• Net loss of $26.8 million, up 75% from H1 2024
• FFO of $12.3 million, down 48% from H1 2024
• Asset recycling program reduces portfolio from 19 to 13 properties

HealthCo Healthcare and Wellness REIT reported a net loss of $26.8 million for the half-year ended 31 December 2025, up 75% from the prior corresponding period. The group's financial performance was materially influenced by its active investment activities, including an asset recycling program which led to a reduction in the portfolio from 19 properties as at 30 June 2025 to 13 properties as at 31 December 2025. The group also noted the impact of its investment in the HMC Wholesale Healthcare Fund (HWHF), which contributed a $15.8 million loss. In March 2025, the group and HWHF issued breach notices to one of its major tenants, Healthscope, for failing to pay rent, and subsequently entered into a short-term partial rent deferral agreement. As at 31 December 2025, 100% of all rent due and payable since the original portfolio transaction in 2023 has been paid. The group did not declare any distributions during the period to preserve balance sheet liquidity. The group's bank loan facility was extended to November 2026 and reduced from $550 million to $475 million. Between September and December 2025, the group settled the sale of 5 GenesisCare assets and Vitality Village for a total of $76.8 million.