Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 


Aussie lab test company Healthscope sees NZ pathology growth

Aussie lab test company Healthscope sees growth in NZ pathology business

By Pam Graham

July 1 (BusinessDesk) - Australia’s Healthscope is confident of winning more contracts for pathology services in New Zealand where it already services 65 percent of the population.

The size of the company’s business in New Zealand and its ambitions for more growth have been detailed in a prospectus for a share offer in Australia.

“Operationally, Healthscope is focused on extracting further economies of scale, including cost synergies, through the operational integration of its expanding laboratory network,” the prospectus says.

The company trades under the Labtests, SCL and Northland brands, and as at May 19, 2014, it operated 13 labs across New Zealand. It will seek additional DHB contracts as they come up and says it is well positioned to win them.

The company already has 10 contracts with district health boards in New Zealand. It provided lab testing services for more than five million patient episodes in the 12 months ended Dec. 31, 2013. Its Labtests Auckland does 33 percent of total annual volume of DHB pathology work in New Zealand, according to the prospectus.

The document says Healthscope is a market leader in New Zealand and management estimates it services 65 percent of the population. The Auckland contract started in September 2009 and runs until September 2020.

In December 2011 the company was awarded a new pathology contract in the Canterbury region. It acquired Medlab South in 2012. It also has a veterinary pathology business called Gribbles Veterinary.

The company prospectus does not disclose earnings for New Zealand, lumping them in an international division which also operates in Malaysia, Singapore and Vietnam.

Earnings before interest, tax, depreciation and amortisation for the international pathology division rose to $A44.5 million in the 2013 financial year from $A38.7 million in the 2013 year.

(BusinessDesk)

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Scoop Business: RBNZ Keeps OCR At 3.5%, Signals Slower Pace Of Future Hikes

Reserve Bank governor Graeme Wheeler kept the official cash rate at 3.5 percent and signalled he won’t be as aggressive with future rate hikes as previously thought as inflation remains tamer than expected. The kiwi dollar fell to a seven-month low. More>>

ALSO:

Weather: Dry Spells Take Hold In South Island

Many areas in the South Island are tracking towards record dry spells as relatively warm, dry weather that began in mid-August continues... for some South Island places, the current period of fine weather is quite rare. More>>

ALSO:

Scoop Business: Productivity Commission To Look At Housing Land Supply

The Productivity Commission is to expand on its housing affordability report with an investigation into improving land supply and development capacity, particularly in areas with strong population growth. More>>

ALSO:

Forestry: Man Charged After 2013 Death

Levin Police have arrested and charged a man with manslaughter in relation to the death of Lincoln Kidd who was killed during a tree felling operation on 19 December 2013. More>>

ALSO:

Smells Like Justice: Dairy Company Fined Over Odour

Dairy company fined over odour Dairy supply company Open Country Dairy Limited has been convicted and fined more than $35,000 for discharging objectionable odour from its Waharoa factory at the time of last year’s ”spring flush” when milk supply was high. More>>

Scoop Business: Dairy Product Prices Decline To Lowest Since July 2012

Dairy product prices dropped to the lowest level since July 2012 in the latest GlobalDairyTrade auction, led by a slump in rennet casein and butter milk powder. More>>

ALSO:

SOE Results: TVNZ Lifts Annual Profit 25% On Flat Ad Revenue, Quits Igloo

Television New Zealand, the state-owned broadcaster, lifted annual profit 25 percent, ahead of forecast and despite a dip in advertising revenue, while quitting its stake in the pay-TV Igloo joint venture with Sky Network Television. More>>

ALSO:

Get More From Scoop

 
 
Computer Power Plus

Standards New Zealand

Standards New Zealand

Mosh Social Media
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news