Senior Care

LTC Properties has declared a monthly common stock cash dividend of $0.19 per share for the fourth quarter of 2026, in line with its previous payout. The forward yield on the dividend stands at 5.32%. The first payment is payable Oct. 30 to shareholders of record Oct. 22, with an ex-dividend date of Oct. 22. The second is payable Nov. 30 to shareholders of record Nov. 20, ex-div Nov. 20, and the third is payable Dec. 31 to shareholders of record Dec. 23, ex-div Dec. 23.

Japan's Ministry of Health, Labour and Welfare revealed the findings of its annual white paper, showing that more than 70% of Japanese people have a positive attitude toward the use of advanced technologies such as artificial intelligence and robots in the medical and nursing care sectors. The online opinion survey found that 72.4% agreed or somewhat agreed with using AI to help doctors diagnose diseases, and 73.7% supported the use of robots to facilitate communication between caregivers and care recipients. At the same time, 74.5% said they felt or somewhat felt anxious about the shortage of healthcare workers, and 81.3% expressed similar concern about elderly care. The study underscores the importance of improving efficiency and raising productivity by adopting technology around 2040, when Japan's population aged 65 and over is expected to peak, amid a worsening shortage of doctors, nurses, and caregivers. The survey was conducted in January and February among people living in Japan aged 20 to 74, and received 3,000 complete responses.

Krungsri Securities Public Company Limited said flooding in Bangkok and its surrounding provinces has affected travel for patients and staff, particularly outpatients, or OPD, and procedures that can be postponed, or elective cases. However, the hospitals under coverage are still operating normally and have no flooding inside their facilities, with the impact on 2026 revenue and profit forecasts remaining limited. Most of the hospitals under coverage derive about 50% of total revenue from OPD, and patients who postponed appointments are expected to gradually return for services once the situation eases. The research team maintains a bullish view on the hospital sector, selecting BDMS as a top pick with a target price of 25 baht and PR9 with a target price of 24 baht. Meanwhile, BCH, with a target price of 12 baht, remains attractive on upside if social security treatment fees are raised.

Encompass Health Corp. announced plans to expand inpatient rehabilitation capacity in the greater Houston area through two projects in Montgomery County, Texas: the company's first small-format inpatient rehabilitation hospital in Conroe and a replacement hospital for its existing inpatient rehabilitation hospital in The Woodlands. The 24-bed Conroe hospital will operate as a satellite location of Encompass Health Rehabilitation Hospital of The Woodlands and is expected to open in late 2027. The Conroe project marks the company's first small-format inpatient rehabilitation hospital, a new development model designed to complement its traditional hospitals and extend care into growing communities, with small-format hospitals operating in connection with an existing Encompass Health hospital. In addition, Encompass Health plans to construct a new 60-bed replacement hospital on the existing Woodlands campus, featuring all private patient rooms and enhanced amenities, with construction planned to allow the existing hospital to continue serving patients without interruption and an expected opening in 2029. Craig Funk, group president of Encompass Health's Southwest region, said the two projects demonstrate the company's commitment to both strategic growth and continued investment in the communities it serves.

InnovAge Holding announced the pricing of an underwritten public offering of 10 million shares of its common stock at $9.25 per share. The shares are being sold entirely by investment funds affiliated with private equity firms Apax Partners and Welsh, Carson, Anderson & Stowe. The selling stockholders have granted the underwriters a 30-day option to purchase up to an additional 1.5 million shares at the public offering price. The transaction is expected to close on September 24, 2026. InnovAge will not issue or sell any common stock in the transaction and will receive no proceeds from the sale, though the company will bear the administrative costs associated with the offering, excluding underwriting discounts and commissions.

Acadia Healthcare shares have surged 100% year to date, rebounding from a 2025 slump driven by patient-related litigation costs and legal liability concerns. Early this year the company brought back former CEO Debra Osteen, replacing Chris Hunter, while reaffirming its 2025 guidance. Management raised its 2026 adjusted EBITDA and earnings outlook after both the first- and second-quarter results, and after the second quarter increased its operating cash flow guidance to $350-$400 million from $285-$325 million while lowering expected capital expenditures to $235-$255 million from $255-$280 million. The company added 240 licensed beds in the second quarter of 2026 through two newly opened joint-venture facilities, a 144-bed facility with Orlando Health in Florida and a 96-bed facility with Methodist Jennie Edmundson Hospital in Iowa, and also opened two new Comprehensive Treatment Center locations. The Zacks Consensus Estimate for 2026 earnings stands at $1.55 per share with four upward revisions and no cuts over the past 60 days, while the 2027 EPS consensus implies 14.4% year-over-year growth and 2026 and 2027 revenue consensus of $3.42 billion and $3.61 billion signals increases of 3.4% and 5.4%, respectively.

Asia Plus Securities assesses BCH shares, noting revenue grew 7% YoY in July before accelerating to 10% YoY in August 2026, driven by both Thai and foreign inpatients, supporting hospital revenue growth of 8-9% YoY in the third quarter of 2026. Thai patients were boosted by an early arrival of seasonal diseases; during 13-19 September, new influenza cases rose by 48,100, or 121% from the previous week, and COVID-19 cases reached nearly 35,000, or 119% week-on-week, with 50-60% concentrated in Bangkok. Meanwhile, Middle Eastern patients, especially from Qatar, the UAE, and Saudi Arabia, continued to grow YoY on rising complex disease cases. Myanmar patients are likely to recover after the opening of the new Mae Sai Hospital building in September 2026. Rajavej Ubon Hospital, or KIH Ubon, began recognizing operating results from 1 September 2026, with initial costs from investment of no more than 100 million baht starting in the fourth quarter of 2026. The research team maintains its 2026 net profit forecast at 1.293 billion baht, down 2.7% YoY, and keeps its speculative buy recommendation with a 2027 fair value of 12.00 baht based on DCF, with an adjustment to social security treatment rates as additional upside not yet reflected in estimates.

The Ensign Group, Inc. lagged in Carillon Eagle Mid Cap Growth Fund's second-quarter 2026 investor letter after a couple of short-seller reports alleged the company understaffed its skilled nursing facilities to boost profits, violated state staffing rules, falsified care-quality data used in the Centers for Medicare & Medicaid Services' star ratings, and contributed to patient harm. Management pushed back on the claims, noting its facilities are subject to ongoing state and federal audits, including a recent CMS audit of all facilities that produced an error rate significantly better than its competitors'. Carillon said it was not able to substantiate the short-seller claims, and while the stock declined sharply, it has rebounded nicely from its bottom. Ensign closed at $173.91 per share on September 18, 2026, down 3.04% over the past month but up 4.25% over the past 52 weeks, with a market capitalization of $10.14 billion. According to the fund's database, 52 hedge fund portfolios held Ensign at the end of the second quarter, up from 37 in the previous quarter.

A Texas bankruptcy judge has approved a wind-down Chapter 11 plan for CVS Omnicare, the long-term care pharmacy subsidiary of CVS Health, after the company sold its business operations for $250 million and reached a $440 million settlement with the Justice Department over an improper billing case. Judge Stacey G. C. Jernigan of the U.S. Bankruptcy Court for the Northern District of Texas approved the plan, noting it received overwhelming acceptance from general unsecured creditors. Omnicare, which CVS has owned since 2015 and which serves nursing homes, assisted living centers, and long-term care and rehab facilities, filed for bankruptcy in September 2025, months after a $949 million judgment for fraudulently dispensing drugs without valid prescriptions to elderly and disabled patients. The government resolved that judgment through the $440 million settlement, which requires CVS to pay $130 million upfront and cover the remaining $310 million if Omnicare fails to pay by March 2028. The purchaser, GenieRx Holdings, is a joint partnership between Milrose Capital LLC and Integro Asset Management LLC, and Omnicare attorney Martha Wyrick of Haynes and Boone LLP said the sale is expected to close next month.

Aevis Victoria reported a net asset value of CHF26.75 per share for H1 2026, up nearly 7% year-over-year and 2.3% versus the prior year-end level, while the discount to NAV remained above 50%, which management described as unprecedented in the group's history. Within the healthcare segment, Swiss Medical Network's EBITDA margin improved from 18.6% to 21.6%, and ambulatory services turned EBITDA-positive for the first time, with its margin rising from 7.1% to 11.8%. The company set a healthcare EBITDA margin target of 23% with organic growth of 2% to 3% per year, noting mature hospitals representing over 50% of the portfolio can reach more than 25% to 26% EBITDA margin while ramp-up hospitals sit at 10% to 20%. Interest expenses declined 43% year-over-year, consolidated net debt stood at CHF846 million with the bulk under Swiss Hotel Property, Swiss Medical Network's net debt-to-EBITDA was approximately 2.2x to 2.3x, and loan-to-value for the real estate business fell to 45%. Chief Financial Officer Michel Keusch cited three catalysts to narrow the discount to NAV: a next phase of value crystallization through selling stakes to strategic shareholders, including the officially announced search for strategic investors in Swiss Medical Network; enhanced investor relations with more roadshows, a Capital Markets Day and greater financial transparency; and a near-quintupling of average daily liquidity over the past two years.

Ramsay Santé Group unveiled "Connecting Care 2030," a new four-year strategic roadmap, at its 2026 Capital Markets Day in Paris. The plan targets revenue growth of between 2.0% and 3.0% in FY2027 with a stable EBITDA margin versus FY2026, and revenue growth of approximately 3.0% per annum with gradual EBITDA margin improvement by FY2029, alongside gross capex of about 4.0% of revenue on average over the FY2027 to FY2029 period. The group also targets continued deleveraging, with net debt to EBITDA on a pre-IFRS basis below 4.0x. The strategy rests on five pillars: strengthening the integrated and accessible healthcare offering, embracing digital transformation, active portfolio and contract management, continued cost initiatives, and accelerating profitable growth through new revenue streams. Separately, majority shareholder Ramsay Health Care, which holds 52.79% of Ramsay Santé Group, has announced its intention to distribute its entire stake to its own shareholders through an in-specie distribution expected in December of this year, and Ramsay Santé has applied for a foreign exempt listing on the Australian Securities Exchange through CHESS Depository Interests. Crédit Agricole Assurances, which holds 39.82% of the group, has reaffirmed its commitment as a long-term shareholder.

Welltower posted its 15th consecutive quarter of net operating income growth above 20% while Ventas doubled its investment target to $4.5 billion, as two million people turn 80 in 2026 against record-low new senior housing starts. Ventas raised full-year 2026 guidance to Normalized FFO per share of $3.85 to $3.90, an 8% to 10% increase, and lifted its investment target to $4.5B from $3B, focused on senior housing, after SHOP same-store cash NOI grew 16.3% year over year. Welltower, the largest of the three at a roughly $169.7 billion market cap, grew SHO same-store NOI 20.5% with occupancy at 89.4%, raised 2026 guidance to $6.36 to $6.44 per diluted share, and declared a quarterly dividend of 85 cents, a 15% increase and its 221st consecutive quarterly dividend. Omega Healthcare, a triple-net skilled nursing landlord with an emerging RIDEA segment, raised full-year 2026 AFFO guidance to $3.22 to $3.26 per diluted share and lifted its quarterly dividend by a penny to 68 cents, though tenant Genesis Healthcare has been in Chapter 11 since July 2025 with $148.5 million in loans outstanding. Ventas and Welltower capture net operating income directly through RIDEA-structured senior housing operating portfolios, while Omega takes tenant credit and reimbursement risk instead of operating risk.

About 70% of Generation Z healthcare workers in the United States expect to explore new roles over the next year, according to a survey released on Wednesday by Harris Poll, commissioned by education services company Strategic Education and Workforce Edge. The findings point to a retention challenge for U.S. healthcare employers already facing a projected shortage of nearly 500,000 workers by 2038. Yet 65% of Gen Z respondents said they ultimately hope to remain with one employer for five years or more, and nearly all said job stability was important to them. Across all age groups, 59% of healthcare workers said they expect to seek a new role over the next year. The survey, conducted online from June 12 to July 1, covered 1,514 healthcare employees and 304 employers, and found that nearly half of employers cited a lack of career growth or training as the top reason workers leave, while only about one in four employees trusted their employer to invest in their future. Employers also appear to be reassessing artificial intelligence in workforce planning, with about 79% saying AI skills would be critical for employees to remain competitive, down from 89% a year earlier.

CVS Health's Health Services segment posted second-quarter 2026 revenues of $51.80 billion, up 11.5% year over year, while adjusted operating income rose 10% to $1.73 billion. The company reiterated its full-year 2026 adjusted operating income outlook despite updating its view of the 340B program, supported by performance across the broader Pharmacy Services business. The 2026 selling season generated more than $6 billion in new sales, well above the company's historical average, and Caremark's Humira biosimilar strategy has delivered more than $1.8 billion in client savings. Health Care Delivery revenues rose nearly 23% year over year in the quarter, primarily driven by Oak Street Health, as CVS makes technology infrastructure changes, refines payer contracts and adopts a more selective clinic footprint. For comparison, UnitedHealth's Optum health services business reached $129.4 billion in the first half of 2026, and Elevance Health's Carelon posted first-half 2026 revenues of $37.2 billion, up 7.1% year over year.

UnitedHealth Group has sold an interest in some of its Optum Health operations in Florida to private-equity firm TPG, specifically involving its WellMed clinics that focus heavily on older patients. The company's CFO said the move is not about raising cash but about bringing in a partner that can provide local operating expertise and help the Florida business grow faster while UnitedHealth concentrates on its broader Optum Health turnaround. The timing is significant because Optum Health posted a negative operating margin in 2025 as medical costs rose and Medicare-related economics weakened, and UnitedHealth is now targeting an Optum Health margin of roughly 2% in 2026, 4% in 2027, and 6% in 2028. Optum says its Florida operations serve more than 240,000 patients across nearly 600 locations, and UnitedHealth is still opening roughly 15 clinics a year in Florida. The partnership does not eliminate the underlying pressures that caused Optum Health's problems: the division generated a $1.1 billion operating loss in 2025, compared with $6.9 billion of operating income the year before.

Ensign Group has been upgraded to a Zacks Rank #2 (Buy), placing the nursing and rehabilitative care provider in the top 20% of the more than 4,000 stocks covered by the Zacks rating system. The upgrade reflects an upward trend in earnings estimates, with the Zacks Consensus Estimate for the company rising 3.2% over the past three months. Ensign Group is expected to earn $7.79 per share for the fiscal year ending December 2026, which represents no year-over-year change. The Zacks Rank system classifies stocks into five groups, from Zacks Rank #1 (Strong Buy) to Zacks Rank #5 (Strong Sell), and its top-rated stocks have generated an average annual return of +25% since 1988. Only the top 5% of Zacks-covered stocks receive a Strong Buy rating, while the next 15% receive a Buy rating.

Krungsri Securities recommends buying shares of Bangkok Chain Hospital Public Company Limited, or BCH, with a target price of 12.00 baht, viewing the revenue recovery in the third quarter of 2026 as a short-term catalyst, while an adjustment to social security treatment fees and M&A are medium-term upside. Krungsri research expects medical revenue in the third quarter of 2026 to grow 6-7% year on year, driven by increased service usage among both Thai and foreign patients. A key highlight is that BCH derives as much as 38% of its total medical revenue from social security, or SSO. The research study indicates that a 10% increase in the flat-rate social security treatment fee from 1,808 baht would boost net profit by about 11% and add roughly 0.60 to 0.70 baht per share to the fair value. In addition, from September 1, 2026, BCH will begin consolidating the operating results of Rajavej Ubon Ratchathani Hospital, which has average revenue of about 400,000 to 500,000 baht per month, helping to expand its revenue base and extend long-term growth. BCH shares in the afternoon traded at 11.00 baht, up 0.10 baht, or 0.92%, with trading value of 12.65 million baht.

Pi Securities has issued an analysis recommending a buy on Bumrungrad Hospital, or BH, setting a 2027 fair value of 220 baht per share against the current price of 195.50 baht, an upside of 12.5%. The valuation uses a discounted cash flow method based on a WACC of 8.5% and terminal growth of 2.0%, equivalent to 21.7 times PE'27E, while the stock trades at 18.8 times, close to the hospital sector average of 18.4 times. Pi Securities expects BH's profit to grow 3.6% and 3.2% year on year in 2026 and 2027 respectively, driven mainly by a recovery in foreign patients, particularly from the Middle East and Myanmar. In 2027, additional support will come from the opening of Bumrungrad International Phuket, BH's second branch, with 212 beds and an investment of about 4.3 billion baht, fully funded by cash. The first phase will open for service within the third quarter of 2027, starting with 50 inpatient beds and targeting luxury customers. Management expects the branch to turn profitable within one to one and a half years of opening. Meanwhile, the main branch has an extension project in Soi Sukhumvit 1 that will be a new six-storey cancer treatment centre, expanding cancer examination rooms from 10 to 23, chemotherapy rooms from 18 to 30, and adding 59 inpatient beds in the cancer centre, with completion expected by the end of 2027. On results, BH reported second-quarter 2026 net profit of 1.889 billion baht, up 2% year on year and 6% above market expectations. Hospital operating revenue was 6.231 billion baht, up 4% year on year, with revenue from foreign patients, which accounts for 66% of revenue, up 7% year on year as Myanmar patients rose 28% year on year, Middle East patients rose 7% year on year, and American patients rose 19% year on year. Revenue from Thai patients, which accounts for 34%, fell 2% year on year. Pi Securities expects BH revenue of 26.0 billion baht in 2026 and 27.0 billion baht in 2027, up 3% and 4% respectively, with gross margins of 51.9% and 51.4%, the 2027 figure down 50 basis points because of the early-stage losses at the Phuket branch. Net profit is forecast at 7.803 billion baht in 2026 and 8.052 billion baht in 2027, up 3.9% and 3.2% respectively. Pi Securities views BH's ability to raise treatment prices by about 5% a year, above Thailand's average inflation of 1.1% a year over the past 10 years, as a factor supporting long-term value. Key risks include more intense competition in the premium healthcare market, reliance on foreign patients, and medical personnel risk.

Bualuang Securities estimates that Praram 9 Hospital Public Company Limited, or PR9, will report a record-high core profit in the third quarter of 2026 of 237 million baht, up 7% year on year and 29% quarter on quarter, on revenue of 1.44 billion baht, which grew 5% year on year and 10% quarter on quarter. Thai patient revenue is expected to grow 5% year on year and 11% quarter on quarter to 1.04 billion baht, while international patient revenue stands at 403 million baht, up 6% year on year and 7% quarter on quarter, driven by a broader-based recovery beyond the Middle East, with Qatar and Myanmar still standout markets, together with the rainy season boosting Thai patient volumes, especially for influenza. On margins, the gross margin is expected at 36.5%, flat year on year but up 85 basis points quarter on quarter, and the EBITDA margin rising to 23.4%, or up 100 basis points year on year and 110 basis points quarter on quarter. The second-half outlook also gets a boost from the dialysis centre, which is increasing its utilisation to full capacity, as well as new equipment in the third quarter of 2026 such as Bi-plane Angiography, Hyperbaric Oxygen Therapy and the Neuro ICU, which will help raise the share of higher-margin cases from the fourth quarter of 2026. The company is maintaining its 2026 revenue target of single-digit growth, in line with Bualuang's estimate of 5.5 billion baht, or 5% year-on-year growth. The research team maintains its Buy recommendation and 22 baht target price, based on a 2027 price-to-earnings ratio of 18 times. It sees PR9 entering a new profit upcycle, with the market still having room to re-rate the stock in line with record-high earnings. As for the data centre located near the hospital, management still sees no direct impact on current operations.

InnovAge Holding Corp. reported fiscal 2026 revenue of $989.7 million on September 8, up 15.9%, with company-defined non-GAAP adjusted EBITDA reaching $94.6 million versus $34.5 million a year earlier. Adjusted EBITDA margin rose to 9.6% from 4.0%, while the consolidated GAAP net loss narrowed to $0.7 million from $35.3 million and the loss attributable to shareholders was $2.5 million. Census reached approximately 8,230 participants, up from 7,740, and company-defined non-GAAP center-level contribution margin reached $227.8 million, or 23.0% of revenue, versus 18.0% a year earlier. Fiscal 2027 guidance calls for revenue of $1.05 billion to $1.085 billion and adjusted EBITDA of $105 million to $115 million, implying at the midpoints approximately 7.9% revenue growth, 16.3% adjusted EBITDA growth and a 10.3% adjusted EBITDA margin. The company did not forecast GAAP net income, citing difficulty estimating the adjustments needed to reconcile its adjusted EBITDA outlook, and it added back $57.0 million of litigation costs and settlements in fiscal 2026, compared with $19.4 million a year earlier.

The committee drafting the 14th National Economic and Social Development Plan aims to complete the human capital development plan within this year. It will be presented to the International Monetary Fund (IMF) before being finalized as a complete plan in February 2027. Dr. Pairin Chuchotthaworn, Chairman of the Council of Vidyasirimedhi Institute of Science and Technology, stated that the 14th Plan must urgently address the low birth rate. Thailand's total fertility rate is among the lowest 10 in the world, with only 400,000 newborns last year. To improve quality, the plan must tackle education issues, where only 30% of children study fields matching market demand, and over 1 million children have dropped out of the education system. It also includes reforming redundant welfare systems across multiple ministries to reduce the burden on formal workers, who currently pay taxes at only 48%, and to prepare for a fully aged society.

At the panel discussion "The Future of the Human-Centric Economy" during The Bangkok Business Summit 2026, executives from BDMS, Minor International, and Landscape Collaboration, along with a neuroscience expert, called on the Thai government to reform outdated regulations to unlock the potential of the health economy. They proposed establishing a Sandbox for the Wellness industry in pilot areas and making visa systems more flexible to attract high-quality tourists. The Chairman of BDMS stated that the main issue in elderly care is cost, while the Chairman of Minor International warned that Malaysia, which has more legal flexibility, has already surpassed Thailand with 43 million tourists, and Thailand may lose high-end customers if it does not adapt.

Morgan Stanley Investment Management, through funds managed by Morgan Stanley Real Estate Investing (MSREI), has acquired a Class A seniors housing portfolio in the Orlando and Tampa metropolitan areas. The portfolio consists of two communities with 300 independent living, assisted living, and memory care units, and will continue to be operated by AgeWell Senior Living. This acquisition expands MSREI's seniors housing portfolio, which now includes 13 senior living communities across the United States, reflecting the firm's focus on high-quality seniors housing driven by demographic trends. MSREI manages $58 billion in gross real estate assets worldwide.

Reliable Corporation released its 2026 interim report. First-half operating revenue was 583 million yuan, up 6.3% year on year, but net profit attributable to the parent company showed a loss of 7.91 million yuan, down 128.0% year on year. Second-quarter revenue was 292 million yuan, up 8.7% year on year, while net profit attributable to the parent company recorded a loss of 9.79 million yuan, down 201.0% year on year. As of the end of the second quarter, total assets stood at 2.193 billion yuan, up 0.7% from the end of the previous year, and net assets attributable to the parent company were 1.302 billion yuan, down 3.0% from the end of the previous year. The company's main business remained unchanged, still focused on the design, research and development, production and sales of disposable hygiene products, with major products including adult incontinence products, baby care products, feminine hygiene products and pet hygiene products. During the reporting period, demand in the adult incontinence products market continued to grow amid accelerating population aging, and supportive national elderly care policies also provided strong backing for market expansion. The company continued to pursue a dual-engine strategy of own brands plus original design manufacturing, and stressed that it will keep strengthening research and development investment to cope with market competition.