Brookdale Senior Living (BKD) Q1 2026 earnings summary

Executive summary

• Underwent significant organizational transformation, including new leadership and a COO, to enhance operational focus and accountability.

• Achieved strong Q1 2026 results with 8.2% year-over-year RevPAR growth, 280 bps occupancy increase to 82.1%, and industry recognition for community quality.

• Portfolio optimization ongoing, with over 10 communities sold in 2026 for more than $100 million and plans to sell up to 29 communities for ~$200 million.

• Net loss narrowed to $6.9 million from $65 million year-over-year; Adjusted EBITDA rose 5.6% to $131 million.

• Operates 568 senior living communities in 41 states, serving about 51,000 residents as of March 31, 2026.

Financial highlights

• Q1 2026 revenue was $764.9 million, down 6% year-over-year due to asset dispositions; same community RevPAR rose 5.5% and RevPOR increased 4.5%.

• Adjusted EBITDA increased 5.6% year-over-year to $131.1 million, with senior housing operating income up 14% sequentially.

• Facility operating expenses decreased 8.2% year-over-year, reflecting asset sales, while same community expenses increased 5.9% due to wage and insurance costs.

• General and administrative expense (excluding certain items) declined 3.8% year-over-year to $40.6 million.

• Net loss improved by $58.1 million year-over-year, primarily due to lower depreciation, amortization, and lease expenses.

Outlook and guidance

• Reaffirmed 2026 guidance: 8%-9% RevPAR growth and adjusted EBITDA of $502 million-$516 million.

• Expects mid-teens adjusted EBITDA growth through 2028, with leverage projected to fall below 6x by end of 2028.

• Anticipates stronger EBITDA growth in the second half of 2026 as cost savings and occupancy gains materialize.

• April occupancy trends support confidence in achieving full-year targets.

• Focus remains on increasing RevPAR, expense discipline, refinancing debt, and monetizing non-strategic assets.