Sonic Healthcare Limited · ASX:SHL
Sonic Healthcare — FY2006 Earnings Presentation
31 slides from Sonic Healthcare's earnings presentation, Aug 22, 2006
Slide 1: MD Presentation Full Year Results 30 June 2006
(UVTI eases SUS TES hi eae ASUS A UNI Ns I ie I ue a iii lini i iieaeesasssssnte Paonia ia ne ia a ic Ail aa ay iil . ii i. iii Si ne geet cunt cou CoRR RUE CCC RCO zi a ii su ‘i Kai ‘i zi Rigi is ‘Ki L it Raat caine i i 7. if eu D oe DLL) 7 ' : i eeianeienn TANASE EG ae _ al | i ie il ic ic ae ae i
Slide 2: 4] SONIC
4] SONIC 7 HEALTHCARE
Slide 3: Full year results highlights
‘Dacia eee os Us EBITA i = 1% = = — | [operating Gastfiow its acme 1 EPS saan " UU | 7 ae i fi a ad : | Dividend (full-year td Pe Sa ||...
Slide 4: Revenue
oo a _ _ _ - - / 2 co - a coe tet at: 4 oe - ae _ | a _ LL a nin Le Le LLP _LP_LPL_L_LPL__L_L_L_LLL__L_LLVLOL_L_E____ ae Me La ee L———————<—<—<——C— ee a Via ee 1) LL LL We s set ) EN an getline a E foal a a Sail ial ct PE pee oS : a. = — : ee oe ge LA es | : , a Toe fe Revenue Tadlein oe oer a mre c
Slide 5: Off-shore laboratory revenue growth
Off-shore laboratory revenue growtt + TDL. (UK) revenue growth over.10%, 2 New Zealand pathology reported lower growth, rates @ SONIC . i HEALTHCARE
Slide 6: )).O!O”*C*” ; i
ee _ a , )).O!O”*C*” ; i i ee ae x a . : LO MKKK KIS AS a Z ii) oe ae Le Lo 7 LD - i Cy KK TTT 7 Lys TOG an LL ee Le Ls OG) ey sce oe : if Z Lo a , : Lo i 1h LETS on [one ce Ge Z a LE SESE Oe fa a Le nan a Tn a) Es FE) Li j a oa. e ee i ee ae i ee : Ut ITT eee 2 eee ee is 1 Ce cy LS Ee LLL ae ate NS
Slide 7: 4] SONIC
- e 4] SONIC 7 HEALTHCARE
Slide 8: EBITA, EPS and cash flow
Oe a 2 oe oC a _ . = . aa ce [| ae . 2 oo _- - Se a. a a . Le a - a LL eae Le on nnmnnen _ +~306.0 oo 7 2 1% /EBITA, i Te” 0—6™hlUr—— @ a Aon a ‘2% (7 (ents). EPS Cash san a _ ai tL La Cty | l _ 1 ra | - + ~~ ~?~CDP)D)DVPE$8»ll §»._§Eg-_-_-' = ~ _ . : : si ee A <£<KKKKKK<K KS SDI “ithsanmegie set @
Slide 9: Core EPS history
DS Hest SEE eee Sl i ue ip _ ig _ it a eae oy —————————————————————— Ln Li Ms ei 0) ee m al Hs 2 ne We RO 7 LA i iil ion 1 1 si me ae cn ana) ae Te Le L222 : <r o LASSI sesenesanved OM nianananll ee ] Le) ee a0 Se utes 7 a | ee Us a aE) DLA ee ae M7 Ss Lo 2 TT ES A) Lo nn 7 Cents 30.0 ____ a | an .
Slide 10: EBITA margin history
eee Pe ES INS - Lee . . . | | ie - a ae 7 5 oe : i | an ia : AU 7 _ : a a . ted ee 2 j Ma ae 2 Z L777 La oe Le Li ME ee en \s Serre ear ; a ~~ 2 eel ee Vy : ee Z Cb ee i E La Gs: ae Ce Le Oe A 5 a ae a Ere et RM MSSM Tee ne mie i i is i Ci ie een So i es iS i ae Cae MiG Pe Te Ne a i i LSS oh 4 D Lp
Slide 11: Slide 11
Slide 12: SE ST GET
SE ST GET . a a me o _) _ . a - . _ . a La oD ay “ Vo EEE i 0 2 mts LLL LLL Li es Ll OO LLL SSS Lo Ca Ce am LL LL SSS SSS yy SS Le Te 2s Ln Ss LL Lo Lie LEN La a. ly gr LL La) Ve Le Lo Lean 22s LE Ls Li neal A —— see ee AD), Ee gle Vy “ Wy ~ apap ——————K——— ££ a) Le Le, Le ie iE i Te (og) Berni nee
Slide 13: Dividends
Te : G cL ae ee 1 2 : . _ | : - KC iii i Sas LL LS Lp) i Le oy MKD KLM MG LEE ee Lo ae TT ec ee Pe a Os _ ic EGNOS ONSITE sexu ~ ~ ents sen 0 ene SS Interim Div’ jidend : i iL. ae ) om ee a aD 7 TT Le eee | Final poh Dividend - GE enna Da 4 i i 4320 es Le aes er aa Ge ny LAST TEE ey, Sal Li MS hae D
Slide 14: Total interest-bearing debt
'| Total interest-bearing Debt 4] SONIC HEALTHCARE
Slide 15: Apollo LIS - Sonic's laboratory information system
Apoll LIS -.Sonic’s HEALTHCARE Implementation suEt All Sonic Australian labs will be using Apolio syster Benefits of single Sonic LIS include increa f
Slide 16: 2) SONIC . : : i] a
2) SONIC . : : i] a HEALTHCARE ; ey ee
Slide 17: Earnings Margins
Se / 2 2 ——— 6 6h lLULULULDLULUrLrlrlrl Doesnt My EE ES aS oe SONIC HEALTHCARE ae - eye re LSS a Lan S| la ih Me ee Margins n: paced in as ce) HE ie ns es * we Sa out a he Facilitating ch pro ein. In-house development by S Jie es y conti ms perations an ion oe ee ieee ‘ ont 6 ie ak fi i ie id drivin
Slide 18: Radiology revenue share
oo Le Bo) y i LLL) ___ |EEE——-—--_ SS Le LL LLL__________________LLLL__ ESL 2 LEE :: —E |:|::-/s|l> Li Lay Ee LLL ee Ls 2 SSS SS SSNS SSS SS NSS SSN MN SNS ON enn CON aE aE 1 imine ~- iat — a 7 — — rrrrr—=s—F=* Oe ,rrrrr— eh Dl _ . - LLL y . i Le Sa 5 5 Vy, _ — i le Ss La a... = AUTRE eau ae ae ae a
Slide 19: Radiology
a vy SONIC HEALTHCARE ey A Cy 7 ee Lo Teer el ince _. et GE a ogy : re C7 en sure J ye ut 9 ay a La ee c 10 Dy ulfilm Te mal underway ts’ Trans Se alee core efficiency LLL LLL LEME ALAS s 22 7 teenie 7 a ee ee i 0 es So y Oe L$ DD La int ao ae
Slide 20: Fee reduction decision
a position to prese e_~ No.rationale for fee redu e Decision expected soon 4] SONIC ~ HEALTHCARE
Slide 21: Slide 21
Slide 22: Community pathology contracts
All. community patho .. Until the present, contracts Ww e Government contracts for laboratory. services u! « .. No.government-controlled contr : + DML experience cannot occur 4] SONIC S HEALTHCARE
Slide 23: @ SONIC . : l
@ SONIC . : l HEALTHCARE i ey es
Slide 24: New Zealand pathology
Lo Ls Te in oe thoes Le, Cen 0 a Rest of . Sonic. ~. 93% SONIC 7 HEALTHCARE ue et i) Ls ey I, EL _ SAE Li on a he pp LE LL 0 NE La A Ly id GG a i oy Ly Li oy, ih LA a Coo SE Mg LL TE LL L255 KILL Te Ce 20 CLC LL LLL LL a em ey La Le in yy a ie Ly 2 LSS ED wo Lp EEE es o Lo Ly Lo Le EE LE ce LL 2 Cy
Slide 25: Labtests contract award
SONIC HEALTHCARE Owned 76.7% by Healt i Dr Bierre (CEO-of Labtests) was. contract to Labtests ©... Labtests’ winning bid is priced below, DML’ Labtests do not have any operations yy Le ‘Mathias hich_awarded the staff
Slide 26: DML contract loss
«HBS have awarded NZ$560 operation + 750 staff will no longer be able to wo «DML Pathologists, scientists, other staff d 4] SONIC 7 HEALTHCARE
Slide 27: DML litigation
“+ DMLipattiologist +. Public hospital pi ¢ DML Staff : + Outraged at decision, committe ° Litigation en + .DML has launched legal actior’ (Judicial Review) ‘to determ : + Hearing set down for November 20067 -e Sonic and DML. will fight to.overturn «A watershed moment in NZ healthcare,” SONIC 7 HEAL
Slide 28: Off-shore acquisitions: CPL
~«... Volume/Revenue g «CPL performance in line v dg .+ CPL has signed binding agreement « CPL/Sonic progressing negotiatio "8 ; Off-shore Acquisitions 4] SONIC ~ HEALTHCARE
Slide 29: UK NHS outsourcing opportunity
ae o rom CRO ——————E EEE Eee EEE ————— — — _—_ LI EEE EE EE Ss Wy Se LMM EES eee) lic Pri Pr artnersh si hip ip with UCLH operating oe ~ = = Scnin : . _ op oe ll OE ee NHS 0 orarsit oa Hs aiiowig KML ATE ig Lord Carter report on NHS outsour 4 Recome to curr tpt OE vate sector invo ements CU” a 2000
Slide 30: Focus on revenue growth and outlook
LG WE DP ee) ee foe pe ue err FOCUS On rev ap fo apni a ee no Ee SONIC 7 HEALTHCARE Li, re laborator an ay) neces ; : 1 Sonics eraeth wi I ae fale . | ee Ee Li Le a) ae on Si ee Te wh up ae 0p Li Ls 7 Le ngit ’ CoG Me ee remains owth, a rain expa & fuelle poe nO acquisi Sit HONS EL LLL LL LASSI 2 EE
Slide 31: POT
POT ae Wi Mi A L o ie | HEALTHCARE Bie Be LT A LLU ul oo MLL LLL! GSN ul Co }.}.”2”©§=»)»)—ChCOCCC _ _ i sy ; ne / a SHS nny av na _ oo a) La OLE — i o | a al i ie oo cay MMM EME eae Ns MCL USM AST LT LO. Cp _ LT L a Ly MME ET as ante Pia a iis Mn nN MK KAMAN ‘ ) ce LL ee i Vino LL SSGMAILUA Ss i Lo