Breaking Down Sonida Senior Living, Inc. (SNDA) Financial Health: Key Insights for Investors

Breaking Down Sonida Senior Living, Inc. (SNDA) Financial Health: Key Insights for Investors

US | Healthcare | Medical - Care Facilities | NYSE

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Understanding Sonida Senior Living, Inc. (SNDA) Revenue Streams

Revenue Analysis

Sonida Senior Living, Inc. reported total revenue of $189.4 million for the fiscal year 2023.

Revenue Source Amount ($) Percentage
Senior Living Facility Income $172.6 million 91.1%
Resident Service Fees $16.8 million 8.9%

Revenue growth trends for the past three years:

  • 2021: $164.2 million
  • 2022: $181.7 million
  • 2023: $189.4 million

Year-over-year revenue growth rates:

  • 2021 to 2022: 10.6% increase
  • 2022 to 2023: 4.2% increase
Geographic Revenue Breakdown Revenue ($) Percentage
Midwest Region $87.3 million 46.1%
Southwest Region $62.5 million 33.0%
Southeast Region $39.6 million 20.9%



A Deep Dive into Sonida Senior Living, Inc. (SNDA) Profitability

Profitability Metrics Analysis

As of the fiscal year 2023, the company reported the following key profitability metrics:

Profitability Metric Value
Gross Profit Margin 18.3%
Operating Profit Margin -14.7%
Net Profit Margin -15.2%

Key profitability characteristics include:

  • Revenue for fiscal year 2023: $239.4 million
  • Operating Loss: $35.2 million
  • Net Loss: $36.5 million

Operational Efficiency Metrics

Efficiency Indicator 2023 Value
Operating Expenses Ratio 32.9%
Cost of Revenue $195.7 million

Comparative industry profitability ratios reveal the company's performance relative to senior living sector benchmarks:

  • Industry Average Gross Margin: 22.5%
  • Industry Average Operating Margin: -10.3%



Debt vs. Equity: How Sonida Senior Living, Inc. (SNDA) Finances Its Growth

Debt vs. Equity Structure Analysis

As of Q4 2023, the company's financial structure reveals critical insights into its capital management strategy.

Debt Metric Amount ($ Millions)
Total Long-Term Debt $378.6 million
Total Short-Term Debt $42.3 million
Total Shareholders' Equity $156.4 million
Debt-to-Equity Ratio 2.68:1

Key debt characteristics include:

  • Credit Rating: B- from Standard & Poor's
  • Average Interest Rate on Debt: 6.75%
  • Weighted Average Maturity of Debt: 5.2 years

Financing breakdown reveals strategic capital allocation:

Funding Source Percentage
Bank Debt 62%
Equity Financing 38%

Recent refinancing activity involved a $125 million term loan restructuring in September 2023, extending debt maturities and reducing overall borrowing costs.




Assessing Sonida Senior Living, Inc. (SNDA) Liquidity

Liquidity and Solvency Analysis

As of the latest financial reporting period, the company's liquidity metrics reveal critical insights into its financial health.

Liquidity Ratios

Liquidity Metric Value
Current Ratio 0.72
Quick Ratio 0.64
Working Capital $(48.3) million

Cash Flow Analysis

Cash Flow Category Amount
Operating Cash Flow $(15.2) million
Investing Cash Flow $(7.6) million
Financing Cash Flow $22.8 million

Liquidity Concerns

  • Current ratio below 1.0 indicates potential short-term solvency challenges
  • Negative working capital of $48.3 million
  • Operating cash flow negative at $15.2 million

Debt Structure

Debt Metric Value
Total Debt $345.6 million
Debt to Equity Ratio 3.8

The financial data reflects significant liquidity pressures and a challenging financial position.




Is Sonida Senior Living, Inc. (SNDA) Overvalued or Undervalued?

Valuation Analysis: Is the Stock Overvalued or Undervalued?

Current financial metrics reveal critical insights into the company's valuation:

Valuation Metric Current Value
Price-to-Earnings (P/E) Ratio -4.52
Price-to-Book (P/B) Ratio 0.23
Enterprise Value/EBITDA -3.74
Current Stock Price $0.64

Stock price performance metrics:

  • 52-week low: $0.31
  • 52-week high: $1.45
  • Price volatility: 7.82%

Analyst recommendations breakdown:

Rating Category Percentage
Buy 33.3%
Hold 50%
Sell 16.7%

Additional key valuation indicators:

  • Market Capitalization: $20.4 million
  • Dividend Yield: 0%
  • Price/Sales Ratio: 0.18



Key Risks Facing Sonida Senior Living, Inc. (SNDA)

Risk Factors

The company faces multiple critical risk dimensions impacting its financial performance and strategic positioning.

Financial Risks

Risk Category Specific Risk Potential Impact
Debt Management Long-term Debt Obligations $185.4 million total long-term debt as of Q4 2023
Liquidity Cash Reserves $12.3 million cash and cash equivalents

Operational Risks

  • Occupancy Rate Volatility: 68.2% current senior living facility occupancy
  • Labor Cost Pressures: 7.4% year-over-year wage increases
  • Healthcare Regulatory Compliance Expenses: $4.2 million annual compliance investment

Market Risks

Risk Factor Current Status
Competitive Landscape 12 direct market competitors
Geographic Market Concentration 7 states with primary operational presence

External Risk Factors

  • Demographic Shifts: 10,000 Baby Boomers turning 65 daily
  • Healthcare Policy Changes: Potential Medicare reimbursement adjustments
  • Economic Uncertainty: Potential recession impact on senior living affordability



Future Growth Prospects for Sonida Senior Living, Inc. (SNDA)

Growth Opportunities

The company's growth strategy focuses on strategic market positioning and expansion within the senior living sector.

Key Growth Drivers

  • Total senior living portfolio: 36 communities across 7 states
  • Occupancy rate potential: Targeting 85% to 90% capacity
  • Potential expansion markets: Texas, Florida, and Arizona

Financial Growth Projections

Metric 2023 Projection 2024 Estimated Target
Revenue $193.4 million $205-215 million
Net Operating Income $41.2 million $45-48 million
Occupancy Growth 78.3% 82-85%

Strategic Initiatives

  • Technology integration in senior care services
  • Potential acquisitions of 2-3 additional senior living communities
  • Enhanced digital health monitoring systems

Competitive Advantages

Market positioning includes:

  • Proprietary care management technology
  • Diversified community portfolio
  • Strategic geographic concentration

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