Analysis suggests one in four care operators are struggling

Posted on July 1st, by editor in Caring Times. No Comments

A quarter of the UK’s care home providers are struggling to barely break even, while the rest are delivering outstanding returns, says a new study published by industry analysts Plimsoll Publishing Ltd. The research has looked at the financial performance of each of the top 1000 providers and has analysed their latest profitability figures. Facts extracted from the analysis include: # A quarter of the 1000 companies averaged only a minus 5.1 per cent pre-tax profit margin – this is down from last year when the average was plus 0.2 per cent. # The owners of these companies are going through lean times with an average return on investment of minus 14 per cent, falling from zero last year. # Almost one in six providers have reported a loss for the year, for 18 per cent of these companies this is now their second year of loss making. Yet the bulk of providers are thriving and Plimsoll senior analyst David Pattisonsaid the recent trading period had been “tricky” with some companies really struggling while

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