Ramsay Health Care has upgraded its full-year earnings guidance after lifting first-half net profit by 14 per cent, helped by robust growth in admissions at its hospitals and medical centres.
Australia's largest private hospitals operator posted a net profit of $255.9 million for the six months to December 31.
Revenue was up three per cent to $4.3 billion.
The results prompted raised guidance for full-year core profit growth to 12 to 14 per cent, up from its previous estimate of 10 to 12 per cent.
"With its unique global footprint, mix of public and private payers, and strategically located quality assets, Ramsay is well placed for future growth," chief executive Christopher Rex said.
News that makes sense
Your trusted source for staying up-to-date with the world around you. Get free daily news updates and analysis, straight to your inbox.
"Our global procurement strategy is beginning to deliver substantial savings in supply costs, the benefit of which is expected to grow over forthcoming years."
Mr Rex said he would step down from his position this year, after 22 years with Ramsay.
Mr Rex assumed the chief executive role in 2008 after 13 years as chief operating officer.
Chairman Michael Siddle said a comprehensive CEO succession process was currently under way.
Despite the upgraded guidance, Ramsay shares dropped $2.31, or 3.2 per cent, to $69.43.
RAMSAY LIFTS HALF-YEAR PROFIT
* Net profit up 13.8pct to $255.9m
* Revenue up 3.4pct to $4.3b
* Interim dividend up 6 cents to 53 cents, fully franked
