EXHIBIT 99.2
[HEALTHCARE REALTY TRUST LOGO]
NEWS RELEASE
Contact: Scott W. Holmes, Senior Vice President and Chief Financial Officer,
(615) 269-8175
HEALTHCARE REALTY TRUST ANNOUNCES FOURTH QUARTER RESULTS
NASHVILLE, Tennessee January 30, 2003 -- Healthcare Realty Trust
Incorporated (NYSE:HR) today announced results for the fourth quarter that ended
December 31, 2002. Revenues for the fourth quarter totaled $46.7 million,
compared with the prior year's $49.0 million. Net income for the period, after
recording a fourth quarter charge which was substantially non-cash, was $7.5
million, or $0.18 per diluted common share. Before the charge, net income would
have been $19.3 million, or $0.46 per diluted common share, versus $20.1
million, or $0.45 per diluted common share, for the fourth quarter of 2001.
Diluted funds from operations, comprised primarily of net income and
depreciation from real estate, totaled $27.8 million for the fourth quarter of
2002, compared with $27.1 million for the same period in 2001. Funds from
operations, per diluted common share, for the fourth quarter of 2002 was $0.67,
compared with $0.67 for the fourth quarter of 2001.
Revenues for the twelve months ended December 31, 2002 totaled $194.5
million compared with the prior year's $194.5 million. For the twelve-month
period, net income after the charge was $70.1 million, or $1.55 per diluted
common share, versus $79.9 million, or $1.81 per diluted common share, for the
same period in 2001. Before the charge, net income would have been $81.9
million, or $1.84 per diluted common share. Diluted funds from operations
totaled $110.7 million for the twelve months ended December 31, 2002, compared
with $106.9 million for the same period ended December 31, 2001. Funds from
operations, per diluted common share, for the twelve months ended December 31,
2002 was $2.66, compared with $2.64 for the twelve months ended December 31,
2001.
Net income includes a one-time charge in the fourth quarter of $11.8
million which is comprised of the accelerated non-cash stock amortization
relating to the retirement of an executive officer as well as severance-related,
project and other costs associated with the elimination of other officer and
employee positions.
Healthcare Realty Trust is a real estate investment trust that
integrates owning, managing and developing income-producing real estate
properties associated with the delivery of healthcare services throughout the
United States. The Company's portfolio is comprised of nine major facility
types, located in 28 states nationwide, and operated pursuant to contractual
arrangements with 60 healthcare providers. The Company has investments of
approximately $1.6 billion in 221 real estate properties or mortgages, totaling
approximately 11 million square feet. The Company provides property management
services to more than five million square feet nationwide.
The Company directs interested parties to its Internet page site,
www.healthcarerealty.com, where material information is posted regarding
this quarter's operations. Please contact the Company at (615) 269-8175 to
request a printed copy of this information. In addition to the historical
information contained within, the matters discussed in this press release
may contain forward-looking statements that involve risks and uncertainties.
These risks are discussed in a 10-K filed with the SEC by Healthcare Realty
Trust for the year ended December 31, 2001. Forward-looking statements
represent the Company's judgment as of the date of this release. The Company
disclaims any obligation to update forward-looking material.
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HR Reports Fourth Quarter Results
Page 2
January 30, 2003
HEALTHCARE REALTY TRUST INCORPORATED
CONDENSED CONSOLIDATED STATEMENTS OF INCOME
(UNAUDITED)
(DOLLARS IN THOUSANDS, EXCEPT PER SHARE DATA)
THREE MONTHS ENDED TWELVE MONTHS ENDED
DECEMBER 31, DECEMBER 31,
------------------------------ ------------------------------
2002 2001 2002 2001
----------- ----------- ----------- -----------
Revenues:
Master lease rental income $ 23,212 $ 24,909 $ 98,067 $ 99,962
Property operating income 18,963 17,928 76,590 67,750
Straight line rent 895 1,268 3,143 5,749
Mortgage interest income 2,694 3,540 13,308 17,254
Management fees 240 414 1,090 1,533
Interest and other income 742 938 2,329 2,290
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$ 46,746 $ 48,997 $ 194,527 $ 194,538
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Expenses:
General and administrative 13,854 2,544 22,228 10,110
Property operating expenses 7,454 7,365 29,803 26,515
Interest 8,229 8,751 34,195 38,110
Depreciation 10,201 10,327 41,467 40,823
Amortization 26 74 131 303
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$ 39,764 $ 29,061 $ 127,824 $ 115,861
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Net income before net gain (loss)
on sale of real estate properties $ 6,982 $ 19,936 $ 66,703 $ 78,677
Net gain (loss) on sale of real
estate properties 515 211 3,388 1,210
----------- ----------- ----------- -----------
Net income $ 7,497 $ 20,147 $ 70,091 $ 79,887
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Net income per common share - Basic $ 0.18 $ 0.46 $ 1.57 $ 1.84
=========== =========== =========== ===========
Net income per common share - Diluted $ 0.18 $ 0.45 $ 1.55 $ 1.81
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Funds from operations - Basic $ 27,818 $ 27,097 $ 110,709 $ 106,922
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Funds from operations - Diluted $ 27,818 $ 27,097 $ 110,709 $ 106,922
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Funds from operations
per common share - Basic $ 0.68 $ 0.68 $ 2.70 $ 2.68
=========== =========== =========== ===========
Funds from operations
per common share - Diluted $ 0.67 $ 0.67 $ 2.66 $ 2.64
=========== =========== =========== ===========
Weighted average common
shares outstanding - Basic 41,147,227 40,112,222 40,974,532 39,840,285
=========== =========== =========== ===========
Weighted average common
shares outstanding - Diluted 41,747,036 40,693,569 41,606,068 40,463,158
=========== =========== =========== ===========
Healthcare Realty Trust maintains a website: www.healthcarerealty.com to
provide general corporate, investor and financial information.
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