NYSE$BKD

Brookdale Senior Living Inc · Q2 2023 earnings

Q2 2023 earnings · · Investor relations

Briefing

Announced second quarter 2023 results, demonstrating improved financial performance and strategic execution.

Brookdale Senior Living announced strong second-quarter results, with RevPAR exceeding pre-pandemic levels for the second consecutive quarter. Net income improved significantly, and Adjusted EBITDA grew substantially year-over-year. The company also made progress towards positive Adjusted Free Cash Flow.

  • RevPAR of $4,544 exceeded pre-pandemic levels, driven by occupancy growth and increased RevPOR.
  • Net income improved 95% year-over-year, and Adjusted EBITDA grew 61%.
  • Net cash provided by operating activities and Adjusted Free Cash Flow improved meaningfully versus the prior year quarter.
  • Completed the sale of its one remaining entrance fee community on May 1, 2023.

Headline financials

Total Revenue

$751M

Previous: $690M+8.9%
EPS (adj)

-$0.18

Previous: -$0.45+60.0%
Adjusted EBITDA

$81.4M

No prior period
Capital Expenditures

-$110M

Previous: -$96.9M-13.4%
Free Cash Flow

-$114M

Previous: -$181M+36.9%
Net Income

-$4.51M

Previous: -$84.4M+94.7%
Operating Income

$41.2M

Previous: -$34M+220.9%
Gross Profit

$186M

Previous: $138M+34.1%
Cash & Equivalents

$337M

Previous: $239M+41.0%
Total Assets

$5.9B

Previous: $6.17B-4.3%
Stock-Based Comp

$2.97M

Previous: $3.62M-18.0%

Revenue & EPS history

Brookdale · Revenue · Quarterly

$751M

Q2 2023+8.9%vs Q2 2022
Beat estimate in 6 of 14 quarters(43%)
ActualEstimate

Revenue by segment

Brookdale · $2.51M total across 1 segment · Q2 2023

  • Management fees
    $2.51M-24.6%

Forward guidance

For the third quarter of 2023, Brookdale expects RevPAR year-over-year growth between 10.0% and 10.5% and Adjusted EBITDA between $73 million and $78 million.

Tailwinds

  • Expects RevPAR year-over-year growth of 10.0% - 10.5% for Q3 2023.
  • Anticipates Adjusted EBITDA between $73 million to $78 million for Q3 2023.
  • Expects Q3 2023 cash facility operating lease payments to be approximately $65 million.
  • Anticipates approximately $25.0 million in reimbursable remediation costs at the Company's communities resulting from 2022 natural disasters, and such costs are expected to be reimbursed from the Company's property and casualty insurance policies in 2023 or 2024.
  • The Company expects its full-year 2023 non-development capital expenditures, net of anticipated lessor reimbursements, to be approximately $200.0 million, excluding reimbursable remediation costs at the Company's communities resulting from 2022 natural disasters.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q2 2023

Historical avgQ2 2023

-0.4%

Avg return

Earnings day

+1.0%

Avg return

5 days after

-2.3%

Avg return

30 days after

42%

27 / 64 earnings

Positive

+22.1%

Q2 2023

Best reaction

-23.4%

Q4 2017

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+1.0%-8.6%-13.0%
Q4 2025-9.7%-7.2%-17.0%
Q3 2025-1.5%+10.1%+16.3%
Q1 2025-2.4%+1.3%-1.0%
Q4 2024+2.6%+6.4%+13.6%
Q3 2024-8.9%-8.5%-11.3%
Q2 2024-5.2%-2.6%-6.3%
Q1 2024-4.1%-3.3%-9.3%
Q4 2023-10.9%-14.4%+5.3%
Q3 2023+6.5%+1.0%+25.4%
Q2 2023+22.1%+12.0%+5.9%
Q1 2023+0.3%-5.6%+1.8%
Q4 2022+8.8%+7.2%-23.5%
Q3 2022-0.2%+11.9%-31.2%
Q2 2022+8.9%+16.9%+3.5%
Q1 2022-3.9%-5.1%-11.4%
Q4 2021+15.3%+16.8%+23.9%
Q3 2021+14.2%+8.3%-12.4%
Q2 2021-2.8%-7.9%-3.5%
Q1 2021+10.9%+8.2%+2.9%
Q4 2020+17.8%+15.4%+23.3%
Q3 2020-14.3%+21.5%+38.3%
Q2 2020-3.0%-6.6%-8.6%
Q1 2020-5.9%+1.6%+30.5%
Q4 2019+21.1%+15.3%-70.6%
Q3 2019-3.5%-2.4%-3.7%
Q2 2019+2.8%+5.3%+4.5%
Q1 2019+9.8%+9.6%-3.1%
Q4 2018-13.3%-11.9%-14.8%
Q3 2018+4.2%-0.3%-5.5%
Q2 2018-4.0%-7.7%+12.5%
Q1 2018+6.7%+4.9%+21.5%
Q4 2017-23.4%-23.5%-23.3%
Q3 2017-15.7%-2.1%-2.3%
Q2 2017-1.7%-4.6%-12.0%
Q1 2017-0.1%+8.6%+3.7%
Q4 2016-1.4%-5.1%-19.0%
Q3 2016-17.3%-13.4%-21.9%
Q2 2016+4.3%-1.3%+3.3%
Q1 2016+0.0%
Q4 2015-21.0%
Q3 2015+3.0%
Q2 2015-7.5%
Q1 2015+3.0%
Q4 2014-0.7%
Q3 2014+1.3%
Q2 2014-1.2%
Q1 2014-1.0%
Q4 2013+6.8%
Q3 2013+6.2%
Q2 2013-0.3%
Q1 2013+9.3%
Q4 2012-3.1%
Q3 2012+2.1%
Q2 2012+2.3%
Q1 2012-3.1%
Q4 2011-1.8%
Q3 2011-6.7%
Q2 2011-6.1%
Q1 2011+3.8%
Q4 2010+1.3%
Q3 2010-5.7%
Q2 2010-2.2%
Q1 2010-8.7%

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