“Our first quarter results demonstrate the synergistic potential of the various components of our strategy in action: strong organic growth in home health care augmented by acquisitions, LTC redevelopment and organic growth in SGP and the operating leverage that comes with a technology-enabled back office,” said CEO, Dr Michael Guerriere, as Extendicare Inc. reported its financial results for the three months ended March 31, 2026.
The company posted a strong first-quarter performance, supported by continued momentum in home healthcare, strategic acquisitions and operational efficiencies across its senior care platform.
Adjusted EBITDA, excluding out-of-period items, rose 52.2 per cent year-on-year to $44.2 million, compared with $29.0 million in Q1 2025.
The growth was driven primarily by organic expansion in Extendicare’s home healthcare business and contributions from the acquisition of Closing the Gap Healthcare and nine Class C long-term care homes.
The company’s home healthcare average daily volume increased by 32.7 per cent to 41,936, reflecting both organic growth and acquisition-driven expansion.
Extendicare also reported continued growth in its SGP segment, with third-party and joint venture beds serviced reaching 157,100, representing organic growth of 6 per cent compared with the same period last year.
Reflecting confidence in its financial performance, the company announced a 5 per cent increase in its monthly dividend to $0.0441 per common share.
During the quarter, Extendicare also completed the sale of the vacated West End Villa Class C property for proceeds of $12.1 million, generating a pre-tax gain of $10 million after closing costs.
A major strategic milestone followed shortly after the quarter’s close.
On April 1, 2026, Extendicare completed its previously announced acquisition of CBI Home Health for $570 million, plus customary adjustments and the assumption of approximately $17.3 million in lease liabilities.
The acquisition was completed through its wholly owned home healthcare subsidiary, ParaMed Inc..
The transaction was funded through a combination of equity proceeds, debt financing and cash reserves.
To support this expansion, Extendicare also completed its inaugural offering of $450 million in 4.345 per cent senior unsecured notes due April 2031.
The company simultaneously restructured its credit facilities into a $250 million senior unsecured revolving credit facility, strengthening financial flexibility for future growth initiatives.
Guerriere said the completion of the CBI acquisition and debt restructuring positions the company for continued expansion.
“After the quarter, we closed the CBI acquisition and restructured our debt, setting the stage for further growth and value creation as we continue our mission to meet the growing care needs of the ageing demographic,” he said.
The latest results underscore Extendicare’s strategic focus on scaling its home healthcare platform while leveraging acquisitions, operational efficiencies and financial restructuring to capitalise on growing demand driven by Canada’s ageing population.
