Sonida Senior Living reported a net loss of $30.1 million for the quarter ended December 31 2025, on resident revenue of $86.3 million, and a full‑year loss of $72.5 million on revenue of $332.0 million. The company’s earnings per share for the quarter were –$1.72, missing consensus estimates of –$1.17 by 47 percent.
The same‑store portfolio, comprising 55 communities, generated $58.9 million in resident revenue, up 5.4 percent year‑over‑year, and produced $16.3 million in net operating income, a 6.5 percent increase from the prior year. The NOI margin expanded to 27.6 percent from 27.3 percent, reflecting stronger pricing and occupancy in core assets.
Acquisition communities—19 properties added in 2024 and 2025—contributed $25.7 million in revenue and $4.7 million in NOI. These assets delivered a 62 percent jump in NOI and a 700‑basis‑point lift in margin, underscoring the value of the company’s growth strategy.
Texas communities accounted for 22 percent of total revenue but were noted as underperforming. Despite this, the overall portfolio maintained solid occupancy and rate gains, supporting the company’s operational momentum.
On March 11, Sonida completed its $1.8 billion merger with CNL Healthcare Properties, adding 69 high‑quality senior‑housing communities and expanding the portfolio to 153 units. The deal positions Sonida as the eighth‑largest operator in the United States and is expected to be immediately accretive to normalized FFO per share, marking a clear inflection point for the business.
CEO Brandon Ribar said, “2025 was another defining year for Sonida, highlighted by significant growth in our acquisition portfolio and meaningful performance across our same‑store communities.” He added, “Building on this momentum, the completion of our acquisition of CNL Healthcare Properties now positions Sonida as the eighth‑largest owner of senior housing assets in the United States, with a combined portfolio of 153 high‑quality communities. This transformative deal is a clear inflection point for Sonida, catalyzing immediate normalized FFO per share accretion and unlocking additional opportunity for long‑term value creation.” CFO Kevin Detz noted, “The pro‑forma impact of bifurcating noncore assets out of our same‑store portfolio yielded a 16.2 percent year‑over‑year NOI growth rate when comparing Q4 2025 to Q4 2024.” He also highlighted a 7.9 percent rate increase effective March 1 and the company’s plan to dispose of roughly 10 percent of its portfolio over the next 12 months to deleverage and reinvest in higher‑growth assets. Sonida’s labor costs remained stable, with direct labor accounting for 34.6 percent of revenue in 2025, while management emphasized the strength of its integrated owner‑operator model and the favorable fundamentals of the senior‑housing market.
Investors reacted to the earnings miss on EPS, but the company’s strong operational performance and the strategic significance of the merger reassured many market participants, highlighting the company’s confidence in continued growth under its owner‑operator model.
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