Improving occupancy and utilization rates at nursing care facilities through community-based operations

「During the first half of the current consolidated fiscal year, the number of prospective residents, or people on the waiting list, increased at the fee-based nursing homes with care services as a result of strengthened cooperation with regional medical and nursing care institutions and the resumption of various events and facility tours, and facility occupancy recovered.」

「At the fee-based nursing homes with care services, we provide terminal care and end-of-life support. From May 2025, a number of elderly residents died due to senescence or the worsening of pre-existing conditions. Although the number of admissions to the nursing care facilities was higher than in a typical year as a result of operating facilities rooted in the local communities, the number of departures, mainly due to deaths, exceeded admissions. The resulting decline in facility occupancy affected business earnings.」

「At the fee-based nursing homes with care services, admissions were significantly promoted by resuming various events and facility tours and strengthening cooperation with regional medical and nursing care institutions, resulting in stable operations from the beginning of the fiscal year.」

「However, on-site events and facility tours, which had been suspended during the COVID-19 pandemic, resumed from April, greatly promoting admissions. By the fourth quarter, the facility occupancy rate had recovered to more than 90%.」

「However, during the second quarter of the current consolidated fiscal year, the number of residents gradually began to exceed the number of departures, and the business appears to have passed its low point and begun to recover.」

「COVID-19 was reclassified as a Class 5 infectious disease, the same category as seasonal influenza, while care-plan referrals from care managers in neighbouring areas increased. Admissions of people on the waiting list have progressed smoothly, and occupancy is showing signs of recovery.」

「In addition to residents leaving following deaths caused by the worsening of pre-existing conditions and for long-term hospital treatment, vacancies increased and the occupancy rate declined, reducing revenue as the spread of COVID-19 in the region lengthened the time to admission.」

「Although new move-ins to the fee-based homes for the elderly with nursing care were higher than in a typical year, vacancies increased as residents left following death due to worsening pre-existing conditions or long-term hospitalization. Profit and loss was also affected by higher expenses resulting from surging utility costs and inflation, including higher food costs.」

「At its fee-based homes for the elderly with nursing care, the number of vacancies increased and utilization declined as the pace of move-ins from the waiting list slowed during the COVID-19 pandemic, while residents also left following death due to worsening pre-existing conditions or long-term hospitalization. In addition, revenue was affected by temporary suspensions of services and customers refraining from using home-based support services such as day services and short-stay services, as well as health promotion programs, to prevent infection. Profit and loss was significantly affected by higher expenses resulting from surging utility costs and inflation, including higher food costs. However, discussions with residents and their families resulted in agreement to raise part of the accommodation fees.」

「At its fee-based homes for the elderly with nursing care, the resurgence of COVID-19 slowed the pace at which people on waiting lists moved in. In addition, residents left following death due to worsening pre-existing conditions or following long-term hospitalization, increasing vacancies and causing a slight decline in utilization.」

「At its fee-based homes for the elderly with nursing care, the Company is focusing on preventing cluster infections and maintaining residents' health by rebuilding its BCP (business continuity program) for infectious diseases, thoroughly monitoring the health of residents and employees and carrying out sanitation and disinfection, and providing online visitation services using ICT, thereby maintaining utilization above 90%. Meanwhile, the home-based nursing care business was affected in part as customers refrained from using services due to local COVID-19 infection conditions, but more locally focused operations and an increase in new users restored utilization to pre-pandemic levels.」

「At its fee-based homes for the elderly with nursing care, the Company was partly affected by slower occupancy growth due to COVID-19. However, it implemented cluster-infection prevention measures addressing the Omicron variant, including rebuilding its BCP (business continuity program), thoroughly monitoring the health of residents and employees and carrying out sanitation and disinfection, and providing online visitation services using ICT. It is focusing on relieving residents' stress and anxiety, preventing cluster infections and maintaining their health.」

「At its fee-based homes for the elderly with nursing care, the Company has thoroughly monitored the health of residents and employees and carried out sanitation and disinfection to prevent cluster infections of COVID-19, maintaining a high utilization rate of more than 90%.」

「In the nursing care services business, the Company has maintained high occupancy at its fee-based homes for the elderly through thorough infection-control measures. However, home-based nursing care services, including day services, have been affected as customers refrain from using them to prevent infection.」

「Meanwhile, day services and short-stay services were affected in part as customers refrained from using them, including by voluntarily limiting outings. However, high utilization of more than 95% at designated nursing care facilities enabled both revenue and profit to exceed the previous fiscal year's results.」

「Meanwhile, temporary suspension of services outside the public nursing care insurance system, including health promotion programs for local elderly people, affected part of profit and loss as a measure to prevent infections from outside the facilities. However, high utilization of more than 95% at designated nursing care facilities enabled both revenue and profit to exceed the same quarter of the previous fiscal year.」

「Meanwhile, measures to suspend preventive nursing care services for healthy people, including health promotion programs commissioned by local governments, and to restrict users of day care services in order to prevent infections from outside the facilities affected part of profit and loss. However, high utilization at designated nursing care facilities enabled both revenue and profit to exceed the same quarter of the previous fiscal year.」

「The nursing care services business maintained steady revenue through high occupancy at its fee-based homes for the elderly with nursing care.」

「Although revenue from nursing care fees declined at Mizuki Sano in Sano, Tochigi Prefecture, the Company's largest facility, due to residents being hospitalized during the first half, locally focused operations that draw on regional characteristics enabled it to maintain utilization at 94% and secure stable earnings.」

「The nursing care services business is promoting regional coordination among medical care, nursing care and preventive care while maintaining high occupancy at its fee-based homes for the elderly with nursing care, thereby securing stable earnings. Utilization at designated facilities remained high at 95.0%, and earnings improved as fewer residents were hospitalized for flare-ups of pre-existing conditions.」

「The nursing care services business is promoting regional coordination among medical care, nursing care and preventive care while maintaining high occupancy at its fee-based homes for the elderly with nursing care, thereby securing stable earnings.」

「The nursing care services business operates 3 fee-based homes for the elderly with nursing care in Sano, Tochigi Prefecture; Tatebayashi, Gunma Prefecture; and Komoro, Nagano Prefecture. The facilities are operated on a locally focused basis that draws on regional characteristics. As a result, utilization at designated facilities was maintained at 95%, while day services and short-stay services also performed well, partly due to the extremely hot weather.」

「The nursing care services business operates 3 fee-based homes for the elderly with nursing care in Sano, Tochigi Prefecture; Tatebayashi, Gunma Prefecture; and Komoro, Nagano Prefecture. The facilities are operated on a locally focused basis that draws on regional characteristics. As a result, utilization at designated facilities was maintained at 95.6%, while day services and short-stay services also performed well, partly due to the extremely hot weather.」

「In the first quarter, utilization remained around 98%, making a strong start as a result of locally focused facility operations that draw on regional characteristics and an increase in prospective residents from major metropolitan areas such as Tokyo and Kanagawa.」

「Facility operations rooted in local communities and an increase in prospective residents from major metropolitan areas such as Tokyo and Kanagawa led to a significant improvement in the second half, with utilization remaining at around 95%.」

「In particular, as a result of efforts to improve occupancy at each facility, the average utilization rate for the nine months ended the third quarter recovered to above 92%. While the Company continues working to secure stable earnings, costs for utilities and staffing, including nurses, increased.」

「Although utilization at some facilities temporarily declined in the first quarter because of more hospitalizations and deaths among residents than expected, it recovered, and the Company secured a utilization rate of more than 90%.」

「The Company is working to improve occupancy at each facility and secure stable earnings. However, utilization at some facilities declined as residents were discharged following hospitalization or death, partly due to the change of seasons, affecting results.」

「The Company is working to improve occupancy at each facility and secure stable earnings. In addition, utilization at the facilities has improved as a result of locally focused operations that draw on regional characteristics and an increase in prospective residents from major metropolitan areas such as Tokyo and Kanagawa, contributing to improved earnings.」