Text Size Reset Font Size Decrease Font Size Increase Font Size

Ryman Sets New Record - Profit up 22 Percent

Leading aged care and retirement village operator Ryman Healthcare has today posted a record profit of $72.6 million, 22 percent up on last year.  

Ryman shareholders have been rewarded with a 25% increase in the annual dividend. The final dividend of 2.8 cents per share will be paid on June 27  and the record date for entitlements is June 13.  

"The growth in profit reflects the enormous strides the company has made in recent years" chairman Dr David Kerr said today. "We have again delivered on our build programme in what has been a very challenging environment."  

The company has opened four new villages in the past year, in Auckland, Christchurch, Palmerston North and Nelson.  

Operating cash flows were up 70% to $126 million and total assets topped $1 billion for the first time. Shareholders equity has now grown ten-fold since listing nine years ago.  

"What is quite remarkable about this growth is that it has been self-funded." said Dr Kerr, "Our substantial operating cash flows have allowed us to develop our new villages at an increasing rate, without seeking fresh capital, while increasing our dividends to shareholders."  

The result was the first for the company to be reported under International Financial Reporting Standards. Under the old standards the profit was up 24%.  

Despite the slowdown in the residential property market over the past year, the company remains committed to its long term growth targets.  

"We have already adapted and we are well-positioned for further growth. Our landbank is in great shape, we have a unique village model and there is a burgeoning need for our services."  

According to Statistics NZ the number of New Zealanders aged 85 plus is set to balloon. Over the next five years alone this age group is projected to grow by 26%, and by 2031 their number will have increased almost three-fold.  

Ryman currently owns 18 villages nationwide. Construction of a New Plymouth village recently commenced and the company plans to open new villages in Orewa, Whangarei, Gisborne and Dunedin. The villages are all designed, built and operated by Ryman.  

The company is a six times winner of Best Retirement Village in New Zealand, and serves over 4000 elderly New Zealanders.