Ramsay Health Care Limited · ASX:RHC
Ramsay Health Care — Macquarie Emerging Leaders Conference 2004
14 slides from Ramsay Health Care's conference presentation, May 6, 2004
Slide 1: Macquarie Emerging Leaders Conference 2004
Macquarie Emerging Leaders Conference 2004 Pat Grier, Managing Director Thursday 6 May 2004
Slide 2: Overview
Overview Second largest operator of private hospitals in Australia and the largest listed operator. Growth prospects are bolstered by: ¾ Ageing population ¾ Increase in private health insurance membership Proven management track record Quality and strategic positioning of assets Diversifie
Slide 3: Overview – Growth Strategy
Overview – Growth Strategy Growth strategy ¾ Organic growth through micro-management ¾ Target lower risk, higher returns through investment in existing hospital portfolio and capacity expansion ¾ Actively investigating growth opportunities within the: Private hospital sector Aged care sector a
Slide 4: Revenue Growth Time Line
Revenue Growth Time Line Hollywood Alpha Group major expansion Acquired Opened July’02 May’01 $m 700 600 500 RHC listed Perth on ASX Veteran Hosp Sept’97 400 (Hollywood) 300 Privatisation Feb’94 200 100 0 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 Brisbane Veteran Co-located North Shore
Slide 5: NPAT Growth
NPAT Growth $m 37.1 40 35 31.1 30 25 20 16.0 15 10 5.9 6.6 5 0 FY 1999 FY 2000 FY 2001 FY 2002 FY 2003
Slide 6: Underlying EBIT Growth
Underlying EBIT Growth $m 66.4 70 58.4 60 50 39.6 40 30.8 26.8 30 20 10 0 FY 1999 FY 2000 FY 2001 FY 2002 FY 2003
Slide 7: Earnings per Share
Earnings per Share 28.9 30 24.5 25 Cents per Share 20 14.2 15 10 5.5 6.1 5 0 FY 1999 FY 2000 FY 2001 FY 2002 FY 2003
Slide 8: Occupancy – Patient Days
Occupancy – Patient Days 450 400 Patient Days'000 350 300 250 200 Jun'00 Dec'00 Jun'01 Dec'01 Jun'02 Dec'02 Jun'03 Dec'03 Half-year Ended Inpatients Total (Inpatients + Day Patients)
Slide 9: FY 2004 - Interim Financial Performance
FY 2004 - Interim Financial Performance Half-year ended 31 December 2002 2003 % Inc $m $m Operating Revenue 320.2 374.1 17% EBITDA 45.1 51.7 15% EBIT 32.9 37.6 14% Profit before tax & non-recurring 26.0 30.4 17% charge NPAT before non-recurring charge 18.5 21.0 14% Non-recurring charge - (2.2) NPAT
Slide 10: Private Hospital Industry Status
Private Hospital Industry Status 30% rebate; bi-partisan support – Labour’s attitude to private health Health Insurance outlook ¾ Membership ¾ Negotiations Cost containment – nurse wage increases and shortages Medical indemnity insurance - tort law reform Industry outlook in the short-medi
Slide 11: Aged Care Industry
Aged Care Industry Why diversify into aged care? ¾ Ageing population, growing demand; particularly for high quality service ¾ Secure income stream ¾ Fragmented industry provides opportunity for rationalisation ¾ Close to core competencies Understanding industry dynamics ¾ Cautious approach • App
Slide 12: Aged Care – Growth Opportunities
Aged Care – Growth Opportunities Active investigation of acquisition opportunities Allocated 186 new residential places bringing the total number of places to 206 Greenfield sites to be developed to open places to the community, within 2 years ¾ Greenslopes, Qld ¾ Chermside, Qld ¾ Coffs Harbou
Slide 13: Outlook
Outlook Strategic position of RHC hospitals expected to keep demand strong against a slight industry softening Focus on cost containment and growing business Benefits of expansion program continue to contribute to earnings – Greenslopes, Lake Macquarie Barring unforeseen circumstances, comfo
Slide 14: Questions
ia BN RAMSAY HEALTH CARE Questions
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