Sonida Senior Living, Inc. · NYSE:SNDA
Sonida Senior Living — Q3 2022 Earnings Presentation
20 slides from Sonida Senior Living's earnings presentation, Nov 14, 2022
Slide 1: A Leading Owner-Operator of Senior Living Communities and Services
A Leading Owner-Operator of Senior Living Communities and Services Investor Presentation November 14, 2022
Slide 2: Forward Looking Statements
Forward Looking Statements This presentation contains forward-looking statements which are subject to certain risks and uncertainties that could cause the actual results and financial condition of Sonida Senior Living, Inc. (the “Company,” “we,” “our” or “us”) to differ materially from those indicat
Slide 3: Non-GAAP Financial Measures
Non-GAAP Financial Measures This presentation contains financial measures (1) same-store Resident Revenue, (2) same-store Adjusted Operating Expenses, (3) same-store Community Net Operating Income, (4) same-store Community Net Operating IncomeMargin, (5) Revenue per Occupied Unit (RevPOR) and (6) Re
Slide 4: Significant 2022 Accomplishments
Significant 2022 Accomplishments Team Development and Stability • Leadership retention at the community and regional level of 93% in Q3 • Chief Revenue Officer shifts focus to acceleration of rate growth supported by programming and capital investment • Top-graded finance and accounting function to
Slide 5: Same Store Highlights
Same Store Highlights Occupancy up 270 bps YoY to 83.7% Six consecutive quarters of occupancy and revenue growth RevPOR up 2.9% YoY and 0.3% from Q2 ‘22 YTD Resident Revenue and RevPAR increased 9.6% and 9.9%, respectively Community Net Operating Income (NOI) up 0.9% from Q2 ’22 excluding state gran
Slide 6: Unit Economics of KPIs: NOI Margin Contribution - Consolidated
Unit Economics of KPIs: NOI Margin Contribution - Consolidated 6See Forward Looking Statements on Page 2 Q3 2022 Baseline Occupancy Units 4,812 Available Units 5,774 Occupancy 83.3% RevPOR (1) $3,636 Community NOI Margin 20% Q3 Annualized Resident Revenues (in thousands) $210,000 Q3 Annualized Contr
Slide 7: 2022 Completed Capital Refresh Projects
2022 Completed Capital Refresh Projects 7 Community Name Project Investment 9/30/22 Occupancy Occupancy Growth Rate Growth NOI Margin Growth Batesville $375,000 99.7% 1,886 bps 23 bps 939 bps Fairfield $515,000 89.7% 297 bps 438 bps 228 bps Hamilton $241,213 99.3% 811 bps 184 bps 274 bps Plano $600,
Slide 8: Leading Operator of Senior Housing and Services
26% 18% 19% 13% 24% Texas Ohio Wisconsin Indiana Other 9% 91% Medicaid Private Pay 76 Communities 62 Owned 14 Managed 8,000+ Resident Capacity 3,600+ Employees 83.3% 2022 QTD Weighted Avg Occupancy 62 owned communities 30+ Year History 8 76 Communities 11% - 761 Units 41% - 2,947 Units 48% - 3,480 U
Slide 9: Six Consecutive Quarters of Occupancy Growth
84 .4 % 83 .7 % 81 .5 % 79 .3 % 77 .4 % 75 .5 % 78 .1 % 81 .0 % 81 .3 % 82 .3 % 83 .2 % 83 .7 % 84 .0 % 82 .9 % 80 .6 % 78 .6 % 76 .5 % 76 .7 % 79 .7 % 82 .2 % 82 .2 % 83 .8 % 84 .2 % 84 .0 % Q4 '19 Q1 '20 Q2 '20 Q3 '20 Q4 '20 Q1 '21 Q2 '21 Q3 '21 Q4 '21 Q1 '22 Q2 '22 Q3 '22 Weighted Average Occupan
Slide 10: Debt Structure as of September 30, 2022
Debt Structure as of September 30, 2022 10 Fixed Rate Debt 75% Variable Rate Debt 19% Fannie Mae debt 5% Insurance and Other 1% Fixed Rate Debt Variable Rate Debt Fannie Mae debt Insurance and Other (1) Weighted average interest rate on the Company’s fixed rate debt was 4.6 % as of September 30, 202
Slide 11: Cash Bridge – October 2021 through September 2022
Cash Bridge – October 2021 through September 2022 11 (1) Beginning and ending cash balances exclude restricted cash of $15.2 million and $13.8 million, respectively. (2) $6.0 million out of the $20.3 million capex related to discretionary revenue generating refresh projects. (3) During Q3 2022, $1.1
Slide 12: 2023 Primary Growth Opportunities
2023 Primary Growth Opportunities 12 Organic Portfolio Margin Recovery Revenue and NOI growth driven by continued occupancy improvement and accelerated rate expansion Reduction in premium labor costs through effective hiring and retention practices in challenged markets Complete discretionary capita
Slide 13: Vision and Strategic Priorities
Team • Employee Engagement • CLT Turnover • Labor Cost Value • Resident Satisfaction • Reputation Score • Services/ Programming • Health & Safety Operational Excellence • Rate • Leads/Tours • GPO Compliance • Cash Collection Vision and Strategic Priorities Strong local leadership teams develop engag
Slide 14: Appendix
W sOnIDa’ SENIOR LIVING Appendix Find joy here. ind your joy here
Slide 15: Executive Leadership Team
Brandon Ribar Kevin Detz Mike Fryar David Brickman President & CEO EVP, Chief Financial Officer Senior VP, Chief Revenue Officer Senior VP, General Counsel Joined Sonida Sep 2019 Joined Sonida May 2022 Joined Sonida Feb 2019 Joined Sonida Jul 1992 20+ years in healthcare industry 20+ years in hospit
Slide 16: Operations and Functional Leadership
Jay Reed Laura Beza Tim Cober Carole Burnell Donna Brown Dawn Mount VP, Information Technology VP, Human Resources VP, Chief Accounting Officer VP, Operations VP, Operations VP, Operations Joined Sonida Jan 2021 Joined Sonida Sept 2022 Joined Sonida July 2022 Joined Sonida Jan 2004 Joined Sonida Jul
Slide 17: Operating Metrics are Improving in Sequential Periods
Operating Metrics are Improving in Sequential Periods Weighted Average Occupancy Resident Revenue (1) Community Net Operating Income Margin(1) Average Rent (1) Same store resident revenue and Same store NOI margin. Amounts are not calculated in accordance with GAAP. See page 3 for the Company’s disc
Slide 18: Favorable Leading Indicators and Move-in Trends Continue
Favorable Leading Indicators and Move-in Trends Continue Leads Tours Move-Ins Move-Outs Solid lines show actual results. Dotted lines show average trend. Data for 60 Sonida Senior Living owned communities See Forward Looking Statements on Page 2 18
Slide 19: Favorable Demographic Trends Support Sonida's Growth Strategy
Favorable Demographic Trends Support Sonida’s Growth Strategy 0 5,000 10,000 15,000 20,000 25,000 2016 2020 2030 2040 2050 2060 Estimated Population Growth from 2017 to 2060 1 (in thousands) 65 to 69 years 70 to 74 years 75 to 79 years 80 to 84 years 85 to 89 years 90 years and over 19 1 U.S. Census
Slide 20: Sonida Senior Living - Find your joy here
soniDa SENIOR LIVING At Sonida Senior Living, we bring quality senior living to life by focusing on what matters most. We provide comfortable, safe, affordable communities where residents can form friendships, enjoy new experiences and receive personalized care from dedicated team members who treat