Medical Properties Trust, Inc. Reports Second Quarter Results and Update

Rapid Growth in Cash Rents from New Operators

Recent Transactions Continue to Validate Asset Values and Provide Balance Sheet Flexibility

Medical Properties Trust, Inc. (the "Company" or "MPT") (NYSE:MPW) today announced financial and operating results for the second quarter ended June 30, 2025, as well as certain events occurring subsequent to quarter end.

• Net loss of ($0.16) and Normalized Funds from Operations ("NFFO") of $0.14 for the 2025 second quarter on a per share basis. Second quarter net loss includes approximately $111 million ($0.18 per share) in impairment and fair market value adjustments primarily related to the completed sale of PHP Holdings and certain Prospect Medical Group ("Prospect") bankruptcy transactions;
• Cash rental income from new tenants increased to $11.0 million from the first quarter's $3.4 million, representing 96% of scheduled collections; scheduled cash collections for the third quarter approximate $17 million;
• Increased equity investment in Infracore joint venture by approximately CHF 50 million, inclusive of a CHF 25 million short-term loan, in April to facilitate the acquisition of a Swiss general acute facility and repayment of debt;
• During the second quarter, sold a post-acute facility with most recent annualized cash rents of approximately $4 million for aggregate proceeds of approximately $28 million and an approximate $5 million real estate gain;
• As the result of a competitive process indicative of robust demand for hospital real estate, the Company's 50% owned joint venture completed a €702.5 million non-recourse, 10-year non-amortizing loan at a 5.1% fixed rate secured by a portfolio of German rehabilitation hospitals; and
• Paid a regular quarterly dividend of $0.08 per share in July.

Edward K. Aldag, Jr., Chairman, President and Chief Executive Officer, said, "During the quarter, our portfolio of new operators continued to successfully ramp operations around the country. As expected, rental income from these operators increased significantly quarter-over-quarter and, in turn, we remain confident in our visibility to annualized pro rata cash rent of more than $1 billion by the fourth quarter of 2026."

Aldag continued, "We have executed multiple highly successful debt offerings in 2025, including our German joint-venture's recent €702.5 million refinancing transaction at a 5.1% fixed rate. These transactions continue to serve as important validation of investor appetite for hospital real estate assets, the long-term strength of MPT's global portfolio, and the growth opportunities embedded in our platform."

Included in the financial tables accompanying this press release is information about the Company's assets and liabilities, operating results, and reconciliations of net loss to NFFO, including per share amounts, all on a basis comparable to 2024 results.

PORTFOLIO UPDATE

Medical Properties Trust has total assets of approximately $15.2 billion, including $9.1 billion of general acute facilities, $2.5 billion of behavioral health facilities and $1.7 billion of post-acute facilities. As of June 30, 2025, MPT's portfolio included 392 properties and approximately 39,000 licensed beds leased to or mortgaged by 53 hospital operating companies across the United States as well as in the United Kingdom, Switzerland, Germany, Spain, Finland, Colombia, Italy and Portugal.

Across regions and asset types, operators are reporting increased admissions and surgical volumes, resulting in increasing TTM EBITDARM coverage for the total portfolio and for each individual asset class on both a year-over-year and sequential basis.

In Europe, hospitals continue to benefit from strong reimbursement and patient acuity trends, and three operators in MPT's U.K. portfolio were nominated for HealthInvestors' Private Hospital Group of the Year – Circle Health, Priory, and Ramsay.

Performance in the United States continues to be driven by increased admissions, volumes and particularly strong performance in inpatient rehabilitation facilities. In early July, U.S. Congress passed the One Big Beautiful Bill Act ("OBBBA"), introducing Medicaid funding changes over the next decade that are expected to allow ample time for hospital operators to adapt their businesses as necessary while increasing demand for flexible capital solutions over the near- and long-term.

The new tenants to which MPT has transferred the operations of properties in Florida, Texas, Arizona, Louisiana and Pennsylvania continue to report improving performance trends as they ramp operations. Through the second quarter, and with the exception of approximately $500,000 in rent related to two facilities, MPT has collected all cash rent owed by these tenants. Presently, three tenants are paying fully ramped cash rent, and both HonorHealth and College Health are underway with self-funded capital spending initiatives.

Prospect's in-court restructuring process which commenced in January 2025 remains underway. In March, the Bankruptcy Court approved a settlement agreement between MPT, Prospect and certain other parties that will enable Prospect to sell its hospital operations and the related real estate with MPT's cooperation. During and subsequent to the second quarter, the Company funded approximately $25 million of junior debtor-in-possession financing according to the settlement agreement.

OPERATING RESULTS

Net loss for the second quarter ended June 30, 2025 was ($98 million) (($0.16) per share), compared to a net loss of ($321 million) (($0.54) per share) in the year earlier period.

NFFO for the second quarter ended June 30, 2025 was $81 million ($0.14 per share), compared to $139 million ($0.23 per share) in the year-earlier period. Compared to 2025's first quarter results, NFFO for 2025's second quarter included an overall increase in rent billed of approximately $13 million ($0.02 per share) and an offsetting increase in interest expense of approximately $14 million ($0.02 per share) related to the $2.5 billion secured notes financing completed in the first quarter.

CONFERENCE CALL AND WEBCAST

The Company has scheduled a conference call and webcast for July 31, 2025 at 11:00 a.m. Eastern Time to present the Company's financial and operating results for the quarter ended June 30, 2025. The dial-in numbers for the conference call are 800-715-9871 (North America) and 646-307-1963 (International) along with passcode 5278552. The conference call will also be available via webcast in the Investor Relations section of the Company's website, www.medicalpropertiestrust.com.

A telephone and webcast replay of the call will be available beginning shortly after the call's completion. The telephone replay will be available through August 7, 2025, using dial-in numbers 800-770-2030 (North America) and 609-800-9909 (International) along with passcode 5278552. The webcast replay will be available for one year following the call's completion on the Investor Relations section of the Company's website.

The Company's supplemental information package for the current period will also be available on the Company's website in the Investor Relations section.

The Company uses, and intends to continue to use, the Investor Relations page of its website, which can be found at www.medicalpropertiestrust.com, as a means of disclosing material nonpublic information and of complying with its disclosure obligations under Regulation FD, including, without limitation, through the posting of investor presentations that may include material nonpublic information. Accordingly, investors should monitor the Investor Relations page, in addition to following our press releases, SEC filings, public conference calls, presentations and webcasts. The information contained on, or that may be accessed through, our website is not incorporated by reference into, and is not a part of, this document.

About Medical Properties Trust, Inc.

Medical Properties Trust, Inc. is a self-advised real estate investment trust formed in 2003 to acquire and develop net-leased hospital facilities. From its inception in Birmingham, Alabama, the Company has grown to become one of the world's largest owners of hospital real estate with 392 facilities and approximately 39,000 licensed beds in nine countries and across three continents as of June 30, 2025. MPT's financing model facilitates acquisitions and recapitalizations and allows operators of hospitals to unlock the value of their real estate assets to fund facility improvements, technology upgrades and other investments in operations. For more information, please visit the Company's website at www.medicalpropertiestrust.com.

Forward-Looking Statements

This press release includes forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Forward-looking statements can generally be identified by the use of forward-looking words such as "may", "will", "would", "could", "expect", "intend", "plan", "estimate", "target", "anticipate", "believe", "objectives", "outlook", "guidance" or other similar words, and include statements regarding our strategies, objectives, asset sales and other liquidity transactions (including the use of proceeds thereof), expected re-tenanting of facilities and any related regulatory approvals, and expected outcomes from Prospect's Chapter 11 restructuring process. Forward-looking statements involve known and unknown risks and uncertainties that may cause our actual results or future events to differ materially from those expressed in or underlying such forward-looking statements, including, but not limited to: (i) the risk that the timing, outcome and terms of the bankruptcy restructuring of Prospect will not be consistent with those anticipated by the Company; (ii) our success in implementing our business strategy and our ability to identify, underwrite, finance, consummate and integrate acquisitions and investments; (iii) the risk that previously announced or contemplated property sales, loan repayments, and other capital recycling transactions do not occur as anticipated or at all; (iv) the risk that MPT is not able to attain its leverage, liquidity and cost of capital objectives within a reasonable time period or at all; (v) MPT's ability to obtain or modify the terms of debt financing on attractive terms or at all, as a result of changes in interest rates and other factors, which may adversely impact our ability to pay down, refinance, restructure or extend our indebtedness as it becomes due, or pursue acquisition and development opportunities; (vi) the ability of our tenants, operators and borrowers to satisfy their obligations under their respective contractual arrangements with us; (vii) the ability of our tenants and operators to operate profitably and generate positive cash flow, remain solvent, comply with applicable laws, rules and regulations in the operation of our properties, to deliver high-quality services, to attract and retain qualified personnel and to attract patients; (viii) the risk that we are unable to monetize our investments in certain tenants at full value within a reasonable time period or at all; (ix) the risk that the operations of our tenants will be negatively impacted by changes to Medicaid funding introduced by the OBBBA; and (x) the risks and uncertainties of litigation or other regulatory proceedings.

The risks described above are not exhaustive and additional factors could adversely affect our business and financial performance, including the risk factors discussed under the section captioned "Risk Factors" in our Annual Reports on Form 10-K and our Quarterly Reports on Form 10-Q, and as may be updated in our other filings with the SEC. Forward-looking statements are inherently uncertain and actual performance or outcomes may vary materially from any forward-looking statements and the assumptions on which those statements are based. Readers are cautioned to not place undue reliance on forward-looking statements as predictions of future events. We disclaim any responsibility to update such forward-looking statements, which speak only as of the date on which they were made.

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Drew Babin, CFA, CMA

Head of Financial Strategy and Investor Relations

Medical Properties Trust, Inc.

(646) 884-9809

[email protected]