Ramsay Group Underlying NPAT Up 19.3% to $364.1m

Ramsay Health Care Limited (ASX:RHC) reported consolidated group underlying net profit after tax, after non-controlling interests, of $364.1 million for the year ended 30 June 2026, up 19.3 per cent on FY25 and up 22.9 per cent at constant currency; the release headlines the constant currency movement as up 23 per cent. Dollar amounts are as reported, with percentage movements given on both a reported and a constant currency basis. Statutory net profit after tax after non-controlling interests was $329.2 million against $24.0 million in FY25, a movement the company states as 1,271.7 per cent; the FY25 result included a $305.2 million impairment against the UK cash generating unit. Consolidated group underlying EBIT was $1,162.2 million, up 11.5 per cent and up 11.8 per cent at constant currency, while statutory EBIT was $1,105.4 million against $706.2 million. On a narrower basis, Funding Group underlying EBIT was $831.4 million and Funding Group underlying NPAT excluding non-controlling interests was $398.4 million, up 15.4 per cent and 17.9 per cent at constant currency. Total segment revenue and other income, which the release states includes intersegment revenue and is shown less interest income, was $18,698.6 million, up 5.1 per cent. Underlying EBIT and underlying NPAT exclude items detailed in the appendix to the FY26 results presentation. The board determined a fully franked final dividend of 48.5 cents per share, up 21.3 per cent, taking the full year dividend to 91.0 cents, up 13.8 per cent.

By region, Australia delivered underlying EBIT of $639.8 million, up 11.2 per cent, on segment revenue up 7.8 per cent to $6,818.1 million, which Ramsay attributed to activity growth, higher levels of acuity and theatre utilisation, improved private health insurance indexation and cost management, partially offset by a decline in the contribution from Joondalup Health Campus under a new funding mechanism that the company put at a $26 million net impact after operational mitigation. Ramsay UK underlying EBIT rose 9.0 per cent to $160.5 million and 10.3 per cent at constant currency, which the company said offset an 8 per cent decline in NHS activity through higher acuity, higher private pay volumes and operational initiatives, while Elysium's underlying EBIT rose 41.4 per cent to $31.1 million and 43.5 per cent at constant currency. Ramsay Santé's underlying EBIT was $330.8 million, up 11.1 per cent, and the company said Ramsay Santé reported a reduced underlying loss after minority interests despite a €20 million reduction in French government subsidies and continued inadequacy of French hospital tariff indexation relative to cost inflation. The proposed separation of Ramsay Santé remains subject to a Ramsay shareholder vote in late November. For FY27 Ramsay expects the Funding Group to report EBIT growth and EBIT margin improvement, with Funding Group net financing expense inclusive of AASB 16 lease costs of $280 million to $300 million, an effective tax rate on underlying earnings of approximately 30 per cent, total Funding Group capital expenditure guidance of $480 million to $520 million and a dividend payout ratio of 60 to 70 per cent of underlying group net profit after tax and non-controlling interests. Ramsay also said it has revised its long-term net zero Scope 1 and Scope 2 emissions target on an equity share basis to 2050, from 2040.