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Extendicare boosts earnings, raises dividend and doubles down on home health with $570 million CBI deal

Story Highlights
  • Extendicare’s Q4 2025 results showed strong earnings growth, driven by surging home health volumes and recent acquisitions.
  • The company is expanding its national home health leadership with a $570 million CBI acquisition, backed by new equity and credit financing.
  • Looking for the best stocks to buy? Follow the recommendations of top-performing analysts.
Extendicare boosts earnings, raises dividend and doubles down on home health with $570 million CBI deal

Meet Samuel – Your Personal Investing Prophet

Extendicare ( (TSE:EXE) ) has issued an update.

Extendicare reported a strong finish to 2025, with fourth-quarter adjusted EBITDA excluding out-of-period items rising 36.4% to $45.6 million, driven by 27.3% growth in home health care volumes and contributions from recent acquisitions, including nine Class C long-term care homes and Closing the Gap. The company also increased its monthly dividend by 5%, reflecting confidence in its growth trajectory and balance sheet strength, and expanded its SGP procurement reach to 153,600 third-party and joint venture beds.

Strategically, Extendicare is accelerating its expansion in home health through a $570 million agreement to acquire CBI Home Health, a national provider that delivered over 10 million hours of care in 2024 and generated about $477.9 million in revenue and $61.9 million in adjusted EBITDA over the twelve months ended July 31, 2025. The deal, funded partly by a $200 million private placement and an upsized $214.5 million credit facility, is expected to strengthen Extendicare’s leadership in Canada’s home health market and deliver additional run-rate cost synergies once integrated, reinforcing its service-focused growth strategy.

The most recent analyst rating on (TSE:EXE) stock is a Buy with a C$24.50 price target. To see the full list of analyst forecasts on Extendicare stock, see the TSE:EXE Stock Forecast page.

Spark’s Take on TSE:EXE Stock

According to Spark, TipRanks’ AI Analyst, TSE:EXE is a Outperform.

Extendicare’s overall stock score is driven by strong earnings performance and positive technical indicators. The company’s robust revenue growth and strategic acquisitions are significant strengths. However, high leverage and challenges in the Managed Services segment pose risks. The valuation is fair, and the dividend yield adds moderate income potential.

To see Spark’s full report on TSE:EXE stock, click here.

More about Extendicare

Extendicare Inc., listed on the TSX as EXE, operates in the senior care and health services industry, with a primary focus on long-term care and home health care across Canada. Through its ParaMed subsidiary and partnerships, the company delivers publicly funded home health services, while also providing long-term care capacity and procurement services to third-party and joint venture facilities, supporting a growing national footprint.

Average Trading Volume: 293,080

Technical Sentiment Signal: Buy

Current Market Cap: C$2.34B

Find detailed analytics on EXE stock on TipRanks’ Stock Analysis page.

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