Australian Unity earned $108.8 million in revenue from its myHomecare Group acquisition in FY24 in only three months of trading.
The mutual fund, which purchased Australia's largest home care operator myHomecare on 28 March 2024, now has nearly 50,000 home care customers.
Australian Unity incurred nearly $30 million of transformation and integration costs in the Home Health division in FY24, but was still able to achieve an 11% increase in earnings before interest, tax, depreciation and amortisiation (EBITDA) to $50.5 million.
The group issued $118 million in Mutual Capital Instruments during FY24 to help finance the $286 million myHomecare acquisition.
"Notwithstanding those additional costs that we've been putting into the business, the group is highly cognizant of the aging population and the limited number of aged care homes and increasing requirement to age in the home," said Australian Unity CFO Darran Mann at an investor presentation on Thursday.
Integration of the home care business is underway and "proceeding according to plan," added Australian Unity Group Managing Director and CEO Rohan Mead.
Residential Aged Care
Australian Unity has 12 residential aged care homes (1,215 beds) across NSW, Victoria and Queensland, including 10 mature homes.
Walmsley in Kilsyth, 32km east of the Melbourne CBD, achieved full occupancy during the year, 16 months after opening. And the high-end The Alba development, in South Melbourne, which comprises 95 aged care beds and 60 assisted living apartments (operated by Australian Unity's Wealth and Capital Markets platform through the retirement communities business) was at 66.3% occupancy as of 30 June 2024.
Revenue in the Residential Aged Care division increased 38% to $208.7 million, driven by increased by trade from the two new facilities, inflation increases on some additional services, increased Daily Accommodation Payments, increased Refundable Accommodation Deposit income, and an occupancy rate of 97% for mature homes.
EBITDA was up 73% to $38.8 million.
"The group certainly continues to support and advocate for all forms of Government to implement many of the Aged Care Commission findings that are designed to make the sector able to better support the aging population," Darren said.
