Extendicare Inc
TSX:EXE
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Extendicare Inc
TSX:EXE
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Extendicare Inc
Extendicare, Inc. is a holding company, which engages in the provision of nursing care, home health care, retirement living, and management and consulting services. The company is headquartered in Markham, Ontario. The firm's segments include long-term care, retirement living, home health care, and contract services, consulting and group purchasing as other operations. The company owns and operates 58 long-term care homes with a capacity for 8,138 residents. Under the Esprit Lifestyle Communities brand, it owns and operates approximately 11 retirement communities with 1,050 suites. Through its wholly owned subsidiary ParaMed, its home health care operations provide complex nursing care, occupational, physical and speech therapy, and assistance with daily activities to accommodate those living at home. Through its Extendicare Assist division, it provides contract services and consulting to third parties. Through its SGP Purchasing Partner Network division, it offers purchasing contracts to other senior care providers for food, capital equipment, furnishings, cleaning and nursing supplies, and office products.
Extendicare, Inc. is a holding company, which engages in the provision of nursing care, home health care, retirement living, and management and consulting services. The company is headquartered in Markham, Ontario. The firm's segments include long-term care, retirement living, home health care, and contract services, consulting and group purchasing as other operations. The company owns and operates 58 long-term care homes with a capacity for 8,138 residents. Under the Esprit Lifestyle Communities brand, it owns and operates approximately 11 retirement communities with 1,050 suites. Through its wholly owned subsidiary ParaMed, its home health care operations provide complex nursing care, occupational, physical and speech therapy, and assistance with daily activities to accommodate those living at home. Through its Extendicare Assist division, it provides contract services and consulting to third parties. Through its SGP Purchasing Partner Network division, it offers purchasing contracts to other senior care providers for food, capital equipment, furnishings, cleaning and nursing supplies, and office products.
Strong Growth: Extendicare reported a successful 2025, with overall adjusted EBITDA for Q4 rising 36.4% year-over-year to $45.6 million after adjusting for out-of-period items.
Home Health Surge: ParaMed delivered 15.3% organic volume growth in Q4, supported by demographic trends and long-term care capacity constraints.
Margin Expansion: NOI margins improved across all segments, with ParaMed achieving a 13.2% margin (up 280 bps) and long-term care reaching 10.9% (up 90 bps) in Q4.
Acquisition Updates: Two acquisitions closed in 2025 are outperforming initial expectations; the CBI Home Health deal ($570 million) is expected to close in early Q2 2026, anticipated to be 9% accretive to EPS at close and up to 15% with synergies.
Dividend Increase: The company announced a 5% increase to its monthly dividend, marking the second consecutive annual increase.
Capital Strength: Extendicare completed a $200 million private placement and expanded its credit facilities, ending the year with $348 million in cash and $154 million in available credit.
Redevelopment Pipeline: Seven homes are under construction in Ontario, with major new facilities opening in 2026 and a robust pipeline of further projects.
Labor and Market Conditions: Management sees no current labor constraints in major markets but notes ongoing challenges in rural areas and a need to monitor evolving immigration policy impacts.