EPR Properties

Good day, and thank you for standing by. Welcome to the ERP Q3 2022 Earnings Conference Call. At this time, all participants are in a listen-only mode. After the speaker's presentation, there will be a question and answer session. To ask questions during this session, you will need to press star 1 1 on your telephone. You will then hear an automated message advising you that your hand is raised. Please be advised that today's conference is being recorded. I would now like to hand the conference over to your first speaker today, Brian Moriarty, VP of Corporate Communications. Brian, you have the floor.

Thank you, Stacey, and thanks to everybody for joining us today on the EPR Properties Third Quarter 2022 Earnings Call and Webcast. Participants on today's call are Greg Silvers, Chairman and CEO, Greg Zimmerman, Executive Vice President and CIO, and Mark Peterson, Executive Vice President and CFO. I'll start the call by informing you that this call may include forward-looking statements as defined in the Private Securities Litigation Act of 1995, identified by such words as will be, intend, continue, believe, may, expect, hope, anticipate, or other comparable terms. The company's actual financial condition and the results of operations may vary materially from those contemplated by such forward-looking statements. Discussion of these factors that could cause results to differ materially from these forward-looking statements are contained in the company's FCC filings, including the company's reports on Form 10-K and 10-Q. Additionally, this call will contain references to certain non-GAAP measures, which we believe are useful in evaluating the company's performance. A reconciliation of these measures, the most directly comparable GAAP measures, are included in today's earnings release and supplemental information furnished to the SEC under Form 8-K. If you wish to follow along, today's earnings release, supplemental, and earnings call presentation are all available on the Investor Center page of the company's website, www.eprkc.com. Now I'll turn the call over to Greg Silvers.

Thank you, Brian. Good morning, everyone, and thank you for joining us on today's third quarter 2022 earnings call and webcast. In the third quarter, we delivered healthy earnings growth as we continue to see resilience at our customers' businesses amid sustained consumer demand for the experiences provided by our customers. Additionally, we have yet to see any meaningful impact on demand from inflationary pressures. Today, we are also reintroducing rent coverage disclosures. As Greg will highlight, we believe this data demonstrates the strength of the recovery of our non-theater properties while providing a baseline for our theater portfolio. Even as the recovery is still taking shape, our overall rent coverage is above the 2019 pre-pandemic level. Our theater coverage demonstrates that consumers want to see films in theaters, and as studios ramp up their production schedules, we anticipate that coverage will improve as well. In 2019, we introduced our strategic focus on properties which support the experience economy. While we could not have foreseen that our properties would have been tested so severely by a pandemic, we believe the experience economy is alive and well, and our investing thesis remains intact. As evidenced by the variety of properties we are highlighting today and have discussed throughout 2022, we are uniquely positioned to gain access to and pursue the broader set of experiential properties within our target set. Everyone is painfully aware of the disruption in the capital markets, and our job as stewards of capital is to be prudent with its deployment. As a result, we decided to moderate our growth in the near term in response to our increased cost of capital. This moderation is not a reflection of fewer opportunities, rather our discipline given current conditions. We will not grow simply to get larger. Rather, we will demand earnings accretion with our investments. We continue to generate significant excess cash flow, which combined with our undrawn line of credit will support a more limited investment spend without sacrificing our investment grade credit. Lastly, it's clear that the center world restructuring and the broader market turbulence have combined to create a significant dislocation of our stock price. Our current stock price earnings multiple is significantly discounted relative to historical levels, even as we are paying a well-covered dividend that is supported by our free cash flow. As we pursue a resolution with CenterWorld, we remain focused on the fundamentals of our business. We appreciate the support of our investors who are focused on the fundamentals, and we look forward to delivering strong total shareholder return over the long term. Now I'll turn it over to Greg Zimmerman, who will cover the business in greater detail.