Learn To Invest
Stocks Special Reports LICs Credit Funds ETFs Tools SMSFs
Video Archive Article Archive
News Stocks Special Reports Funds ETFs Features SMSFs Learn
About

News

Ramsay's Australian arm boosts FY profit

Simone Ziaziaris  |  30 Aug 2017Text size  Decrease  Increase  |  

Page 1 of 1

SYDNEY - [AAP] Ramsay Health Care (ASX: RHC) has lifted full-year net profit 8.6 per cent to $488.9 million on the back of growth in admissions and procedural volumes across the company's Australian business.

The country's largest private hospital operator said revenue from services for the year to June 30 grew marginally, up 0.2 per cent, to $8.7 billion, from $8.68 billion a year ago.

Managing director Craig McNally said growth across Ramsay's Australian arm helped deliver strong revenue and earnings (EBIT) growth, while its international business also performed well amid challenging tariff environments.

"Australia remains the powerhouse of our business and delivered another year of impressive earnings growth, driven by strong demand and our brownfield developments," Mr McNally said in a statement on Wednesday.

Mr McNally said the company had continued to invest heavily in the Australian market with the opening of two new facilities--The Southport Private Hospital in the Gold Coast and the Border Cancer Centre in Albury--this financial year.

The Australian and Asian sector contributed $4.7 billion in revenue, up 7 per cent on a year ago, and $649.6 million in earnings (EBIT), up 13.6 per cent.

Ramsay's business in France delivered $3.31 billion, up 0.3 per cent, while operations in the United Kingdom grew 4.6 per cent to $729.9 million.

Mr McNally said the company expects strong growth in its Australian hospital business to continue in the year ahead and its business in its international markets are well positioned.

For the 2018 financial year, Ramsay is targeting core earnings per share growth of between 8 and 10 per cent on the current year's 261.4 cents.

AUSSIE ARM DRIVES PROFIT GROWTH:

* Net profit up 8.6pct to $488.9m

* Revenue up 0.2pc to $8.7bn

* Fully-franked dividend of 81.5cps, from 72 cents

 

AAP logo image

© [2017] Australian Associated Press Pty Limited (AAP) or its Licensors. This is the Morningstar service with content provided by AAP where indicated. AAP reserves all rights, including copyright, in services provided by it. The information in the service is for personal use only, does not constitute financial product advice (whether general or personal) and may not be re-written, copied, re-sold or re-distributed, framed, linked or otherwise used whether for compensation of any kind or not, without the prior written permission of AAP. You should seek advice from a professional financial adviser before making decision to acquire or dispose of a financial product.

This service is published for general information purposes only without assuming a duty of care. AAP is not in the business of providing financial product advice (whether personal or general advice), and gives no warranty, guarantee or other representation about the accuracy of the information or images contained in this service. AAP is not liable for errors, omissions in, delays or interruptions to or cessation of the services through negligence or otherwise. The globe symbol and "AAP" are registered trademarks.