Financial Data and Key Metrics Changes - Brookdale achieved a consolidated occupancy of 81.8% for Q3 2025, marking an improvement of 290 basis points year-over-year and 170 basis points sequentially [29][30] - Adjusted EBITDA for Q3 increased by 20% year-over-year to $111.1 million, with year-to-date adjusted EBITDA up 22.5% [35][36] - The company generated positive adjusted free cash flow of $21.8 million in Q3, a 57% increase compared to the prior year [16][35] Business Line Data and Key Metrics Changes - The occupancy growth was driven by targeted initiatives, including the SWAT team approach, which reduced the number of communities below 70% occupancy from 143 in Q1 to 89 in Q3 [13][14] - Revenue per available room (Rev Par) increased by 5.9% year-over-year, supported by a 2.2% increase in revenue per occupied room [31][32] Market Data and Key Metrics Changes - The senior living industry is experiencing strong demand due to the aging baby boomer population, with the first baby boomers turning 80 in 2026 [11][12] - New construction starts in the senior living sector are at record lows, contributing to a future scarcity of available units [12][52] Company Strategy and Development Direction - The company is focused on five strategic priorities: improving operating performance, optimizing the real estate portfolio, reinvesting capital, reducing leverage, and elevating quality for residents and associates [17][19] - A new regional operating structure has been implemented to enhance operational excellence and accountability across the organization [18][19] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's ability to capture opportunities in the senior living market, emphasizing the importance of operational focus and strategic pricing [44][49] - The company anticipates mid-teen percentage growth in adjusted EBITDA over the next several years, driven by improved occupancy and effective capital deployment [24][74] Other Important Information - Brookdale plans to hold an investor day in early 2026 to provide more details on strategic priorities and expected results [23] - The company is transitioning 55 communities leased from Ventas and expects to complete these transitions by year-end 2025 [27][39] Q&A Session Summary Question: What areas of opportunity have been identified within the Brookdale portfolio? - The CEO noted that a clear picture of opportunities is evolving, with a focus on driving the business rather than reacting to it [43][44] Question: How is the company balancing pricing focus versus occupancy? - The CEO emphasized a more offensive posture, focusing on operational excellence and strategic pricing to drive occupancy and NOI growth [44][49] Question: What is the rationale behind the new FFO disclosure? - The CFO explained that the FFO metric provides additional insight into the company's performance and value compared to other real estate companies [57][59] Question: How will the organizational changes impact G&A costs? - The CEO indicated that the changes are expected to result in a net zero impact on G&A costs while enhancing operational focus [61][62] Question: What are the plans for addressing upcoming debt maturities? - The CFO stated that the company plans to extend and refinance bank debt due in 2026, focusing on managing upcoming maturities effectively [70][71]

Core Insights - Brookdale Senior Living (BKD) shares increased by 9.4% to close at $8.88, supported by high trading volume, compared to a 6.3% gain over the past four weeks [1][2] Occupancy Growth - The company reported significant occupancy growth, with a weighted average consolidated occupancy rate of 82.5% in September, up 330 basis points year-over-year [2] - For the third quarter, the average occupancy rate was 81.8%, reflecting a 290-basis-point improvement compared to the previous year [2] Financial Expectations - Brookdale is projected to report a quarterly loss of $0.16 per share, which is a year-over-year change of +27.3% [3] - Expected revenues for the upcoming quarter are $823.17 million, representing a 5% increase from the same quarter last year [3] Earnings Estimate Trends - The consensus EPS estimate for Brookdale has remained unchanged over the last 30 days, indicating that stock price movements may not continue without trends in earnings estimate revisions [4] - Monitoring BKD is advised to see if the recent stock price increase can lead to sustained strength [4] Industry Context - Brookdale is part of the Zacks Medical - Nursing Homes industry, which includes other companies like Ensign Group (ENSG) [5] - Ensign Group's consensus EPS estimate has also remained unchanged at $1.59, reflecting a year-over-year change of +14.4% [6]

Core Viewpoint - Ventas, Inc. is focused on the longevity economy, targeting the growing aging population with strong demand trends, and has improved its outlook for 2025 [2] Company Strategy - The company employs a 123 strategy centered on senior housing (SHOP) to drive multi-year NOI growth, supported by secular demand and limited supply [3] - Ventas has been adding approximately $100 million annually in NOI from inorganic growth, with favorable supply-demand trends expected to persist [3] Financial Outlook - The company anticipates a 7% growth in FFO per share at the midpoint for 2025 [2] - The expected growth rate for the same-store senior housing operating portfolio (SHOP) has been increased to 12% to 16% [2]

Financial Data and Key Metrics Changes - The company reported approximately 19% growth in FFO per share, raising the midpoint of full year FFO guidance by $0.10 to $4.97 [3][25] - Net income attributable to common stockholders was $0.40 per diluted share, with normalized funds from operations (FFO) at $1.2 per diluted share, representing 18.8% year-over-year growth [25][30] - Total portfolio same store NOI growth was 12.9% year-over-year [25][30] Business Line Data and Key Metrics Changes - The seniors housing operating business reported a same store NOI growth of 21.7% [12][13] - Same store revenue growth for the senior housing operating portfolio was 9.6%, driven by 400 basis points of occupancy growth and nearly 6% RevPAR growth [14][25] - The outpatient medical segment posted 2.7% year-over-year same store NOI growth, with same store occupancy at 94.5% [12][13] Market Data and Key Metrics Changes - Revenue growth was consistent across regions, with the U.S. at 9.8%, the UK at 9.3%, and Canada at 8.3% [14] - The company achieved nearly 300 basis points of year-over-year margin expansion, with revenue growth outpacing unit expense growth [14][25] Company Strategy and Development Direction - The company launched a private fund management business and advanced its proprietary Welltower business system [4] - The focus is on augmenting growth through market share gains with best-in-class operating partners and enhancing operational efficiency [6][12] - The company aims to maintain a strong balance sheet and liquidity to navigate macroeconomic uncertainties while capitalizing on investment opportunities [11][36] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the demand-supply backdrop for the senior living sector, anticipating a multi-year period of attractive growth despite macroeconomic uncertainties [6][7] - The company is cautious about rising macroeconomic risks, particularly as it approaches the summer leasing season [6][34] - Management emphasized the importance of operational excellence and the resilience of the need-based private pay nature of their product [15][36] Other Important Information - The company completed $2,660,000,000 of new investments in the first quarter, surpassing the total acquisition volume for all of last year [17] - The company received credit upgrades from S&P and Moody's, reflecting its strong balance sheet and improved risk profile [28][29] Q&A Session Summary Question: How does the business system overlay impact margins and CapEx control? - Management highlighted that the Welltower Business System aims to streamline operations and minimize friction, which could lead to significant margin expansion [40][44] Question: Can you elaborate on the data science platform's impact on transaction velocity? - The proprietary platform allows for a neighborhood-level view of assets, significantly reducing the time to provide initial pricing feedback and close deals [48][50] Question: How does the company view sustained growth given its current size? - Management believes that as an operating company, growth can be positively correlated with size due to network effects and data capture [58][60] Question: What are the long-term expectations for occupancy growth? - Management expects a long journey towards higher occupancy levels, with current performance indicating positive trends [70][72] Question: How does the company plan to navigate potential economic disruptions? - Management is optimistic about the business's resilience and believes it will perform better than other real estate sectors during economic downturns [78][80]