Sonida Senior Living Q4 revenue rises on occupancy gains

Overview

• U.S. senior housing operator's Q4 resident revenue grew 11.9% yr/yr, driven by occupancy gains

• Net loss widened in Q4 due to merger-related costs and impairment charges

• Company completed $1.8 bln acquisition of CNL Healthcare Properties in March 2026

Outlook

• Sonida expects 2026 results to be materially impacted by the CHP acquisition

• Company cites historically favorable senior housing fundamentals as supporting future growth

• Sonida sees its integrated owner-operator model as a driver for continued growth

Result Drivers

• OCCUPANCY AND RATE GAINS - Co said Q4 revenue growth was primarily due to increased occupancy and higher average rent rates, as well as contributions from newly acquired communities

• HIGHER OPERATING EXPENSES - Operating expenses rose due to additional costs from acquired communities and higher labor costs in existing properties

• MERGER AND IMPAIRMENT COSTS - Net loss widened due to transaction, transition and restructuring costs linked to the CHP Merger and impairment charges on certain properties

Company press release: ID:nBw6wTLLRa

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "hold" and the breakdown of recommendations is no "strong buy" or "buy", 2 "hold" and no "sell" or "strong sell"

• The average consensus recommendation for the healthcare facilities & services peer group is "buy."

• Wall Street's median 12-month price target for Sonida Senior Living Inc is $31.50, about 15.2% below its March 10 closing price of $37.16

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