Sienna Senior Living Inc T.SIA

Fantastic Q2

[traderlong2]

Financial performance - Q2 2023

• Total Adjusted Revenue increased by 10.1% in Q2 2023 to $198.3 million, compared to Q2 2022. In the Retirement segment, the increase is mainly driven by rental rate increases, and additional revenue generated from a full quarter of contributions from the 12 JV properties acquired in Q2 2022. In the LTC segment, increased flow-through funding for direct care and annual inflationary funding increases contributed to the increase in total adjusted revenue.
• Total NOI increased by 13.7% to $38.9 million, compared to Q2 2022, resulting from a $1.8 million increase in the Retirement segment, driven by same-property NOI growth, a full quarter of NOI from the 12 JV properties acquired in Q2 2022, and the acquisition of a new retirement property in Q1 2023. Total NOI increased by $2.9 million in the LTC segment, mainly due to lower net pandemic expenses which included retroactive funding of $1.4 million.
• Same Property NOI increased by 9.3% to $37.1 million, compared to Q2 2022, including a 13.9% increase to $20.5 million in the LTC segment, and a 4.0% increase to $16.6 million in the Retirement segment.
• OFFOper share increased by 24.1% in Q2 2023, or $0.057, to $0.294. The increase was primarily due to higher NOI, a favourable tax adjustment of approximately $1.5 million relating to 2022, partially offset by higher current income taxes, lower general and administrative expenses, partially offset by higher interest expense.
• AFFOper share increased by 13.6% in Q2 2023, or $0.032, to $0.268. The increase was primarily related to higher OFFO, partially offset by higher maintenance capital expenditures and a decrease in construction funding.
• AFFO payout ratio was 87.3% for Q2 2023.