Brookdale Announces Fourth Quarter and Full Year 2024 Results

Core Insights - Brookdale Senior Living Inc. reported significant progress in 2024, achieving positive Adjusted Free Cash Flow in the latter half of the year and positioning itself for continued growth in 2025 through profitable occupancy growth and effective expense management [3][4]. Financial Performance - In Q4 2024, resident fees increased to $744.4 million, a 3.9% rise from $716.6 million in Q4 2023, and a slight increase of 0.1% from $743.7 million in Q3 2024 [4]. - Facility operating expenses rose to $554.9 million, up 4.6% year-over-year from $530.5 million, and increased by 1.2% sequentially from $548.3 million [4]. - General and administrative expenses increased by 15.9% year-over-year to $48.5 million, compared to $41.9 million in Q4 2023 [4]. - The company reported a net loss of $83.9 million in Q4 2024, an improvement from a loss of $91.2 million in Q4 2023 [4]. - Adjusted EBITDA for Q4 2024 was $98.5 million, a 15.5% increase from $85.3 million in Q4 2023 [4]. Operational Metrics - The weighted average occupancy rate improved to 79.4% in Q4 2024, up from 78.4% in Q4 2023 [4]. - RevPAR (Revenue per Available Room) increased to $4,873, a 5.5% rise from $4,619 in Q4 2023 [4]. - RevPOR (Revenue per Occupied Room) reached $6,136, up 4.2% from $5,889 in Q4 2023 [4]. Yearly Overview - For the full year 2024, resident fee revenue totaled $2.972 billion, a 4.0% increase from $2.857 billion in 2023 [9]. - Total facility operating expenses for 2024 were $2.183 billion, up 2.5% from $2.130 billion in 2023 [9]. - The full-year net loss was $202 million, compared to a loss of $189 million in 2023 [9]. - Adjusted EBITDA for the full year was $386.2 million, a 15.1% increase from $335.5 million in 2023 [9]. Liquidity and Financing - As of December 31, 2024, total liquidity was $389.3 million, including $308.9 million in unrestricted cash [24]. - The company successfully refinanced over $300 million of 2027 debt maturities at a lower interest rate [7]. - In December 2024, Brookdale amended its lease with Ventas, which is expected to enhance cash flows significantly [20]. Future Outlook - For 2025, the company anticipates RevPAR growth of 4.75% to 5.75% and expects Adjusted EBITDA to be between $430 million and $445 million [24][25]. - The company plans to continue focusing on profitable occupancy growth and effective expense management to enhance shareholder value [3].