Retirement village provider Ryman Healthcare has posted a record full year underlying profit, amid ongoing challenges associated with the pandemic.
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The company also announced it had purchased new sites in Melbourne and Canterbury.
Key numbers for the year ended March compared to a year ago:
- Net profit $692.9m vs $423.1m
- Revenue $1.25b vs $872.6m
- Underlying profit $255m vs $224.5m
- Property portfolio value gain $467.1m vs $201.2m
- Total value of assets $11n vs $9.2b
- Final dividend 22.4 cents a share
The bottom line result included a $467.1 million gain in the value of the company's property portfolio.
Adjusting for this gain, the Ryman's underlying profit rose by 13.6 percent to $255m, as it reported higher sales and lifted its margins - offsetting rising construction costs and supply challenges.
The company sold more than 1500 units over the year, which was a new record.
Chief executive Richard Umbers said the strong result demonstrated the company's ability to handle the economic challenges brought on by the pandemic.
"We are transitioning from managing through Covid to living with Covid."
He said the second half had been affected by the emergence of the Omicron outbreak.
"There's no doubt that the Omicron wave had an impact, but we've been pleased to see strong sales in Victoria in February and March.
"We anticipate a similar recovery in New Zealand later this year," he said.
The release of company's annual results coincided with the announcement that it was planning to build new villages in Rolleston, and North Melbourne for $205m and $350m respectively.
It brought the total number of sites purchases during the year to four.
The company said its growth ambitions were on track, capital expenditure continues to be closely managed, and it had plenty of funding available to them.
"Construction momentum was maintained despite the challenges of Covid and Ryman currently has 16 sites under construction in New Zealand and Victoria," it said.
The company had declared a final dividend of 13.6 cents per share, taking the full dividend to 22.4 cents, or about 43.9 percent of its underlying profit.