Regis Healthcare’s occupancy rate rose to 93.5% as at 23 June 2023, as the ASX-listed aged care provider achieved 6,510 occupied beds – a record for the group.
“We have the most residents in our care ever,” CEO Linda Mellors told The SOURCE.
“The increases have been achieved through a strong management focus on our residents’ care and experience, and supporting our workforce through the most difficult time in the sector’s history. We continue to build and evolve our operations with these key objectives at the core.”
Linda expects occupancy rates at Regis Healthcare, which operates nationally, will continue rising given consolidation in residential aged care, the ageing population, and slow rates of aged care development.
The SOURCE: For operators the size of Regis, every extra 1% occupancy delivers as much as $10 million profit to the bottom line. With an extra 150,000 aged care beds forecast to be needed by 2040 and a construction rate of 1,000 beds a year, plus the potential for consumer co-contribution, operators can expect demand far exceeding supply and a positive and dramatic turnaround in profitability within three years.
