Selectis Health, Inc. Files 2023 Annual Report on Form 10-K

TL;DR

<b>Selectis Health, Inc. filed its 2023 10-K report, detailing its operations as a Real Estate Investment Trust.</b>

AI Summary

SELECTIS HEALTH, INC. (GBCS) filed a Annual Report (10-K) with the SEC on April 16, 2024. Selectis Health, Inc. (formerly Global Healthcare REIT, Inc.) filed its annual report for the fiscal year ended December 31, 2023. The company's SIC code is 6798 for Real Estate Investment Trusts. The filing covers the period from January 1, 2023, to December 31, 2023. Previous names include Global Casinos Inc and Morgro Chemical Co. The company is incorporated in Utah with its principal business address in Greenwood Village, Colorado.

Why It Matters

For investors and stakeholders tracking SELECTIS HEALTH, INC., this filing contains several important signals. This 10-K filing provides a comprehensive overview of Selectis Health's financial performance and operational status for the fiscal year 2023, crucial for investors assessing the company's health and future prospects. Understanding the company's historical name changes and its current SIC code provides context for its evolution and industry classification within the real estate sector.

Risk Assessment

Risk Level: low — SELECTIS HEALTH, INC. shows low risk based on this filing. The filing is a standard annual report (10-K) and does not contain immediate red flags or significant negative developments, indicating a stable, albeit routine, disclosure.

Analyst Insight

Review the detailed financial statements and risk factors within the 10-K to understand Selectis Health's performance and potential challenges.

Key Numbers

• 2023-12-31 — Fiscal Year End (Report period)
• 2024-04-16 — Filing Date (Date of submission)
• 6798 — SIC Code (Standard Industrial Classification)
• 000-15415 — SEC File Number (SEC filing identifier)

Key Players & Entities

• SELECTIS HEALTH, INC. (company) — Filer name
• GLOBAL HEALTHCARE REIT, INC. (company) — Former company name
• GLOBAL CASINOS INC (company) — Former company name
• MORGRO CHEMICAL CO (company) — Former company name
• UT (location) — State of incorporation
• CO (location) — State of business address
• Greenwood Village (location) — City of business address
• 20231231 (date) — Fiscal year end

FAQ

Key Dates

• 2023-12-31: Fiscal Year End — Marks the end of the reporting period for the 10-K filing.
• 2024-04-16: Filing Date — Date the 10-K report was officially submitted to the SEC.

Glossary

10-K

An annual report required by the U.S. Securities and Exchange Commission (SEC), which gives a comprehensive summary of a company's financial performance. (This filing provides the official annual financial and operational overview for Selectis Health, Inc.)

SIC Code

Standard Industrial Classification code used to classify industries. (Identifies Selectis Health, Inc. as a Real Estate Investment Trust (REIT).)

Key Financial Figures

• $2,500,000 — amount of the Offering was increased to $2,500,000. Effective February 5, 2020 and March 3
• $60,000 — 2020, the Company completed the sale of $60,000 and $100,000, respectively, of Units in
• $100,000 — mpany completed the sale of $60,000 and $100,000, respectively, of Units in the Offering
• $150,000 — 0 the Company completed the exchange of $150,000 of Units in the Offering for matured Se
• $795,000 — mpleted the exchange of an aggregate of $795,000 in principal amount of Senior Secured N
• $5.00 — 59,000 shares of Common Stock valued at $5.00 per share. COVID-19 Regulation We h

Filing Documents

• form10-k.htm (10-K) — 1688KB
• ex31-1.htm (EX-31.1) — 11KB
• ex31-2.htm (EX-31.2) — 10KB
• ex32-1.htm (EX-32.1) — 7KB
• ex32-2.htm (EX-32.2) — 7KB
• 0001493152-24-014714.txt (&nbsp;) — 7092KB
• gbcs-20231231.xsd (EX-101.SCH) — 43KB
• gbcs-20231231_cal.xml (EX-101.CAL) — 61KB
• gbcs-20231231_def.xml (EX-101.DEF) — 195KB
• gbcs-20231231_lab.xml (EX-101.LAB) — 416KB
• gbcs-20231231_pre.xml (EX-101.PRE) — 324KB
• form10-k_htm.xml (XML) — 1061KB

Business

Business 4 Item 1A Risk Factors 14 Item 1B Unresolved Staff Comments 15 Item 1C Cybersecurity 15 Item 2

Properties

Properties 16 Item 3

Legal Proceedings

Legal Proceedings 16 Item 4 Mine Safety Disclosures 16 PART II Item 5 Market for Registrant's Common Equity, Related Stockholder Matters, and Issuer Purchases of Equity Securities 17 Item 6 [Reserved] 17 Item 7

Management's Discussion and Analysis of Financial Condition and Results of Operations

Management's Discussion and Analysis of Financial Condition and Results of Operations 18 Item 7A

Quantitative and Qualitative Disclosures About Market Risk

Quantitative and Qualitative Disclosures About Market Risk 23 Item 8

Financial Statements and Supplementary Data

Financial Statements and Supplementary Data 23 Item 9 Changes and Disagreements with Accountants on Accounting and Financial Disclosure 23 Item 9A

Controls and Procedures

Controls and Procedures 23 Item 9B Other Information 25 Item 9C Disclosure Regarding Foreign Jurisdictions that Prevent Inspections 25 PART III Item 10 Directors, Executive Officers and Corporate Governance 25 Item 11

Executive Compensation

Executive Compensation 29 Item 12

Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters

Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters 31 Item 13 Certain Relationships and Related Transactions, and Director Independence 32 Item 14 Principal Accounting Fees and Services 32 PART IV Item 15 Exhibits and Financial Statement Schedules 33

Signatures

Signatures 46 2 CAUTIONARY NOTE REGARDING FORWARD LOOKING STATEMENTS This Annual Report contains statements that plan for or anticipate the future. In this Annual Report, forward-looking statements are generally identified by the words "anticipate," "plan," "believe," "expect," "estimate," and the like. These forward-looking statements include, but are not limited to, statements regarding the following: * strategic business relationships; * about our future business plans and strategies; * anticipated operating results and sources of future revenue; * our organization's growth; * adequacy of our financial resources; * development of markets; * competitive pressures; * changing economic conditions; and, * expectations regarding competition from other companies. * the duration and scope of the COVID-19 pandemic * the impact of the COVID-19 pandemic on occupancy rates and on the operations of the Company's facilities and its operators/tenants. * Actions governments take in response to the COVID-19 pandemic, including the introduction of public health measures and other regulations affecting our properties and our operations and the operations of our operations/tenants. * The effects of health and safety measures adopted by us and our operations/tenants in response to the COVID-19 pandemic. * Increased operational costs because of health and safety measures related to COVID-19. * The impact of the COVID-19 pandemic on the business and financial conditions of our operations/tenants and their ability to pay rent. * Disruptions to our property acquisition and disposition activities due to economic uncertainty caused by COVID-19. * General economic uncertainty in key markets as a result of the COVID-19 pandemic and a worsening of global economic conditions or low levels of economic growth. Although we believe that any forward-looking statements, we make in this Annual Report are reasonable, because forwa

BUSINESS

BUSINESS Background Selectis Health, Inc. ("Selectis" or "we" or the "Company") owns and operates, through wholly-owned subsidiaries, Assisted Living Facilities, Independent Living Facilities, and Skilled Nursing Facilities across the South and Southeastern portions of the US. In 2019 the Company shifted from leasing long-term care facilities to third-party, independent operators towards a model where a wholly owned subsidiary would operate but is owned by another wholly owned subsidiary. Prior to the Company changing its name to Selectis Health, Inc., the Company was known as Global Healthcare REIT, Inc. from September 30, 2013, to May 2021. Prior to this, the Company was known as Global Casinos, Inc. Global Casinos, Inc. operated two gaming casinos which were split-off and sold on September 30, 2013. Simultaneous with the split-off and sale of the gaming operations, the Company acquired West Paces Ferry Healthcare REIT, Inc. ("WPF"). WPF was merged into the Company in 2019. In May 2021, the Company successfully rebranded to Selectis Health, Inc., from Global Healthcare REIT, Inc. to better align with the current and future business model, which is to own and operate its facilities. We acquire, develop, lease, manage, and dispose of healthcare real estate, provide financing to healthcare providers, and provide healthcare operations through our wholly-owned subsidiaries. Our portfolio is comprised of investments in the following healthcare segments: (i) senior housing (including independent and assisted living) and (ii) post-acute/skilled nursing. We make investments within our healthcare segments using the following six strategies: (i) direct ownership of properties, (ii) debt investments, (iii) developments and redevelopments, (iv) investment management, (v) the Housing and Economic Recovery Act of 2008 ("RIDEA"), which represents investments in senior housing operations utilizing the structure permitted by RIDEA and (vi) owning healthcare operations.

Business

Business Strategy As an organization, our primary goal is to increase shareholder value through profitable growth and professional healthcare. Our investment strategy to achieve this goal is based on four principles: (i) quality healthcare for our residents, (ii) opportunistic investing, (iii) portfolio diversification and (iv) conservative financing. Quality Healthcare for our Residents Our healthcare operations continue to bolster our revenue. Over the last two years, our operational footprint has grown from one facility to nine. The mix of our revenues, from leasing facilities to our owner operator model has shifted drastically from rents to healthcare as well. To ensure this continues our operational teams and staff at our facilities are dedicated to maintaining the highest of standards and quality care metrics in line with, but not limited to, the CDC, ADA, CMS, and all state and local guidelines. Opportunistic Investing We will make investment decisions that are expected to drive profitable growth and create shareholder value. We will perform in depth due diligence and quantitative and qualitative analyses to ensure that we position ourselves to create and take advantage of situations to meet our goals and investment criteria that will continue to add to the Company's strategic and financial value. Portfolio Diversification We believe in maintaining a portfolio of healthcare investments diversified by segment, geography, operator, tenant, and investment product. Diversification reduces the likelihood that a single event would materially harm our business and allows us to take advantage of opportunities in different markets based on individual market dynamics. While pursuing this strategy of diversification, we will monitor, but will not limit, our investments based on the percentage of our total assets that may be invested in any one property type, investment product, geographic location, the number of properties which we may lease to a single op

View Full Filing

View this 10-K filing on SEC EDGAR