Healthcare services experts expect growth in 2017
Health care service professions expect improved financial performance but worry about regulations in the next year, according to a Capital One Healthcare survey.
“Expectations are looking up as we close out the current year, and our survey revealed a shared sense of optimism by healthcare executives from all corners of the industry,” said Darren Alcus, president of Capital One Healthcare, in a press release. “We’re seeing more companies evaluate hiring and investment opportunities to further expand their businesses in the year ahead.”
Sixty-eight percent of investors and senior professionals anticipate stronger business performance and 31 percent expect similar performance in 2017. More than half of respondents, 53 percent, identified home health and hospice as poised for strong growth within the health care services sector.
Other signs of growth include:
- more than half of respondents have or plan to make new hires by the end of 2016,
- two-thirds plan to pursue an acquisition in the next year and
- about half foresee a recapitalization and/or refinance in the next year.
“Despite some cooling over the past year, respondents continue to be bullish about (mergers and acquisitions) plans,” said Al Aria, senior managing director for Capital One Healthcare’s corporate finance team.
Respondents reported they are most worried about regulatory scrutiny (41 percent), pay for performance (23 percent) and Affordable Care Act changes and/or implementations in the year ahead.
The survey was completed between Aug. 1 and Oct. 6 by 150 attendees in advance of Capital One’s invitation-only Healthcare Services Conference.
Nicole was Senior Editor at I Advance Senior Care and Long Term Living Magazine 2015-2017. She has a Journalism degree from Kent State University and is finalizing a master’s degree in Information Architecture and Management. She has extensive studies in the digital user experience and in branding online media. She has worked as an editor and writer for various B2B publications, including Business Finance.
Topics: Executive Leadership , Facility management , Finance