Capital Senior Living(SNDA) - 2023 Q4 - Annual Results

Revenue Performance - Resident revenue for Q4 2023 was $59.3 million, an increase of $5.9 million or 11.2% compared to Q4 2022[5] - For the full year 2023, resident revenue was $232.0 million, an increase of $23.3 million or 11.2% compared to 2022[10] - Total revenues for 2023 were $255,322 thousand, up 7.0% from $238,433 thousand in 2022, driven primarily by an increase in resident revenue to $232,032 thousand from $208,703 thousand[32] - Resident revenue increased to $232,032,000 in 2023, compared to $208,700,000 in 2022, marking an increase of about 11.2%[42] Financial Performance - Adjusted EBITDA for Q4 2023 was $9.3 million, representing a year-over-year increase of 103.5%[9] - Adjusted EBITDA for the year was $33,904,000, significantly higher than $16,981,000 in 2022, representing an increase of approximately 99%[47] - The company reported a net loss of $(21,107) thousand for 2023, an improvement from a net loss of $(54,401) thousand in 2022[32] - Net loss for Q4 2023 was $14.6 million, an improvement from a net loss of $16.6 million in Q4 2022[8] Operating Efficiency - Community Net Operating Income margin improved to 27.4% in Q4 2023 from 19.3% in Q4 2022[3] - The adjusted community net operating income margin improved to 24.0% in 2023 from 19.0% in 2022, indicating enhanced operational efficiency[42] - Consolidated community net operating income for the year was $57,899,000, up from $41,000,000 in 2022, reflecting a year-over-year increase of approximately 41%[42] - Consolidated community net operating income reached $16,260, a significant increase of $5,936 from $10,324 in Q4 2022[49] Cash Flow and Liquidity - In 2023, the company generated $10,683 thousand in net cash from operating activities, a significant improvement from a cash outflow of $(2,578) thousand in 2022[23] - Net cash provided by operating activities was $10,683,000 in 2023, compared to a cash used of $2,578,000 in 2022, indicating a positive cash flow shift[36] - Cash and cash equivalents decreased to $4,082 thousand as of December 31, 2023, down from $16,913 thousand in 2022[34] - The company experienced a decrease in cash and cash equivalents, ending the year with $17,750,000 compared to $30,742,000 at the beginning of the year, a decline of about 42%[36] Debt and Capital Management - The company recorded a gain on extinguishment of debt of $36.3 million for the year ended December 31, 2023, compared to a loss of $0.6 million in 2022[13] - The company is exploring financial and capital raising transactions, including debt refinancings and asset sales, to meet its capital requirements[24] - Future liquidity will depend on operating performance and economic conditions, with principal sources expected to be cash flows from operations and proceeds from equity financings[23] - Total fixed rate debt decreased to $492,998 from $535,303 year-over-year[49] Capital Expenditures and Investments - Capital expenditures for the year were $17,938,000, down from $24,562,000 in 2022, indicating a reduction in investment spending[36] - The company issued $10,000,000 in common stock during the year, contributing to its financing activities[36] Community and Occupancy Metrics - Weighted average occupancy increased by 200 basis points to 85.9% in Q4 2023 compared to Q4 2022[3] - The number of communities decreased to 61 from 62 year-over-year, with a unit capacity of 5,700, down from 5,776[49] - RevPAR rose to $3,470, an increase of $389 compared to $3,081 in Q4 2022[49] - Consolidated community net operating income, net of general and administrative expenses, was $6,314, an increase of $2,713 from $3,601 in Q4 2022[49] Asset and Liability Management - The company’s total assets decreased to $621,460 thousand in 2023 from $661,268 thousand in 2022, indicating a decline of approximately 6.0%[34] - The company’s total liabilities were $688,009 thousand as of December 31, 2023, down from $719,432 thousand in 2022, a reduction of about 4.3%[34] - The company has $3.5 million remaining in an equity commitment as of December 31, 2023, part of a $13.5 million equity commitment with Conversant[23] Impairments and Write-downs - The company reported a long-lived asset impairment of $5,965,000 in 2023, compared to $1,588,000 in 2022, reflecting increased asset write-downs[36]