Ramsay Health Care Limited · ASX:RHC
Ramsay Health Care — Macquarie Australia Conference 2021
33 slides from Ramsay Health Care's conference presentation, May 4, 2021
Slide 1: Presentation to Macquarie Australia Conference (ASX announcement)
ASX ANNOUNCEMENT 4th May 2021 PRESENTATION TO MACQUARIE AUSTRALIA CONFERENCE Ramsay Health Care (ASX:RHC) (Ramsay) is attending the Macquarie Australia Investment Conference this week. Ramsay’s Managing Director and CEO Craig McNally will deliver the enclosed presentation with accompanying speaker n
Slide 2: Macquarie Australia Conference Presentation
Ramsay Health Care 2021 International Year of Health & Care Workers Macquarie Australia Conference Presentation Managing Director & CEO, Craig McNally Group Chief Financial Officer, Martyn Roberts ramsayhealth.com
Slide 3: 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 4th May 2021. It is in summary form and is not necessarily complete. The information in this pre
Slide 4: Global Health Care Services Provider
Global Health Care Services Provider Ramsay Health Care was founded by Paul Ramsay in 1964 and delivers a wide range of acute and primary healthcare services to private and public patients from over 500 locations across 10 countries. The Group’s 77,000+ employees together with its clinical partners
Slide 5: Growth Driven by Acquisitions and Organic Growth
Growth Driven by Acquisitions and Organic Growth Revenue growth has been driven by an ongoing pipeline of acquisitions . . . as well as strong organic growth Ramsay revenue growth and acquisition history, FY98-20 A$bn Ramsay revenue, FY14-FY19 A$bn 11.6 14 Capio Group Acq. Nov’18, Europe ● 2.2 12 Op
Slide 6: Ramsay Health Care At a Glance
Ramsay Health Care At a Glance Ramsay listed on the Australian Stock Exchange in 1997 and has a market capitalisation of A$15.4bn7 and an enterprise value of $17.6bn ($22.6bn inclusive of lease liabilities). The business is diversified across geographic regions, payor sources and activity FY20 Geogr
Slide 7: Financial Flexibility
Financial Flexibility Significant capacity to fund growth opportunities Leverage and Net Debt Net Debt/EBITDA • Balance sheet remains in a strong position with financial flexibility A$’bn (x) to fund development pipeline and expansion opportunities 9.0 4.0 3.7x • WOFG¹ available undrawn debt capacit
Slide 8: Focused on Shareholder Returns
Focused on Shareholder Returns Since listing in 1997 Ramsay Health Care has generated strong shareholder returns through acquisition, brownfield and greenfield development and organic growth Growth in Revenue and Reported EBIT¹ Growth in Shareholder Returns¹ +9% FY15-19 EPS CAGR 7.5% FY15-19 EBIT CA
Slide 9: 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 10: Sustainability Agenda
Sustainability Agenda In 2020, Ramsay refreshed its sustainability strategy under the banner of ‘Ramsay Cares’¹. The strategy was developed through the prism of Ramsay’s guiding philosophy ‘people caring for people.’ Three global focus areas were identified that aim to deliver stronger communities,
Slide 11: Asia Pacific
Asia Pacific ty aN Ramsay Hea
Slide 12: Ramsay Australia at a Glance
Ramsay Australia at a Glance Financial & Operational Snapshot Ramsay Australia Overview Australian Region Growth in Revenue and Core EBIT¹ Admissions by payer type • Ramsay Australia is the largest 4% 2% private hospital operator in Australia 5% +11% Core EBIT CAGR FY15-19 PHI³ with 72 hospitals and
Slide 13: Ramsay Australian Hospital Footprint
Ramsay Australian Hospital Footprint Ramsay is the largest independent hospital operator in Australia Hospitals – Owned Vs. Leased State Owned Leased Other1 NSW 16 6 3 3 VIC 12 4 2 QLD 12 4 3 SA 3 - - 1 WA 3 - 2 72 Hospitals Total 48 14 10 5 4 Hospitals – Metropolitan Vs. Regional 5 State Metropolit
Slide 14: Brownfield expansion
Brownfield expansion A key tenet of the Australian business strategy has been growth through brownfield expansion including the ongoing optimisation of the facilities footprint FY10-FY20 total facilities expanded from 65 to 72, net bed numbers FY10 - FY20 the value of approved development projects w
Slide 15: Ramsay Sime Darby Health Care – Asia at a glance
Ramsay Sime Darby Health Care – Asia at a glance Overview Operational Overview • In July 2013 Ramsay Health Care entered a joint venture Payor mix: arrangement with Malaysian conglomerate Sime Darby Berhad forming Ramsay Sime Darby Health Care SDN Self pay Corporate & BHD c.1,600 private insurance 7
Slide 16: Australia – Update on Trading
Ramsay Australia – Update on Trading Volume recovery in the Australian market continues but impacted by snap lockdowns • Ramsay Australia reported a 4.6% increase in total patient revenue for the 3QFY21 (8.2% increase ex impact of Mildura¹) driven by: • 3QFY21 surgical admissions per work-day up 8.5
Slide 17: Update on Australia - Volume Trends
Update on Australia - Volume Trends¹ Trends in Surgical and Non Surgical Admissions per Work Day monthly % chg on pcp¹ 20 15 10 5 0 Jul-20 Aug-20 Sep-20 Oct-20 Nov-20 Dec-20 Jan-21 Feb-21 Mar-21 -5 -10 Non-surgical admissions per work day Non surgical admissions per work day ex Victoria Surgical adm
Slide 18: Ramsay UK
Ramsay UK ty aN Ramsay Hea
Slide 19: Ramsay UK at a Glance
Ramsay UK at a Glance Financial & Operational Snapshot Ramsay UK Overview Admissions by Key Services Ramsay Health Care UK is one of the 24% 28% leading providers of independent Orthopaedics hospital services in the United 943 930 $’m General Surgery Kingdom, with a network of 34 acute 874 hospita
Slide 20: UK – Update on Trading
Ramsay UK – Update on Trading Ramsay UK has been the leading provider of independent healthcare services to the NHS since the start of the pandemic • Ramsay operated under a revised volume-based transition agreement with the NHS England (NHS)¹ from 1 January 2021 through 31st March 2021 • As a resul
Slide 21: Ramsay Santé
Ramsay Santé ty aN Ramsay Hea
Slide 22: Ramsay Santé - Europe at a Glance
Ramsay Santé - Europe at a Glance Financial & Operational Snapshot Ramsay Santé Overview Revenue Growth A$’m European Revenue by payor • Ramsay Health Care owns 52.5% of 6,398 Ramsay Santé which is listed on the 5,428 10% 6% European financial markets platform Euronext. Predica a subsidiary of Crédi
Slide 23: Ramsay Santé - Europe at a Glance
Ramsay Santé - Europe at a Glance Between 2015 and 2020, Ramsay Santé has shifted from being the leader of private hospitalisation in France to a leader in Integrated Care in Europe 22 Macquarie Australia Conference May 2021
Slide 24: Ramsay Santé – Update on Trading
Ramsay Santé – Update on Trading Ramsay Santé continues to take a leadership role in treating critical COVID patients • On 16 April 2021 the French Government issued a new decree providing support for Ramsay Sante’s operations from 1 January 2021 to 30 June 2021¹ • Ramsay Santé continues to play a c
Slide 25: Summary
Summary Ramsay remains well placed to benefit as regions emerge from COVID restrictions • 3QFY21 earnings have continued to be impacted by the pandemic in all regions • Ramsay Australia has experienced an ongoing recovery in surgical admissions and a slow but improving rate of increase in non-surgic
Slide 26: Questions
Questions
Slide 27: Presentation Speech 4th May 2021
RAMSAY HEALTH CARE Macquarie Australia Conference – Presentation Speech 4th May 2021 Slide 1 Good morning everyone and thank you for joining us. The presentation today has been structured to give those of you who don’t know us well a brief overview of the Company as well as providing a broad update
Slide 28: Speech notes: diversification and financial flexibility
Slide 5 One of the other key benefits of our growth over the years has been the diversification benefits which you can see on slide 3. While COVID has distorted some of these numbers you can see that our earnings are differentiated by geography, payor source and activity. The benefits of this to sha
Slide 29: Speech notes: sustainability and Asia Pacific
Our commitment is further evidenced by the recent refinancing announcement by Ramsay Santé which seeks to combine our convictions in this area with the optimisation of our financing costs. For the first time, Ramsay Sante’s new syndicated debt includes social and environmental criteria. The applicab
Slide 30: Speech notes: Australia trading update
admissions in FY21 however PCR testing in most of our facilities, combined with assistance with the rollout of vaccination programs has supported earnings during the pandemic. Slide 15 Moving now to a third quarter trading update in Australia. The trends we spoke about at the interim result have con
Slide 31: Speech notes: UK overview and trading
Slide 18 A quick overview of the business which is one of the leading providers of independent hospital services in the United Kingdom and the leading supplier of independent services to the NHS which has seen us provide critical support to the public sector throughout the pandemic. The UK market ha
Slide 32: Speech notes: Ramsay Santé overview
Slide 21 Ramsay owns 52.5% of Ramsay Santé which is listed on the European financial markets’ platform Euronext. Predica, a subsidiary of Crédit Agricole, owns 39.6% of the business. Ramsay Santé is the second largest private care provider in Europe operating specialist clinics and primary care unit
Slide 33: Speech notes: Ramsay Santé trading and summary
business in Norway and higher volumes in Denmark. Elective surgery restrictions in Sweden have for the first time been introduced in April. Ramsay Santé is assisting with the rollout of the vaccine where possible. A return to a more normal trading environment we believe relies on an acceleration of
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