We previously reported we're funding through a secured loan the approximate $25 million cost of HSA's conversion to the MEDITECH EMR system that Rosa mentioned, that actually goes into effect, she may have said, as early as today or tomorrow. We loaned about $13 million during the quarter under that loan. Then we also funded through a second secured loan approximately $12 million in capitation liabilities that remained at the Prospect California hospitals when they exited bankruptcy very early this year. John KilichowskiAnalyst at Wells Fargo00:28:03Very helpful. Thank you. Operator00:28:08Your next question comes from the line of Farrell Granath with Bank of America. Please go ahead. Farrell GranathAnalyst at Bank of America00:28:15Hello, good morning. This is Farrell Granath. My first question was just about the dispositions. Just quickly wanted to touch on the first quarter disposition that was expected, that was mentioned on the last call. I believe it was with the Prospect remaining Waterbury asset. Was that completed in this quarter, or is that still ongoing? Steven HamnerEVP and CFO at Medical Properties Trust00:28:39The, yes, the broader Waterbury transaction was completed in the quarter. I think I mentioned on my remarks that while those proceeds had been received and paid to us, the estate continues to collect receivables and will continue to do that probably for at least a few more months, just in the ordinary course. Those proceeds will also come in to repay our DIP loan. Farrell GranathAnalyst at Bank of America00:29:04Thank you. Also when just considering your portfolio, how do you evaluate potential targets for dispositions? Is there a certain product that you're receiving inbound, either as a value add or more stabilized assets that get more attention that you'd consider disposing of? Edward K. Aldag Jr.Chairman, President, and CEO at Medical Properties Trust00:29:24Yeah, Farrell, we obviously get a lot of inbounds and have for the last 20-something years on different assets. When those come in, we look at the total picture and whether or not it's something that we would like to get rid of or whether the price was high enough that it would be something that we would be willing to accept. We don't have a list of properties other than some of the few remaining Steward closed facilities that we're actively marketing. Other than that, we don't have facilities that we're actively marketing. Farrell GranathAnalyst at Bank of America00:29:57Okay, thank you very much. Operator00:30:01There are no further questions at this time. I will now turn the call back over to Ed Aldag for closing remarks. Edward K. Aldag Jr.Chairman, President, and CEO at Medical Properties Trust00:30:08Amy, thank you very much. As always, if you have any additional questions, don't hesitate to call us once the call is over. Thank you for your time. Operator00:30:18Ladies and gentlemen, that concludes today's call. Thank you all for joining. You may now disconnect.Read moreParticipantsExecutivesCharles LambertSenior Vice PresidentEdward K. Aldag Jr.Chairman, President, and CEOKevin HannaSenior Vice President, Controller, and Chief Accounting OfficerRosa WilliamsSenior Vice President of Operations and SecretarySteven HamnerEVP and CFOAnalystsFarrell GranathAnalyst at Bank of AmericaJohn KilichowskiAnalyst at Wells FargoMichael CarrollAnalyst at RBC Capital MarketsMichael MuellerAnalyst at JPMorganPowered by