Industry Analysis & Industry Trends
A number of positive factors will benefit the industry over the next five years, as demand strengthens in line with the aging population and healthcare reform. Senior citizens with chronic diseases will increasingly turn to operators in the economic recovery, supporting overall revenue growth. Specialists will increasingly join and form practices to leverage referrals and cut costs. However, profit will remain flat as rising labor and liability expenses and costs of advancing technology hamper margins... purchase to read more
Industry Report - Industry Investment Chapter
Healthcare is a labor-intensive sector and much of that labor is highly skilled and highly paid. In 2013, IBISWorld estimates that industry operators will spend $0.03 on capital for every $1.00 spent on wages Labor costs account for 50.2% of total revenue, whereas depreciation and amortization expenses represent about 1.5% of total revenue. There is a high level of personal care in most healthcare industries, since patient-doctor interaction is necessary in order to improve health. Specialists are typically compensated more than primary-care physicians and generalist doctors. Doctors are very well educated and possess a high level of skill, which results in them being well paid for their services... purchase to read more