Ramsay Health Care Limited · ASX:RHC
Ramsay Health Care — Shareholder Meeting (November 2016)
34 slides from Ramsay Health Care's shareholder meeting presentation, Nov 9, 2016
Slide 1: Ramsay Health Care Limited Annual General Meeting
For personal use only Ramsay Health Care Limited Annual General Meeting 9 November 2016 Christopher Rex, Managing Director ramsayhealth.com
Slide 2: Agenda
Agenda For personal use only 1. Group Operational & Financial Highlights 2. Segment Operating Highlights 3. Growth Strategy Update 4. Acquisitions & Strategic Developments 5. Outlook 2 Annual General Meeting 2016 - Christopher Rex, Managing Director
Slide 3: Ramsay Health Care
Ramsay Health Care For personal use only Over Operating Admit Ranked in 50 years across over 3 million the top 5 experience 6 countries patients p.a. private hospital in operating operators in hospitals the world 3 Annual General Meeting 2016 - Christopher Rex, Managing Director
Slide 4: The Ramsay network today
The Ramsay network today For personal use only 15 Healthcare & 223 Hospitals treatment facilities 25,000 Hospital 1,150 Operating beds theatres 38 Emergency 4,000 Mental departments health beds 60,000 200 Pharmacies employees 4 Annual General Meeting 2016 - Christopher Rex, Managing Director
Slide 5: Activity in FY16
Activity in FY16 For personal use only Admitted Performed Delivered Ramsay EDs over 3 million 1.5 million 63,000 had patients operations babies 1 million attendances 5 Annual General Meeting 2016 - Christopher Rex, Managing Director
Slide 6: Hospitals & facilities
Hospitals For personal use only & facilities • Unique global footprint • High quality hospital portfolio in strategic locations • Global procurement opportunities • Market leader in Australia & France 6 Annual General Meeting 2016 - Christopher Rex, Managing Director
Slide 7: Delivering safe & quality healthcare
Delivering safe & quality healthcare For personal use only Commenced Commenced Continue to Commenced Following longitudinal rollout of achieve excellent Antimicrobial France’s lead, we outcomes in international Vanderbilt OH&S. All-time Stewardship centralised our studies of program record achieved
Slide 8: Strong industry fundamentals - globally
Strong industry fundamentals - globally For personal use only Demand for health Increasing demand for health care care will remain strong with an ageing Ageing Chronic Population New population, longer life Population Diseases Growth Technologies • The global population aged 60 or • Changes in disea
Slide 9: Our formula for success
Our formula for success For personal use only Strong culture • The Ramsay Way • Over 50 years of uninterrupted focus on clinical quality and safety • Long term stable and experienced Board and management Strong & sustainable growth strategy • Focused strategy • Developed an exportable operational mo
Slide 10: Group operational & financial highlights
For personal use only Group operational & financial highlights Annual General Meeting 2016 - Christopher Rex, Managing Director
Slide 11: Financial highlights (for the year ended June 2016)
Financial highlights (for the year ended 30 June 2016) For personal use only • Core NPAT up 16.8% to $481.4 million • Core EPS up 17.7% to 231.4 cents • Group: − Revenue up 18.1% to $8.7 billion − Group EBIT up 11.6% to $897.1 million • Australia/Asia: − Revenue up 8.8% to $4.4 billion − EBIT up 11.
Slide 12: Operational highlights
Operational highlights For personal use only • Solid growth with all segments performing at or above expectations • Integration of Ramsay Santé and Générale de Santé completed on 1 July 2015. Combined Group performing well • Acquired a further nine hospitals in Lille, France (completed December 2015
Slide 13: Core EPS & Dividend Growth
Core EPS & Dividend Growth Compound Annual Growth Rate (CAGR) since listing For personal use only 280.0 Core Earnings per Share (EPS) CAGR 16.8% Core EPS Growth ¢/share 240.0 200.0 160.0 Core EPS 120.0 CAGR 80.0 40.0 - 125.0 Dividend Growth ¢/share 100.0 Dividend Growth CAGR 16.7% 75.0 Dividend 50.0
Slide 14: Revenue growth milestones
Revenue growth milestones Operating Revenue CAGR of 22.9% for the 19 years from FY(1)1997 to FY(1)2016 For personal use only A$m 9,600 Générale de Santé Acq. Oct’14, France ● Revenue Growth Medipsy Acq. Dec’13, France ● Achieved through our 8,000 consistent focused RSD Joint Venture Jul’13, Asia ● s
Slide 15: Strong shareholder returns
Strong shareholder returns For personal use only Ramsay Total Shareholder Return(1) versus S&P/ASX 100 Accumulation Index 9000 8000 Ramsay TSR Compound Annual Growth Rate (CAGR) 25.3% 31-Oct-16 7000 7,427.7% S&P/ASX 100 Accumulation Index (CAGR) 8.1% 6000 Index (Base of 100) 5000 4000 3000 2000
Slide 16: Segment operating highlights
For personal use only Segment operating highlights Annual General Meeting 2016 - Christopher Rex, Managing Director
Slide 17: Our current operating environments: Australia
Our current operating environments For personal use only Australia 1. Volumes and operations continue to trend upwards as expected due to the ageing and growing population 2. Increasing demand for quality services continues to drive brownfield investment in Ramsay facilities 3. Ramsay has finalised
Slide 18: Australia - utilization
Australia - utilization For personal use only • Operations continue to trend upwards as expected with a growing and ageing population - currently tracking above the long term national trend (Medicare) • Annual growth in the number of insured episodes in private hospitals was 2.6% as at June 2016 (AP
Slide 19: Our current operating environments: France
Our current operating environments For personal use only France 1. Good volume growth across most major specialties 2. Excellent growth in emergency attendances - up 8% on prior year 3. Strong quality portfolio of hospitals - leader in the market 4. Currently a challenging political environment FRAN
Slide 20: Our current operating environments: United Kingdom
Our current operating environments For personal use only United Kingdom 1. Record referrals being achieved through NHS ‘Choose and Book’ to Ramsay facilities 2. Ramsay UK remains leader in NHS referrals 3. NHS over 75% of our patients and growing 4. Six Ramsay UK facilities scored in the top 15 hosp
Slide 21: Our current operating environments: Asia
Our current operating environments For personal use only Asia 1. Continued growth in demand 2. Acquisition multiples remain high 3. China remains an attractive opportunity ASIA 21 Annual General Meeting 2016 - Christopher Rex, Managing Director
Slide 22: Growth strategy update
For personal use only Growth strategy update Annual General Meeting 2016 - Christopher Rex, Managing Director
Slide 23: Delivering on our Growth Strategy
Delivering on our Growth Strategy For personal use only Creating shareholder value through our focused strategy ORGANIC BROWNFIELD PUBLIC/PRIVATE ACQUISITIONS & GROWTH CAPACITY EXPANSION COLLABORATIONS STRATEGIC DEVELOPMENTS Underpinned by Unmet demand driving Global focus on Exploring acquisitions
Slide 24: Brownfield developments
Brownfield developments For personal use only Overview In FY16, across the Group Ramsay Health Care completed: Over $300M of Over 500 beds 26 operating developments theatres 24 Annual General Meeting 2016 - Christopher Rex, Managing Director
Slide 25: Major brownfields opened in FY16
Major brownfields opened in FY16 For personal use only Hollywood Private Cairns Private Lake Macquarie (90 beds; 6 theatres) (56 beds) Emergency Department Joondalup Health Campus St George Private Hospital Beleura Rehabilitation Centre (30 bed paediatric wing) (35 beds; 4 operating theatres) (30 be
Slide 26: New hospital completion
New hospital completion For personal use only Wollongong Private Hospital Opened in January 2016 with 151 beds and 10 theatres. The all new hospital has attracted new doctors and will stem the outflow of Wollongong patients to Sydney. 26 Annual General Meeting 2016 - Christopher Rex, Managing Direct
Slide 27: Pipeline of developments
Pipeline of developments For personal use only Brownfield developments due to open this calendar year: • North Shore Private Hospital • Peninsula Private Hospital • New Farm Clinic • Waverley Private Hospital • Baringa Private Hospital North Shore Private Hospital extension Peninsula Private Hospita
Slide 28: Pipeline of developments (continued)
Pipeline of developments (continued) For personal use only Over $200M of future developments approved during FY16 including: • Major expansion of St Andrew’s Private Hospital in Ipswich, Greater Brisbane • New Northside Clinic, Sydney • Albert Road Clinic expansion, Melbourne • Purchased land adjace
Slide 29: Acquisitions & strategic developments
For personal use only Acquisitions & strategic developments Annual General Meeting 2016 - Christopher Rex, Managing Director
Slide 30: Acquisitions & strategic developments
Acquisitions & strategic developments For personal use only France • Ramsay Générale de Santé acquired the HPM Group in December 2015 • The HPM Group includes nine hospitals in Lille, France Australia • Ramsay appointed to operate hospital at the Clinique Ambroise Paré Albury Wodonga Regional new Al
Slide 31: Ramsay Pharmacy
Ramsay Pharmacy For personal use only • Over 200 hospital pharmacy dispensaries already operating across global hospital portfolio • In the process of establishing strategically located community pharmacies across Australia, concentrating initially in close proximity to our hospitals • Specialised m
Slide 32: Outlook
For personal use only Outlook Annual General Meeting 2016 - Christopher Rex, Managing Director
Slide 33: Outlook
Outlook For personal use only • Demand for healthcare continues to be driven by population ageing, growth and expectations, emerging technology and the rising rate of chronic disease • We continue to invest in our facilities and our people to ensure that we can meet the expectations of patients and
Slide 34: Questions?
For personal use only Questions? Annual General Meeting 2016 - Christopher Rex, Managing Director
Ramsay Health Care — Shareholder Meeting (November 2016) on 6ix