Nursing Homes in Australia Industry Market Research Report now updated by IBISWorld

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The Nursing Homes industry is experiencing strong demand and revenue growth. Nursing Home industry revenue growth will result from an increase in the number of high-level care places, growth in resident charges and, to a lesser extent, growth in government subsidies. For these reasons, industry research firm IBISWorld has updated its report on the Nursing Homes industry.

IBISWorld Market Research

IBISWorld Market Research

The ageing of Australia's population will support strong Nursing Homes industry growth

Nursing homes provide 24-hour nursing care for residents who are typically aged 70 years and older. The industry is set to expand at a strong rate, mainly due to the ageing of the Australian population. The Nursing Homes industry is expected to generate revenue of $10.6 billion in 2011-12, representing about 6.5% of total health expenditure in Australia. Industry revenue is forecast to increase 5.2% in 2011-12. Industry revenue is expected to grow at an annualised 5.7% in the five years through 2011-12. According to IBISWorld industry analyst Nigel Fitzpatrick, ‘revenue growth will result from an increase in the number of high-level care places, growth in resident charges and, to a lesser extent, growth in government subsidies’.

Nursing Homes industry revenue is expected to increase in the five years through 2016-17. Industry activity will be underpinned by growing demand from an ageing population and an increase in the average dependency of residents (i.e. requiring a higher level of nursing support). Fitzpatrick adds, ‘there is pressure on the Commonwealth Government to facilitate improved funding and profitability to encourage investment to meet growing demand’. Private expenditure on nursing homes is expected to increase in the five years through 2016-17. This means, on average, individuals will take on more responsibility for the cost of their own care. Growth in private expenditure will come from increases in the number of places, increases in annual accommodation charges and increases in daily resident fees.

The Nursing Homes industry exhibits a low level of concentration. However, concentration varies by state and territory and the industry is in the early stage of consolidation. Major players include AMP, the Victorian Department of Health, BUPA Asia Pacific, Japara Holdings, UnitingCare NSW.ACT, Regis Group and UnitingCare Queensland.

For more information, visit IBISWorld’s Nursing Homes report in Australia industry page.

Follow IBISWorld on Twitter: http://twitter.com/#!/ibisworldau

IBISWorld industry Report Key Topics

This industry consists of nursing or convalescent home facilities (including those that provide nursing or medical care as a basic part of the service). Nursing homes, or high-care nursing facilities, provide 24-hour nursing care for residents and are staffed by registered and enrolled nurses, nursing assistants or personal care assistants.

Industry Performance
Executive Summary
Key External Drivers
Current Performance
Industry Outlook
Industry Life Cycle
Products & Markets
Supply Chain
Products & Services
Major Markets
Globalisation & Trade
Business Locations
Competitive Landscape
Market Share Concentration
Key Success Factors
Cost Structure Benchmarks
Barriers to Entry
Major Companies
Operating Conditions
Capital Intensity
Key Statistics
Industry Data
Annual Change
Key Ratios

About IBISWorld Inc.
Recognised as the nation’s most trusted independent source of industry and market research, IBISWorld offers a comprehensive database of unique information and analysis on every Australian industry. With an extensive online portfolio, valued for its depth and scope, the company equips clients with the insight necessary to make better business decisions. Headquartered in Melbourne, IBISWorld serves a range of business, professional service and government organisations through more than 10 locations worldwide. For more information, visit http://www.ibisworld.com.au or call (03) 9655 3886.

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Gavin Smith
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