Ryman Healthcare: Plans to expand in Australia

Chairman Dr. David Kerr says, "We have been carefully studying the Australian market for several years and we see it as the next logical step in the growth of the company. The Ryman model will be relatively unique in the Australian market. We are in a strong financial position and the management team is ready to take this next step. Shareholders can be reassured that we will be taking one step at a time, and that we will be very focussed on getting the first village successfully established."

The company's plans to develop in New Zealand remain the same. They aim to open at least 450 new units/rooms every year to add to the existing portfolio of 4,400 units/rooms.

Dr Kerr said, “We are currently building on eight sites around New Zealand, and have announced two new site acquisitions this year in Christchurch and Tauranga. We have a healthy land bank of over 2,000 units/rooms or over four years stock and remain on the lookout for exceptional sites for villages in New Zealand."

Ryman recently reported a record profit of $61 million, and lifted the annual dividend 16% to 6.1 cents per share.

As told to shareholders, Dr Kerr said, "We have reviewed the first quarter's performance and I am pleased to advise that we are trading well. We are ahead of last year and we are on track to achieve our medium term target of 15% growth in realised profits for the full year."

Statistics NZ estimates the number of New Zealanders aged 75 plus will more than double from 250,000 to 516,000 in the next 20 years. Ryman is nicely positioned to cater to the requirements and accommodation needs of this fast growing group of people.

At present, Ryman operates 21 villages across the nation. It offers a combination of retirement living and rest home care. The villages are all designed, built and operated by Ryman. Lately, it opened villages in Whangarei and Orewa, and intents to start new villages in Gisborne, Dunedin, Christchurch and Tauranga.

The company is a six times winner of Best Retirement Village in New Zealand, serves over 5,000 elderly New Zealanders and employs over 2,500 staff.