Earnings Alerts

Sonic Healthcare (SHL) Earnings: Steady FY EBITDA Forecast with 10% Revenue Growth

By November 19, 2024 No Comments
  • Sonic Healthcare maintains its forecast for FY25 EBITDA in constant FX, aiming for an increase of about 10%.
  • The company reaffirms its FY25 EBITDA guidance in the range of A$1.7 billion to A$1.75 billion.
  • Year-to-date performance shows a total revenue growth of 10% in constant currency terms.
  • Organic revenue growth stands at over 5%, adjusted for working days, in constant currency.
  • Strongest organic revenue growth observed in Australian pathology, approximately 8%, and radiology, around 11%; weaker performance noted in the U.S.
  • Depreciation expense for FY25 as a percentage of revenue is expected to remain similar to FY24.
  • Interest expenses are projected to rise by about 25% in constant currency due to acquisitions made in FY24.
  • The effective tax rate is anticipated to be between 26% and 27%.
  • Analyst recommendations include 4 buys, 8 holds, and 3 sells.

A look at Sonic Healthcare Smart Scores

FactorScoreMagnitude
Value3
Dividend3
Growth2
Resilience2
Momentum3
OVERALL SMART SCORE2.6

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

Analysts evaluating Sonic Healthcare‘s long-term outlook through Smartkarma Smart Scores have given the company a mixed rating. While Sonic Healthcare scores moderately well in Value, Dividend, and Momentum, it falls slightly lower in Growth and Resilience. This suggests that the company has solid value and dividend prospects, but may face challenges in terms of growth and resilience in the future. Sonic Healthcare, known for its medical diagnostics operations across Australia, New Zealand, and Europe, offers a wide range of pathology and diagnostic imaging services to medical professionals and patients, as well as administrative support to healthcare providers.

In summary, Sonic Healthcare, a leading medical diagnostics firm, receives a balanced assessment from Smartkarma Smart Scores. With its core strengths in Value, Dividend, and Momentum, the company demonstrates stability and potential for returns. However, the lower scores in Growth and Resilience signal areas where Sonic Healthcare may need to focus on enhancing its operations and adaptability in the evolving healthcare landscape to ensure long-term sustainability and growth.


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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