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OVERVIEW Sun Communities, Inc., and all wholly-owned or majority-owned and controlled subsidiaries, including Sun Communities Operating Limited Partnership, a Michigan limited partnership (the "Operating Partnership"), Sun Home Services, Inc. ("SHS"), and our Park Holidays subsidiaries and the other entities through which we operate our business in the United Kingdom ("UK") are referred…
The business is unprofitable at the operating level (-9.90% margin). The thesis depends entirely on whether and when it reaches sustainable profitability.
Revenue growth slowed to 2.0%, essentially flat. Margins also contracted 3.1pp. This is a business that needs a catalyst.
Free cash flow declined 51% versus the prior year, cash generation momentum has weakened. Net debt of $6.17B represents 15.1x FCF, leverage limits flexibility.
Profitability & Returns
Revenue (TTM)
$2.34B
▲ +2.0% YoY
Net Income (TTM)
$1.45B
▲ +1264.8% YoY
Op. Margin
-6.92%
▼ -3.1pp YoY
ROIC
-0.93%
▼ -0.5pp YoY
Cash Flow & Balance Sheet
FCF (FY)
$407M
▼ -51.0% YoY
Op. Cash Flow (TTM)
$890M
▲ +0.4% YoY
Net Debt
$6.21B
Cash & Equiv.
$497M
5Y CAGR: +10.5%
5Y CAGR: +143.1%
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