Note: Data per respective Q4 filings, press releases, supplemental disclosures and earnings conference calls for the years ended December 31, 2017 and 2016, unless
otherwise disclosed. This Annual Report contains certain non-GAAP financial measures. Reconciliations of each of these non-GAAP financial measures are available on
the Company’s website at https://www.ventasreit.com/investor-relations/non-gaap-financial-measures
1) EBITDA: Earnings Before Interest, Taxes, Depreciation and Amortization
2) IRF and LTAC: Inpatient Rehabilitation Facility and Long-Term Acute Care
3) Bloomberg: For period beginning 12/31/1999 and ending 12/31/2017. Ventas prices adjusted historically for spin-off of skilled nursing facilities (SNF) in 2015.
2017 ANNUAL REPORTExcellence. Sustained.
FINANCIAL HIGHLIGHTS
2017 ANNUAL REPORT
Income from Continuing Operations per diluted common share
Normalized Funds from Operations (FFO) per diluted common share
Reported FFO (NAREIT FFO) per diluted common share
Net Debt to Adjusted Pro Form EBITDA1
Same Store Net Operating Income (NOI) Growth
Total Indebtedness to Gross Value
Fixed Charge Coverage
2017
2016
$1.80
$4.16
$4.22
5.7x
2.5%
38%
4.6x
$1.59
$4.13
$4.13
5.7x
2.7%
38%
4.8x
29%
20%
6%
7%
1%
23%
7%
7%
1%
Seniors Housing Operating (SHOP)
Life Science and Innovation Centers
Seniors Housing Triple Net (NNN)
Health Systems
Medical Office Buildings (MOB)
Loans
IRF and LTAC
2
Skilled Nursing Facilities (SNF)
International Hospitals
Net Income (per share)
Dividend (per share)
Revenue ($ millions)
Cash Flow ($ millions)
$3.78
2017
2016
$1.86
2015
$1.25
2017
2016
2015
$3.115
$2.965*
$3.040
2017
2016
2015
$3,574
$3,444
$3,286
2017
2016
2015
$1,442
$1,372
$1,399
I
O
N
B
2
$
~
01
02
VENTAS
4,673%
BB HC REIT INDEX
731%
MSCI US REIT INDEX
593%
S&P 500 INDEX
158%
‘99 ’00 ‘01 ’02 ‘03 ’04 ‘05 ’06 ‘07 ’08 ‘09 ’10 ‘11 ’12 ‘13 ’14 ‘15 ’16 ‘17
*Excludes share distribution associated with the spin-off of Capital Care Properties (CCP) in 2015
FINANCIAL HIGHLIGHTSFINANCIAL SUMMARYCURATED HIGH-QUALITY DIVERSIFIED PROPERTY PORTFOLIORecord Financial ResultsTotal Shareholder Return32
2017 ANNUAL REPORT
LETTER
LETTER TO STAKEHOLDERSTwo Decades of Excellence. Sustained. 2017 was an outstanding year for Ventas, upholding our two decade history of excellence. Our superior business drove record revenues and cash flow. Our balanced, high-quality portfolio of life science, outpatient, seniors housing and other properties across the healthcare landscape delivered year-over-year earnings growth. We invested in our future, expanded our attractive university-based life science business, improved our financial strength, and profitably disposed of almost $1 billion in assets. In 2017, we also received numerous prestigious honors recognizing excellence in our important environmental, social and governance (ESG) efforts. We are proud of our inaugural inclusion on the Dow Jones Sustainability North America Index, and our designation as a “Winning Company” on the 2020 Women on Boards Gender Diversity Index. We were also named as one of Fortune’s “2018 World’s Most Admired Companies,” underscoring our industry leadership, commitment to ESG values, exemplary stewardship and world-class team.Even with all of our achievements, Ventas knows there is so much more opportunity in the large, fragmented real estate healthcare space which continues to be supported by compelling demographic trends. In our highly dynamic market, the opportunities are immense and our position is strong.In 2018, our 20th anniversary year, we remain relentlessly focused on delivering value to all our stakeholders. Our strategic principles—a diversified portfolio of superior properties across asset classes in our space, operated by leading care providers, innovative premier institutions and partners; financial strength and flexibility; a secure dividend supported by stable and growing cash flows; and leadership built on a foundation of integrity—will continue to produce reliable growth and income. Ventas has consistently advanced and improved through cycles because we know that every environment provides pathways to create value. Our cohesive and skilled team stays consistently prepared, productive and ready to seize opportunities. With two decades of proven strategic vision, exceptional foresight and innovation, and intelligent, timely capital allocation decisions, we expect to build upon our successful track record long into the future. Thanks to your ongoing trust and support, Ventas stands ready for the next twenty years.DEBRA A. CAFARO Chairman and Chief Executive Officer3
Positive gender
diversity
10% higher than
S&P 500 average
(Source: Catalyst.org)
Note: Data per respective Q4 filings, press releases, supplemental disclosures and earnings conference calls for the years ended December 31, 2017 and 2016, unless
otherwise disclosed. This Annual Report contains certain non-GAAP financial measures. Reconciliations of each of these non-GAAP financial measures are available on
the Company’s website at https://www.ventasreit.com/investor-relations/non-gaap-financial-measures
1) EBITDA: Earnings Before Interest, Taxes, Depreciation and Amortization
2) IRF and LTAC: Inpatient Rehabilitation Facility and Long-Term Acute Care
3) Bloomberg: For period beginning 12/31/1999 and ending 12/31/2017. Ventas prices adjusted historically for spin-off of skilled nursing facilities (SNF) in 2015.
2017 ACCOMPLISHMENTSof attractive value-creating investments and redevelopment commitments $1.8BCertified properties throughout the portfolio100+ LEED® AND ENERGY STAR®CEO Tenure TSR (Source: Bloomberg)2,360%community organizations supported through the Ventas Charitable Foundation80+ ~40% investment growthin University-adjacent Life Science PlatformONLY Healthcare REIT named in Fortune’s “2018 World’s Most Admired Companies”Named to Dow Jones Sustainability North America Index for 1st timeSame Store NOI Growth2.5% increased liquidity$1.4B increase in the dividend 5% YEAR-OVER-YEAR in profitable dispositions~$1B
DIRECTORS
Debra A. Cafaro
Chairman and Chief
Executive Officer
Ventas, Inc.
Jay M. Gellert
Former President and
Chief Executive Officer
Health Net, Inc.
Roxanne M. Martino
Managing Partner
OceanM19
Glenn J. Rufrano
Chief Executive Officer
VEREIT, Inc.
James D. Shelton
Presiding Director, Ventas, Inc.
Lead Independent Director,
Envision Healthcare
Richard I. Gilchrist
Senior Advisor
The Irvine Company
Walter C. Rakowich
Former Chief Executive Officer
Prologis, Inc.
Melody C. Barnes
Co-Founder and Principal
MB Squared Solutions LLC
Matthew J. Lustig
Head of North America
Investment Banking and Head
of Real Estate and Lodging
Lazard Frères & Co. LLC
Robert D. Reed
Former Senior Vice President
and Chief Financial Officer
Sutter Health
EXECUTIVE OFFICERS
Debra A. Cafaro
Chairman and Chief
Executive Officer
Robert F. Probst
Executive Vice President
and Chief Financial Officer
John D. Cobb
Executive Vice President
and Chief Investment Officer
T. Richard Riney
Executive Vice President,
Chief Administrative Officer,
General Counsel and Ethics
and Compliance Officer
Todd W. Lillibridge
Executive Vice President,
Medical Property Operations,
and President and
Chief Executive Officer,
Lillibridge Healthcare Services, Inc.
ANNUAL MEETING
The Annual Meeting of Stockholders
will convene May 15, 2018 at
8:00 a.m. (CDT) at 353 North Clark Street,
James C. Tyree Auditorium, Chicago,
IL 60654
TRANSFER AGENT
& REGISTRAR
EQ Shareowner Services
P.O. Box 64874
St. Paul, MN 55164-0854
(800) 401 1957
STOCK INFORMATION
INDEPENDENT AUDITORS
NYSE Symbol: VTR
As of March 16, 2018, Ventas had
356.3 million shares outstanding.
KPMG LLP
INFORMATION
Copies of our 2017 Form 10-K
and other filings with the Securities
and Exchange Commission may
be obtained without charge via our
website at ventasreit.com
MEMBER
National Association of Real Estate
Investment Trusts
ventasreit.com
CORPORATE HEADQUARTERS
500 North
Hurstbourne Parkway
Suite 200
Louisville, KY 40222
(502) 357 9000
353 North Clark Street
Suite 3300
Chicago, IL 60654
(312) 660 3800
2745 North
Dallas Parkway
Suite 570
Plano, TX 75093
(972) 248 9100
For calls originating outside the United States and Canada, the international dialing code is +1.