Radius Residential Care Ltd · NZX:RAD
Radius Residential Care — H1 2025 Earnings Presentation
28 slides from Radius Residential Care's earnings presentation, November 2024
Slide 1: Half Year Result
Half Year Result F o r 6 m o n t h s t o 3 0 S e p t e mb e r 2 0 2 4
Slide 2: Presenting Today
Presenting Today Andrew Peskett Chief Executive Officer Jeremy Edmonds Chief Financial Officer BA (Hons), LLB BA, BCom, CA 1H25 Investor Presentation 2
Slide 3: Agenda
Agenda Overview of 1H25 Delivered record operating and financial Performance performance Record EBITDA and operating cashflow, Analysis of demonstrating our leadership in specialist Result care offerings Positioning Strategy update Radius Care Appendices Key operational and financial metrics Summary
Slide 4: Overview of 1H25 Performance
Overview of 1H25 Performance OPERATING PERFORMANCE DELIVERED CONTINUED GROWTH Radius Millstream - Ashburton
Slide 5: 1H25 Business Highlights
1H25 Business Highlights STRONG OPERATING PERFORMANCE DELIVERS EARNINGS GROWTH Strong Operating Performance Highly Engaged Team • Record half-year with 10% increase in • Over 1,700 team members delivering exceptional care EBITDAR1 per bed. in our fully staffed care homes. • 14% growth in Underlying
Slide 6: 1H25 Financial Highlights
1H25 Financial Highlights Financial Performance Balance Sheet Position • Underlying EBITDAR1 (for the 6 • Total assets of $330.5m. months to 30 September 2024) • Investment properties per care bed of $13.4k, +10% from of $74.3m, +$0.7m from 1H24. FY24. • Underlying EBITDA $10.6m, +14% • Drawn debt o
Slide 7: Our People
Our People Engaged, motivated and settled teams including Care Home Managers, Regional Managers and Executives. 95% of new hires are happy with their jobs. Staff turnover below sector levels, at 23% for the company. 43 point increase in employee net promoter scores in the past two years (showing a h
Slide 8: Care Home Certification
Care Home Certification Four years / max certification1 Two audit results pending are Number of Care Facilities - Four Years / Max Certification likely to take Radius Care to 17 18 care homes with four year certification (74% of care homes). 16 2 14 12 10 8 15 6 4 7 7 6 5 2 0 FY21 FY22 FY23 FY24 1H2
Slide 9: Analysis of Result
Analysis of Result EBITDA AND CASHFLOW GROWTH DEMONSTRATE OUR LEADERSHIP IN SPECIALIST CARE OFFERINGS Radius St Helenas Radius Millstream - Ashburton 1H25 Investor Presentation 9
Slide 10: Financial Performance Overview (excl Arran Court)
Financial Performance Overview (excl Arran Court) Continued strong occupancy, Underlying EBITDA Underlying EBITDAR per Care Bed 1 (for the 6 months to 30th September 2024) improved bed mix, Underlying EBITDA of $10.6m, +14% vs pcp Market leading returns accommodation supplement growth, 16.0 12.0 and
Slide 11: 7% Revenue Growth (excl Arran Court)
7% Revenue Growth (excl Arran Court) Continued strong occupancy, Total Revenue 1 Accommodation Supplements improved bed mix 1H25 total revenue +7% vs pcp Excludes Arran Court / adjusted for one care home and accommodation supplement growth 6.0 90.0 delivered revenue growth compared to 80.0 5.0 compa
Slide 12: Dividends
Dividends Interim Dividend • Cash interim dividend of 0.65 cents per share (with full imputation credits of 0.25 cents per share). • Ex-dividend date – 4 December 2024. • Record date – 5 December 2024. • Payment date – 19 December 2024. Final Dividend Outlook The Board expects total dividends for FY
Slide 13: Strategy Update
Strategy Update Radius Millstream - Ashburton 1H25 Investor Presentation 13
Slide 14: Strategy Update
Strategy Update Strategic Pillar 1 Strategic Pillar 1 Grow Scale Diversify Revenue Grow Scale Radius Way Grow Scale Leased Care Opportunities Grow Cibus Catering Develop Radius Way as a template for aged care Targeted M&A Grow RConnect services Brownfield development Expand Radius Shop Greenfield de
Slide 15: Why Are We Different?
Why Are We Different? Culture Portfolio Intellectual property Brand/reputation We are not dependent on the property market 1H25 Investor Presentation 15
Slide 16: Cibus Catering
Cibus Catering Acquisition of 51% of Cibus Completed on 25 October 2024 • Founded in 1994. • Provides full-service kitchen management for 2,300 aged care residents daily across 25 care homes, including ten Radius sites. • Offers menu and recipe planning services supporting an additional 4,100 reside
Slide 17: Outlook
Outlook Radius Care expects key financial metrics for the FY25 year will exceed the comparative period. In addition, the recent acquisition of 51% of Cibus Catering will be immediately accretive to FY25 second half year earnings and cashflow. Radius Taupaki Gables - Auckland 1H25 Investor Presentati
Slide 18: Appendices
Appendices 1H25 Investor Presentation 18 Radius Taupaki Gables - Auckland
Slide 19: Strong Portfolio for Changing Demographics
APPENDIX 1 Strong Portfolio for Changing Demographics The Radius Care growth pipeline offers unique exposure to a high-acuity, specialised care provider dedicated to delivering compassionate and outstanding clinical care outcomes. With an absolute focus on our core business, Radius Care consistently
Slide 20: National aged care focused portfolio
APPENDIX 2 National aged care focused portfolio with strong regional presence, owing 12 and leasing 11 of the 23 sites nationwide At a Glance 1,789 148 Care Beds ILUs 1,700+ Employees ILUs are Independent Living Units 1H25 Investor Presentation 20
Slide 21: Key operational and financial metrics
APPENDIX 3 Key operational and financial metrics Operating Metrics DMF terms for Retirement Village units 1H25 1H24 1H23 1H22 Number of Care Beds (period end)1 1,789 1,889 1,865 1,715 • 30% over three years • average resident tenure is 4.7 years Average Care Bed Occupancy2 92.3% 91.9% 91.5% 93.0% Un
Slide 22: Statement of Comprehensive Income
APPENDIX 4 Financials ($000) 1H25 1H24 Revenue Statement of Revenue 84,213 83,308 Comprehensive Income Deferred management fees 1,162 1,162 Total revenue 85,375 84,470 • Underlying EBITDA +2% to Change in fair value of investment property 595 1,350 $10.6m. Interest Income 86 33 Total revenue and oth
Slide 23: Statement of Financial Position
APPENDIX 5 Financials ($000) 1H25 FY24 Assets Statement of Cash and cash equivalents 66 2,350 Trade and other receivables 12,362 15,002 Financial Position Inventories 594 554 Investment properties 74,277 73,528 Property, plant and equipment 117,419 117,310 Right-of-use assets 109,671 109,906 Intangi
Slide 24: Statement of Cash Flows
APPENDIX 6 ($000) 1H25 1H24 Financials Cash flows from operating activities Receipts from residents for care fees and village fees 86,323 84,075 Statement of Cash Flows Payments to suppliers and employees (73,593) (76,479) Proceeds from the sale of Refundable Occupation Right Agreements 3,080 6,204
Slide 25: Underlying Earnings and AFFO Calculation
APPENDIX 7 Financials ($000) 1H25 1H24 Underlying Earnings Net Profit Before Tax 2,760 1,641 and AFFO Calculation Remove: Change in fair value of investment property (595) (1,350) Include: Realised gains on resales 595 1,350 Remove: Depreciation expense 5,049 5,143 Remove: Interest Income (86) - Rem
Slide 26: Directory of care homes
APPENDIX 8 Directory of care homes OWNED LEASED TOTAL CARE CARE HOME LOCATION UNITS CARE HOME LOCATION CARE BEDS CARE HOME CARE BEDS UNITS BEDS St Helenas Christchurch 52 - Kensington Hamilton 96 Leased 923 - Thornleigh Park New Plymouth 87 - Potter Home Whangarei 55 Owned 866 148 Lexham Park Katika
Slide 27: Important Notice and Disclaimer
Important Notice This presentation has been prepared by Radius Residential Care Limited (“Radius Care”), for informational purposes. This disclaimer applies to and Disclaimer this document and the verbal or written comments of any person presenting it. This presentation sets out information relating
Slide 28: Thank You
Thank You 1H25 Investor Presentation 28
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