NAICS 62221Industry · 5-digitregional market

Psychiatric and substance use hospitals

This industry comprises establishments, licensed as hospitals, primarily engaged in providing diagnostic and medical treatment, and monitoring patients with a mental illness or substance use condition. The treatment often requires an extended stay in the hospital. These hospitals may provide other services, such as out-patient services and electroencephalograph services. — Statistics Canada, NAICS 2022A

Establishments · CanadaA
74
with employees · summed from 6-digit industries
Under 10 employeesA
18%
most common size: 500+
01

Size and shape

How many businesses there are and how small they are. Fragmentation is the first thing an entrant — or anyone selling software into this industry — needs to know, and it is one of the few things that is actually measured.

Canadian establishments by number of employeesA

1–41014%
5–934%
10–1911%
20–491520%
50–991115%
100–19979%
200–49979%
500+2027%

Of 74 Canadian establishments with employees, 18% have fewer than ten — an industry where large establishments carry real weight.

Where they areA

Ontario2635%
Alberta1419%
Quebec912%
Manitoba79%

Largest four provinces by establishment count. Establishments with employees only — sole operators with no payroll are not in this table, so in trades and personal services the true number of businesses is higher.

How many new establishments are still tradingA
Health Care and Social Assistance, US · opened 2020
84%
1 year
65.3%
3 years
52.6%
5 years
36.4%
10 years
opened 2015

Measured, not forecast: the share of US establishments opening in one year that were still active later. It counts good operators and bad ones together, which is exactly why it is the honest answer to “what are the odds”. It is for the whole sector rather than this market, and the ten-year figure comes from an older cohort because no younger one has reached ten years.

No US figure is shown. County Business Patterns is coded to the 2017 US edition of NAICS; this code either does not exist there, names a different industry, or is outside the programme's coverage (most of agriculture, rail, postal and public administration are). A figure is attached only where both the code and the title agree.

02

How businesses here compete

The structural profile of subsector 622, which every industry beneath it inherits. This is analyst judgment from how the subsector is organised — not research into this industry, and not a measurement.

regional competitionhigh capitalUNVERIFIEDinherited from 622 Hospitals

Publicly funded and governed in Canada. The market is in selling to hospitals, not in being one.

Who sets the price
Government.
The software it runs on
Hospital information systems with decade-long procurement cycles.
03

Market screens and studies

Market-entry records filed along this branch of the hierarchy. A record at or beneath this code is about this industry; one above it is about something wider that contains it.

Screened one level up. Nothing is filed at this exact code; the screen for 6222 Psychiatric and substance use hospitals covers it.

Operating businessScreenedfiled at 6222
Private Psychiatric & Addiction HospitalStructure decides
binding constraint: entry cost + regulatory drag

Demand is not in question, and where private entry is allowed the business exists at scale. Acadia Healthcare, a listed US pure-play in behavioural health, reported 2025 revenue of $3,312.8M, up 5.0%, across 277 facilities and over 12,500 beds, and added 1,089 licensed beds in the year [A]. The same release is a warning about the economics even where the door is open: adjusted EBITDA fell to $608.9M from $709.0M, capital expenditure was $571.8M, and the company booked a $996.2M goodwill impairment [A]. Beds are expensive to add and their return is set by payers and by regulators' scrutiny of admissions. In Canada the door is mostly closed, and that is the cut. An establishment in this code must be licensed as a hospital, and hospital status, global budgets and physician billing for psychiatric in-patient care sit inside provincial health systems. The count shows it: of 74 establishments, 20 employ 500 or more and another 14 employ 100 to 499 — the public mental-health centres — and the small remainder are units and affiliates, not start-ups. If capital were no object an entrant would still have no licence to apply for and no payer to bill. What a private operator can open in Canada is a residential treatment centre that is not a hospital, funded by private pay, employer benefits and some public contracts; that sits in 6232 and should be screened there. The hospital software sold to this industry is screened separately at 6221.

NAICS 62224 vendors named13 sourced figuresOpen →
04

Software serving this industry

The vertical software markets filed along the same branch — who sells to these businesses and who they would have to displace — and then the generic categories every business buys whatever it does.

No vertical software market has been recorded along this branch. What the subsector typically runs on: Hospital information systems with decade-long procurement cycles.

05

Who works here

The occupations employed in Health care and social assistance, most concentrated in it first. The share is measured against the whole sector, not this industry — the published cross-tabulation stops there.

Concentrated in this sectorA

These jobs are mostly done here. An operator in this industry is competing for them against others in the same industry, not against the whole economy.

And the jobs every business has

Found across at least fourteen of the twenty sectors. In a small establishment several of these are usually one person, or an outside provider.

All 162 occupations →

06

Inside this industry

1 row sits directly beneath 62221. Each has a base report of its own.

CodeIndustryEstablishments · CAWhat is known
622210Psychiatric and substance use hospitals74screened at 6222