Strong Financial Performance
Sonic Healthcare reported revenue of $4.669 billion, up 8%, and EBITDA of $827 million, up 12%. Net profit rose by 17% to $237 million, and earnings per share increased by 15% to $0.492 per share.
Margin Expansion and Cost Control
The EBITDA margin expanded by 60 basis points, with labor costs as a percentage of revenue reduced by 50 basis points. Excluding recent acquisitions, EBITDA margin expansion was 90 basis points.
Successful M&A Activity
Recent acquisitions in Switzerland and Germany, including the LADR or Kramer Group, are expected to add AUD80 million per annum in EBITDA.
Australian Pathology Growth
The Australian Pathology division reported organic revenue growth of 9%, outperforming the market.
U.K. Division Performance
The U.K. division showed a 10% growth, with a notable new 11-year contract with the Royal National Orthopedic Hospital.