HUNT VALLEY, Md. (AP) -- Health care real estate investment trust Omega Healthcare Investors Inc. said Friday that its funds from operations grew 27 percent in the third quarter as it boosted its rental income with acquisitions.
Omega said its rental income rose 14 percent to $78.2 million. The company owns or has mortgages on a total of 460 skilled nursing and assisted living properties and other health care facilities, and it gets most of its revenue from rent payments.
The company said its funds from operations increased to $56.7 million, or 52 cents per share, from $44.5 million, or 43 cents per share. Excluding one-time items, Omega said its funds from operations totaled 54 cents per share in the latest quarter.
Funds from operations, or FFO, is considered an important reading of operating performance for real estate investment trusts. It adds depreciation and amortization expenses, as well as other nonoperating items, back to net income. FactSet said analysts expected Omega to report FFO of 53 cents per share, or 49 cents per share excluding one-time items.
Omega Healthcare said it has spent $575 million on acquisitions over the last year.
The company's total revenue rose 20 percent, to $87.1 million from $72.8 million. That figure includes rent payments and income from mortgage interest and other investments.
Shares of Omega Healthcare Investors fell 59 cents, or 2.5 percent, to $23.05 in morning trading.