CareTrust REIT, Inc. (NYSE:CTRE) Q4 2023 Earnings Call Transcript

Tayo Okusanya: Yes, good afternoon. Congrats on the quarter. On the large portfolio deals that are out there, could you give us a general sense of what these things could look like? What it would kind of shake for them to transact? Again if that — if you can kind of talk about those without kind of giving away any secret sauce or negotiations or anything you’re dealing with?

Dave Sedgwick: No, I don’t think so. I think it’s really difficult to give too much color on stuff that is – so when we’re shooting from 25 feet.

Tayo Okusanya: Got you. Okay. That’s fair. And then second question if you could indulge me, the provisioning in 2024, again I know you kind of said it’s a general provisioning and it’s not related to any particular tenant, but could you kind of just talk through last year there was that one tenant that was kind of struggling to pay the rent that was a big driver of the provisioning last year. I mean, is there any kind of similar scenario like that, that could end up happening this year?

Dave Sedgwick: Well, look, we’re still very much in a stage of recovery for the industry, right? Where operators in and out of our portfolio are still recovering back to pre-pandemic occupancy and coverage. And so it’s really more a function of conservatism, knowing what kind of stage of recovery we’re in than having a specific concern about one or two individual operators. As we sit here today, we don’t see a similar experience or performance by an operator like we had last year, like you’re referring to. But because we’re in the stage of recovery that we are, we felt like it was prudent to build in some conservatism there for our guidance.

Tayo Okusanya: Got you. All right, that’s it for me. Thank you.

Dave Sedgwick: Have a good weekend, Tayo.

Operator: I would now like to turn the call over to Dave Sedgwick for closing remarks.

Dave Sedgwick: Well, listen, thank you guys for your interest, your questions, and your continued support, and hope you all have a wonderful weekend.

Operator: This concludes today’s call. You may now disconnect.