Encompass Health opened its 50‑bed Rehabilitation Hospital of Lake Worth on December 2, 2025, adding new inpatient rehabilitation capacity in Florida. The facility, located in Lake Worth, strengthens the company’s position as the largest owner and operator of inpatient rehabilitation hospitals in the United States.
The new hospital is part of Encompass Health’s broader strategy to expand in high‑growth markets and capitalize on the growing demand for inpatient rehabilitation services driven by an aging population and increased prevalence of strokes, brain injuries, and complex orthopedic conditions. The Lake Worth location serves a densely populated region with limited access to specialized rehab care, allowing patients to recover closer to home.
Encompass Health’s Q3 2025 results showed a 9.4% increase in net operating revenue and a 19.4% rise in adjusted earnings per share, reflecting strong demand across its core segments. The company raised its full‑year 2025 guidance for net operating revenue and adjusted EBITDA, signaling confidence in continued growth and operational leverage.
The opening of the Lake Worth facility is expected to contribute to the firm’s operational leverage strategy by adding scalable capacity that can be deployed to meet patient demand without proportionally increasing fixed costs. The 50‑bed hospital will enhance same‑store discharge growth, allowing Encompass Health to capture patients discharged from acute care hospitals more efficiently.
Management emphasized that the expansion aligns with the company’s focus on underserved markets and its commitment to high‑quality care. CEO Mark Tarr noted that the Lake Worth hospital will enable patients in the community to recover closer to home, reinforcing Encompass Health’s mission to provide accessible, high‑standard rehabilitation services.
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