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Primary Health on track to lift earnings

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AAP

2012-11-30

Medical centre operator Primary Health Care remains on track to lift earnings by up to 25 per cent in the 2012/13 financial year.

Managing director Dr Edmund Bateman told shareholders at the company's annual meeting Primary's earnings before interest, tax, depreciation and amortisation (EBITDA) were expected to rise to between $370 million and $380 million.

As a result, earnings per share (EPS) were expected to grow by between 20 and 25 per cent.

"Revenues, margins and EBITDA trends have continued to be favourable across the business for the four months ended 31 October 2012 and all divisions are trading in line with our expectations," Mr Bateman said on Friday.

The forecast is in line with guidance the company gave in August when it announced its net profit for 2011/12 had soared by 50 per cent to $116.6 million.

Mr Bateman said Primary would review its dividend payout to reflect the anticipated EPS growth this financial year.

He expects the dividend pay-out ratio will be similar to that in 2011/12.