AdCare, owner and operator of skilled nursing homes and other living facilities in at least seven different states, has identified a major unmet need in the care facilities industry, showing itself to be remarkably capable at employing a home-grown approach to filling that need. Realizing that the industry is currently fragmented, consisting largely of independent family-owned operations that are oriented toward low-margin long-term care, AdCare has been able to acquire and transform individual facilities, growing both margins and revenues. By shifting operations away from long-term care to more profitable acute care, AdCare increases profit margins. It also incorporates operating efficiencies, further improving the bottom line.
It’s an approach AdCare has been able to apply repeatedly as it builds revenue and moves toward initial profitability. Although growth is expensive, an investment in the future, Wilkison feels that AdCare has the potential to become profitable perhaps within the next year, emphasizing the positive demographics supporting the growth. In 2010, there were an estimated 40 million U.S. citizens over the age of 65, with 17 million over 75, and 6 million over 85. Under the guidance of Chief Acquisitions Officer, Chris Brogdon, AdCare has targeted most of its acquisitions toward the Southeast, where the elderly population has been growing most quickly.
For additional information, visit the company’s website at www.AdCareHealth.com
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