Exhibit 12.2
Computation of Ratio of Earnings to Combined Fixed Charges and Preferred Unit Distributions
Physicians Realty L.P.
(amounts in thousands)
Years Ended December 31, | |||||||||||||||||||
2017 | 2016 | 2015 | 2014 | 2013 | |||||||||||||||
Net income (loss) | $ | 39,773 | $ | 31,522 | $ | 12,741 | $ | (4,418 | ) | $ | (2,636 | ) | |||||||
Adjustment for equity investees | (183 | ) | (115 | ) | (104 | ) | (95 | ) | — | ||||||||||
Net income (loss) before adjustment for equity investees | 39,590 | 31,407 | 12,637 | (4,513 | ) | (2,636 | ) | ||||||||||||
Plus fixed charges: | |||||||||||||||||||
Interest expense | $ | 44,847 | $ | 21,540 | $ | 9,263 | $ | 5,988 | $ | 3,785 | |||||||||
Amortization and write-off of debt issuance costs, amortization of bond discount, and capitalized interest | 2,161 | 2,324 | 1,373 | 919 | 510 | ||||||||||||||
Estimated interest portion of rental expense | 652 | 634 | 430 | 361 | 6 | ||||||||||||||
Preferred distributions | 731 | 1,857 | 1,189 | — | — | ||||||||||||||
Fixed charges and preferred unit distributions | 48,391 | 26,355 | 12,255 | 7,268 | 4,301 | ||||||||||||||
Earnings | $ | 87,981 | $ | 57,762 | $ | 24,892 | $ | 2,755 | $ | 1,665 | |||||||||
Ratio of Earnings to Fixed Charges and Preferred Unit Distributions (1) | 1.82 | x | 2.19 | x | 2.03 | x | — | — |
(1) | The computation of ratio of earnings to fixed charges and preferred unit distributions indicates that earnings were inadequate to cover fixed charges on the basis of our historical financial statements by approximately $4.5 million and $2.6 million for the years ended December 31, 2014 and 2013, respectively. |