Regis Healthcare, Australia's last remaining publicly listed aged care provider, has reported a 30% increase in revenue in FY24 to $1.014 billion, the first time the provider's revenue has exceeded the $1 billion mark.
The result was driven by higher AN-ACC prices, increased occupancy, and the CPSM acquisition in December 2023, which added $52 million in revenue only seven months.
Reflecting the growing nationwide shortage of aged care beds, average occupancy increased from 91.5% in FY23 to 94.1%. Spot occupancy as of 19 August 2024 was 95.5%, with some homes' occupancy rates as high as 98%.
EBITDA (earnings before interest, tax, depreciation and amortisation) was $107.2 million, up 28.7% on FY23.
After bed licence amortisation, which is now complete, the group reported a statutory net loss after tax of $21.4 million.
Rick Rostolis, Regis Healthcare CFO, said the provider, which operates 67 aged care homes across Australia, now has "considerable firepower" for growth through acquisition, refurbishment, or greenfield projects, with a strong balance sheet, $400 million in undrawn bank debt facilities as of 30 June 2024, and disciplined management.
The provider has four projects that have been underway for some years.
- Construction of the 112-bed, four-storey Camberwell Residential Aged Care home, 10km east of the Melbourne CBD, which commenced in September 2022, is nearly complete and expected to open in late 2024. "Fitout works are underway and we have commenced our marketing campaign," Regis Healthcare Managing Director and CEO Linda Mellors said.
- The provider is also due to commence construction "in the coming months" on a 123-bed, five-storey aged care home in Toowong, 7km west of the Brisbane CBD.
Regis Healthcare is also assessing tenders for homes in Belrose (105 beds) and Carlingford (110 beds) in Sydney, where the land is owned and Development Applications already approved.
"We are still waiting for the Taskforce response before we press go on Belrose and Carlingford," Linda said. "If the response is favourable, we're ready to move on those Sydney developments basically straight away."
