Highlights

  • Ramsay reports continued growth in surgical and non-surgical activity across key markets.
  • Management outlines operational focus areas, including efficiency, technology and workforce initiatives.
  • FY25 strategic priorities aim to enhance capacity, digital capability and cost management.

Ramsay Health Care (ASX:RHC) provided shareholders with an update on its operational activity and market environment during its 2025 Annual General Meeting. The company reported moderate year-to-date growth in surgical volumes across Australia and Europe, with non-surgical activity rising at mid-single-digit levels. Several markets continued to experience elevated demand for services, including day surgery, rehabilitation, mental health and medical-surgical emergencies.

Management acknowledged ongoing inflationary pressures but noted that periods of higher inflation have historically supported private healthcare volumes and revenue growth through indexation mechanisms. In several regions, public health system pressures remained evident, contributing to sustained demand for private sector capacity.

Business Initiatives and Efficiency Programs

During the AGM, Ramsay provided an overview of its multi-year efficiency program. Management reported that the business is approaching the upper end of its AUD 175–200 million run-rate savings target. The program includes re-organising corporate structures, procurement improvements and operational enhancements across hospital networks.

The company highlighted its focus on rationalising footprint capacity, enhancing theatre utilisation and broadening its case mix where feasible. Key improvement areas include digital transformation, revenue cycle optimisation, supply chain initiatives and centralisation of functions.

Workforce initiatives also remain a priority, with an emphasis on recruitment, retention, flexible models and reducing reliance on agency labour. Management referenced ongoing support for team wellbeing and training frameworks.

Regional Business Updates

In Australia, management noted improvements in recruitment and reduced agency usage. Operational areas under focus include billing accuracy, procurement, theatre efficiency and end-to-end patient flow.

In Europe, Ramsay Santé continued to observe positive volume trends. Management outlined efficiency efforts such as shared services, digitisation, procurement optimisation and improving scheduling and hospital flow. The group is also progressing initiatives to consolidate services into hub-and-spoke models where appropriate.

Ramsay Sime Darby Health Care, in Asia, reported increasing demand across major hospitals, with efforts underway to expand capacity and maintain clinical services.

FY25 Priorities and Capital Management

Ramsay reaffirmed its intention to simplify the organisation and invest in capacity where demand is sustained. Key FY25 priorities include completing the efficiency program, improving operational optimisation, advancing digital transformation and strengthening cost management discipline. The company also reiterated its commitment to maintaining balance sheet flexibility.

Share Price Snapshot

RHC was trading 12.38% higher at AUD 35.85 per share as of 25 November 2025.