Brookdale Senior Living (BKD) RBC Capital Markets Global Healthcare Conference 2026 summary

Strategic direction and organizational changes

• Entering a new growth-focused chapter, moving past COVID and cash flow challenges, with positive cash flow projected to increase this year.

• Significant organizational restructuring, including new leadership and operational realignment, now largely stabilized.

• Disposed of over 100 assets in the past year, with only a few remaining, marking a shift to a steady-state portfolio.

• Portfolio now optimized for market presence and operational efficiency, with targeted acquisitions considered for further growth.

Revenue management and pricing strategy

• Implemented high single-digit in-place rent increases, with low double-digit increases in highly occupied communities and mid-single-digit in lower occupancy ones.

• Two-speed approach: premium pricing in high-occupancy markets, discounting to drive occupancy in lower-occupied communities.

• RevPAR guidance for the year is 8%-9%, with RevPOR expected to step down in Q2 but hold steady in Q3 and Q4 due to accretion impacts.

• Pricing power remains strong in markets with 95%+ occupancy, enabling rate increases without significant move-outs.

Operational performance and financial outlook

• Sequential RevPOR increased 6.3% from Q4 to Q1, with consolidated RevPOR up 4.5% due to disposition accretion.

• EBITDA per unit rises sharply with occupancy, from $4,800 in low-occupancy to nearly $20,000 in high-occupancy bands.

• Second half EBITDA ramp driven by occupancy gains, RevPOR/ExPOR spread, and G&A savings from managed contract exits.

• Lease portfolio now cash flow positive, with margins above 33% and a fixed 3% escalator, contributing positively to EBITDA.