Exceeded Expectations and Raised Guidance
Brookdale Senior Living exceeded expectations for RevPAR and adjusted EBITDA in Q1 2025, leading to a raise in annual guidance. Adjusted free cash flow was positive, marking a significant milestone.
Strong RevPAR Growth
Consolidated RevPAR grew 4.9% in Q1, driven by a 3% increase in RevPOR and a 140 basis point increase in occupancy to 79.3%.
Successful Community Acquisitions
Brookdale acquired 41 previously leased communities, enhancing financial growth opportunities and providing more flexibility in portfolio management.
Operational Improvements
Same community operating income grew 7.6% year-over-year, with operating income margin expanding 90 basis points to 29%, the highest in five years.
Positive Adjusted Free Cash Flow
First quarter adjusted free cash flow increased by $30 million over the prior year to a positive $4 million.
Strategic Portfolio Optimization
The company plans to exit 55 leased communities and divest 14 non-core owned communities, improving financial performance and focusing on core assets.
Board and Leadership Updates
Brookdale appointed two new independent directors, and initiated a CEO search to find a candidate with the right experience and strategic vision.