SwanCare 2018 Annual Review

2018 Annual Review The transformation begins

1

Chairperson’s report 2018 has seen the fruition of an evolution of SwanCare.

While the expansive construction works currently underway at Bentley Park have undoubtedly resulted in some short-term inconvenience, the collective mindset remains firmly focussed on a bright future.

SwanCare is in the fortunate position to offer residents peace of mind that their needs will be cared for, while they enjoy being part of a vibrant and engaging community. The new developments will only strengthen this offering and bring the organisation forward into the 2020’s and beyond.

SwanCare is well positioned to deal with the current challenges facing the aged care industry including funding issues, increasing demand for both in-home care and residential care, a Royal Commission and the ever increasing complexity of care requirements of residents entering care facilities.

The Board and executive team at SwanCare have undertaken both careful planning and confident action to ensure we maintain our position as one of Australia’s leading providers of care and accommodation.

2

I would like to say thank you to the Board of SwanCare and the senior leadership team for their continued focus on the key vision of SwanCare – to enrich to lives of everyone in our community. Of particular note, Julian Keys and Doug Yorke this year completed their full tenue of nine years’ service on the Board. Julian and Doug have made significant contributions to shaping SwanCare as a resilient and future-driven organisation, so we thank-you very much.

I am proud to present you with the 2018 SwanCare Annual Review.

Etta Palumbo

CEO’s report The past financial year has been a challenging one for the sector as a whole, with a freeze on Government funding, a suppressed real estate market, a highly competitive and regulated marketplace and the continual upward pressure on pricing. Despite all of these combined elements, SwanCare still managed to produce an operational result that aligned us with the top quartile of Australian Aged Care Operators, and a National Survey of Australian retirement villages earned us an incredible Net Promoter Score of 61, which was almost three times higher than the national average of 22.

Our sustained success as an organisation is the result of hard work and planning by a dedicated and committed team of over 350 employees that continually strive to ensure that our residents are provided with the quality care and support that enables them to live a truly enriched life.

As a non-profit organisation, all profits are invested back into capital improvements, upgrades and additions to our amenities and facilities - thus the $60M of capital investment which is now underway.

Supported by our residents, this year SwanCare secured development approval to proceed with our leisure precinct and aged care facility developments,

which was swiftly followed by the appointment of builders, the first turning of the sod, and the rapid progression to full-scale construction.

Our new $40M, 124 room state-of-the-art care facility – SwanCare Ningana – is being constructed which will establish a new benchmark for residential care living in WA. In addition, the new $20M leisure and wellness precinct in the heart of Bentley Park will provide heightened amenities and social recreation opportunities for not only our current residents but for the many future generations that will make SwanCare their home.

We are very excited about the future opportunities, but we are also acutely aware that the next few years are going to be full of some major challenges.

We have prepared ourselves well for the head-winds that await, and our team of talented and highly skilled employees, together with the strong strategic leadership from our Board and senior management will ensure that SwanCare remains WA’s premier integrated provider of care and accommodation services.

Graham Francis

3

Major achievements 2018 Corporate & administration

4

•

Kim Hocking and Judd Dyer appointed to the Board. Julian Keys and Doug Yorke retire after nine years of service.

•

The Bentley Park Road Map document was completed outlining the future development plans and objectives for the Bentley site.

In addition, a detailed review of the SwanCare Constitution was completed.

•

The Hub Marketing and Communications was appointed as SwanCare’s new communications and marketing consultancy, resulting in a heightened presence in the media, with notable coverage on multiple TV news broadcasts, print and social media.

‘The Grass Really Is Greener’ retirement living campaign was also unveiled followed by a comprehensive advertising campaign.

•

A refreshed version of the Bentley Park newsletter Tidings was launched alongside a new website.

•

SwanCare’s banking services tender was completed, with National Australia Bank successfully selected.

Human resources

•

SwanCare’s Employee Value Proposition was developed to articulate why SwanCare is an employer of choice. The “Improving lives 58 times a day” video was produced during this process, which resulted in more than 8,700 views on social media.

•

Retention and recruitment consultancy Employer Branding Australia was brought on to assist in the development of a recruitment strategy for future care operations.

•

BT Lifetime Super was approved as the preferred superannuation provider for SwanCare.

•

SwanCare’s award-winning staffing program Feathers continued to progress with an upgraded online platform, monthly nominations and twice-yearly staff celebrations.

•

The annual employee survey achieved an increased participation rate of 5% and an average staff satisfaction rating of 94%.

•

Pulse surveys in each major area have been implemented to compliment the annual employee survey in monitoring staff satisfaction levels.

•

The payroll and human resources platforms were upgraded. HR21 has evolved to a more intuitive and interactive platform which enables more functionality for employees, managers, and payroll.

This reduces paper wastage and improves communication between both employees and departments.

5

SwanCare At Home

6

•

SwanCare At Home continues to grow with an increase in Home Care Package clients living in the community and an overall increase in Home Care Plus clients.

•

Increased capacity to service higher-level home care packages – level 3 & 4.

•

Successful transition of hospitality cleaning services to Home Care Plus.

•

Increased short term assistance after hospital discharge through Home Care Plus.

•

Had a number of clients transitioning from another provider to SwanCare At Home.

•

A full-time administration support officer appointed to assist in the coordination of the various home care packages serviced

Residential care

•

All SwanCare care facilities underwent unannounced re-accreditation. All were was successfully awarded full compliance of all 44 standards, and a re-accreditation until July 2021.

•

Hearing screening has been organised by the residential care team for both care and retirement living residents, with more than 30 residents having their hearing checked and further appointments booked.

•

Spritz Café upgrade included a new point of sale system, duty statements and work processes.

•

Unique to WA and Australia, the partnership between SwanCare and Boronia Pre-release Centre for Women continues, with positive results for both organisations.

•

SwanCare has strengthened its position as a partner in the training and development of university students.

Programs included:

•

•

Curtin Medical School’s Senior Citizen Partnership Program in its second year, with a new cohort joining in 2018.

•

Curtin University Master of Dietetics students analysis of the SwanCare menu.

•

Graduate Nurse Program with Notre Dame University provide opportunities for registered nurses to obtain specialist postgraduate qualifications in a clinical environment.

Waminda Action Plan sees operational changes and improved service delivery to its residents and staff. Initiatives included: •

Splitting floors between registered nurses.

•

Registered nurse-led evening leadership and coaching provisions implements.

•

Employment of new ACFI Officer and an additional lifestyle team member.

•

Additional staff training opportunities around leadership development, planning & documentation, and time management.

7

Retirement living

8

•

Retirement Village National survey results released. SwanCare achieved a Net Promoter Score score of 61, whist the National Average was 22.

•

A number of key service contracts reviewed, including: •

New security contract awarded to Southern Cross Protection

•

New grounds, gardens and landscaping contract awarded to Prestige Property Services

•

Painting services contract renewal awarded to Perrot Painting

•

Implemented and activated customer relationship management (CRM) solution for retirement living, using the Salesforce platform.

•

Due to adverse market conditions, it was decided not to proceed with the third stage of Australind Rise.

•

Professional styling and photography sharpens SwanCare Bentley Park’s property portfolio. Virtual tours available of properties for the first time.

Property portfolio

Mavis Cleaver Court Apartments, 1 Bedroom

Mavis Cleaver Court Apartments, 2 Bedroom

Private Terraced Homes

Contemporary Villas

Spacious Villas

Federation Style Villas

Akora Apartments

Drummond Apartments

Plantation Apartments

9

New developments

Residential care developments •

SwanCare Waminda underwent a refurbishment with new or upgraded dining, leisure and work spaces.

•

The name for SwanCare’s new residential aged care facility was announced: SwanCare Ningana.

•

Development approval was received for the new aged care facility and the first sod was turned shortly after.

•

ADCO Constructions appointed builder of SwanCare Ningana.

Retirement living developments

10

•

Completed the construction of the refurbishment of the old cottage units on Adie Court to accommodate the relocation of the Bentley Park Grocery store and hairdresser.

•

Development approval was received for the construction of SwanCare Bentley Park’s leisure precinct project in conjunction with SwanCare Ningana, with ADCO Constructions appointed as builder.

•

Agreed to include the construction of the three storey stand-alone carpark as part of the leisure precinct redevelopment.

SwanCare Ningana artist’s impressions

Leisure precinct artist’s impressions

11

SwanCare in the news News clippings from a year of media coverage

12

13

2017- 2018 Financial Year Profit & Loss Statement 2018 ($’000)

2017 ($’000)

Government Funding

19,339

18,101

Accommodation Fees & Charges

13,751

12,730

Other

2,297

3,028

35,388

33,860

Depreciation Employee Benefits Finance Costs

2,310 18,911 692

1,656 17,596 822

Maintenance

1,874

1,680

Utilities Resident Food Services

992 1,136

1,006 1,007

Other Expenses

3,839

3,796

29,754

27,562

5,633

6,297

Income

Expenditure

Net Underlying Surplus What We Earned - Income

What We Spent - Expediture

Other 9%

Other expenses 14% Deprecia on 6%

Government funding 53%

Resident food services 4%

Accommoda on fees & charges 38%

U li es 3% Maintenance 6% Finance costs 3%

14

Employee benefits 64%

Balance Sheet 2018 ($’000)

2017 ($’000)

Cash & equivalents

32,244

27,616

Property, plant and equipment

98,915

94,064

Investment property

158,712

167,414

Other

449

711

290,321

289,805

Trade & other payables Provisions Borrowings

2,255 2,790 10,000

5,317 2,659 10,000

Bonds

49,340

48,796

Residents loans

93,617

93,553

158,002

160,326

132,319

129,479

Assets

Liabilities

Total Equity

What We Own - Assets

What We Owe - Liabilities Provisions 2% Trade & other payables 2%

Other <1% Cash & equivalent 11%

Property, plant & equipment 34%

Borrowings 6%

Investment property 55%

Bonds 31%

Resident loans 59%

15

www.swancare.com.au

info@swancare.com.au

26 Plantation Drive Bentley WA 6102 16

(08) 6250 0000