Ramsay Health Care Limited · ASX:RHC
Ramsay Health Care — H1 FY2021 Earnings Presentation
23 slides from Ramsay Health Care's earnings presentation, Feb 25, 2021
Slide 1: FY21 Interim Result Presentation
Ramsay Health Care 2021 International Year of Health & Care Workers FY21 Interim Result Presentation 6 months ended 31st December 2020 Managing Director & CEO, Craig McNally Group Chief Financial Officer, Martyn Roberts ramsayhealth.com
Slide 2: Important information
Important information The information in this presentation is general background information about Ramsay Health Care Limited and its subsidiaries (Ramsay Group) and their activities and is current as at 25 February 2021. It is in summary form and is not necessarily complete. It should be read toget
Slide 3: Agenda
Agenda 1. Key Themes 2. Response to COVID-19 3. Group 1HFY21 Financial Highlights 4. Segment Regional Highlights and Performance Outlook 5. Group Financials Group Performance Overview 6. Strategic Direction and Group Outlook 7. Questions Segment Performance For further information please contact: Ke
Slide 4: Key Themes
Key Themes Continued to support the public sector response to the pandemic across all regions, strong relationships with government stakeholders developed Result reflects operational and financial resilience despite ongoing disruption Strong balance sheet supports continued investment in the busines
Slide 5: Response to COVID-19 – People Caring for People
Response to COVID-19 – People Caring for People Ramsay continues to work with the public sector supporting the response to COVID-19 Caring for Caring for our Caring for our Leveraging our patients employees communities our scale 5 Results Briefing – Six months ended 31 December 2020
Slide 6: Group 1HFY21 Financial Highlights
Group 1HFY21 Financial Highlights Operational and Financial Resilience Despite Pandemic Disruption • Revenue from patients and other revenue, declined reflecting Result $’m % chg operational restrictions across the regions and lower demand for non-surgical services Revenue from patients and other re
Slide 7: Australia - Highlights and Outlook
Australia- Highlights and Outlook Result for the 6 months to 31st December ($’m) Result Overview +1% • Restrictions on activity over the period as Victoria operated under a viability agreement with the Government from 23rd July. All restrictions lifted in late November. Impact of -21% restrictions $
Slide 8: Trends in Australian Hospital Admissions
Trends in Australian Hospital Admissions Admissions per work day benefiting from lifting of restrictions in Victoria and latent demand for non-surgical services % 8 Results Briefing – Six months ended 31 December 2020
Slide 9: Australia - Continued Investment in Brownfield and Greenfield Developments
Australia - Continued Investment in Brownfield and Greenfield Developments Completed in H1FY21* • $16.3m • 34 gross beds (net - 6) • 2 theatres (net 0) • 17 oncology chairs (net 7) Approved in H1FY21 • $68m • 56 beds (net 17) • 2 theatres • 18 Consulting Suites Completion forecast FY21 • $129m • 159
Slide 10: Europe – Highlights and Outlook
Europe – Highlights and Outlook Result Overview Result for the 6 months to 31st December ($’m) 3,135 • Received payments from the Government in France for revenue and cost support and cost 3,111 -1% support in some parts of the Nordics for the use of Ramsay facilities and capabilities 533 • The resu
Slide 11: United Kingdom – Highlights and Outlook
United Kingdom – Highlights and Outlook Result for the 6 months to 31st December ($’m) Result Overview • Ramsay operated under a revised agreement with the NHSE¹ for the six month period that -82% allowed for the return of some capacity +8% • Revenue from patients declined 82% on the pcp reflecting
Slide 12: Ramsay Sime Darby – Highlights and Outlook
Ramsay Sime Darby (RSD) – Highlights and Outlook Result Overview Contribution from Asian JV ($’m) Six months ended 31 December • No restrictions on elective surgery in Malaysia or Indonesia over the period. However movement controls impacted patient volumes 12.5 ↓22.4% • Government directive in Hong
Slide 13: Group Financials
Group Financials Group CFO Martyn Roberts
Slide 14: Group Performance 1HFY21
Group Performance 1HFY21 • Revenue from governments under COVID-19 support contracts Six months Ended 31 December A$'m 2020 2019 (%)chg reflects payments made under arrangements with the Victorian Revenue from patients and other revenue 5,916.6 6,332.5 (6.6) Government in Australia and the NHSE¹ in
Slide 15: Cash Flow
Cash Flow • Working capital reflects the timing of payments under the Six months ended 31 December A$'m 2020 2019 Chg (%) agreement with the French Government EBITDA 1,039.0 1,048.2 (0.9) Changes in working capital 349.4 187.5 86.3 • Financing costs benefited from lower average interest rates Financ
Slide 16: Capital Employed
Capital Employed • The timing of payments under government support A$'m 31/12/2020 30/06/2020 Chg (%) arrangements in France inflated working capital at the end Working capital (1,225.0) (875.6) (39.9) Property plant & equip 4,466.6 4,447.2 0.4 of the period Intangible assets 4,203.3 4,246.1 (1.0) •
Slide 17: Leverage and Capital Management
Leverage and Capital Management Leverage and Net Debt Net • Balance sheet remains in a strong position with financial flexibility A$’bn Debt/EBITDA (x) to fund development pipeline and expansion opportunities 9.0 4.0 3.7x • WOFG¹ available undrawn debt capacity and cash headroom is 8.0 3.5 3.4x A$2.
Slide 18: Strategy and Outlook
Strategy and Outlook Managing Director and CEO Craig McNally
Slide 19: Group Strategy
Group Strategy Create the leading ecosystem for patient-centric, integrated care Growth Efficiency Sustainability Driving stronger growth Developing new growth Strengthening the core from the core platforms Organic Growth Acquisitions Operational Excellence Leverage strong market Disciplined strateg
Slide 20: Group Outlook
Group Outlook • 2HFY21 results will be dictated by the shape of the pandemic curve in each region • Early data suggests vaccine rollouts are reducing the number and severity of cases but uncertainties remain • Costs associated with operating in a COVID environment will continue but are gradually red
Slide 21: Appendix
Appendix ‘ itt aN Ramsay Health Care
Slide 22: Partnerships with Government
Partnerships with Government During the year ended 30 June 2020, Ramsay entered specific contracts with various government bodies to make its facilities and services available to assist with the government responses to COVID-19. In the six months to 31 December 2020, Ramsay continued to provide supp
Slide 23: ramsayhealth.com
4 itt aN Ramsay Health Care