Third Age Health Services - 1H FY26 Results
07/11/2025 17:14 NZDT, HALFYRP
7 November 2025
Primary care provider, Third Age Health Services (NZX: TAH), has today reported its unaudited results for the six months to 30 September 2025 (1H26).
During the first half, NPAT increased by 31.7%* YoY to $1,520k, while underlying NPATA** rose 28.0% YoY to $1,742k.
We also completed the acquisitions of ARC Health and Cicada Health which provide medical services to aged residential care (“ARC”) facilities. ARC Health operates in Canterbury, and Cicada Health in the Bay of Plenty. Their integration further strengthens our national network, and we’re pleased that the founders of both businesses remain co-owners and continue to play an active role.
Financial Performance
Our ARC-related business continues to grow with 7,159 enrolled patients at period end. Excluding the two new acquisitions, organic enrolled patients grew 3.7% YoY to 5,475, and ARC total revenue grew 20% to $6,840k. We continue to attract interest for our services from additional ARC facilities, however growth during the period was constrained by the sector-wide shortage of clinical workforce. This has required ongoing discipline and trade-offs. We are spending more on workforce recruitment, development and digital enablement to support sustainable growth over time.
Our community general practice business delivered further gains in financial performance. Revenue rose 2.5% to $3,813k, and profitability also improved through ongoing process improvements. Enrolled patient numbers declined 2.4% YoY to 20,032, driven by the residual impact of a doctor departure earlier in the year, along with a doctor vacancy (now filled) at one of our clinics. Reversing this trend is a key priority.
Creating Value for Our Customers
We continue to invest in initiatives that improve outcomes for our customers and make our services more resilient.
Our Digital Clinical Portal continues to gain traction, with rollout now reaching over 30 facilities. It has supported more than 900 scheduled rounds across multiple regions and customers. Development of Phase Two, which seeks to further improve operational efficiency, is well underway and we have started planning for Phase Three.
We’ve also progressed our commitment to sector-leading quality care standards through the development of the Residential Care Medical Service Provider Standard, or Elder Care Standards. These standards have now been independently assessed by a designated auditing agency*** and rolled out to our clinicians. They reflect our goal of supporting more consistent, high-quality aged care across the sector.
We were recently appointed as the sole preferred partner for medical services by the Aged Care Association New Zealand. We see this as both a recognition of the work done to date and a foundation for deeper collaboration. We value the opportunity to help advance outcomes for the sector.
Business Unit Leadership
We are pleased to have appointed Niomi Fleming and Lucy Wu as Acting General Managers of our ARC-related and community general practice businesses respectively.
Niomi has led the day-to-day operations of our ARC business since joining us in 2022. She brings over 15 years of experience in the primary care sector and is known for her focus on delighting customers, strong operational discipline, and close relationships with clinicians.
Lucy has been our Clinical Change Lead since 2021 and brings first-hand experience as both a general practice nurse and a programme lead. She has helped shape and deliver initiatives that have improved operational performance and patient outcomes.
Our operating model is built on decentralised autonomy and accountability. This enables faster decisions made closer to the front line, deeper customer engagement, and stronger support for our teams. We’re pleased to see strong internal leaders step into these roles and are confident in their ability to drive performance.
Capital Allocation
During the first half, we funded the acquisitions of ARC Health and Cicada Health through a combination of cash on hand and a draw on our line of credit. The line has since been repaid. These acquisitions were immediately accretive and have increased our earnings power.
Our goal is to maximise the average annual rate of increase in intrinsic value per share over time. One of the ways we aim to achieve this is through allocating capital to acquiring good businesses where our operating model built around decentralisation and Kaizen can deliver strong results. This means businesses, both within and outside of healthcare, from owners planning for their own third age. We offer a safe home for those wanting to entrust their business to someone who will own it permanently, grow it carefully, and preserve its legacy.
Looking Ahead
Our focus remains on what’s within our control: delighting customers, running an organisation grounded in Kaizen, aligning incentives and being frugal. We’re optimising for long-term durability, and will continue to make choices that support that, even when they come with a short-term cost.
Authorised by:
John Fernandes
Executive Chairman
johnf@thirdagehealth.co.nz
For more information, please contact:
Geraldine Bromley,
Head of Finance – Third Age Health
+64 22 127 5598
geraldineb@thirdagehealth.co.nz
Please see the attachments for more information
1. TAH 1H FY26 Performance Summary
2. TAH 1H FY26 Unaudited Interim Financial Statements
3. TAH 1H FY26 Unaudited Results Announcement Form
*Year-Over-Year i.e. 1H 2026 compared to 1H 2025
**Net Profit After Tax before Amortisation is adjusted for non-cash amortisation charges arising as a result of purchase accounting rules.
*** Organisations authorised by the Ministry of Health to audit health and disability service providers against regulatory standards.