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Ryman Research Report
Ryman Research Report
RYM.NZ
Healthcare
Contents
1.0 Introduction .............................................................................................................................................................2
2.0 Analyst Recommendations & Revisions ..................................................................................................................2
3.0 Highlights .................................................................................................................................................................2
4.0 Business Description ................................................................................................................................................4
4.1 Revenue Breakdown: ..........................................................................................................................................4
4.1.1 Care Fees: .....................................................................................................................................................4
4.1.2 Management Fee: ........................................................................................................................................5
4.1.3 Resale: ..........................................................................................................................................................5
4.1.4 New sales: ....................................................................................................................................................5
5.0 Industry Overview and Competitive Positioning .....................................................................................................5
5.1 The Ryman Difference .........................................................................................................................................8
6.0 Investment Summary...............................................................................................................................................8
6.1 Ryman continues to deliver resounding results: .................................................................................................8
6.2 Rymans Position: ................................................................................................................................................9
7.0 Financial Analysis ...................................................................................................................................................10
7.1 Earnings .............................................................................................................................................................10
7.2 Cash Flow ..........................................................................................................................................................10
7.3 Balance Sheet & Financing ................................................................................................................................11
8.0 Management & Substantial Investor Overview: ....................................................................................................11
9.0 Investment Risks ....................................................................................................................................................12
9.1 Property Cycles:.................................................................................................................................................12
9.2 Political risks: .....................................................................................................................................................12
9.3 Interest rate risk: ...............................................................................................................................................12
9.4 Tax risk: .............................................................................................................................................................13
10.0 Market Consensus ...............................................................................................................................................13
11.0 Summary ..............................................................................................................................................................13
Appendices ..................................................................................................................................................................14
Appendix i: 5 Years Consolidated Income Statement (Historical) ...........................................................................14
Appendix ii: 5 year Consolidate Balance Sheet (Historical) .....................................................................................15
Appendix iii: 5 year consolidated Cash flow Statement (Historical) .......................................................................16
Appendix iv: Relevant Links .....................................................................................................................................17
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RYM.NZ
Healthcare
1.0 Introduction
Ryman Healthcare Ltd (RYM) is the largest listed developer, owner and operator of retirement and aged
care living in New Zealand. With 25 villages across the country, Rymans 3,500 staff offer serviced and
independent apartment living, as well as rest home, hospital and dementia care to over 6,000 residents.
The company was founded by Kevin Hickman and John Ryder in 1982 and was listed on the NZX in 1999.
Current
1) BUY
2) OUTPERFORM
3) HOLD
4) UNDERPERFORM
(5) SELL
Mean Rating
Consensus Recommendation
0
3
2
0
1
2
2
1
0
1
2
2
1
0
1
2.83
2.83
2.33
2.33
Hold
3.0 Highlights
Strong balance sheet: Ryman Healthcare has a current ratio of 1.06 and a debt to equity
ratio of just 31.5%. The company often collects payment for the properties before construction
begins. This allows the company to fund new builds with very little debt. Also low debt to equity
ratio enables Ryman to have the cushion for increased funding to support their future growth.
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RYM.NZ
*PE Ratio = Price-to-earnings ratio; EPS = Earnings per share; ttm = trailing
twelve month period; DPS = Dividend per share; NTA = Net tangible Asset
per share.
Healthcare
Key Statistics
Shares on Issue:
497.58M
Open Price:
$7.05
Market Cap:
$3.507B
PE Ratio (ttm):
27.35
EPS (ttm):
27.35c
DPS (ttm):
10.0c
1.42%
NTA:
146.89c
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