Q1 2024 Brookdale Senior Living Inc Earnings Call Transcript
Key Points
- Brookdale Senior Living Inc (BKD) reported a 6.3% year-over-year increase in same-community RevPAR, supporting a strong operating income margin of 27.6%.
- First quarter move-ins exceeded pre-pandemic levels by 7.5%, indicating robust demand for Brookdale's services.
- The company achieved significant improvements in associate retention, with a nearly 70% retention rate for executive directors, enhancing community profitability and stability.
- Brookdale Senior Living Inc (BKD) received external recognition for its services, including certifications and awards that underscore its industry leadership and commitment to quality care.
- Adjusted EBITDA for the first quarter was $98 million, exceeding guidance and demonstrating effective cost management and operational efficiency.
- Despite positive outcomes, first quarter move-outs, although improved, still present an area for potential enhancement in both controllable and non-controllable rates.
- The company faces ongoing challenges with labor expenses, although there has been some improvement due to better retention and reduced reliance on contract labor.
- Brookdale Senior Living Inc (BKD) is still in the process of recovering to pre-pandemic occupancy levels, indicating that there is still room for improvement in filling available units.
- Adjusted free cash flow was negative $26 million for the quarter, influenced by seasonal payouts and unique compensation-related cash outflows.
- While there is optimism for continued recovery, the company acknowledges the need for ongoing efforts to enhance resident satisfaction and operational efficiencies to sustain long-term growth.
Hello all, and welcome to the Brookdale Senior Living 1Q 2024 earnings call. My name is Harry, and I'll be your operator today if you'd like to enter the queue.
For questions, you may do so by pressing star one on your telephone keypad. I would now hand the call over to Jessica Hazel, Vice President of Investor Relations. To begin, please go ahead.
Thank you, and good morning. I'd like to welcome you to the first quarter 2024 earnings call for Brookdale Senior Living. Joining us today are Cindy Baier, our President and Chief Executive Officer, and Dawn Kussow, our Executive Vice President and Chief Financial Officer.
All statements today, which are not historical facts, may be deemed to be forward-looking statements within the meaning of the federal securities laws. These statements are made as of today's date, and we expressly disclaim any obligation to update these statements in the future. Actual results and performance may differ materially from forward-looking statements and
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