Physical Therapists in the US - Market Research Report (2014-2029)
New York, United States
Last Updated: January 2024
NAICS 62134Revenue
$49.6bn
Past 5-Year Growth
Profit
$XX.Xbn
Employees
589k
Businesses
128k
Wages
$XX.Xbn
Physical Therapists in the US industry analysis
Physical therapists have an expanding role in public health. Demographic trends are behind this shift, as an aging population requires physical therapy (PT) to treat age-related ailments. Therapists also get a boost from broader healthcare trends as PT gains momentum as a solution to control healthcare costs and transition to value-based payments. Rising health expenditure and heightened insurance coverage have also facilitated access to physical therapy. But, COVID-19 disrupted the industry's growth as patient volumes dropped, creating long care backlogs. While practices have seen patient numbers recover, rising cost pressures and persistent workforce shortages continue to shape the industry's landscape. Recession concerns and steadying patient volumes will dent health expenditure in 2023. Yet, strong growth over the past five years offsets this, with revenue expanding at a CAGR of 1.6% to an estimated $48.8 billion, including an expected increase of 0.3% in 2023.
Trends and Insights
- Physical therapy has an expanding role in healthcare. Physical therapy addresses an aging population's rising medical needs and healthcare costs.
- Private insurers are the largest payer of physical therapy treatment. PT practices rely on private reimbursements more than any other revenue source.
- Physical therapy practices favor metro areas. Densely populated metro areas give practices access to larger patient bases.
- Differentiation is vital in saturated markets. When patients can choose between practices, clinics must differentiate from the competition.
Industry Overview
Market size and recent performance (2014-2029)
Industry revenue has grown at a CAGR of 1.5 % over the past five years, to reach an estimated $49.6bn in 2024.
Trends and Insights
Recession concerns take over as COVID-19 anxieties ease
- In recent years, demographic trends, rising healthcare expenditure and broader insurance coverage have supported physical therapy (PT) practices.
- Additional trends and insights available with purchase
Source: IBISWorld
Industry outlook (2024-2029)
Market size is projected to grow over the next five years.
Trends and Insights
Healthcare trends will shape physical therapy moving forward
- Physical therapy practices will continue to see an uptick in demand from a rapidly aging population. Adults 65 and older have the highest incidence of musculoskeletal conditions.
Biggest companies in the Physical Therapists in the US
| Company | Market Share (%)
2024 | Revenue ($m)
2024 | Profit ($m)
2024 | Profit Margin (%)
2024 |
|---|---|---|---|---|
Select Medical Holdings Corp | 1,233.0 | 108.0 | 8.8 | |
Kindred Healthcare, Inc. | 816.9 | 84.0 | 10.3 | |
Pacific Physical Therapy | 505.5 | 52.0 | 10.3 |
To view the market share and analysis for all 7 top companies in this industry, view purchase options.
Products & Services Segmentation
Source: IBISWorld
Industry revenue is measured across several distinct product and services lines, including Neurological disorders, and Musculoskeletal conditions. Neurological disorders is the largest segment of the Physical Therapists in the US.
Trends and Insights
PT treat the most patients for MSK conditions
- Physical therapy (PT) for musculoskeletal (MSK) conditions includes the diagnosis, management and treatment of common MSK ailments (arthritis, osteoporosis, fibromyalgia, lupus, chronic back pain).
- More insights available in the full report
Widen you competitive advantage with related industries
Competitors
- Chiropractors in the US
- Home Care Providers in the US
- Nursing Care Facilities in the US
Complementors
- Primary Care Doctors in the US
- Specialist Doctors in the US
- Hospitals in the US
- Specialty Hospitals in the US
International industries
- Physical Therapists in Canada
- Physiotherapy Services in Australia
- Physiotherapy Services in New Zealand
- Allied Health-Care Services in the UK
Table of Contents
About this industry
Industry definition
Operators in this industry include independent health practitioners primarily engaged in outpatient services. These services include administering medically prescribed rehabilitation for patients suffering from injuries or muscle, nerve, joint and bone disease; planning and administering educational, recreational and social activities designed to help patients or individuals with disabilities; and diagnosing and treating speech, language or hearing problems.
What's included in this industry?
Examining history and physical well-being of patients Establishing a management plan Incorporating the results of laboratory and imaging studiesProviding manual therapy, education and techniquesCompanies
Select Medical Holdings CorpKindred Healthcare, Inc.Pacific Physical TherapyPurchase this report to view all 7 major companies in this industry.
Related Terms
MUSCULOSKELETALSTROKEINCONTINENCEOCCUPATIONAL THERAPYORTHOPEDIC THERAPYAUTONOMOUS PRACTICEIndustry Code
NAICS 62134 - Physical Therapists in the US
Performance
Get an indication of the industry's health through historical, current and forward-looking trends in the performance indicators that make or break businesses.
Analyst insights
Physical therapy has an expanding role in healthcare. Physical therapy addresses an aging population's rising medical needs and healthcare costs.
In this chapter (4)
- Current Performance
- Outlook
- Volatility
- Life Cycle
Key metrics
- Annual Revenue, Recent Growth, Forecast, Revenue Volatility
- Number of Employees, Recent Growth, Forecast, Employees per Business, Revenue per Employee
- Number of Businesses, Recent Growth, Forecast, Employees per Business, Revenue per Business
- Total Profit, Profit Margin, Profit per Business
Charts
- Revenue, including historical (2014-2023) and forecast (2024-2029)
- Employees, including historical (2014-2023) and forecast (2024-2029)
- Businesses, including historical (2014-2023) and forecast (2024-2029)
- Profit, including historical (2014-2024)
- Industry Volatility vs. Revenue Growth
- Industry Life Cycle
Detailed analysis
- Trends in supply, demand and current events that are driving current industry performance
- Expected trends, economic factors and ongoing events that drive the industry's outlook
- Key success factors for businesses to overcome volatility
- How contribution to GDP, industry saturation, innovation, consolidation, and technology and systems influence the industry's life cycle phase.
Products and Markets
Learn about an industry's products and services, markets and trends in international trade.
Analyst insight
Private insurers are the largest payer of physical therapy treatment. PT practices rely on private reimbursements more than any other revenue source.
In this chapter
- Products & Services
- Major Markets
Key metrics
- Largest market segment and value in 2024
- Product innovation level
Charts
- Products & services segmentation in 2024
- Major market segmentation in 2024
Detailed analysis
- Trends impacting the recent performance of the industry's various segments
- Innovations in the industry's product or service offering, specialization or delivery method
- Key factors that successful businesses consider in their offerings
- Buying segments and key trends influencing demand for industry products and services
Geographic Breakdown
Discover where business activity is most concentrated in an industry and the factors driving these trends to find opportunities and conduct regional benchmarking.
Analyst insights
Physical therapy practices favor metro areas. Densely populated metro areas give practices access to larger patient bases.
In this chapter (1)
- Business Locations
Charts
- Share of revenue, establishment, wages and employment in each state
- Share of population compared to establishments in each region in 2024
Tables
- Number and share of establishments in each state in 2024
- Number and share of revenue each state accounts for in 2024
- Number and share of wages each state accounts for in 2024
- Number and share of employees in each state in 2024
Detailed analysis
- Geographic spread of the industry across North America, and trends associated with changes in the business landscape
- Key success factors for businesses to use location to their advantage
Competitive Forces
Get data and insights on what's driving competition in an industry and the challenges industry operators and new entrants may face, with analysis built around Porter's Five Forces framework.
Analyst insights
Differentiation is vital in saturated markets. When patients can choose between practices, clinics must differentiate from the competition.
In this chapter (4)
- Concentration
- Barriers to Entry
- Substitutes
- Buyer & Supplier Analysis
Key metrics
- Industry concentration level
- Industry competition level and trend
- Barriers to entry level and trend
- Substitutes level and trend
- Buyer power level and trend
- Supplier power level and trend
Charts
- Market share concentration among the top 4 suppliers from 2019-2024
- Supply chain including upstream supplying industries and downstream buying industries, flow chart
Detailed analysis
- Factors impacting the industry’s level of concentration, such as business distribution, new entrants, or merger and acquisition activity.
- Key success factors for businesses to manage the competitive environment of the industry.
- Challenges that potential industry entrants face such as legal, start-up costs, differentiation, labor/capital intensity and capital expenses.
- Key success factors for potential entrants to overcome barriers to entry.
- Competitive threats from potential substitutes for the industry’s own products and services.
- Key success factors for how successful businesses can compete with substitutes.
- Advantages that buyers have to keep favorable purchasing conditions.
- Advantages that suppliers have to maintain favorable selling conditions.
- Key success factors for how businesses can navigate buyer and supplier power.
Companies
Learn about the performance of the top companies in the industry.
Analyst insights
Independent practices are standard in physical therapy, but an uptick in consolidation has led some companies to develop regional footholds.
In this chapter
- Market Share Concentration
- Companies
- Company Spotlights
Charts
- Industry market share by company in 2020 through 2024
- Major companies in the industry, including market share, revenue, profit and profit margin in 2024
- Overview of Select Medical Holdings Corp's performance by revenue, market share and profit margin from 2018 through 2024
- Overview of Kindred Healthcare, Inc.'s performance by revenue, market share and profit margin from 2018 through 2024
- Overview of Pacific Physical Therapy's performance by revenue, market share and profit margin from 2018 through 2024
- Overview of revenue, market share and profit margin trend for 4 additional companies
Detailed analysis
- Description and key data for Select Medical Holdings Corp, and factors influencing its performance in the industry
- Description and key data for Kindred Healthcare, Inc., and factors influencing its performance in the industry
- Description and key data for Pacific Physical Therapy, and factors influencing its performance in the industry
- Description, key data and performance trends for 4 additional companies
External Environment
Understand the demographic, economic and regulatory factors that shape how businesses in an industry perform.
Analyst insights
Physical therapists navigate an increasingly complex regulatory environment. Compliance is crucial to secure reimbursements and avoid fines.
In this chapter
- External Drivers
- Regulation & Policy
- Assistance
Key metrics
- Regulation & policy level and trend
- Assistance level and trend
Charts
- Regulation & Policy historical data and forecast (2014-2029)
- Assistance historical data and forecast (2014-2029)
Detailed analysis
- Demographic and macroeconomic factors influencing the industry, including Regulation & Policy and Assistance
- Major types of regulations, regulatory bodies, industry standards or specific regulations impacting requirements for industry operators
- Key governmental and non-governmental groups or policies that may provide some relief for industry operators.
Financial Benchmarks
View average costs for industry operators and compare financial data against an industry's financial benchmarks over time.
Analyst insights
Cost pressures constrain profit growth. Recovering patient volumes post-COVID isn’t enough to offset rising operating costs.
In this chapter
- Cost Structure
- Financial Ratios
- Key Ratios
Key metrics
- Profit margin, and how it compares to the sector-wide margin
- Average wages, and how it compares to the sector-wide average wage
- Largest cost component as a percentage of revenue
- Industry average ratios for days' receivables, industry coverage and debt-to-net-worth ratio
Charts
- Average industry operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2024
- Average sector operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2024
- Investment vs. share of economy
Data tables
- Industry Multiples (2017-2022)
- Industry Tax Structure (2017-2022)
- Income Statement (2017-2022)
- Balance Sheet (2017-2022)
- Liquidity Ratios (2017-2022)
- Coverage Ratios (2017-2022)
- Leverage Ratios (2017-2022)
- Operating Ratios (2017-2022)
- Cash Flow & Debt Service Ratios (2014-2029)
- Revenue per Employee (2014-2029)
- Revenue per Enterprise (2014-2029)
- Employees per Establishment (2014-2029)
- Employees per Enterprise (2014-2029)
- Average Wage (2014-2029)
- Wages/Revenue (2014-2029)
- Establishments per Enterprise (2014-2029)
- IVA/Revenue (2014-2029)
- Imports/Demand (2014-2029)
- Exports/Revenue (2014-2029)
Detailed analysis
- Trends in the cost component for industry operators and their impact on industry costs and profitability
Key Statistics
Industry Data
Data Tables
Including values and annual change:
- Revenue (2014-2029)
- IVA (2014-2029)
- Establishments (2014-2029)
- Enterprises (2014-2029)
- Employment (2014-2029)
- Exports (2014-2029)
- Imports (2014-2029)
- Wages (2014-2029)
Methodology
How are IBISWorld reports created?
IBISWorld has been a leading provider of trusted industry research for over 50 years to the most successful companies worldwide. With offices in Australia, the United States, the United Kingdom, Germany and China, we are proud to have local teams of analysts that conduct research, data analysis and forecasting to produce data-driven industry reports.
Our analysts start with official, verified and publicly available sources of data to build the most accurate picture of each industry. Analysts then leverage their expertise and knowledge of the local markets to synthesize trends into digestible content for IBISWorld readers. Finally, each report is reviewed by one of IBISWorld’s editors, who provide quality assurance to ensure accuracy and readability.
IBISWorld relies on human-verified data and human-written analysis to compile each standard industry report. We do not use generative AI tools to write insights, although members can choose to leverage AI-based tools within the platform to generate additional analysis formats.
What data sources do IBISWorld analysts use?
Each industry report incorporates data and research from government databases, industry-specific sources, industry contacts, and our own proprietary database of statistics and analysis to provide balanced, independent and accurate insights.
Key data sources in the US include:
- US Census Bureau
- US Bureau of Labor Statistics
- US International Trade Commission
Analysts also use industry specific sources to complement catch-all sources, although their perspective may focus on a particular organization or representative body, rather than a clear overview of all industry operations. However, when balanced against other perspectives, industry-specific sources provide insights into industry trends.
These sources include:
- Industry and trade associations
- Industry federations or regulators
- Major industry players annual or quarterly filings
Finally, IBISWorld’s global data scientists maintain a proprietary database of macroeconomic and demand drivers, which our analysts use to help inform industry data and trends. They also maintain a database of statistics and analysis on thousands of industries, which has been built over our more than 50-year history and offers comprehensive insights into long-term trends.
How does IBISWorld forecast its data?
IBISWorld’s analysts and data scientists use the sources above to create forecasts for our proprietary datasets and industry statistics. Depending on the dataset, they may use regression analysis, multivariate analysis, time-series analysis or exponential smoothing techniques to project future data for the industry or driver. Additionally, analysts will leverage their local knowledge of industry operating and regulatory conditions to impart their best judgment on the forecast model.
IBISWorld prides itself on being a trusted, independent source of data, with over 50 years of experience building and maintaining rich datasets and forecasting tools. We are proud to be the keystone source of industry information for thousands of companies across the world.
Learn more about our methodology and data sourcing on the Help Center.
Frequently Asked Questions
Unlock comprehensive answers and precise data upon purchase. View purchase options.
What is the market size of the Physical Therapists in the US industry in United States in 2024?
The market size of the Physical Therapists in the US industry in United States is $49.6bn in 2024.
How many businesses are there in the Physical Therapists in the US industry in 2024?
There are 128k businesses in the Physical Therapists in the US industry in United States, which has grown at a CAGR of 3.2 % between 2019 and 2024.
Has the Physical Therapists in the US industry in United States grown or declined over the past 5 years?
The market size of the Physical Therapists in the US industry in United States has been growing at a CAGR of 1.5 % between 2019 and 2024.
What is the forecast growth of the Physical Therapists in the US industry in United States over the next 5 years?
Over the next five years, the Physical Therapists in the US industry in United States is expected to grow.
What are the biggest companies in the Physical Therapists in the US market in United States?
The biggest companies operating in the Physical Therapists market in United States are Select Medical Holdings Corp, Kindred Healthcare, Inc. and Pacific Physical Therapy
What does the Physical Therapists in the US in United States include?
Examining history and physical well-being of patients and Establishing a management plan are part of the Physical Therapists in the US industry.
Which companies have the highest market share in the Physical Therapists in the US in United States?
The company holding the most market share in United States is Select Medical Holdings Corp.
How competitive is the Physical Therapists in the US industry in United States?
The level of competition is high and steady in the Physical Therapists in the US industry in United States.
