Shares of Medical Properties Trust (MPT) dropped to a two-month low on Tuesday following the company’s announcement of a loss in the second quarter. The stock fell to $8.52, marking its lowest level since June 6, and was down 14% to $8.71. MPT shares have seen a decline of 22% this year.
MPT, a real estate investment trust based in Birmingham, Alabama, reported a second-quarter loss of $42 million, or 7 cents a share. This is in contrast to a profit of $189.6 million, or 32 cents a share, during the same period last year. Analysts polled by FactSet had projected a per-share profit of 22 cents.
However, MPT’s normalized funds from operations (NFFO) per share, an essential metric for real estate trusts, increased to 48 cents from 46 cents compared to the previous year. Analysts polled by FactSet had anticipated 37 cents per share.
The loss reported by MPT includes a $286 million charge resulting from the early termination of multiple leases, which negatively impacted earnings.
Despite the loss, MPT has adjusted its full-year guidance and now expects normalized funds from operations of $1.53 to $1.57 per share. This revised range is narrower than the previous forecast of $1.50 to $1.61 per share. Analysts polled by FactSet predict a per-share NFFO of $1.55 for the year.