Brookdale Senior Living Inc.BKD
Brookdale Senior Living Inc. Segments Disclosure
19. Segment Information
The Company has three reportable segments: Independent Living; Assisted Living and Memory Care; and CCRCs. Operating segments are defined as components of an enterprise that engage in business activities from which it may earn revenues and incur expenses; for which separate financial information is available; and whose operating results are regularly reviewed by the Chief Operating Decision Maker ("CODM") to assess the performance of the individual segment and make decisions about resources to be allocated to the segment. The Company's CODM is its Chief Executive Officer.
Independent Living. The Company's Independent Living segment includes owned or leased communities that are primarily designed for middle to upper income seniors who desire to live in a residential setting that feels like home, without the efforts of ownership. The majority of the Company's independent living communities consist of both independent and assisted living units in a single community, which allows residents to age-in-place by providing them with a broad continuum of senior independent and assisted living services to accommodate their changing needs.
Assisted Living and Memory Care. The Company's Assisted Living and Memory Care segment includes owned or leased communities that offer housing and 24-hour assistance with activities of daily living for the Company's residents. The Company's assisted living and memory care communities include both freestanding, multi-story communities, as well as smaller, freestanding, single story communities. The Company also provides memory care services at freestanding memory care communities that are specially designed for residents with Alzheimer's disease and other dementias.
CCRCs. The Company's CCRCs segment includes large owned or leased communities that offer a variety of living arrangements and services to accommodate a broad spectrum of physical ability and healthcare needs. Most of the Company's CCRCs have independent living, assisted living, memory care, and skilled nursing available on one campus.
All Other. All Other includes communities operated by the Company pursuant to management agreements. Under the management agreements for these communities, the Company receives management fees as well as reimbursement of expenses it incurs on behalf of the owners.
The accounting policies of the Company's reportable segments are the same as those described in the summary of significant accounting policies in Note 2.
The following tables set forth selected segment financial data.
| For the Years Ended December 31, | |||||||||||||||||
| (in thousands) | 2025 | 2024 | 2023 | ||||||||||||||
| Revenue and other operating income: | |||||||||||||||||
Independent Living (1)(2) | $ | 593,813 | $ | 598,922 | $ | 564,499 | |||||||||||
Assisted Living and Memory Care (1)(2) | 2,103,303 | 2,038,660 | 1,968,440 | ||||||||||||||
CCRCs (1)(2) | 345,596 | 334,468 | 333,404 | ||||||||||||||
All Other (3) | 151,354 | 153,437 | 149,486 | ||||||||||||||
| Total revenue and other operating income | 3,194,066 | 3,125,487 | 3,015,829 | ||||||||||||||
| Community labor expenses: | |||||||||||||||||
| Independent Living | 226,323 | 230,037 | 221,112 | ||||||||||||||
| Assisted Living and Memory Care | 1,024,260 | 994,687 | 979,926 | ||||||||||||||
| CCRCs | 185,795 | 183,322 | 192,860 | ||||||||||||||
Other facility operating expenses:(4) | |||||||||||||||||
| Independent Living | 169,944 | 173,803 | 158,742 | ||||||||||||||
| Assisted Living and Memory Care | 515,633 | 510,670 | 486,197 | ||||||||||||||
| CCRCs | 94,061 | 90,742 | 90,963 | ||||||||||||||
| Total facility operating expenses | 2,216,016 | 2,183,261 | 2,129,800 | ||||||||||||||
Segment operating income:(5) | |||||||||||||||||
| Independent Living | 197,546 | 195,082 | 184,645 | ||||||||||||||
| Assisted Living and Memory Care | 563,410 | 533,303 | 502,317 | ||||||||||||||
| CCRCs | 65,740 | 60,404 | 49,581 | ||||||||||||||
| All Other | 10,853 | 10,521 | 10,161 | ||||||||||||||
| Total segment operating income | 837,549 | 799,310 | 746,704 | ||||||||||||||
| General and administrative expense (including non-cash stock-based compensation expense) | 195,141 | 185,850 | 178,894 | ||||||||||||||
| Facility operating lease expense | 200,263 | 200,587 | 202,410 | ||||||||||||||
| Depreciation and amortization | 355,527 | 357,788 | 342,712 | ||||||||||||||
| Asset impairment | 71,349 | 8,557 | 40,572 | ||||||||||||||
| Loss (gain) on sale of communities, net | (2,368) | — | (36,296) | ||||||||||||||
| Loss (gain) on facility operating lease termination, net | 4,139 | — | — | ||||||||||||||
| Income (loss) from operations | $ | 13,498 | $ | 46,528 | $ | 18,412 | |||||||||||
| Total capital expenditures for property, plant and equipment, and leasehold intangibles: | |||||||||||||||||
| Independent Living | $ | 44,357 | $ | 48,658 | $ | 51,188 | |||||||||||
| Assisted Living and Memory Care | 121,325 | 122,384 | 121,240 | ||||||||||||||
| CCRCs | 18,188 | 18,214 | 37,414 | ||||||||||||||
| Corporate and All Other | 19,418 | 15,094 | 18,750 | ||||||||||||||
| $ | 203,288 | $ | 204,350 | $ | 228,592 | ||||||||||||
(1)All revenue and other operating income is earned from external third parties in the United States.
(2)During the year ended December 31, 2023, the Company recognized $9.1 million of other operating income from grants from states and other local government sources. The Independent Living, Assisted Living and Memory Care, and CCRCs segments recognized $0.5 million, $8.0 million, and $0.6 million, respectively, in other operating income for the year ended December 31, 2023.
(3)All Other revenue and other operating income includes management fees and reimbursements of costs incurred on behalf of managed communities. For the year ended December 31, 2023, revenue and other operating income includes $0.9 million of revenue earned from unconsolidated ventures in which the Company had an ownership interest.
(4)Other facility operating expenses is primarily comprised of costs for food, utilities, maintenance, real estate taxes, insurance, marketing, paid referral fees, and other costs of operating the Company's communities.
(5)Segment operating income is defined as segment revenues and other operating income less segment facility operating expenses (excluding facility depreciation and amortization) and costs incurred on behalf of managed communities.
The Company does not report total assets by segment because this is not a metric used by the CODM to allocate resources or evaluate segment performance. The Company's total carrying amount of goodwill is included on the Independent Living segment and was $27.3 million as of December 31, 2025, 2024, and 2023.
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2025 | Feb 19, 2026 | Showing above |
| 2024 | Feb 19, 2025 | |
| 2023 | Feb 21, 2024 | |
| 2022 | Feb 22, 2023 | |
| 2021 | Feb 15, 2022 | |
| 2020 | Feb 25, 2021 | |
| 2019 | Feb 19, 2020 | |
| 2018 | Feb 14, 2019 | |
| 2017 | Feb 22, 2018 | |
| 2016 | Feb 15, 2017 | |
| 2015 | Feb 12, 2016 | |
About Segments Disclosures
Segment disclosures break a company into its reportable operating units, revealing revenue, profit, and asset allocation that consolidated financial statements obscure. Under ASC 280, segments must match how the chief operating decision maker views the business, providing a window into internal management structure and resource allocation priorities.
Key signals: compare segment margins to identify which units drive profitability and which destroy value. Watch for changes in the number of reportable segments — segment aggregation or disaggregation often coincides with strategic shifts or attempts to obscure declining performance. Intersegment elimination patterns reveal internal pricing practices. The reconciliation between segment totals and consolidated figures exposes corporate overhead allocation and unallocated items. Geographic revenue concentration highlights regulatory and currency exposure. Compare segment-level capital expenditure against segment revenue to assess where management is investing for future growth versus harvesting existing assets.