Alerislife inc. announces first quarter 2022 results
Newton, mass.--(business wire)--alerislife inc. (nasdaq: alr) today announced its financial results for the three months ended march 31, 2022. first quarter summary of financial results: net loss for the first quarter of 2022 was $9.7 million, or $0.31 per diluted share, compared to net income of $3.3 million, or $0.10 per diluted share, for the first quarter of 2021. earnings before interest, taxes, depreciation and amortization, or ebitda, for the first quarter of 2022 was $(5.5) million compared to $6.8 million for the first quarter of 2021. adjusted ebitda, as described further below, was $(5.3) million for the first quarter of 2022 compared to $6.9 million for the first quarter of 2021. ebitda and adjusted ebitda are non-gaap financial measures. reconciliations of net (loss) income determined in accordance with u.s. generally accepted accounting principles, or gaap, to ebitda and adjusted ebitda for the first quarter of 2022 and 2021 are presented later in this press release. revpar for the comparable managed communities for the first quarter of 2022 was $3,027 compared to $2,946 for the first quarter of 2021, an increase of 2.7%. compared to the sequential quarter, revpar for the comparable managed communities increased 4.4%. revpar for the comparable owned communities for the first quarter of 2022 was $2,443 compared to $2,421 for the first quarter of 2021, an increase of 0.9%. compared to the sequential quarter, revpar for the comparable owned communities increased 4.0%. substantially all of alr's business is conducted by its two segments: (i) its residential segment through its five star senior living, or five star, brand and (ii) its lifestyle services segment primarily through its brands ageility physical therapy solutions and ageility fitness, or collectively ageility, and windsong home health. the following tables present data on the owned and managed senior living communities that alr operates through its five star brand, including comparable community data, as well as data on the rehabilitation clinics that alr operates through its ageility brand, including comparable outpatient clinic data. summary of operational results as of and for the three months ended march 31, 2022 december 31, 2021 march 31, 2021 residential segment: five star: number of living units (end of period) independent living 10,423 10,423 10,979 assisted living 7,715 7,764 12,109 memory care 1,861 1,872 3,220 skilled nursing — 46 2,957 total living units 19,999 20,105 29,265 revpar owned (1) $ 2,443 $ 2,349 $ 2,479 managed $ 3,027 $ 2,919 $ 3,213 quarter end occupancy owned and leased (1) 72.1 % 72.7 % 68.2 % managed 74.6 % 74.8 % 70.2 % comparable communities (2): revpar owned $ 2,443 $ 2,349 $ 2,421 managed $ 3,027 $ 2,900 $ 2,946 quarter end occupancy owned 72.1 % 72.7 % 69.0 % managed 74.6 % 75.2 % 73.2 % operating margin (3) owned (24.2 ) % (25.2 ) % (12.5 ) % managed 5.9 % 3.5 % 8.8 % as of and for the three months ended march 31, 2022 december 31, 2021 march 31, 2021 lifestyle services segment: ageility: number of clinics inpatient (4) 10 10 37 outpatient 201 205 215 number of visits (in thousands) inpatient (4) 22 21 72 outpatient 144 148 149 comparable outpatient clinics (5): caseload as a % of census (6) 23.9 % 24.0 % 27.0 % operating margin (3) 2.7 % 9.4 % 14.9 % ___________________________ (1) for the three months ended march 31, 2021, includes four leased communities with approximately 200 living units previously leased from healthpeak properties, inc., or healthpeak. the lease with healthpeak was terminated on september 30, 2021. (2) comparable communities includes financial data for 20 owned senior living communities and 120 managed senior living communities that alr continuously owned or managed and operated through its five star brand since january 1, 2021, exclusive of 1,532 skilled nursing facility, or snf, living units that have been closed and are in the process of being repositioned in 27 continuing care retirement communities, or ccrcs, that alr will continue to manage. (3) operating margin is defined as operating revenue less operating expenses divided by operating revenue in each case for the business segment. for the residential segment, it is inclusive of 1,532 snf living units, which have been closed and are in the process of being repositioned, in 27 former ccrcs that alr continues to manage. it is exclusive of provider relief funds from the coronavirus aid, relief, and economic security act, or the cares act, and other government grants recognized as other operating income. in addition, it excludes restructuring expenses for the three months ended december 31, 2021 of $0.3 million for the comparable managed communities. (4) subsequent to march 31, 2021, alr closed 27 inpatient rehabilitation clinics. (5) comparable outpatient clinics includes financial data for 185 outpatient rehabilitation clinics that alr continuously operated since january 1, 2021. (6) caseload as a percentage of census represents the number of ageility customers divided by total census at the senior living communities where the ageility outpatient rehabilitation clinics are located. term loan on january 27, 2022, alr entered into a credit and security agreement, or the credit agreement, for a $95.0 million senior secured term loan, or the loan, $63.0 million of which was funded upon the effectiveness of the credit agreement, including approximately $3.2 million in closing costs. the remaining proceeds include $12.0 million for capital improvements at alr owned communities and an opportunity for another $20.0 million that is available to us upon achieving certain financial targets. the maturity date of the loan is january 27, 2025. subject to the payment of an extension fee and meeting certain other conditions, alr may elect to extend the stated maturity date of the loan for two, one-year periods. alr is required to pay interest on outstanding amounts at an annual base rate of the secured overnight financing rate, or sofr, plus a term sofr adjustment of 11 basis points (subject to a minimum base rate of 50 basis points), plus 450 basis points. summary of communities and outpatient rehabilitation clinics presented below is a summary of the communities, units, average occupancy, quarter end occupancy, revenues and residential management fees for the five star senior living communities alr manages for dhc, as of and for the three months ended march 31, 2022 (dollars in thousands): total communities units average occupancy quarter end occupancy community revenues (1) management fees independent and assisted living communities 120 17,899 74.1 % 74.6 % $ 162,552 $ 8,932 total 120 17,899 74.1 % 74.6 % $ 162,552 $ 8,932 _______________________________________ (1) managed senior living communities' revenues do not represent alr's revenues, and are included to provide supplemental information regarding the operating results of the five star senior living communities from which alr earns residential management fees. presented below is a summary of the ageility outpatient rehabilitation clinics alr operated as of and for the three months ended march 31, 2022 (dollars in thousands): as of and for the three months ended march 31, 2022 number of clinics total revenue (1)(3) caseload as a % of census (5) ebitda margin (4) outpatient clinics in five star managed communities, owned by dhc 91 $ 7,300 25.5 % 4.6 % outpatient clinics at alr owned communities 15 761 27.9 % 2.5 % outpatient clinics at other communities (2) 95 3,985 21.6 % 0.6 % total outpatient clinics 201 $ 12,046 23.8 % 3.2 % _______________________________________ (1) excludes revenue of $1,916 earned during the three months ended march 31, 2022 for ten ageility inpatient rehabilitation clinics. (2) other communities includes outpatient rehabilitation clinics at senior living communities not owned or managed by alr. (3) total ageility revenue excludes home health care services, which are part of the lifestyle services segment. (4) ebitda margin is a non-gaap financial measure and represents rehabilitation clinics that are in service as of march 31, 2022. a reconciliation of ebitda margin is presented later in this press release. (5) caseload as a percentage of census represents the number of ageility customers divided by total census at the senior living communities where the ageility outpatient rehabilitation clinics are located. conference call information: at 1:00 p.m. eastern time on may 4, 2022, alr's interim president and chief executive officer and chief financial officer and treasurer, jeffrey leer, will host a conference call to discuss alr's first quarter 2022 financial results. the conference call telephone number is (877) 329-4332. participants calling from outside the united states and canada should dial (412) 317-5436. no pass code is necessary to access the call from either number. participants should dial in about 15 minutes prior to the scheduled start of the call. a replay of the conference call will be available through 11:59 p.m. eastern time on may 11, 2022. to hear the replay, dial (412) 317-0088. the replay pass code is 6043437. a live audio webcast of the conference call will also be available in a listen-only mode on alr’s website, www.alerislife.com. participants wanting to access the webcast should visit alr’s website about five minutes before the call. the archived webcast will be available for replay on alr’s website following the call for about a week. the transcription, recording and retransmission in any way of alr's first quarter ended march 31, 2022 financial results conference call are strictly prohibited without the prior written consent of alr. alr’s website is not incorporated as part of this press release. about alerislife: alerislife enriches and inspires the lives of its older adult customers across the united states by delivering an exceptional and enhanced resident experience to senior living and active adult residents, while also offering lifestyle services to the younger choice-based consumer. the company is headquartered in newton, massachusetts. for more information, visit www.alerislife.com. alerislife inc. condensed consolidated statements of operations (amounts in thousands, except per share amounts) (unaudited) three months ended march 31, 2022 2021 revenues lifestyle services $ 14,139 $ 19,553 residential 15,386 17,057 residential management fees 8,932 13,850 total management and operating revenues 38,457 50,460 reimbursed community-level costs incurred on behalf of managed communities 130,936 213,160 other reimbursed expenses 3,750 5,480 total revenues 173,143 269,100 other operating income 42 7,793 operating expenses lifestyle services expenses 13,221 16,210 residential wages and benefits 8,627 12,013 other residential operating expenses 7,349 6,266 community-level costs incurred on behalf of managed communities 130,936 213,160 general and administrative 18,192 22,641 depreciation and amortization 3,163 2,940 total operating expenses 181,488 273,230 operating (loss) income (8,303 ) 3,663 interest, dividend and other income 80 84 interest and other expense (1,032 ) (463 ) unrealized (loss) gain on equity investments (632 ) 135 realized (loss) gain on sale of debt and equity investments (45 ) 96 gain on termination of lease 279 — (loss) income before income taxes (9,653 ) 3,515 provision for income taxes (77 ) (200 ) net (loss) income $ (9,730 ) $ 3,315 weighted average shares outstanding—basic 31,787 31,530 weighted average shares outstanding—diluted 31,787 31,662 net (loss) income per share—basic $ (0.31 ) $ 0.11 net (loss) income per share—diluted $ (0.31 ) $ 0.10 alerislife inc. reconciliation of non-gaap financial measures (dollars in thousands) (unaudited) non-gaap financial measures are financial measures that are not determined in accordance with gaap. alr believes the non-gaap financial measures presented in the tables below are meaningful supplemental disclosures because they may help investors better understand changes in alr’s operating results and its ability to meet financial obligations or service debt, make capital expenditures and expand its business. these non-gaap financial measures may also help investors make comparisons between alr and other companies on both a gaap and non-gaap basis. alr believes that ebitda, adjusted ebitda and ebitda margin are meaningful financial measures that may help investors better understand its financial performance, including by allowing investors to compare alr's performance between periods and to the performance of other companies. alr management uses ebitda, adjusted ebitda and ebitda margin to evaluate alr’s financial performance and compare alr’s performance over time and to the performance of other companies. alr calculates ebitda, adjusted ebitda and ebitda margin as shown below. these measures should not be considered as alternatives to net income (loss) or operating income (loss), as indicators of alr’s operating performance or as measures of alr’s liquidity. also, ebitda, adjusted ebitda and ebitda margin as presented may not be comparable to similarly titled amounts calculated by other companies. alr believes that net income (loss) is the most directly comparable financial measure, determined according to gaap, to alr’s presentation of ebitda and adjusted ebitda. the following table presents the reconciliation of these non-gaap financial measures to net income (loss) for the three months ended march 31, 2022 and 2021. three months ended march 31, 2022 2021 net (loss) income $ (9,730 ) $ 3,315 add (less): interest and other expense 1,032 463 interest, dividend and other income (80 ) (84 ) provision for income taxes 77 200 depreciation and amortization 3,163 2,940 ebitda (5,538 ) 6,834 add (less): unrealized loss (gain) on equity investments 632 (135 ) gain on termination of leases (279 ) — net restructuring expenses (1) (154 ) 250 adjusted ebitda $ (5,339 ) $ 6,949 _______________________________________ (1) includes costs incurred related to the repositioning of alr's residential service offerings and the restructuring for the three months ended march 31, 2022 and 2021, respectively, and are included in general and administrative expenses in the condensed consolidated statements of operations. alerislife inc. reconciliation of non-gaap financial measures (dollars in thousands) (unaudited) alr believes that net income (loss) is the most directly comparable financial measure, determined according to gaap, to alr’s presentation of ebitda. the following table presents the reconciliation of these non-gaap financial measures to net income for the three months ended march 31, 2022 for ageility. three months ended march 31, 2022 total lifestyle services: revenue $ 14,139 less: home health services 177 less: inpatient rehabilitation (1) 1,916 total ageility revenue (2) $ 12,046 ageility: net income $ 171 add: depreciation 97 ebitda $ 268 ebitda margin (3) 2.2 % _______________________________________ (1) revenue for ten ageility inpatient rehabilitation clinics that currently remain operated by ageility. (2) total ageility revenue includes revenue from outpatient rehabilitation clinics and fitness. (3) ebitda margin is defined by alr as ebitda for the period divided by total revenue for the period. alerislife inc. condensed consolidated balance sheets (dollars in thousands, except per share amounts) (unaudited) march 31, december 31, 2022 2021 assets current assets: cash and cash equivalents $ 88,054 $ 66,987 restricted cash and cash equivalents 25,129 24,970 accounts receivable, net 9,414 9,244 due from related person 48,717 41,664 debt and equity investments, of which $7,062 and $7,609 are restricted, respectively 17,835 19,535 prepaid expenses and other current assets 22,479 24,433 total current assets 211,628 186,833 property and equipment, net 160,170 159,843 operating lease right-of-use assets 6,123 9,197 finance lease right-of-use assets 3,236 3,467 restricted cash and cash equivalents 995 982 restricted debt and equity investments 3,635 3,873 other long-term assets 10,683 12,082 total assets $ 396,470 $ 376,277 liabilities and shareholders’ equity current liabilities: accounts payable $ 11,868 $ 37,516 accrued expenses and other current liabilities 36,830 31,488 accrued compensation and benefits 31,087 34,295 accrued self-insurance obligations 28,950 31,739 operating lease liabilities 476 699 finance lease liabilities 889 872 due to related persons 4,332 3,879 current portion of debt 422 419 total current liabilities 114,854 140,907 long-term liabilities: accrued self-insurance obligations 34,050 34,744 operating lease liabilities 6,190 9,366 finance lease liabilities 2,821 3,050 long-term debt 66,770 6,364 other long-term liabilities 247 256 total long-term liabilities 110,078 53,780 commitments and contingencies shareholders’ equity: common stock, par value $0.01: 75,000,000 shares authorized, 32,550,895 and 32,662,649 shares issued and outstanding, respectively 326 327 additional paid-in-capital 461,468 461,298 accumulated deficit (290,794 ) (281,064 ) accumulated other comprehensive income 538 1,029 total shareholders’ equity 171,538 181,590 total liabilities and shareholders' equity $ 396,470 $ 376,277 alerislife inc. residential segment data (dollars in thousands, except per unit amounts) (unaudited) three months ended march 31, december 31, september 30, june 30, march 31, 2022 2021 2021 2021 2021 owned and leased senior living communities independent and assisted living communities: revenues $ 15,386 $ 14,883 $ 16,320 $ 16,378 $ 17,057 other operating income (1) 42 — — 2 7,774 operating expenses 19,371 18,574 17,895 21,012 20,414 operating (loss) income (3,943 ) (3,691 ) (1,575 ) (4,632 ) 4,417 operating margin (25.6 ) % (24.8 ) % (9.7 ) % (28.3 ) % 17.8 % number of communities (end of period) 20 20 20 24 24 number of living units (end of period) (2) 2,100 2,100 2,099 2,251 2,302 average occupancy 71.0 % 72.0 % 69.9 % 68.1 % 68.3 % quarter end occupancy 72.1 % 72.7 % 72.9 % 69.7 % 68.2 % revpar (3) $ 2,443 $ 2,349 $ 2,411 $ 2,425 $ 2,479 revpor (4) $ 3,444 $ 3,192 $ 3,375 $ 3,524 $ 3,630 managed senior living communities (5): residential management fees $ 8,932 $ 9,482 $ 11,220 $ 12,927 $ 13,850 community-level revenues 162,552 161,907 210,160 243,947 259,966 other operating income (1) 199 602 786 16,564 1,617 community-level expenses (6) 152,892 159,329 203,756 237,461 247,171 community operating income 9,859 3,180 7,190 23,050 14,412 community operating margin 6.1 % 2.0 % 3.4 % 8.8 % 5.5 % number of communities (end of period) 120 121 159 228 228 number of living units (end of period) (2) 17,899 18,005 20,669 25,482 26,963 average occupancy 74.1 % 73.7 % 72.2 % 69.5 % 69.5 % quarter end occupancy 74.6 % 74.8 % 73.8 % 71.3 % 70.2 % revpar (3) $ 3,027 $ 2,919 $ 3,046 $ 3,086 $ 3,213 revpor (4) $ 4,084 $ 3,875 $ 4,129 $ 4,389 $ 4,623 _______________________________________ (1) other operating income represents income recognized for funds received under the cares act and other government grants. (2) includes living units categorized as in service. as a result, the number of living units may vary from period to period for reasons other than the acquisition or disposition of senior living communities. (3) revpar is defined by alr as resident fee revenues for the corresponding portfolio for the period divided by the average number of available units for the period, divided by the number of months in the period. data for the three months ended march 31, 2022, december 31, 2021, september 30, 2021, june 30, 2021 and march 31, 2021 exclude income received by senior living communities under the cares act and other government grants. (4) revpor is defined by alr as resident fee revenues for the corresponding portfolio for the period divided by the average number of occupied units for the period, divided by the number of months in the period. data for the three months ended march 31, 2022, december 31, 2021, september 30, 2021, june 30, 2021 and march 31, 2021 exclude income received by senior living communities under the cares act and other government grants. (5) managed senior living communities, other than alr's residential management fees, represents financial data of senior living communities managed for dhc and does not represent financial results of alr. managed senior living communities' data is included to provide supplemental information regarding the operating results of the senior living communities from which alr earns residential management fees. (6) the three months ended december 31, 2021, september 30, 2021 and june 30, 2021 includes restructuring expense of $966, $813 and $11,531, respectively. alerislife inc. comparable communities residential segment data (dollars in thousands, except per unit amounts) (unaudited) three months ended march 31, december 31, september 30, june 30, march 31, 2022 2021 2021 2021 2021 owned senior living communities (2): number of communities (end of period) 20 20 20 20 20 number of living units (end of period) (1) 2,100 2,100 2,099 2,099 2,099 average occupancy 71.0 % 72.0 % 70.4 % 68.3 % 68.9 % quarter end occupancy 72.1 % 72.7 % 72.9 % 70.1 % 69.0 % revpar (3) $ 2,443 $ 2,349 $ 2,354 $ 2,357 $ 2,421 revpor (4) $ 3,444 $ 3,192 $ 3,270 $ 3,413 $ 3,515 managed senior living communities (2)(5): number of communities (end of period) 120 120 120 120 120 number of living units (end of period) (1) 17,899 17,899 17,899 17,898 17,906 average occupancy 74.1 % 74.1 % 73.4 % 72.9 % 72.7 % quarter end occupancy 74.6 % 75.2 % 74.6 % 73.3 % 73.2 % revpar (3) $ 3,027 $ 2,900 $ 2,941 $ 2,961 $ 2,946 revpor (4) $ 4,084 $ 3,831 $ 3,922 $ 4,018 $ 4,051 _______________________________________ (1) includes living units categorized as in service. as a result, the number of living units may vary from period to period for reasons other than the acquisition or disposition of senior living communities. (2) includes data for five star senior living communities that alr has continuously owned or managed since january 1, 2021. the summary of operations for comparable communities excludes 1,532 snf living units that have been closed in 27 ccrcs which are in the process of being repositioned and which alr will continue to manage for dhc. (3) revpar is defined by alr as resident fee revenues for the corresponding portfolio for the period divided by the average number of available units for the period, divided by the number of months in the period. data for the three months ended march 31, 2022, december 31, 2021, september 30, 2021, june 30, 2021 and march 31, 2021 exclude income received by senior living communities under the cares act and other government grants. (4) revpor is defined by alr as resident fee revenues for the corresponding portfolio for the period divided by the average number of occupied units for the period, divided by the number of months in the period. data for the three months ended march 31, 2022, december 31, 2021, september 30, 2021, june 30, 2021 and march 31, 2021 exclude income received by senior living communities under the cares act and other government grants. (5) residential segment data for comparable managed senior living communities represents financial data of senior living communities managed for dhc and does not represent financial results of alr. managed senior living communities' data is included to provide supplemental information regarding the operating results of the senior living communities from which alr earns residential management fees. alerislife inc. lifestyle services segment data (dollars in thousands) (unaudited) three months ended march 31, december 31, september 30, june 30, march 31, 2022 2021 2021 2021 2021 lifestyle services (1): revenues $ 14,139 $ 15,626 $ 15,382 $ 17,453 $ 19,553 outpatient 11,165 12,848 12,747 13,688 13,098 fitness 881 890 853 827 733 other 2,093 1,888 1,782 2,938 5,722 other operating income (2) — — — — 19 operating expenses (3) 13,334 14,045 13,348 17,517 16,338 operating income (loss) 805 1,581 2,034 (64 ) 3,234 operating margin 5.7 % 10.1 % 13.2 % (0.4 ) % 16.5 % number of inpatient clinics (end of period) 10 10 10 10 37 number of outpatient clinics (end of period) 201 205 223 218 215 number of fitness locations (end of period) 73 60 61 43 42 _______________________________________ (1) includes ageility rehabilitation clinics and fitness operations as well as home healthcare operations. (2) other operating income represents income recognized for funds received under the cares act and other government grants. (3) the three months ended december 31, 2021, september 30, 2021 and june 30, 2021 includes restructuring expenses of $23, $(310) and $1,720, respectively alerislife inc. comparable lifestyle services segment data (dollars in thousands) (unaudited) three months ended march 31, december 31, september 30, june 30, march 31, 2022 2021 2021 2021 2021 lifestyle services (1): revenues $ 11,670 $ 13,016 $ 13,028 $ 13,943 $ 13,288 outpatient 10,628 11,923 11,929 12,834 12,304 fitness 864 859 825 801 703 other 178 234 274 308 281 other operating income (2) — — — — 19 operating expenses 11,364 11,758 11,695 12,340 11,464 operating income 306 1,258 1,333 1,603 1,843 operating margin 2.6 % 9.7 % 10.2 % 11.5 % 13.8 % number of inpatient clinics (end of period) — — — — — number of outpatient clinics (end of period) 185 185 185 185 185 number of fitness locations (end of period) 69 52 58 40 40 _______________________________________ (1) includes ageility outpatient rehabilitation clinics and fitness operations as well as home healthcare operations that alr has continuously operated since january 1, 2021. (2) other operating income represents income recognized for funds received under cares act and other government grants. alerislife inc. owned senior living communities as of and for the three months ended march 31, 2022 (dollars in thousands) (unaudited) no. community name state property type (1) living units residential revenues (4) gross carrying value net carrying value date acquired most recent renovation 1 morningside of decatur (2) alabama al 49 $ 315 $ 7,538 $ 4,127 11/19/2004 2021 2 morningside of auburn (2) alabama al 42 342 2,153 1,036 11/19/2004 1997 3 the palms of fort myers (2) florida il 218 1,813 7,280 3,870 4/1/2002 1988 4 five star residences of banta pointe (3) indiana al 121 733 10,978 6,356 9/29/2011 2006 5 five star residences of fort wayne (2) indiana al 154 958 9,176 5,720 9/29/2011 1998 6 five star residences of clearwater indiana al 88 351 14,254 8,993 6/1/2011 1999 7 five star residences of lafayette indiana al 109 582 11,795 7,547 6/1/2011 2000 8 five star residences of noblesville (2) indiana al 151 1,176 13,827 8,689 7/1/2011 2005 9 the villa at riverwood (2) missouri il 112 708 4,967 3,252 4/1/2002 1986 10 voorhees senior living (2) new jersey al 104 924 19,814 13,429 7/1/2008 1999 11 washington township senior living new jersey al 93 775 26,358 17,326 7/1/2008 1998 12 carriage house senior living (2) north carolina al 98 946 9,938 5,331 12/1/2008 1997 13 forest heights senior living (2) north carolina al 111 773 16,242 10,610 12/1/2008 1998 14 fox hollow senior living (2) north carolina al 77 1,137 25,691 17,223 7/1/2000 1999 15 legacy heights senior living (2) north carolina al 116 588 7,670 3,617 12/1/2008 1997 16 morningside at irving park (2) north carolina al 91 796 3,800 1,610 11/19/2004 1997 17 the devon senior living pennsylvania al 84 482 32,837 14,905 7/1/2008 1985 18 the legacy of anderson (2) south carolina il 101 613 11,080 6,429 12/1/2008 2003 19 morningside of springfield (2) tennessee al 54 526 18,784 11,679 11/19/2004 1984 20 huntington place wisconsin al 127 855 2,445 1,511 7/15/2010 1999 total 2,100 $ 15,393 $ 256,627 $ 153,260 _______________________________________ (1) al is primarily an assisted living community and il is primarily an independent living community. (2) encumbered property under alr's $95,000 loan. (3) encumbered property under alr's mortgage note having an aggregate principal amount outstanding of $6,877 as of march 31, 2022. (4) excludes funds received under the cares act recognized as other operating income. warning concerning forward-looking statements this press release contains statements that constitute forward-looking statements within the meaning of the private securities litigation reform act of 1995 and other securities laws. also, whenever alerislife uses words such as “believe”, “expect”, “anticipate”, “intend”, “plan”, “estimate”, "will", “may” and negatives or derivatives of these or similar expressions, alr is making forward-looking statements. these forward-looking statements are based upon alr’s present intent, beliefs or expectations, but forward-looking statements are not guaranteed to occur and may not occur. actual results may differ materially from those contained in or implied by alr’s forward-looking statements. forward-looking statements involve known and unknown risks, uncertainties and other factors, some of which are beyond alr's control. the information contained in alr’s filings with the securities and exchange commission, or sec, including under “risk factors” in alr’s periodic reports, or incorporated therein, identifies other important factors that could cause alr’s actual results to differ materially from those stated in or implied by alr’s forward-looking statements. alr’s filings with the sec are available on the sec’s website at www.sec.gov. you should not place undue reliance upon forward-looking statements. except as required by law, alr does not intend to update or change any forward-looking statements as a result of new information, future events or otherwise.
