Capital Senior Living Corporation (the “Company”) (NYSE:CSU), one of the country’s largest operators of senior living communities, today announced operating results for the fourth quarter and full year 2011. Company highlights for the fourth quarter and full year include:
Fourth Quarter Highlights
- Adjusted Cash From Facility Operations (“CFFO”) was $8.4 million, or $0.31 per share in the fourth quarter of 2011, an increase of 50.3%, or $0.10 per share from the fourth quarter of 2010. Adjusted CFFO would have been $6.6 million, or $0.24 per share in the fourth quarter of 2011 without tax savings resulting from bonus depreciation described below.
- Adjusted EBITDAR increased 21.6% to $25.4 million in the fourth quarter of 2011, an increase of $4.5 million from the fourth quarter of 2010. EBITDAR margin improved to 35.7% from 34.9% in the fourth quarter of the prior year.
- Revenue increased 18.8% to $71.2 million in the fourth quarter of 2011, an increase of $11.2 million from the fourth quarter of 2010.
- Average monthly rent increased 5.5% to $2,908 per occupied unit in the fourth quarter of 2011, an increase of $152 per occupied unit from the fourth quarter of 2010.
- Consolidated average occupancy was 85.6% in the fourth quarter of 2011, a 50 basis point increase from the fourth quarter of 2010 with approximately 1,200 additional consolidated units in the current period. Sequentially, consolidated average occupancy was up 90 basis points from the third quarter of 2011.
- The Company completed the acquisition of three senior living communities for a combined purchase price of $30 million.
- Subsequent to the end of the fourth quarter, the Company completed the acquisition of an additional senior living community for a purchase price of approximately $7 million.
Full Year Highlights
- Adjusted CFFO was $25.1 million, or $0.93 per share in 2011, an increase of 46.5% or $0.29 per share from 2010. Adjusted CFFO would have been $23.3 million, or $0.86 per share in 2011 without tax savings resulting from bonus depreciation described below.
- Adjusted EBITDAR increased 34.6% to $92.3 million in 2011, an increase of $23.7 million from 2010. EBITDAR margin improved to 35.0% from 32.4% in the prior year.
- Revenue increased 24.3% to $263.5 million in 2011, an increase of $51.6 million from 2010.
- Sold partnership interests in the four Spring Meadows communities to Health Care REIT (“HCN”) in a $141.0 million transaction, resulting in sales proceeds, including incentive distributions, of approximately $17.0 million and incremental annual CFFO of approximately $0.03 per share from leasing the communities from HCN upon closing the sale.
- Completed the purchase of seven high quality senior living communities for a combined purchase price of $83.4 million. These seven communities are expected to generate incremental annual CFFO of approximately $0.13 per share.
“We are very pleased to report continued occupancy growth and strong results from the implementation of our strategic plan that is focused on operations, marketing and accretive growth to enhance shareholder value,” said Lawrence A. Cohen, Chief Executive Officer of the Company. “Successful execution of this plan yielded strong results for 2011. Year-over-year revenue increased 24% while EBITDAR grew nearly 35%. Average monthly rents ended the year 5.5% higher than the year before and EBITDAR margin improved 2.6 percentage points to 35% for 2011. CFFO in the fourth quarter of 2011 of $0.31 per share was 50% higher than the fourth quarter of 2010. We differentiate Capital Senior Living as the value leader in providing quality seniors housing and care at reasonable prices. We are well positioned, as a substantially all private-pay business in an industry that benefits from need-driven demand and limited new supply. These fundamentals are further enhanced by our robust acquisition program that increases our ownership of high-quality senior living communities in geographically concentrated regions, generating meaningful increases in CFFO, earnings, and net asset value.”
Select the service that is right for you!COMPARE ALL SERVICES
Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Upgrade/downgrade alerts
Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.
- Real Money + Doug Kass Plus 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV