Ramsay Health Care Ltd. said profit for the half-year ended Dec. 31, 2017, rose year over year, driven by strong performance in its Australian business.
The Sydney-based private hospital operator's core net profit for the July-December period reached A$288 million, up 7.5% from A$267.8 million in the year-ago period. Meanwhile, core earnings per share reached A$1.39, up 7.8% from A$1.289 in the year-ago period.
The S&P Capital IQ normalized EPS consensus estimate for the half-year was A$1.40.
The company said the increase was due to solid growth in admissions and procedural volumes in its Australian business, underpinned by recent government reforms and a population increasingly in need of their services.
Revenue for the period reached about A$4.45 billion, up 3% from about A$4.32 billion in the year-ago period.
The company noted ongoing challenges in Europe, particularly on pricing and volume pressures. Revenue in the U.K. and France fell 4.8% and 1.1% year over year, respectively.
For the fiscal year ending June 30, Ramsay maintained its previous guidance of an EPS growth of 8% to 10%.
"In summary, we expect the operating environment in Australia to remain positive and the environment in Europe to remain challenging," Ramsay Health Care Managing Director Craig McNally said in the earnings release.
