Highlights

• Ramsay lifted underlying net profit after minorities 19.3% to A$364.1 million, with underlying earnings per share of 151.0 cents.

• The board declared a fully franked final dividend of 48.5 cents, taking the full-year payout to 91.0 cents per share.

• Australian underlying EBIT rose 11.2% to A$639.8 million as hospital activity grew 3.3% and theatre utilisation improved.

• Shareholders vote on 24 November on distributing Ramsay's entire 52.79% Ramsay Santé stake, with implementation expected on 9 December.

Ramsay Health Care Limited (ASX:RHC) heads into its 24 November shareholder meetings with a full-year result behind it and a proposal to hand its 52.79% stake in Ramsay Santé directly to its own investors. Shares were trading at A$54.79 on 23 October 2026, down 0.20%. The vote will shape how the group reports from the first half of FY27.

Earnings Grow Faster Than Sales

For the year to 30 June 2026, total revenue and other income, excluding interest income, rose 5.1% to A$18,698.6 million. Earnings moved faster. Underlying EBIT climbed 11.5% to A$1,162.2 million, while EBITDA grew 6.9% to A$2,308.6 million.

Underlying net profit after non-controlling interests increased 19.3% to A$364.1 million. Statutory profit on the same basis reached A$329.2 million, up from A$24.0 million. Fully diluted underlying earnings per share rose 20.5% to 151.0 cents.

Operating cash flow rose 46%, and capital expenditure of A$729 million in constant currency came in below the revised range. Funding Group leverage stayed below two times. The final dividend of 48.5 cents, fully franked, was up 21.3%, lifting the full-year dividend 13.8% to 91.0 cents.

Australia and the UK Do the Heavy Lifting

Australia produced underlying EBIT of A$639.8 million, up 11.2%, on revenue that rose 7.8% to A$6,818.1 million. Margin improved by 30 basis points. Activity grew 3.3% and theatre utilisation improved by about 90 basis points, though a funding change at the Joondalup Public Campus trimmed EBIT by about A$26 million before offsetting actions.

In the UK, Ramsay UK's underlying EBIT rose 9.0% to A$160.5 million even as NHS activity fell 8%. Elysium added A$31.1 million, up 41.4%. Ramsay Santé contributed A$330.8 million, up 11.1%. Four sites were closed, with surplus land to be sold.

Management says the Australian transformation centres on higher-acuity care, including cardiology, orthopaedics and cancer. The company also said it expected to complete the acquisition of National Capital Private Hospital by 1 September 2026.

Inside the Ramsay Santé Separation

The proposal would distribute Ramsay's Ramsay Santé holding to shareholders in specie under a scheme of arrangement. Eligible shareholders would receive 0.25 of a Ramsay Santé security for each Ramsay share held on the record date. Holders of 500 or fewer shares would default to cash through a sale facility unless they opt out.

All directors support the resolutions, and Deloitte Corporate Finance, as independent expert, concluded that the advantages outweigh the disadvantages, absent a superior proposal. Estimated pre-tax transaction costs are about A$59 million, of which Ramsay would bear about A$27 million. The scheme also needs court approval and regulatory clearances.

Dates and FY27 Markers

The scheme and general meetings follow the annual general meeting on 24 November 2026. The record date is 2 December, and implementation is expected on 9 December, subject to approvals. If the demerger proceeds, Ramsay Santé would be reported as a discontinued business from the first half of FY27.

For FY27, the company expects Funding Group EBIT and margin to improve, with Australia targeting incremental EBIT growth and margin expansion alongside A$10 million to A$15 million of extra IT and transformation operating costs. Net financing expense is guided at A$280 million to A$300 million, total capital expenditure at A$480 million to A$520 million, and the dividend payout ratio at 60% to 70% of underlying profit.