March 21, 2018, Lois Bowers, McKnight's Senior Living - Memory care has been the “fiercest” area of competition in private-pay senior living over the past year, Five Star Senior Living President and CEO Bruce Mackey said Wednesday during a fourth quarter and full-year 2017 earnings call.
“Memory care revenues were down three percent in the fourth quarter compared to the same quarter last year, because 50% of our memory care units had new memory care units open up within five miles over the past year, according to the [National Investment Center for Seniors Housing & Care] data,” he said.
Rate increases in other areas of the company's private-pay seniors housing helped mitigate the negative effect that occupancy decreases had on the bottom line, Mackey said, although that strategy did not work for memory care.
“We saw a 30 basis point increase in independent living, assisted living and memory care revenues in the fourth quarter of 2017 compared to the same period last year,” he said. “This was driven by independent living and assisted living revenues, which were up over one percent.”
Adjusted earnings before interest, taxes, depreciation and amortization for the fourth quarter were $2.1 million, down from $3.5 million for the same period last year, the CEO said.
Total occupancy was ........ CLICK HERE TO READ MORE