Sabra Health Care REIT, Inc. (SBRA) FY2025 10-K Annual Report

Filed: Feb 12, 2026
Financials
Real Estate Investment TrustsSEC EDGAR

Sabra Health Care REIT, Inc. (SBRA) 10-K annual report for fiscal year 2025, filed with SEC EDGAR on Feb 12, 2026. This page provides AI-powered analysis including business overview, management discussion & analysis (MD&A), risk factors, and key financial data such as revenue, net income, gross margin, operating margin, and return on equity (ROE) extracted from XBRL.

Sabra Health Care REIT, Inc. FY2025 10-K Analysis

Business Overview

  • Core business model: Real estate investment trust focusing on healthcare properties with skilled nursing, senior housing, and specialty hospitals
  • Emphasis on occupancy trends with skilled nursing occupancy increasing to 83.4% in 2025 from 76.4% in 2023
  • Senior Housing - Leased occupancy stable near 89%, while Behavioral Health occupancy declined to 76.5% in 2025 from 80.7% in 2023
  • Facility financial data derived solely from tenants/operators, no independent verification by Sabra
  • Occupancy data used cautiously, excluding non-stabilized properties and reflecting only facilities owned at each period end

Management Discussion & Analysis

  • Revenue $774.6M in 2025, up 8% YoY from $703.1M; rental revenues down $7.4M, resident fees up $72.3M, interest income up $6.5M
  • Operating margin not explicitly stated; depreciation up 10% to $187.0M, interest expense down 2% to $112.5M, senior housing operating expenses up 22% to $256.6M
  • Best segment: Senior Housing - Managed revenue $356.9M, +25% YoY; Worst segment: triple-net rental revenues $374.1M, -2% YoY
  • Net cash provided by operating activities $348.6M; investing cash outflows $378.0M for acquisitions and additions; financing cash inflows $40.8M including $500M term loan proceeds; dividends paid $289.5M
  • $1.2B liquidity as of Dec 31, 2025 including $71.5M cash and $782.4M available revolver; management expects sufficient cash flow and credit availability for next 12 months; redeemed $500M 2026 notes in July 2025

Risk Factors

  • Regulatory risk: heightened enforcement of Medicare and Medicaid rules increasing inspections, citations, and penalties affecting tenants' operations and reimbursement
  • Macroeconomic threat: inflation increasing operating and capital expenses faster than rental income, pressuring profitability of Senior Housing - Managed communities
  • Supply chain vulnerability: labor shortages and wage inflation forcing tenants and operators to raise pay or use costly contract staff, impacting cash flows
  • Competitive risk: competition from larger REITs, private equity, hedge funds, and alternatives like home health services reducing occupancy and rents
  • Financial risk: dependency on CEO Mr. Matros, loss of whom could impair management and strategic execution

Sabra Health Care REIT, Inc. FY2025 Key Financial Metrics
XBRL

Revenue

$357M

+25.4% YoY

Net Income

$156M

+22.8% YoY

Net Margin

43.6%

-92bp YoY

ROE

5.5%

+89bp YoY

Total Assets

$5.5B

+3.6% YoY

EPS (Diluted)

$0.64

+18.5% YoY

Operating Cash Flow

$349M

+12.3% YoY

Source: XBRL data from Sabra Health Care REIT, Inc. FY2025 10-K filing on SEC EDGAR. All figures in USD.

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