Retirement and aged care provider IRT Group has reported a significant profit decline despite recording strong revenue growth, as the company embarks on major redevelopment projects across its Illawarra facilities.
Financial Performance Amid Transformation
The company's annual financial results reveal a complex picture of growth and investment. Total revenue increased by 11.2 percent to reach $392.1 million, demonstrating strong operational performance. However, this positive revenue trend was offset by decreased investment income and rising operational costs.
IRT's net profit for the year fell to approximately $34 million, down from about $43 million in the previous financial year. The decline was primarily attributed to reduced fair value gains on investments and the absence of one-off acquisition benefits that had boosted the previous year's results.
Major Development Projects Underway
Despite the profit dip, IRT is pushing forward with substantial redevelopment plans that will transform aged care facilities across the Illawarra region. The company has secured development approval for significant upgrades to two key facilities.
The Diment Retirement Village in Wollongong, originally constructed over fifty years ago, will undergo comprehensive refurbishment of all 102 residential units. The project also includes creating new communal open spaces and completely redesigning the building's external appearance. Work is scheduled to commence before the end of 2025.
Meanwhile, the Marco Polo Aged Care Centre in Unanderra will benefit from a $15.8 million grant through the Australian Government's Aged Care Capital Assistance Program. The refurbishment will begin in 2026, starting with two wings of the facility before moving on to the Cordeaux Lodge section.
Leadership Transition and Strategic Vision
The financial year also marked a significant leadership change for the organisation. Long-serving chief executive Patrick Reid departed in June 2025 after eight years at the helm. Ross Gallagher assumed the CEO role on July 31, 2025, bringing fresh perspective to the company's strategic direction.
Gallagher acknowledged his predecessor's contributions during challenging times, including navigating the Aged Care Royal Commission, implementing new quality standards, and managing through natural disasters and the global pandemic.
"Our priority with these developments is to create environments where older Australians can live with confidence and comfort," Gallagher stated. "Connection, safety and belonging are central to every community we design."
The company has also submitted a State Significant Development Application to the New South Wales Department of Planning in July 2025, following the demolition of several buildings in November 2024, indicating further development plans are in the pipeline.
IRT maintains that its foundational commitment to providing dignity, connection, and choice for older Australians continues to guide all strategic decisions, even as the aged care sector undergoes its most significant reforms in decades.
