- Ramsay Health’s preliminary net income for FY24 is expected to be between A$884 million and A$889 million.
- The annual net result has been significantly boosted by the sale of Ramsay Sime Darby.
- FY24 net income after tax and minority interests from continuing operations is projected to fall between A$265 million and A$270 million, slightly down from A$278.2 million from the previous year.
- Ramsay Health expects non-cash impairments and accelerated write-downs totaling A$24.5 million after tax and minority interests.
- This will result in FY24 depreciation, amortisation, and impairments charges hitting approximately A$1.13 billion, above the previously expected range of A$1-$1.1 billion.
- Excluding these non-recurring items, the adjusted FY24 net income after tax and minority interests is forecasted to be between A$294 million and A$299 million.
- The underlying financial performance has been supported by improving activity trends and enhanced labour productivity.
- Focus on sustainable performance acceleration programs and better tariff indexation also contributed to the positive results.
- Total capital expenditure for the fiscal year amounted to around A$740 million, which is below the forecasted range of A$800 million to A$1 billion.
- Group leverage is forecasted to be around 2x by the end of the period, within the company’s target range of less than 2.5x.
- Market sentiment currently shows 6 buy ratings, 9 hold ratings, and 1 sell rating for Ramsay Health.
A look at Ramsay Health Care Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 3 | |
| Dividend | 2 | |
| Growth | 5 | |
| Resilience | 2 | |
| Momentum | 3 | |
| OVERALL SMART SCORE | 3.0 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
Based on the Smartkarma Smart Scores, Ramsay Health Care is well-positioned for long-term growth. With a solid score of 5 for Growth, the company shows great potential for expanding its services and increasing its market share in the health care industry. This indicates a positive outlook for Ramsay Health Care‘s future revenue and profitability.
Although Ramsay Health Care scored lower in Dividend and Resilience, with scores of 2, its overall prospects remain promising. The company’s strong focus on growth, as reflected in its high Growth score, suggests that it is strategically positioned to capitalize on opportunities within the health care sector. Investors may consider Ramsay Health Care as a viable option for long-term investment given its favorable Growth score.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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