Ryman growth continues - profit up 15 percent

Ryman growth continues - profit up 15 percent

Listed retirement village operator Ryman Healthcare’s earnings continue to grow with today’s half yearly announcement of a $19.6 million net surplus, up 15 percent on the same period last year.

Operating cashflow was up to a record $37 million for the half and directors declared an interim dividend of 9 cents up from 8 cents this time last year. The dividend will be paid on December 8.

Chairman Dr David Kerr said the Board were very happy with the result and that the company was on track to meet its full year target of 15 percent profit growth.

``This result is a continuation of the strong profit growth experienced by the company since 2002. It reflects strong demand for our product and the expansion of our portfolio to 14 villages nationwide.’’

Dr Kerr also announced a 5:1 share split which will take effect from January 19.

``We want to make sure that the shares remain accessible, and that everyone gets the opportunity to participate in the growth of the company.

Chief executive Simon Challies said Ryman was in the midst of a significant building year, with three new villages being prepared for opening in Auckland, Palmerston North and Christchurch.

``Our construction activity has lifted substantially and the addition of the three new villages in quick succession will boost earnings in future years,’’ Challies said.

Ryman has sufficient landbank to build more than 1600 new units and beds. Planning is underway on new villages for Nelson, New Plymouth and Dunedin and the company is actively seeking new sites.

The company also provides homes and care services to more than 2800 New Zealanders, employing more than 1400 staff.

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