Capital Senior Living Corporation (NYSE:CSU) announced operating results for the third quarter of 2010 that saw its revenue increase to $53.6 million, compared to revenue of $48.1 million in the third quarter of 2009. The increase was attributable to the conversion of eight communities previously owned in a joint venture to leased communities and the addition of 12 new leased communities. CSU’s net income was $0.5 million, or $0.02 per share, in the third quarter of 2010, versus $0.8 million, or $0.03 per share, in the third quarter of 2009. Capital Senior Living saw its adjusted Cash From Facility Operations (“CFFO”) increase 69 percent to $5.6 million, or $0.21 per share, in the third quarter of 2010 versus $3.3 million, or $0.13 per share, for the third quarter of 2009. Average occupancy for its communities rose to 84.7% in Q3 2010, an increase of 90 basis points from Q2 2010 and an 80 basis point increase from same period in 2009.
“We are pleased to report an increase in occupancy, an increase in our resident capacity, and an increase in our mix to higher levels of care during the third quarter,” said Lawrence A. Cohen, Chief Executive Officer of the Company. “We received only a small benefit from completing the Signature transaction in the month of September, but when these results are fully reflected along with the two transactions completed in the
second quarter, annual revenues will have grown by $52 million, EBITDAR by over $22 million, and CFFO by over $3 million, or $0.12 per share. We remain encouraged by the fact that new supply of senior housing communities is practically non-existent as needs-driven demand continues to grow.”