Revenue sees positive growth, occupancy slips back
Rob Covino presents Mirus Industry Analysis (MIA), a series of monthly insights into the key performance indicators and cumulative industry trends from the 90,000+ beds we monitor for financial sustainability.
Welcome to the July 2023 edition of Mirus Industry Analysis (MIA).
Over the June period, the industry experienced further gains across all facility types with the industry average reaching just shy of $225 ADS.
We can expect further growth in ADS as of 1 July as the Department of Health and Aged Care has committed to funding higher wages in residential aged care across the country. The funding uplift will increase the AN-ACC ADS from $225 by 17% to about $260 ADS.
There was a slight increase in occupancy rates from 87.55% in May to 87.68% in June, resulting in a change of 0.13%. Winter months are proving to be a slight set back from the occupancy trend we had leading up to April.
In good news, short stay admissions continued to decline as the number of consumers staying in care for longer than 6 months increased, helping stabilise the occupancy levels.
With June now complete, and the official target setting period now live, we saw a slowdown in total direct care minutes which declined from 184.15 in May to 183.62 minutes in June. We attribute this slowdown from the new AN-ACC claiming approach which Providers will need to utilise as now with every funding outcome comes a direct care minute requirement.
However, we did see a slight uptick in RN minutes which went from 30.98 in May to 32.17 in June, reflecting an increase of 3.82%.
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About Mirus Industry Analysis (MIA)
With one of the largest aged care databases in Australia, each month we bring you MIA – a monthly wrap up of insights captured from data covering 90,000+ beds.