Regional Health Properties Reports Fourth Quarter & Full Year 2024 Financial Results
Regional Health Properties (RHEP) has reported its Q4 and full-year 2024 financial results. In Q4, the company achieved revenue of $5.6 million, with income from operations of $540k, EBITDA of $714K, and Adjusted EBITDA of $1.3 million. The company maintained a strong 92% rent collection rate.
For the full year 2024, RHEP reported revenue of $18.3 million, income from operations of $161k, EBITDA of $1.7 million, and Adjusted EBITDA of $3.5 million. The company's balance sheet shows $49.7 million in net indebtedness with a 5.1% weighted-average interest rate.
Key developments include a new management contract with CJM Advisors for the Sylva, NC facility, improved occupancy at the Meadowood facility, and securing a $500k line of credit. The company is progressing with its planned merger with SunLink Health Systems, expected to close in early Q3 2025.
Regional Health Properties (RHEP) ha riportato i risultati finanziari del quarto trimestre e dell'intero anno 2024. Nel quarto trimestre, l'azienda ha raggiunto ricavi di 5,6 milioni di dollari, con un reddito operativo di 540k, un EBITDA di 714k e un EBITDA rettificato di 1,3 milioni di dollari. L'azienda ha mantenuto un forte tasso di raccolta degli affitti del 92%.
Per l'intero anno 2024, RHEP ha riportato ricavi di 18,3 milioni di dollari, un reddito operativo di 161k, un EBITDA di 1,7 milioni di dollari e un EBITDA rettificato di 3,5 milioni di dollari. Il bilancio dell'azienda mostra 49,7 milioni di dollari di indebitamento netto con un tasso d'interesse medio ponderato del 5,1%.
Sviluppi chiave includono un nuovo contratto di gestione con CJM Advisors per la struttura di Sylva, NC, un miglioramento dell'occupazione nella struttura di Meadowood e la garanzia di una linea di credito di 500k dollari. L'azienda sta procedendo con la fusione pianificata con SunLink Health Systems, prevista per essere completata all'inizio del terzo trimestre 2025.
Regional Health Properties (RHEP) ha reportado sus resultados financieros del cuarto trimestre y del año completo 2024. En el cuarto trimestre, la compañía logró ingresos de 5,6 millones de dólares, con un ingreso operativo de 540k, EBITDA de 714k y EBITDA ajustado de 1,3 millones de dólares. La compañía mantuvo una fuerte tasa de cobranza de alquiler del 92%.
Para el año completo 2024, RHEP reportó ingresos de 18,3 millones de dólares, ingreso operativo de 161k, EBITDA de 1,7 millones de dólares y EBITDA ajustado de 3,5 millones de dólares. El balance de la compañía muestra 49,7 millones de dólares en deuda neta con una tasa de interés promedio ponderado del 5,1%.
Los desarrollos clave incluyen un nuevo contrato de gestión con CJM Advisors para la instalación de Sylva, NC, una mejora en la ocupación en la instalación de Meadowood y la obtención de una línea de crédito de 500k dólares. La compañía avanza con su fusión planificada con SunLink Health Systems, que se espera cerrar a principios del tercer trimestre de 2025.
지역 건강 자산 (RHEP)이 2024년 4분기 및 연간 재무 결과를 보고했습니다. 4분기 동안 회사는 560만 달러의 수익을 달성했으며, 운영 소득은 54만 달러, EBITDA는 71만 4천 달러, 조정 EBITDA는 130만 달러에 달했습니다. 회사는 92%의 임대 수금률을 유지했습니다.
2024년 전체 연도에 대해 RHEP은 1,830만 달러의 수익, 운영 소득 16만 1천 달러, EBITDA 170만 달러, 조정 EBITDA 350만 달러를 보고했습니다. 회사의 대차대조표는 4,970만 달러의 순부채와 5.1%의 가중 평균 이자율을 보여줍니다.
주요 개발 사항으로는 NC주 실바 시설에 대한 CJM Advisors와의 새로운 관리 계약, 메도우드 시설의 점유율 개선, 50만 달러의 신용 한도 확보가 포함됩니다. 회사는 2025년 3분기 초에 마감될 예정인 SunLink Health Systems와의 계획된 합병을 진행 중입니다.
Regional Health Properties (RHEP) a publié ses résultats financiers du quatrième trimestre et de l'année complète 2024. Au quatrième trimestre, l'entreprise a réalisé un chiffre d'affaires de 5,6 millions de dollars, avec un revenu d'exploitation de 540k, un EBITDA de 714k et un EBITDA ajusté de 1,3 million de dollars. L'entreprise a maintenu un taux de recouvrement des loyers de 92%.
Pour l'année complète 2024, RHEP a rapporté un chiffre d'affaires de 18,3 millions de dollars, un revenu d'exploitation de 161k, un EBITDA de 1,7 million de dollars et un EBITDA ajusté de 3,5 millions de dollars. Le bilan de l'entreprise montre 49,7 millions de dollars de dette nette avec un taux d'intérêt moyen pondéré de 5,1%.
Les développements clés incluent un nouveau contrat de gestion avec CJM Advisors pour l'établissement de Sylva, NC, une amélioration de l'occupation dans l'établissement de Meadowood et la sécurisation d'une ligne de crédit de 500k dollars. L'entreprise progresse dans sa fusion prévue avec SunLink Health Systems, qui devrait se conclure au début du troisième trimestre 2025.
Regional Health Properties (RHEP) hat seine finanziellen Ergebnisse für das 4. Quartal und das Gesamtjahr 2024 bekannt gegeben. Im 4. Quartal erzielte das Unternehmen Einnahmen von 5,6 Millionen Dollar, mit einem Betriebsergebnis von 540.000 Dollar, EBITDA von 714.000 Dollar und bereinigtem EBITDA von 1,3 Millionen Dollar. Das Unternehmen hielt eine starke Mietinkassoquote von 92% aufrecht.
Für das Gesamtjahr 2024 berichtete RHEP Einnahmen von 18,3 Millionen Dollar, ein Betriebsergebnis von 161.000 Dollar, EBITDA von 1,7 Millionen Dollar und bereinigtes EBITDA von 3,5 Millionen Dollar. Die Bilanz des Unternehmens zeigt 49,7 Millionen Dollar an Nettoverschuldung bei einem gewichteten durchschnittlichen Zinssatz von 5,1%.
Wichtige Entwicklungen umfassen einen neuen Managementvertrag mit CJM Advisors für die Einrichtung in Sylva, NC, eine Verbesserung der Belegung in der Einrichtung Meadowood und die Sicherstellung einer Kreditlinie von 500.000 Dollar. Das Unternehmen schreitet mit der geplanten Fusion mit SunLink Health Systems voran, die voraussichtlich Anfang des 3. Quartals 2025 abgeschlossen wird.
- 92% rent collection rate in Q4 2024
- Secured $500k line of credit from Exchange Bank
- Highest occupancy achieved at Meadowood facility since 2022
- Expansion of management contracts with CJM Advisors
- Positive operating cash flow of $1.9 million for 2024
- Q4 2024 GAAP net loss of $569k
- Three facilities transitioned from leases back to company operations
- Significant debt load of $49.7 million
ATLANTA, GA, April 14, 2025 (GLOBE NEWSWIRE) -- Regional Health Properties, Inc. (the “Company”, “Regional”, “we”, “us” or “our”) (OTCQB: RHEP) (OTCQB: RHEPB) (OTCQB: RHEPA), a self-managed healthcare real estate investment company that invests primarily in real estate purposed for senior living and long-term care, today announced its financial results for the third quarter ended December 31, 2024.
FOURTH QUARTER 2024 FINANCIAL RESULTS
- Reported revenue of
$5.6 million in the quarter - Generated income from operations of
$540 k in the quarter - Generated EBITDA of
$714 K and$1.3 million of Adjusted EBITDA1 in the quarter - Collected
92% of contractual rent during Q4 2024
FOURTH QUARTER 2024 BUSINESS HIGHLIGHTS
- Entered into a management contract with CJM Advisors to manage our Sylva, NC facility
- Our Meadowood facility continued its operational improvement, resulting in the highest occupancy since taking back the facility in 2022
- Obtained a
$500 k line of credit from Exchange Bank, Regional’s current lender in Alabama
FULL YEAR 20024 FINANCIAL RESULTS
- Reported revenue of
$18.3 million - Reported income from operations of
$161 k - Generated EBITDA of
$1.7 million and Adjusted EBITDA of$3.5 million
MANAGEMENT COMMENTS
Brent Morrison, Regional’s President, Chief Executive Officer, and Chairman, commented, “The fourth quarter capped off a transformative year for Regional Health Properties. In 2024, we focused on strengthening our operational foundation and positioning the Company for sustained growth. A key milestone was our announced merger with SunLink Health Systems, which we believe will unlock long-term strategic and operational synergies. We anticipate the merger will close in early Q3 2025.”
Mr. Morrison continued, “Subsequent to year-end, we entered into a second management contract with CJM Advisors (“CJM”) to manage our Glenville, GA facility. We are pleased with the results from Chris Murphy and his team at CJM and look forward to growing the relationship in 2025.”
FINANCIAL RESULTS FOR QUARTER ENDED DECEMBER 31, 2024
For the fourth quarter of 2024, the Company reported total revenue of
BALANCE SHEET AND LIQUIDITY
As of December 31, 2024, the Company had
Subsequent to quarter end, the Company transitioned the operations of three facilities from leases back to the company. The intention is to have CJM Advisor manage the facilities.
About Regional Health Properties
Regional Health Properties, Inc., a Georgia corporation, is a self-managed healthcare real estate investment company that invests primarily in real estate purposed for senior living and long-term care. For more information, visit www.regionalhealthproperties.com.
Important Cautions Regarding Forward-Looking Statements
This press release includes forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Words such as “expects,” “intends,” “believes,” “anticipates,” “plans,” “likely,” “will,” “seeks,” “estimates” and variations of such words and similar expressions are intended to identify such forward-looking statements. This press release includes forward-looking statements that reflect the Company’s current views with respect to, among other things, its business, operations, financial performance, revenue, capital structure, the impact of the exchange offer and economic developments.
Forward-looking statements, by their nature, involve estimates, projections, goals, forecasts and assumptions and are subject to risks and uncertainties that could cause actual results to differ materially from those projected or contemplated by our forward-looking statements due to various factors, including, among others: our dependence on the operating success of our operators; the amount of, and our ability to service, our indebtedness; covenants in our debt agreements that may restrict our ability to make investments, incur additional indebtedness and refinance indebtedness on favorable terms; the availability and cost of capital; our ability to raise capital through equity and debt financings or through the sale of assets; increases in market interest rates and inflation; our ability to meet the continued listing requirements of the NYSE American LLC and to maintain the listing of our securities thereon; the effect of increasing healthcare regulation and enforcement on our operators and the dependence of our operators on reimbursement from governmental and other third-party payors; the relatively illiquid nature of real estate investments; the impact of litigation and rising insurance costs on the business of our operators; the impact on us of litigation relating to our prior operation of our healthcare properties; the effect of our operators declaring bankruptcy, becoming insolvent or failing to pay rent as due; the ability of any of our operators in bankruptcy to reject unexpired lease obligations and to impede our ability to collect unpaid rent or interest during the pendency of a bankruptcy proceeding and retain security deposits for the debtor’s obligations; our ability to find replacement operators and the impact of unforeseen costs in acquiring new properties; epidemics or pandemics, including the COVID-19 pandemic, and the related impact on our tenants, operators and healthcare facilities; and other factors discussed from time to time in our news releases, public statements and documents filed by us with the Securities and Exchange Commission from time to time, including our Annual Report on Form 10-K, Quarterly Reports on Form 10-Q and Current Reports on Form 8-K. These forward-looking statements and such risks, uncertainties and other factors speak only as of the date of this press release, and we expressly disclaim any obligation or undertaking to update or revise any forward-looking statement contained herein, to reflect any change in our expectations with regard thereto or any other change in events, conditions or circumstances on which any such statement is based, except to the extent otherwise required by applicable law.
Company Contact
Brent Morrison, CFA
Chief Executive Officer & President
Regional Health Properties, Inc.
Tel (678) 368-4402
Brent.morrison@regionalhealthproperties.com
| REGIONAL HEALTH PROPERTIES, INC. | ||||||||
| BALANCE SHEET | ||||||||
| (in thousands) | ||||||||
| 12/31/2024 | 12/31/2023 | |||||||
| ASSETS | ||||||||
| Property and equipment, net | $ | 33,489 | $ | 34,744 | ||||
| Assets held for sale, net | 10,334 | 10,593 | ||||||
| Cash | 582 | 953 | ||||||
| Restricted cash | 2,890 | 3,231 | ||||||
| Accounts receivable, net of allowances of | 3,362 | 1,403 | ||||||
| Prepaid expenses and other | 633 | 613 | ||||||
| Notes receivable | 369 | 1,044 | ||||||
| Intangible assets - bed licenses | 2,471 | 2,471 | ||||||
| Intangible assets - lease rights, net | 69 | 87 | ||||||
| Right-of-use operating lease assets | 2,154 | 2,556 | ||||||
| Goodwill | 1,585 | 1,585 | ||||||
| Straight-line rent receivable | 2,527 | 2,901 | ||||||
| Total assets | $ | 60,465 | $ | 62,181 | ||||
| LIABILITIES AND EQUITY | ||||||||
| Senior debt, net | $ | 34,287 | $ | 35,885 | ||||
| Debt related to assets held for sale, net | 8,234 | 7,970 | ||||||
| Bonds, net | 5,851 | 5,991 | ||||||
| Other debt, net | 1,349 | 889 | ||||||
| Accounts payable | 3,695 | 2,493 | ||||||
| Accrued expenses | 5,414 | 4,060 | ||||||
| Operating lease obligation | 2,472 | 2,917 | ||||||
| Other liabilities | 2,082 | 1,791 | ||||||
| Total liabilities | 63,384 | 61,996 | ||||||
| Commitments and Contingencies (Note 13) | ||||||||
| Stockholders' equity: | ||||||||
| Common stock and additional paid-in capital, no par value; 55,000 shares authorized; 1,890 and 1,850 shares issued and 1,879 and 1,839 shares outstanding at December 31, 2024 and December 31, 2023, respectively | 63,173 | 63,059 | ||||||
| Preferred stock, no par value; 5,000 shares authorized (including amounts authorized for Series A and Series B); shares issued and outstanding designated as follows: | ||||||||
| Preferred stock, Series A, no par value; 559 shares authorized, issued and outstanding at December 31, 2024 and December 31, 2023, with a redemption amount | 426 | 426 | ||||||
| Preferred stock, Series B, no par value; 2,812 shares authorized; 2,252 shares issued and outstanding at December 31, 2024 and December 31, 2023, with a redemption amount | 18,602 | 18,602 | ||||||
| Accumulated deficit | (85,120 | ) | -81902 | |||||
| Total stockholders' (deficit) equity | (2,919 | ) | 185 | |||||
| Total liabilities and stockholders' (deficit) equity | $ | 60,465 | $ | 62,181 | ||||
| REGIONAL HEALTH PROPERTIES, INC. | ||||||||
| STATEMENT OF OPERATIONS | ||||||||
| (in thousands) | ||||||||
| Quarter Ended December 31, | ||||||||
| 2024 | 2023 | |||||||
| Revenues: | ||||||||
| Patient care revenues | $ | 3,855 | $ | 2,258 | ||||
| Rental revenues | 1,748 | 1,899 | ||||||
| Management fees | — | 263 | ||||||
| Other revenues | 57 | 103 | ||||||
| Total revenues | 5,660 | 4,523 | ||||||
| Expenses: | ||||||||
| Patient care expense | 2,980 | 1,535 | ||||||
| Facility rent expense | 149 | 149 | ||||||
| Cost of management fees | — | 153 | ||||||
| Depreciation and amortization | 563 | 517 | ||||||
| General and administrative expense | 1,323 | 1,127 | ||||||
| Credit loss expense | 105 | 881 | ||||||
| Total expenses | 5,120 | 4,362 | ||||||
| Income (loss) from operations | 540 | 161 | ||||||
| Other (income) expense: | ||||||||
| Interest expense, net | 689 | 685 | ||||||
| Other expense, net | 420 | (287 | ) | |||||
| Total other expense, net | 1,109 | 398 | ||||||
| Net loss | (569 | ) | (237 | ) | ||||
| Preferred stock dividends - gain on extinguishment | — | — | ||||||
| Net (loss) profit attributable to Regional Health Properties, Inc. common stockholders | $ | (569 | ) | $ | (237 | ) | ||
| Net (loss) profit per share of common stock attributable to Regional Health Properties, Inc.: | ||||||||
| Basic | $ | (0.31 | ) | $ | (0.13 | ) | ||
| Diluted | $ | (0.31 | ) | $ | (0.13 | ) | ||
| Weighted average shares of common stock outstanding: | ||||||||
| Basic | 1,858 | 1,877 | ||||||
| Diluted | 1,858 | 1,877 | ||||||
| REGIONAL HEALTH PROPERTIES, INC. | ||||||||
| STATEMENT OF OPERATIONS | ||||||||
| (in thousands) | ||||||||
| Year Ended December 31, | ||||||||
| 2024 | 2023 | |||||||
| Revenues: | ||||||||
| Patient care revenues | $ | 11,273 | $ | 8,835 | ||||
| Rental revenues | 7,005 | 7,069 | ||||||
| Management fees | — | 1,050 | ||||||
| Other revenues | 57 | 210 | ||||||
| Total revenues | 18,335 | 17,164 | ||||||
| Expenses: | ||||||||
| Patient care expense | 9,442 | 7,979 | ||||||
| Facility rent expense | 594 | 594 | ||||||
| Cost of management fees | — | 595 | ||||||
| Depreciation and amortization | 2,062 | 2,255 | ||||||
| General and administrative expense | 5,408 | 5,412 | ||||||
| Credit loss expense | 668 | 1,150 | ||||||
| Total expenses | 18,174 | 17,985 | ||||||
| Income (loss) from operations | 161 | (821 | ) | |||||
| Other (income) expense: | ||||||||
| Interest expense, net | 2,710 | 2,751 | ||||||
| Other expense, net | 669 | 316 | ||||||
| Total other expense, net | 3,379 | 3,067 | ||||||
| Net loss | (3,218 | ) | (3,888 | ) | ||||
| Preferred stock dividends - gain on extinguishment | — | 43,395 | ||||||
| Net (loss) profit attributable to Regional Health Properties, Inc. common stockholders | $ | (3,218 | ) | $ | 39,507 | |||
| Net (loss) profit per share of common stock attributable to Regional Health Properties, Inc.: | ||||||||
| Basic | $ | (1.73 | ) | $ | 21.05 | |||
| Diluted | $ | (1.73 | ) | $ | 21.05 | |||
| Weighted average shares of common stock outstanding: | ||||||||
| Basic | 1,858 | 1,877 | ||||||
| Diluted | 1,858 | 1,877 | ||||||
| REGIONAL HEALTH PROPERTIES, INC. | |||||||||||||||||||||||||||||||
| DEBT SUMMARY | |||||||||||||||||||||||||||||||
| (in thousands) | |||||||||||||||||||||||||||||||
| December 31, 2024 | |||||||||||||||||||||||||||||||
| Maturity | Interest Rate | Principal | % of Principal | Deferred financing costs | Unamortized discount on bonds | Net Carrying Value | |||||||||||||||||||||||||
| Total Fixed Rate Debt | 4/26/2039 | 4.33 | % | 43,193 | 85.2 | % | (702 | ) | (107 | ) | 42,384 | ||||||||||||||||||||
| Total Floating Rate Debt | 10/3/2036 | 9.67 | % | 7,521 | 14.8 | % | (184 | ) | - | 7,337 | |||||||||||||||||||||
| Total | $ | 50,714 | 100.0 | % | $ | (886 | ) | $ | (107 | ) | $ | 49,721 | |||||||||||||||||||
Calculation of Non-GAAP Financial Measures
This press release presents information about EBITDA adjusted EBITDA and EBITDAR, which are non-GAAP financial measures provided as a supplement to the results provided in accordance with accounting principles generally accepted in the United States of America (“GAAP”). The Company believes that these non-GAAP financial measures provide meaningful supplemental information regarding its performance by excluding certain items that may not be indicative of its recurring core business operating results. The Company believes that both management and investors benefit from referring to these non-GAAP financial measures in assessing its performance and when planning and forecasting future periods. These non-GAAP financial measures also facilitate management’s internal comparisons to the Company’s historical performance. The Company believes these non-GAAP financial measures are useful to investors in allowing for greater transparency with respect to supplemental information used by management in its financial and operational decision making.
These non-GAAP financial measures are presented for supplemental informational purposes only. These non-GAAP financial measures have limitations as analytical tools and should not be considered in isolation from, or as a substitute for, GAAP financial measures. These non-GAAP financial measures may differ from the non-GAAP financial measures used by other companies. A reconciliation of the non-GAAP financial measures to the most directly comparable GAAP financial measure is provided below for each of the fiscal periods indicated.
A reconciliation of EBITDA and adjusted EBITDA is as follows:
| REGIONAL HEALTH PROPERTIES, INC. | ||||||||||||||||||||
| RECONCILIATION OF NET LOSS TO NON-GAAP FINANCIAL MEASURES | ||||||||||||||||||||
| (in thousands) | ||||||||||||||||||||
| (Amounts in 000’s) | Q1 2024 | Q2 2024 | Q3 2024 | Q4 2024 | 2024 | |||||||||||||||
| Net loss | $ | (962 | ) | $ | (706 | ) | $ | (982 | ) | $ | (568 | ) | $ | (3,218 | ) | |||||
| Depreciation and amortization | 511 | 514 | 474 | 563 | 2,062 | |||||||||||||||
| Interest expense, net | 674 | 669 | 677 | 690 | 2,710 | |||||||||||||||
| Amortization of employee stock compensation | 42 | — | 19 | 53 | 114 | |||||||||||||||
| Provision for income tax | (18 | ) | 24 | — | (24 | ) | (18 | ) | ||||||||||||
| EBITDA | 247 | 501 | 188 | 714 | 1,650 | |||||||||||||||
| Credit loss expense | 28 | 36 | 499 | 105 | 668 | |||||||||||||||
| Other expense (income), net | — | — | 5 | (5 | ) | |||||||||||||||
| Gain (loss) from write-off of liabilities and other credit balances from discontinued operations | 12 | 165 | 3 | 2 | 182 | |||||||||||||||
| Expenses related to preferred stock recapitalization | — | — | — | — | — | |||||||||||||||
| Other one-time costs | 60 | 80 | 179 | 268 | 587 | |||||||||||||||
| Project costs | 40 | 25 | 20 | 4 | 89 | |||||||||||||||
| Tail insurance on legacy facilities | 72 | 79 | 55 | 112 | 318 | |||||||||||||||
| One-time income adjustment - quality incentive program (1) | — | (147 | ) | 49 | 98 | — | ||||||||||||||
| Adjusted EBITDA from operations | $ | 459 | $ | 739 | $ | 998 | $ | 1,298 | $ | 3,494 | ||||||||||
(1) Amounts represent adjustments needed for historical and estimated future amounts along with reconciling for timing differences.
1 Adjusted EBITDA is a non-GAAP financial measure. See “Calculation of Non-GAAP Financial Measures” for important additional information.
2 EBITDA is a non-GAAP financial measure. See “Calculation of Non-GAAP Financial Measures” for important additional information.
3 EBITDAR is a non-GAAP financial measure.
FAQ
What were RHEP's Q4 2024 financial results?
When is RHEP's merger with SunLink Health Systems expected to close?
What is RHEP's current debt situation as of December 2024?
How much rent did RHEP collect in Q4 2024?
What new management contracts did RHEP secure?
