Diversified Healthcare Trust reported its financial results for the second quarter of 2025, revealing total revenues of $382.7 million, a 3.6% increase from $371.4 million in the same period last year. The company experienced a net loss of $91.6 million, or $0.38 per share, compared to a net loss of $97.9 million, or $0.41 per share, in the prior year. For the first half of 2025, revenues reached $769.6 million, up from $742.2 million in the first half of 2024, while the net loss narrowed to $100.6 million from $184.1 million year-over-year.
The company’s financial performance was impacted by a significant increase in impairment charges, which totaled $30.9 million for the quarter, compared to $6.5 million in the same period last year. Additionally, Diversified Healthcare Trust recorded a gain of $102.7 million from property sales during the first half of 2025, contrasting with a loss of $19.1 million in the previous year. The company sold 26 properties for a total of $337.2 million in the first half, with plans to sell an additional 49 properties for an expected aggregate sales price of $279.9 million.
Operationally, the company owned 341 properties across 34 states and Washington, D.C., with an occupancy rate of 80.6% in its senior living communities, up from 79.0% a year earlier. The Medical Office and Life Science Portfolio reported an occupancy rate of 82.9%, compared to 81.5% in the previous year. The company’s SHOP segment, which includes managed senior living communities, generated $327.5 million in revenue, reflecting a 6.2% increase from the prior year, driven by higher occupancy and average monthly rates.
Looking ahead, Diversified Healthcare Trust expressed optimism regarding the senior living industry, citing favorable supply and demand dynamics that could enhance occupancy and performance. However, the company remains cautious about potential economic uncertainties, including inflation, interest rate fluctuations, and geopolitical tensions, which could impact its financial condition and operational performance. The company plans to continue monitoring these factors closely while pursuing strategic initiatives to optimize its portfolio and enhance returns.
About DIVERSIFIED HEALTHCARE TRUST
Diversified Healthcare Trust is a REIT specializing in healthcare real estate, including medical office, life science properties, senior living communities, and wellness centers across the U.S. It owns and manages a diverse portfolio of properties leased primarily through triple net and other lease structures. The company focuses on long-term value creation, strategic acquisitions, and portfolio optimization within the resilient healthcare sector.
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