Chief Executive Officer Andrew Sudholz has also cited funding cuts and occupancy falls for their result, which is down from $14.6 million in H1 FY17.

“Revenue and profit has been negatively impacted by Federal Government funding cuts and a temporary fall in occupancy due to the severe influenza outbreak experienced in our community during the first half of the financial year. Occupancy is now improving after this abnormal event and has recovered to 93.5%,” he said.

The company says it now expects its EBITDA to increase in FY19 as occupancy levels recover, ACFI indexation recommences and a number of its greenfield developments and brownfield developments are completed.