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Rehabilitation Therapy Services

Rehabilitation Therapy Services

Brief Excerpt from Industry Overview Chapter:

Companies in this industry provide physical therapy and other treatment and activities to help patients regain or improve mental or physical functionality following an injury or illness. Major companies include RehabCare Group, Select Medical, and US Physical Therapy (all based in the US).


Demand is driven by demographics and medical advances that increase patient survival rates and prolong life. The profitability of individual practices depends on efficient use of personnel. Large companies have some economies of scale in financial and administrative systems. Small companies compete by developing positive relationships with local health care providers and delivering superior customer service. The US industry is highly fragmented: the top 50 companies account for about 25% of revenue.


Rehabilitation therapy practices treat patients suffering from physical, mental, emotional, or communication disabilities. Services are primarily provided by physical therapists (30% of therapists); occupational therapists (20%); speech therapists (20%); and respiratory therapists (20%). Other services are provided by audiologists, radiation therapists, exercise physiologists, and recreational therapists (including art, music, and social therapists). Most industry revenue comes from fees for patient services; other revenues include lab test fees and sales or rentals of medical equipment and supplies, such as orthopedic appliances.

Industry Overview
Quarterly Industry Update
Business Challenges
Business Trends
Industry Opportunities
Call Preparation Questions
Financial Information
Industry Forecast
Web Links and Acronyms

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