Key Highlights

• Revenue from services rose 16% to A$1,350.6 million, with underlying EBITDA increasing 10% to A$138.0 million.

• Net RAD cash inflow reached A$250.5 million, up 28.2% year-over-year.

• The company declared total FY26 dividends of 18.40 cents per share, up 13% on the prior comparable period.

Shares of Regis Healthcare Ltd (ASX:REG) closed at A$5.08 on 05 November 2026, rising 2.42% during the session. The S&P/ASX 200 (XJO) climbed 2.61%, adding 230.60 points to 9,065.10, while the S&P/ASX 200 Health Care index (XHJ) advanced 3.64%, gaining 1,240.30 points to 35,329.10. Overnight Wall Street gains following Democrats' decisive victory in the U.S. midterm elections supported the broader market rally. Regis Healthcare is one of Australia's largest aged care operators, providing services to more than 10,000 older Australians through residential aged care homes, home care hubs, day therapy centres and retirement villages, with a workforce of over 13,000.

FY26 Financial Results

On 24 August 2026, Regis Healthcare reported full-year results for the period ended 30 June 2026. Revenue from services increased 16% to A$1,350.6 million, driven by higher AN-ACC pricing, the hotelling supplement, acquisitions and increased occupancy. Underlying EBITDA rose 10% to A$138.0 million, while statutory net profit after tax increased 14% to A$55.7 million. Net Operating Cash Flow grew 10% to A$336.3 million, including net refundable accommodation deposit (RAD) cash inflow of A$250.5 million, up 28.2% on the prior year.

Occupancy and Operational Performance

Mature home average occupancy reached 96.0%, up from 95.6% in the prior period, with total occupied bed days increasing 8% to 2.85 million. Two recently completed homes, Camberwell and Oxley, achieved 99% occupancy by end of FY26 and generated net RAD cash inflow of A$97.9 million during the year. Staff turnover decreased to 18% from 23%, while reliance on agency labour and overtime also declined. The average incoming RAD increased 20% to A$697,200.

Acquisitions and Development Pipeline

During FY26, Regis completed the Rockpool Acquisition of four residential aged care homes with 600 beds in South-East Queensland for net consideration of A$138.4 million. The company also completed the OC Health acquisition of two homes with 230 beds in Victoria for A$44.7 million. The greenfield development pipeline comprises approximately 1,300 beds across nine sites, with the 123-bed Toowong home in Brisbane nearing completion and expected to open in the summer of 2026/27. Construction at the Carlingford site is also underway.

About Regis Healthcare

Regis Healthcare Ltd is one of Australia's largest aged care providers, operating residential aged care homes across the country alongside home care services, day therapy, respite centres and retirement villages. The company focuses on delivering quality care through its network of freehold facilities, supported by an active acquisition programme and greenfield development pipeline. Regis has been in operation for over 30 years and employs more than 13,000 staff.

Sector Context

The ASX healthcare sector rose on 05 November 2026, with the Health Care sub-index gaining 3.64%. Aged care operators have benefited from improved government funding through the AN-ACC pricing model, rising occupancy levels across the industry and increased Demand for quality residential care as Australia's population ages. Regis noted, however, that AN-ACC price indexation effective 1 October 2025 was lower than expected and insufficient to fully offset increases in staff and care delivery costs.

Risks

Key risks include the adequacy of future AN-ACC funding indexation, which may not keep pace with rising labour and care delivery costs. The Fair Work Commission's Work Value Case decisions continue to increase staff expenses across the aged care sector. Execution risk exists around the greenfield development pipeline, including construction cost escalation and timing of new home openings. Maintaining occupancy levels across a growing portfolio also remains a consideration.

Catalysts on Watch

Near-term catalysts include the planned opening of the Toowong home in Brisbane, continued progress on the Carlingford development, further acquisition opportunities from the active pipeline, and the ongoing increase in RAD inflow as the portfolio expands. Government policy developments around aged care reform and funding could also influence earnings.

What It All Means

Regis Healthcare's FY26 result demonstrated revenue and occupancy growth, supported by acquisitions and improved operational metrics including lower staff turnover. The greenfield pipeline and acquisition strategy provide a pathway for portfolio expansion, though funding adequacy and cost pressures remain key variables for the aged care sector. The company's upcoming Toowong opening will be the next operational milestone to watch.