Brookdale Reports November 2024 Occupancy

Rhea-AI Summary

Brookdale Senior Living (NYSE: BKD) has reported improved occupancy metrics for November 2024. The company achieved a weighted average occupancy of 79.5%, representing a 110 basis points increase year-over-year. November's occupancy showed a 10 basis points sequential improvement from October, with month-end occupancy maintaining above 80% for the fourth consecutive month.

The fourth quarter-to-date performance showed better move-ins and move-outs compared to the same period last year, contributing to a 100 basis point increase in weighted average occupancy over 2023 fourth quarter-to-date. Brookdale operates 648 communities across 41 states, with the capacity to serve approximately 58,000 residents.

Positive

• Weighted average occupancy increased 110 basis points YoY to 79.5%
• Month-end occupancy remained above 80% for fourth consecutive month
• 10 basis points sequential improvement in occupancy from October
• Improved move-ins and move-outs metrics compared to prior year

Negative

• Overall occupancy still remains below 80% on average

Insights

Financial Analyst

The occupancy metrics reveal encouraging momentum in Brookdale's operational performance. The 79.5% November occupancy represents a significant 110 basis point year-over-year improvement, while the sustained 80%+ month-end occupancy for four consecutive months signals stabilizing demand. The sequential increase of 10 basis points from October, though modest, is particularly noteworthy given historical seasonal patterns. The improved move-in/move-out dynamics in Q4 compared to last year, driving a 100 basis point occupancy gain, suggests strengthening revenue potential. With 648 communities and approximately 58,000 resident capacity, these occupancy improvements could translate to meaningful revenue growth. However, occupancy levels remain below pre-pandemic norms, indicating further recovery potential while highlighting ongoing operational challenges in the senior living sector.

Market Research Analyst

The senior living sector's recovery trajectory, as evidenced by Brookdale's occupancy trends, reflects broader demographic tailwinds and improving market conditions. The consistent occupancy improvements, particularly the year-over-year gains, suggest growing consumer confidence in senior living facilities post-pandemic. The sequential occupancy growth in November is especially significant as it counters typical seasonal softness in the fourth quarter. With the aging baby boomer population and increasing senior healthcare needs, the improved move-in trends could indicate a structural shift in demand. However, the current 79.5% occupancy level still leaves substantial room for optimization across Brookdale's portfolio, representing both an opportunity and a challenge in terms of operational leverage and pricing power.

NASHVILLE, Tenn., Dec. 9, 2024 /PRNewswire/ -- Brookdale Senior Living Inc. (NYSE: BKD) reported today its consolidated occupancy for November 2024.

 

November 2024 Observations:

• November weighted average occupancy increased 110 basis points year-over-year to 79.5% in 2024.
• Demonstrating an improvement to recent years, November weighted average occupancy increased 10 basis points sequentially from October.
• Month end occupancy exceeded 80% for the fourth consecutive month.
• Fourth quarter-to-date move-ins and move-outs improved to the prior year comparable period supporting a 100 basis point weighted average occupancy increase over 2023 fourth quarter-to-date.

About Brookdale Senior Living
Brookdale Senior Living Inc. is the nation's premier operator of senior living communities. The Company is committed to its mission of enriching the lives of the people it serves with compassion, respect, excellence, and integrity. The Company, through its affiliates, operates independent living, assisted living, memory care, and continuing care retirement communities. Through its comprehensive network, Brookdale helps to provide seniors with care, connection, and services in an environment that feels like home. The Company's expertise in healthcare, hospitality, and real estate provides residents with opportunities to improve wellness, pursue passions, make new friends, and stay connected with loved ones. Brookdale, through its affiliates, operates and manages 648 communities in 41 states as of September 30, 2024, with the ability to serve approximately 58,000 residents. Brookdale's stock trades on the New York Stock Exchange under the ticker symbol BKD. For more information, visit brookdale.com or connect with Brookdale on Facebook or YouTube.

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SOURCE Brookdale Senior Living Inc.

FAQ

What was Brookdale's (BKD) occupancy rate in November 2024?

Brookdale's weighted average occupancy rate in November 2024 was 79.5%, representing a 110 basis points increase year-over-year.

How many consecutive months has BKD maintained month-end occupancy above 80%?

Brookdale has maintained month-end occupancy above 80% for four consecutive months as of November 2024.

How did Brookdale's Q4 2024 occupancy compare to Q4 2023?

Brookdale's fourth quarter-to-date weighted average occupancy showed a 100 basis point increase compared to the same period in 2023.