By David Winning
SYDNEY--Ramsay Health Care reported a 1.2% fall in first-quarter net profit, but said activity levels have improved in all the regions where it operates private hospitals.
Ramsay reported an unaudited net profit of 57.4 million Australian dollars (US$38 million) in the three months through September, down from A$58.1 million a year ago. Quarterly earnings before interest, tax, depreciation and amortization fell by 2.3% to A$410.6 million, but revenue rose by 6.7% to A$3.45 billion.
Ramsay said its profit had progressively improved during the quarter as the impact of Covid-19 lessened in the U.K. and Australia. It estimated the total Covid impact in its fiscal first quarter to be A$64.4 million.
In Europe, the company's Ramsay Sante venture reported a 16.4% drop in quarterly Ebitda, which reflected lower Covid-related government revenue, inflationary pressures and higher labor costs due to staff shortages.
"Ramsay is focused on negotiating improved terms with payors to reflect higher staffing costs related to labour shortages and inflationary pressures more generally," the company said in a regulatory filing on Friday. "The company finalized satisfactory new agreements with a number of private payors over the quarter."
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(END) Dow Jones Newswires