Ryman reports steady result for six months to 30 September
Results for announcement to the market
Name of issuer Ryman Healthcare Limited
Reporting Period 6 months to 30 September 2023
Previous Reporting Period 6 months to 30 September 2022
Currency NZD
Amount (000s) Percentage change
Revenue from continuing operations $322,962 17.8%
Total Revenue (see explanation
below)
$500,003 -6.6%
Net profit/(loss) from continuing
operations
$186,685 -3.8%
Total net profit/(loss) $186,685 -3.8%
Interim/Final Dividend
Amount per Quoted Equity Security No interim dividend is to be paid for the period ended 30
September 2023
Imputed amount per Quoted Equity
Security
Not applicable
Record Date Not applicable
Dividend Payment Date Not applicable
Current period Prior comparable period
Net tangible assets per Quoted
Equity Security (cents per share)
683.6 704.6
1
A brief explanation of any of the
figures above necessary to enable
the figures to be understood
Total revenue
The figure detailed as total revenue is total income per the
financial statements of the group. Total income includes total
revenue of the group plus the fair-value movements of
investment property.
Underlying profit
Amount (000s): $139,227 Percentage change: 0.3%
1
The NTA figures for 30 September 2022 have been restated to exclude deferred tax assets.
Underlying profit is a non-GAAP (Generally Accepted
Accounting Principles) measure and differs from NZ IFRS
profit for the year. Underlying profit does not have a
standardised meaning prescribed by GAAP and so may not be
comparable to similar financial information presented by other
entities. The Group uses underlying profit, with other
measures, to measure performance. Underlying profit is a
measure that the Group uses consistently across reporting
periods.
Underlying profit includes realised movement on investment
property for units in which a right-to-occupy has been sold
during the period and for which a legally binding contract is in
place at the reporting date. The occupancy advance for these
units may have been received or be included within the trade
receivables balance at reporting date.
Underlying profit excludes deferred taxation, taxation
expense, unrealised movement on investment properties,
impairment losses on non-trading assets, costs relating to the
close out of employee share schemes and the cost of exiting
USPP borrowings and swap amendments.
Authority for this announcement
Name of person authorised to make
this announcement
Deborah Marris
Contact person for this
announcement
Deborah Marris
Contact phone number +64 3 366 4069
Contact email address Deborah.Marris@rymanhealthcare.com
Date of release through MAP 29 November 2023
Unaudited financial statements accompany this announcement.
RYMAN HEALTHCARE
Consolidated interim
financial statements
30 SEPTEMBER 2023
RYMAN HEALTHCARE LIMITED
Consolidated income statement
FOR THE SIX MONTHS ENDED 30 SEPTEMBER 2023
The accompanying notes form part of these consolidated interim financial statements.
1
Six months ended Six months ended Year ended
30 Sept 2023 30 Sept 2022 31 March 2023
Notes unaudited unaudited audited
$000 $000 $000
Care and village fees
249,014 210,187
437,341
Deferred management fees (DMF)
67,657 59,746 122,769
Interest received
1,274 364
2,140
Other income
5,017 3,942
8,727
Total revenue
322,962 274,239
570,977
Fair-value movement of investment
properties
4
177,041 261,346 431,503
Total income
500,003 535,585 1,002,480
Operating expenses
(292,853) (265,148)
(533,279)
Depreciation and amortisation expenses
(26,189) (22,996)
(46,597)
Finance costs
(21,702) (19,355)
(205,374)
Impairment loss
2
(15,824) (10,784)
(11,034)
Total expenses
(356,568) (318,283)
(796,284)
Profit before income tax 143,435 217,302 206,196
Income tax credit/(expense) 3 43,250 (23,316) 51,640
Profit for the period
186,685 193,986 257,836
Earnings per share (cents per share)
Basic and diluted 5
27.1 38.8 49.9
All profit and total comprehensive income is attributable to parent company shareholders and is derived from
continuing operations.
RYMAN HEALTHCARE LIMITED
Consolidated statement of comprehensive income
FOR THE SIX MONTHS ENDED 30 SEPTEMBER 2023
The accompanying notes form part of these consolidated interim financial statements.
2
Six months ended Six months ended Year ended
30 Sept 2023 30 Sept 2022 31 March 2023
unaudited unaudited audited
$000 $000 $000
Profit for the period 186,685 193,986 257,836
Items that will not be later reclassified to profit or
loss
Revaluation of property, plant and equipment
(unrealised)
- - 156,773
- - 156,773
Items that may be later reclassified to profit or loss
Fair-value movement and reclassification of cash
flow hedge reserve
17,015 59,818 21,470
Deferred tax movement recognised in cash flow
hedge reserve (4,859) (16,849) (6,006)
Movement in cost of hedging reserve - (234) (1,554)
Reclassification adjustment to income statement - - (3,518)
Deferred tax movement in cost of hedging
reserve
- 66 1,420
(Loss)/Gain on hedge of foreign-owned subsidiary
net assets (257) (4,213) 670
Gain/(Loss) on translation of foreign operations 1,839 25,530 (8,306)
13,738 64,118 4,176
Other comprehensive income 13,738 64,118 160,949
Total comprehensive income 200,423 258,104 418,785
All profit and total comprehensive income is attributable to parent company shareholders and is derived from
continuing operations.
RYMAN HEALTHCARE LIMITED
Consolidated statement of changes in equity
FOR THE SIX MONTHS ENDED 30 SEPTEMBER 2023
The accompanying notes form part of these consolidated interim financial statements.
3
Issued
capital
Asset
revaluation
reserve
Cash flow
hedge
reserve
Cost of
hedging
reserve
Foreign-
currency
translation
reserve
Treasury
stock
Retained
earnings
Total
equity
$000 $000 $000 $000 $000 $000 $000 $000
Six months ended 30 Sept 2023 unaudited
Opening balance 953,239 610,341 30,955 - (7,136) (34,729) 3,111,227 4,663,897
Profit for the period - - - - - - 186,685 186,685
Other comprehensive income for the period - - 12,156 - 1,582 - - 13,738
Total comprehensive income for the period - - 12,156 - 1,582 - 186,685 200,423
Issue of ordinary shares – equity raise
(subsequent costs)
(352) - - - - - - (352)
Treasury stock movement - - - - - (1) - (1)
Dividends paid to shareholders
- - - - - - - -
Balance at 30 September 2023 952,887 610,341 43,111 - (5,554) (34,730) 3,297,912 4,863,967
Year ended 31 March 2023 audited
Opening balance 33,290 453,568 15,491 3,652 500 (38,174) 2,966,193 3,434,520
Profit for the period - - - - - - 257,836 257,836
Other comprehensive income for the period - 156,773 15,464 (3,652) (7,636) - - 160,949
Total comprehensive income for the period - 156,773 15,464 (3,652) (7,636) - 257,836 418,785
Issue of ordinary shares – dividend reinvestment
plan 43,911 - - - - - - 43,911
Issue of ordinary shares – equity raise 876,038 - - - - - - 876,038
Treasury stock movement
- - - - - 3,445 - 3,445
Loss on treasury shares
- - - - - - (802) (802)
Dividends paid to shareholders
- - - - - - (112,000) (112,000)
Balance at 31 March 2023 953,239 610,341 30,955 - (7,136) (34,729) 3,111,227 4,663,897
RYMAN HEALTHCARE LIMITED
Consolidated statement of changes in equity (continued)
FOR THE SIX MONTHS ENDED 30 SEPTEMBER 2023
The accompanying notes form part of these consolidated interim financial statements.
4
Issued
capital
Asset
revaluation
reserve
Cash flow
hedge
reserve
Cost of
hedging
reserve
Foreign-
currency
translation
reserve
Treasury
stock
Retained
earnings
Total
equity
$000 $000 $000 $000 $000 $000 $000 $000
Six months ended 30 Sept 2022 unaudited
Opening balance 33,290 453,568 15,491 3,652 500 (38,174) 2,966,193 3,434,520
Profit for the period - - - - - - 193,986 193,986
Other comprehensive income for the period - - 42,969 (168) 21,317 - - 64,118
Total comprehensive income for the period - - 42,969 (168) 21,317 - 193,986 258,104
Treasury stock movement
- - - - - 3,445 - 3,445
Dividends paid to shareholders
- - - - - - (68,000) (68,000)
Balance at 30 September 2022 33,290 453,568 58,460 3,484 21,817 (34,729) 3,092,179 3,628,069
RYMAN HEALTHCARE LIMITED
Consolidated statement of financial position
FOR THE SIX MONTHS ENDED 30 SEPTEMBER 2023
The accompanying notes form part of these consolidated interim financial statements.
5
30 Sept 2023 30 Sept 2022 31 March 2023
Notes unaudited unaudited audited
$000 $000 $000
Assets
Cash and cash equivalents 33,295 25,874
27,879
Trade and other receivables 6
677,698 791,864
719,121
Inventory
8,350 23,123
14,618
Advances to employees 12,948 15,152
14,217
Derivative financial instruments
9
48,156 105,371
36,474
Assets held for sale
2
70,719 -
31,379
Property, plant and equipment
2,237,723 2,229,664
2,205,428
Investment properties
4
9,833,045 8,737,012
9,322,902
Intangible assets
85,710 60,363
84,832
Deferred tax asset
77,528 44,916
53,774
Total assets
13,085,172 12,033,339
12,510,624
Equity
Issued capital
5
952,887 33,290
953,239
Reserves
613,168 502,600
599,431
Retained earnings
3,297,912 3,092,179
3,111,227
Total equity
4,863,967 3,628,069
4,663,897
Liabilities
Trade and other payables 7
146,054 248,473
205,784
Employee entitlements
55,214 43,591
49,773
Revenue in advance
118,657 88,689
99,271
Refundable accommodation deposits
364,183 251,998
300,314
Derivative financial instruments 9
7,150 8,524
5,988
Interest-bearing loans and borrowings 8
2,499,671 3,025,951
2,330,950
Occupancy advances (non-interest bearing)
10 5,015,906 4,631,550
4,826,182
Lease liabilities
14,370 16,662
13,787
Deferred tax liability
- 89,832
14,678
Total liabilities
8,221,205 8,405,270
7,846,727
Total equity and liabilities 13,085,172 12,033,339
12,510,624
Net tangible assets (cents per share) –
30 Sept 2022 restated 5
683.6 704.6 658.1
RYMAN HEALTHCARE LIMITED
Consolidated statement of cash flows
FOR THE SIX MONTHS ENDED 30 SEPTEMBER 2023
The accompanying notes form part of these consolidated interim financial statements.
6
Six months ended Six months ended Year ended
30 Sept 2023 30 Sept 2022 31 March 2023
unaudited unaudited audited
$000 $000 $000
Operating activities
Receipts from residents
868,932 714,728
1,602,518
Interest received 1,302 380
2,198
Payments to suppliers and employees (289,783) (252,421)
(469,648)
Payments to residents
(220,970) (201,629)
(437,375)
Interest paid
(21,564) (17,377)
(46,864)
Net operating cash flows 337,917 243,681
650,829
Investing activities
Purchase of property, plant and equipment (131,178) (191,913) (304,100)
Purchase of intangible assets (8,479) (12,287) (20,106)
Purchase of investment properties (303,177) (295,024) (608,784)
Capitalised interest paid (53,518) (41,581) (108,069)
Advances to employees
69 263 1,199
Net investing cash flows
(496, 28 3) (540,542)
(1,039,860)
Financing activities
Proceeds from equity raise (net) (352) -
876,038
Drawdown of bank loans (net) 166,000 70,443
146,574
Proceeds from issue of US Private Placement notes
- 290,149
290,149
Prepayment of US Private Placement notes
- -
(748,924)
Prepayment of cross-currency interest rate swaps
- -
(106,594)
Dividends paid and dividend reinvestment plan costs
- (68,000)
(68,089)
Sale of treasury stock (net) - 3,445
2,643
Repayment of lease liabilities
(1,866) (1,611)
(3,196)
Net financing cash flows 163,782 294,426
388,601
Net increase/(decrease) in cash and cash
equivalents 5,416 (2,435) (430)
Cash and cash equivalents at the beginning of the
period
27,879 28,309 28,309
Cash and cash equivalents at the end of the
period 33,295 25,874 27,879
RYMAN HEALTHCARE LIMITED
Consolidated statement of cash flows (continued)
FOR THE SIX MONTHS ENDED 30 SEPTEMBER 2023
The accompanying notes form part of these consolidated interim financial statements.
7
Net operating cash flows includes the following:
Six months ended Six months ended Year ended
30 Sept 2023 30 Sept 2022 31 March 2023
unaudited unaudited audited
$000 $000 $000
Net occupancy advance receipts from
retirement-village residents
562,796
456,389 1,058,984
Net receipts from refundable accommodation
deposits
54,495 45,040 100,619
Deferred management fees collected 34,112 28,966 62,397
Reconciliation of net profit after tax with net cash flow from operating activities
Six months ended Six months ended Year ended
30 Sept 2023 30 Sept 2022 31 March 2023
unaudited unaudited audited
$000 $000 $000
Net profit after tax 186,685 193,986 257,836
Adjusted for:
Movements in statement of financial
position items:
Occupancy advances 258,042 376,455 620,700
Deferred management fees (66,681) (40,979) (91,850)
Refundable accommodation deposits 54,495 45,040 100,619
Revenue in advance 19,387 7,438 18,019
Trade and other payables 3,549 1,512 41,114
Trade and other receivables 50,162 (120,725) (46,554)
Inventory 6,267 3,579 11,632
Employee entitlements 5,441 3,779 9,961
Non-cash items:
Depreciation and amortisation 24,323 21,385 43,225
Depreciation of right-of-use assets 1,866 1,611 3,372
Close out of employee share scheme 1,200 - -
Impairment 15,824 10,784 11,034
Deferred tax (43,250) 23,316 (51,640)
Unrealised foreign-exchange gain (2,352) (22,154) (3,459)
Adjusted for:
Fair-value movement of investment properties (177,041) (261,346) (431,503)
Costs relating to USPP prepayment and swaps - - 158,323
Net operating cash flows 337,917 243,681 650,829
RYMAN HEALTHCARE LIMITED
Notes to the consolidated interim financial statements
FOR THE SIX MONTHS ENDED 30 SEPTEMBER 2023
8
1. GENERAL INFORMATION
The consolidated interim financial statements presented are those of Ryman Healthcare Limited (the Company)
and its subsidiaries (the Group). These consolidated interim financial statements were approved by the Board
of Directors on 28 November 2023.
Ryman Healthcare Limited is a profit-oriented entity incorporated in New Zealand. The Group develops, owns
and operates integrated retirement villages, resthomes and hospitals for the elderly within New Zealand and
Australia.
Statement of compliance
Ryman Healthcare Limited is a Financial Markets Conduct reporting entity under the Financial Reporting Act
2013 and the Financial Markets Conduct Act 2013. Its consolidated interim financial statements comply with
these Acts.
The unaudited condensed consolidated interim financial statements have been prepared in line with Generally
Accepted Accounting Principles in New Zealand (NZ GAAP). The statements comply with New Zealand
equivalents to International Accounting Standard 34 (NZ IAS 34) Interim Financial Reporting and International
Accounting Standard 34 (IAS 34) Interim Financial Reporting.
Basis of preparation
The consolidated interim financial statements for the six months ended 30 September 2023 and the
comparative six months ended 30 September 2022 are unaudited.
These consolidated interim financial statements have been prepared under the same accounting policies and
methods as the Group’s Annual Report at 31 March 2023. These consolidated interim financial statements
should be read in conjunction with the financial statements and related notes included in the Group’s Annual
Report for the year ended 31 March 2023.
Functional and presentation currency
The information is presented in thousands of New Zealand dollars (NZD). Both the functional and the
presentation currency of Ryman Healthcare Limited and its New Zealand subsidiaries are NZD.
The functional currency for its Australian subsidiaries is Australian dollars (AUD).
All reference to USD refers to US dollars.
Adopting new and amended standards and interpretations
In the current period, the Group adopted all mandatory new and amended standards and interpretations.
None had a material impact on these interim financial statements.
Standards and interpretations on issue but not yet adopted
The Group is not aware of any New Zealand equivalents to International Financial Reporting Standards (NZ
IFRS) or Interpretations that have recently been issued or amended that have not yet been adopted by the
Group that would materially impact the Group for the current period ending 30 September 2023.
RYMAN HEALTHCARE LIMITED
Notes to the consolidated interim financial statements (continued)
FOR THE SIX MONTHS ENDED 30 SEPTEMBER 2023
9
2. ASSETS HELD FOR SALE AND IMPAIRMENT LOSS
Following a review of the Group’s land portfolio, the land at Mt Martha (Victoria, Australia), Newtown
(Wellington, New Zealand) and Kohimarama (Auckland, New Zealand) are being held for sale. These assets are
measured at the lower of their carrying amount and fair value less costs to sell.
The sale of the Mt Martha land is unconditional, and settlement will occur in late 2023. The Newtown land is
being actively marketed for sale and a sale is expected to take place within 12 months. An impairment loss was
recognised in respect of these properties in previous reporting periods.
An impairment loss of $15.8 million has been recognised in the current period for Kohimarama and marketing
of the site is due to commence. A sale is expected within 12 months.
3. INCOME TAX
The income tax credit recognised during the period is primarily attributable to tax losses generated during the
period. At 30 September 2023, total Group tax losses available in New Zealand and Australia are estimated at
$1,073.5 million (30 September 2022: $681.1 million and 31 March 2023: $974.3 million) and AU$289.9 million
(30 September 2022: AU$191.3 million and 31 March 2023: AU$235.0 million), respectively.
Recognition of the deferred tax asset is based on expected taxable earnings in future periods. One of the key
drivers for this will be the uplift in the taxable deferred management fees as new occupation rights are entered
into at higher prices within the next fifteen years.
In the comparative period to 30 September 2022, the income tax expense relates primarily to an increase in
the deferred tax liability recognised in respect of investment properties during that period, offset by a deferred
tax credit on tax losses generated during that period.
RYMAN HEALTHCARE LIMITED
Notes to the consolidated interim financial statements (continued)
FOR THE SIX MONTHS ENDED 30 SEPTEMBER 2023
10
4. INVESTMENT PROPERTIES
Six months ended Six months ended Year ended
30 Sept 2023 30 Sept 2022 31 March 2023
unaudited unaudited audited
$000 $000 $000
At fair value
Balance at beginning of financial period 9,322,902 8,027,267 8,027,267
Additions (including transfers from
property, plant and equipment)
327,673 386,645 873,952
Realised fair-value movement:
• new retirement-village units
35,532 45,389
122,941
• existing retirement-village units 114,204 126,677
234,901
149,736 172,066 357,842
Unrealised fair-value movement 27,305 89,280 73,661
Fair-value movement 177,041 261,346 431,503
Net foreign-currency exchange
differences
5,429 61,754 (9,820)
Net movement for period 510,143 709,745 1,295,635
Balance at end of financial period 9,833,045 8,737,012 9,322,902
The realised fair-value movement arises from the sale and resale of rights to occupy to residents.
Six months ended Six months ended Year ended
30 Sept 2023 30 Sept 2022 31 March 2023
unaudited unaudited audited
No. of units No. of units No. of units
Units included in the valuation
Able to be occupied at reporting date and fair
value is judged as being able to be reliably
measured
8,780 8,222 8,499
Under development at reporting date and fair
value is judged as being able to be reliably
measured
26 204 167
Total units included in the valuation 8,806 8,426 8,666
RYMAN HEALTHCARE LIMITED
Notes to the consolidated interim financial statements (continued)
FOR THE SIX MONTHS ENDED 30 SEPTEMBER 2023
11
4 . INVESTMENT PROPERTIES (CONTINUED)
Independent valuers’ key assumptions
The valuers used a range of significant assumptions as follows:
Six months ended Six months ended Year ended
30 Sept 2023 30 Sept 2022 31 March 2023
unaudited unaudited audited
% % %
Growth rate (nominal) 0.50 – 6.30 0 – 4.33 0 – 4.70
Discount rate 12.00 – 16.50 11.75 – 16.00 11.75 – 16.50
The land and building valuation within property, plant and equipment contains an allowance for the value
provided by a care facility to the Group’s independent-living and serviced-apartment residents. The value of this
allowance is determined based on a portion of the deferred management fees paid by the Group’s
independent-living and serviced-apartment residents. This portion of deferred management fees is excluded
from the investment property value. This approach has been consistently applied between periods.
Sensitivity
A change in the independent valuers’ assumptions would impact the fair-value measurement as follows:
0.5% decrease 0.5% increase
$000 $000
Growth rate (nominal) (219,426) 249,189
Discount rate 146,477 (132,878)
Other inputs used in the fair-value measurement of the Group’s investment property portfolio include the
average age of residents and the occupancy periods. A significant increase in the average age of entry of
residents or a decrease in the occupancy periods would result in a significantly higher fair-value measurement.
Conversely, a significant decrease in the average age of entry of residents or increase in the occupancy periods
would result in a significantly lower fair-value measurement.
Work in progress
Investment property includes investment property work in progress of $928.6 million (six months ended 30
September 2022: $702.4 million and year ended 31 March 2023: $786.9 million), which has been valued at cost.
The Directors have determined that for work in progress, cost represents fair value. No independent valuation
of investment property work in progress is obtained.
Operating expenses
Direct operating expenses arising from investment property that generated income from deferred management
fees during the period amounted to $29.7 million (30 September 2022: $26.5 million and year ended 31 March
2023: $53.2 million). All investment property generated income for the Group from deferred management fees,
except for investment property work in progress.
RYMAN HEALTHCARE LIMITED
Notes to the consolidated interim financial statements (continued)
FOR THE SIX MONTHS ENDED 30 SEPTEMBER 2023
12
4 . INVESTMENT PROPERTIES (CONTINUED)
Security
Residents make interest-free advances (occupancy advances) to the retirement villages in exchange for the right
to occupy retirement-village units. Under the terms of the New Zealand occupancy agreement, the occupancy
advance is secured by a registered first mortgage granted to the Statutory Supervisor. For New Zealand
occupancy advances relating to previous occupancy agreements that remain outstanding, the resident received
a unit title for life and a first mortgage over the residual interest for security purposes. Residents in Victoria,
Australia have the benefit of a charge over the title for the land under the Retirement Villages Act 1986.
5. SHARE CAPITAL
Issued and paid-u p capital consists of 687,641,738 fully paid ordinary shares (30 September 2022: 500,000,000
and 31 March 2023: 687,641,738) less treasury stock of 2,494,282 shares (30 September 2022: 2,494,282 and
31 March 2023: 2,494,282). All shares rank equally in all respects.
Additional costs related to the prior year equity raise were paid in the period. As these costs are directly
attributable to the issuance of shares, they have been recognised in equity.
Shares purchased on market under the leadership share scheme are treated as treasury stock until they are
vested to the employees.
Basic and diluted earnings per share (EPS)
Six months ended Six months ended Year ended
30 Sept 2023 30 Sept 2022 31 March 2023
unaudited unaudited audited
Profit for the year ($000) 186,685 193,986 257,836
Weighted average number of shares (in ’000) 687,642 500,000 516,323
Basic and diluted EPS (cents per share) 27.1 38.8 49.9
Net tangible asset (NTA) per share
Six months ended Six months ended Year ended
30 Sept 2023 30 Sept 2022 31 March 2023
unaudited
unaudited
(restated
1
)
audited
NTA ($000) 4,700,729 3,522,790 4,525,291
Ordinary shares at reporting date (in ’000) 687,642 500,000 687,642
NTA per share (cents per share) 683.6 704.6 658.1
NTA is calculated as total assets less intangible assets and deferred tax assets, and less total liabilities.
1
The NTA figures for 30 September 2022 have been restated to exclude deferred tax assets.
RYMAN HEALTHCARE LIMITED
Notes to the consolidated interim financial statements (continued)
FOR THE SIX MONTHS ENDED 30 SEPTEMBER 2023
13
6. TRADE AND OTHER RECEIVABLES
Six months ended Six months ended Year ended
30 Sept 2023 30 Sept 2022 31 March 2023
unaudited unaudited unaudited
$000 $000 $000
New sales receivables 249,860 389,904 322,016
Resales receivables 357,287 350,314 351,180
Care and village fees receivables 18,594 15,952 16,998
Refundable accommodation deposit
receivables
16,466 6,301 7,728
Prepayments and other receivables 35,491 29,393 21,199
Total trade and other receivables 677,698 791,864 719,121
The receivable for an occupancy advance is recognised when a legally binding contract with the resident is in
place and the unit is either complete or is considered to have met the threshold for inclusion in the investment
property valuation (see note 4). At the same time as recognising the occupancy advance receivable the Group
recognises the corresponding occupancy advance liability. Occupancy advances are cash settled by residents on
occupation of a retirement-village unit.
Care and village fees are received from residents (payable 4-weekly in advance) and various government
agencies. Government-agency payment terms vary but the fees are typically paid fortnightly in arrears for care
services provided to residents.
Debtors are non-interest bearing, although the Group has the right to charge interest on overdue settlements
of occupancy advances or overdue care and village fees.
7. TRADE AND OTHER PAYABLES
Trade payables are typically paid within 30 days of the invoice date or on the 20
th
of the month following the
invoice date.
Other payables at 30 September 2023 include $21.3 million for the purchase of land (30 September 2022:
$127.8 million and 31 March 2023: $71.8 million).
RYMAN HEALTHCARE LIMITED
Notes to the consolidated interim financial statements (continued)
FOR THE SIX MONTHS ENDED 30 SEPTEMBER 2023
14
8. INTEREST- BEARING LOANS AND BORROWINGS
At reporting date, interest-bearing loans and borrowings include secured bank loans, an institutional term loan
and unsubordinated fixed-rate retail bonds. The Group prepaid all outstanding United States Private Placement
(USPP) notes in March 2023.
Six months ended Six months ended Year ended
30 Sept 2023 30 Sept 2022 31 March 2023
unaudited unaudited audited
$000 $000 $000
Bank loans 2,091,487 1,878,880 1,922,769
Institutional term loan 268,183 284,706 267,265
Retail bonds – RYM010 150,000 150,000 150,000
USPP notes – using contracted fixed USD
foreign exchange rate
-
708,644
-
2,509,670 3,022,230 2,340,034
Foreign exchange movement of USD
USPP notes
- 162,062 -
Total loans and borrowings at face
value 2,509,670 3,184,292 2,340,034
Issue costs for the institutional term loan
capitalised (657) (849) (726)
Issue costs for the retail bonds capitalised (1,838)
(2,380)
(2,109)
Issue costs for the USPP capitalised - (3,298) -
Total loans and borrowings at
amortised cost 2,507,175 3,177,765 2,337,199
Revaluation of institutional term loan
debt in fair-value hedge relationship
(7,504)
(8,966) (6,249)
Revaluation of USPP debt in fair-value
hedge relationship
- (142,848) -
Total loans and borrowings 2,499,671 3,025,951 2,330,950
RYMAN HEALTHCARE LIMITED
Notes to the consolidated interim financial statements (continued)
FOR THE SIX MONTHS ENDED 30 SEPTEMBER 2023
15
8. INTEREST- BEARING LOANS AND BORROWINGS (CONTINUED)
Security
The bank loans, institutional term loan and retail bonds are secured by a general security agreement over the
parent and subsidiary companies and supported by first mortgages over the freehold land and buildings
(excluding retirement-village unit titles provided as security to residents – note 4).
The subsidiary companies have all provided guarantees for the Group’s secured loans as parties to the general
security agreement.
Fair value
Below is a comparison of the carrying amounts and fair values of the interest-bearing loans and borrowings.
The carrying amounts of bank loans are the same as their fair values in all material aspects due to their interest
rate profiles.
Six months ended
30 Sept 2023
unaudited
Six months ended
30 Sept 2022
unaudited
Year ended 31
March 2023
audited
Carrying
amount
Fair
value
Carrying
amount
Fair
value
Carrying
amount
Fair
value
$000 $000 $000 $000 $000 $000
Institutional term loan 260,022 260,330 274,891 275,052 260,290 264,735
Retail bonds 148,162 129,870 147,620 131,565 147,891 131,445
USPP notes - - 724,560 817,841 - -
The fair value of the fixed-rate portion of the institutional term loan has been determined at reporting date on
a discounted cash flow basis and applying discount factors to the future AUD interest payment and principal
payment cash flows. The fair value of the floating rate portion is assumed to be the same as its carrying
amount. The fair value of the institutional term loan is categorised as Level 2 under the fair value hierarchy in
accordance with NZ IFRS 13 – Fair Value Measurement.
The fair value of the retail bonds is based on the price the bonds are traded at on the NZX market at the
reporting date. The fair value of the retail bond is categorised as Level 1 under the fair value hierarchy in
accordance with NZ IFRS 13 – Fair Value Measurement.
The fair value of the USPP notes as at 30 September 2022 was determined on a discounted cash flow basis and
applying discount factors to the future USD interest payment and principal payment cash flows. The fair value
of the USPP notes was categorised as Level 2 under the fair-value hierarchy in accordance with NZ IFRS 13 –
Fair Value Measurement.
RYMAN HEALTHCARE LIMITED
Notes to the consolidated interim financial statements (continued)
FOR THE SIX MONTHS ENDED 30 SEPTEMBER 2023
16
9. DERIVATIVE FINANCIAL INSTRUMENTS
At reporting date, the Group’s derivative financial instruments consist of interest rate swaps, caps, floors and
collars. The Group closed out its cross-currency interest rate swaps (CCIRS) in March 2023.
Fair value
These derivatives are initially recognised at fair value on the dates the derivative contract are entered into and
remeasured to their fair values at each reporting date. The fair values of these derivatives are categorised as
Level 2 under the fair value hierarchy in NZ IFRS 13 – Fair Value Measurement. The fair values of these
derivative instruments are derived using inputs supplied by third parties that are observable, either directly
(prices) or indirectly (derived from prices). The fair value of interest rate swaps is determined by discounting
the future cash flows using the yield curves at the end of the reporting period and the credit risk inherent in
the contract.
Modified interest rate swaps
In November 2022, the Group modified four interest rate swaps that had been designated in a cash flow hedge
relationship to maximise its interest rate risk coverage and minimise its near-term interest costs. The
modification resulted in a higher notional principal amount covered and a reduction in the remaining maturities
of those swaps.
The modification resulted in the original hedge relationship being discontinued. Immediately prior to
discontinuation, there were gains of NZ$16.6 million and AU$5.8 million (excluding tax effects) in the cash
flow hedge reserve for these swaps. As the hedged cash flows are still expected to occur, these gains remain
in the cash flow hedge reserve and will be reclassified to profit or loss over the original hedge period. The
amounts reclassified to profit or loss during the period are NZ$1.4 million and AU$0.7 million (totalling
NZ$2.2 million). At 30 September 2023, the unamortised balance in the cash flow hedge reserve for the
amended swaps is NZ$14.0 million and AU$4.5 million (excluding tax effects).
As the modified interest rate swaps do not qualify for hedge accounting, the fair value loss of NZ$7.5 million
on these modified swaps for the period is recognised directly in profit or loss. The swaps will mature before 31
March 2024 and it is expected that a further NZ$7.3 million will be expensed.
RYMAN HEALTHCARE LIMITED
Notes to the consolidated interim financial statements (continued)
FOR THE SIX MONTHS ENDED 30 SEPTEMBER 2023
17
10. OCCUPANCY ADVANCES (NON- INTEREST BEARING)
Six months ended Six months ended Year ended
30 Sept 2023 30 Sept 2022 31 March 2023
unaudited unaudited audited
$000 $000 $000
Gross occupancy advances (see below) 5,755,718 5,254,185 5,498,020
Less deferred management fees and
resident loans
(739,812) (622,635) (671,838)
Closing balance 5,015,906 4,631,550 4,826,182
Movement in gross occupancy advances
Opening balance 5,498,020 4,864,713 4,864,713
Plus net increases in occupancy advances:
• new retirement-village units 135,265 187,951 418,322
• existing retirement-village units
114,204 126,677 234,901
Net foreign-currency exchange differences 3,364 41,128 (6,540)
Increase/(decrease) in occupancy advance
balances 4,865 33,716 (13,376)
Closing balance 5,755,718 5,254,185 5,498,020
Gross occupancy advances are non-interest bearing and occupancy advances are not discounted. The fair value
of net occupancy advances is $3,070.2 million (30 September 2022: $2,775.5 million and 31 March 2023:
$2,931.0 million) using the relevant discount rate for each village.
The change in occupancy advance balances shows the net movement in occupancy advances that has resulted
from:
• units that have been resold but the previous residents have yet to be repaid
• units that have been repaid but remain unsold at balance date.
11. SEGMENT INFORMATION
Products and services from which reportable segments derive their revenue
The Ryman Group operates in one industry, being the provision of integrated retirement villages for older
people in New Zealand and Australia. The service-provision process for each of the villages is similar, and the
classes of customer, methods of distribution and regulatory environment are consistent across all the villages.
Geographical information
In presenting information based on geographical areas, net profit, underlying profit and revenue are based on
the geographical locations of operations, while assets are based on the geographical locations of the assets.
RYMAN HEALTHCARE LIMITED
Notes to the consolidated interim financial statements (continued)
FOR THE SIX MONTHS ENDED 30 SEPTEMBER 2023
18
11. SEGMENT INFORMATION (CONTINUED)
New Zealand Australia Group
$000 $000 $000
Six months ended 30 Sept 2023 unaudited
Revenue 270,417 52,545 322,962
Underlying profit (non-GAAP) 126,961 12,266 139,227
Unrealised fair-value movement (3,186) 30,491 27,305
Deferred tax credit 28,927 14,323 43,250
Impairment loss
(15,824) -
(15,824)
Costs relating to swap amendments
(4,227) (1, 046)
(5,273)
Close out of employee share schemes
1
(2,000) -
(2,000)
Profit for the period
130,651 56,034
186,685
Non-current assets 9,694,923 2,587,239 12,282,162
Year ended 31 March 2023 audited
Revenue 494,606 76,371 570,977
Underlying profit (non-GAAP) 232,222 69,670 301,892
Unrealised fair-value movement 20,233 53,428 73,661
Deferred tax credit 31,261 20,379 51,640
Impairment loss (250) (10,784) (11,034)
Costs relating to USPP prepayment and swap
amendments
(156,090) (2,233) (158,323)
Profit for the period
127,376 130,460 257,836
Non-current assets 9,332,731 2,370,679 11,703,410
Six months ended 30 Sept 2022 unaudited
Revenue 240,894 33,345 274,239
Underlying profit (non-GAAP) 111,683 27,123 138,806
Unrealised fair-value movement 49,594 39,686 89,280
Deferred tax (expense)/credit (32,609) 9,293 (23,316)
Impairment loss - (10,784) (10,784)
Profit for the period 128,668 65,318 193,986
Non-current assets 8,887,153 2,290,173 11,177,326
Underlying profit is a non-GAAP (Generally Accepted Accounting Principles) measure and differs from NZ
IFRS profit for the period. Underlying profit does not have a standardised meaning prescribed by GAAP and so
may not be comparable to similar financial information presented by other entities.
1
Relates to all employee share scheme.
RYMAN HEALTHCARE LIMITED
Notes to the consolidated interim financial statements (continued)
FOR THE SIX MONTHS ENDED 30 SEPTEMBER 2023
19
11. SEGMENT INFORMATION (CONTINUED)
The Group uses underlying profit, with other measures, to measure performance. Underlying profit is a
measure that the Group uses consistently across reporting periods.
Underlying profit includes realised movement on investment property for units in which a right-to-occupy has
been sold during the period and for which a legally binding contract is in place at the reporting date. The
occupancy advance for these units may have been received or been included within the trade receivables
balance at reporting date.
Underlying profit excludes deferred taxation, taxation expense, unrealised movement on investment
properties, impairment losses on non-trading assets, costs relating to the close out of employee share schemes
and the cost of exiting USPP borrowings and swap amendments.
12. COMMITMENTS
Capital expenditure commitments
The Group had commitments relating to construction contracts amounting to $222.6 million at 30 September
2023 (30 September 2022: $314.7 million and 31 March 2023: $385.7 million).
The Group has an ongoing commitment to maintain the land and buildings of the integrated retirement villages,
resthomes and hospitals.
13. CONTINGENT LIABILITIES
The Group has identified that past and present New Zealand employees may have received incorrect payments
dating back to 2010 due to the complexity of the Holidays Act 2003 and the nature of our dynamic workforce.
The issues relate to entitlements under the Holidays Act, and how a range of allowances and entitlements have
been interpreted and calculated. External consultants are working with the Group to quantify the value and
employees affected, which could be as many as 26,000 employees. A sufficiently reliable estimate cannot be
made at reporting date, however it is not expected to exceed $25.0 million. A provision of $6.0 million has
been recorded within employee entitlements and remains unchanged from 31 March 2023. It is expected that
work will be sufficiently progressed at 31 March 2024 to quantify the value and recognise the full provision.
14. SUBSEQUENT EVENTS
The previously announced review of the Leadership Share Scheme has been completed.
On 3 November 2023 an offer was made to certain participating employees in respect of the Leadership Share
Scheme. The offer included one-off payments as well as confirmation that no further invitations to participate in
the Leadership Share Scheme would be made to those participants. The offer closed on 23 November 2023.
The financial effect of the offer is being quantified and will be recorded in the 31 March 2024 financial
statements. It is estimated that this could range between $6.0 million to $10.0 million.
Existing employee advances in relation to the scheme remain owing under the full recourse nature of the loan.
---
NZX RELEASE 29 November 2023
Ryman reports a steady result for six months to 30 September 2023
Key financials
• Unaudited reported (IFRS) profit of $186.7 million, down 3.8% on the same period last
year
• Negative free cash flow of $158.4 million, an improvement of $138.5 million on the same
period last year
• Unaudited underlying profit of $139.2 million, up 0.3% on the same period last year
• Operating EBITDA of $146.3 million, up 7.8% on the same period last year
• Total assets up 4.6% to $13.09 billion
• Net interest-bearing debt of $2.47 billion - gearing of 33.6% within medium-term target
of 30-35%
• Earnings per share of 27.1 cps, down 30.2% on the same period last year
• No interim dividend declared
Ryman Healthcare (Ryman) has reported IFRS profit of $186.7 million, which includes fair
value movements of investment properties, down 3.8% on the same period last year.
Underlying profit of $139.2 million was up 0.3%, driven by solid growth in operating
EBITDA, offset by lower new sales at sites under development.
The real estate market has been through a challenging period and the retirement sector has
not been immune from this. This was relative to a buoyant first half last year and has
resulted in booked sales of occupational rights agreements (ORAs) of 699, down 9.5% on
the prior corresponding period.
Ryman continues to make progress on the strategy reset outlined at the equity raise.
Reflecting an increased focus on cash flow and capital management, free cash flow improved
by $138.5 million from -$296.9 million in 1H23 to -$158.4 million in 1H24. This was driven
by improved cash flows from existing operations and a reduction in the net spend on
development activity.
Cash receipts from residents were up a pleasing 21.6% to $868.9 million driven by strong
settled sales of ORAs off the back of move-in activity during the half. This was a key driver
of the improvement in free cash flow from existing operations and a reduction in
receivables.
Ryman Group Chief Executive Officer, Richard Umbers said, “This result has been delivered
during a period of challenging market conditions including a subdued housing market for the
majority of the period. While our financial results are steady on the prior year, we continue
to make progress on resetting the business and executing the strategy which was
communicated at the time of the equity raise.”
Development update
“Following the raise, Ryman is in a reset phase with our near-term focus on matching our
build programme to sales activity and reprioritising this programme to improve cash flow
from development activity,” said Mr Umbers.
A significant level of development is underway with 14 sites in the construction phase,
including Mulgrave which recently commenced. Ryman opened three new villages in 1H24,
welcoming its first residents into Northwood (Christchurch), and Patrick Hogan
(Cambridge) in New Zealand and Bert Newton (Highett) in Australia.
He added: “As part of the reprioritisation, Ringwood East, Takapuna and future stages at
Murray Halberg have been put on hold. In addition, Kohimarama and Newtown are being
held for sale as they no longer meet our investment criteria.”
Ryman will continue to review its land bank in light of predicted market conditions and with
a focus on capital management. A portfolio increase of 650-750 units and beds is anticipated
for FY24, down on previous guidance. The medium-term outlook for the build programme
will be reviewed at the full-year result.
Village operations
Occupancy within care centres has improved to 96%, up 2 percentage points on the same
period last year, and back to pre-COVID levels.
Ryman continues to lead the sector in care quality with 85% of its New Zealand care
centres receiving the 4-year Ministry of Health certification (highest certification), the
highest amongst all of the large providers. Ryman recently received first-time 3-year
certification (highest certification) for all of its Australian care centres audited by the
Australian Aged Care Quality and Safety Commission.
Ryman continues to innovate and improve its care services, with significant growth across
its homecare offering in Australia. Residents receiving funded home care packages increased
by 45% to 192 in the period.
Capital management
Net interest-bearing debt at September 2023 was $2.47 billion, up from $2.30 billion at
March 2023. Gearing of 33.6% sits within the company’s medium-term target of 30-35%.
The refinance of Ryman’s banking facilities in September increased the average tenor across
all debt facilities from 2.6 to 3.6 years and amended the ICR covenant. Ryman was compliant
with all debt covenants at 30 September. Facility headroom, including cash, stood at $533.9
million at September 2023.
No interim dividend has been declared for 1H24.
Chair Dean Hamilton commented, “The board has determined that it is in the best interests
of the company to suspend dividends as the business goes through a reset; working to
improve operating cash flows, completing delayed capital-intensive main buildings,
maintaining prudent financial headroom and determining a cadence and financial envelope
for future build rates. The current intention is to undertake a review of the dividend policy
at FY26. Any future dividend policy is expected to be based on cash flow.”
“The financial focus of the board is to strengthen cash flow outcomes from existing
operations and deliver value-accretive new developments. We remain positive about the
longer-term demographic trends supporting the sector and believe Ryman is in a strong
position to capitalise on the opportunity that this presents.”
Board and management changes
Ryman continues to refresh leadership in both board and key management roles. Rob
Woodgate has now commenced in his role as Group CFO.
"As previously announced, we are delighted that Kate Munnings has joined the board. Kate
brings extensive commercial healthcare experience from her senior roles at Virtus and
Ramsay as well as construction and property management experience from prior roles.
With two directors retiring in calendar year 2024, we are underway with determining the
right mix of skills and experiences that will contribute to the future of Ryman. Including the
recent addition of James Miller and myself, there will have been significant board renewal
over a 2-year period," Mr Hamilton said.
Outlook
FY24 underlying profit is expected to be in the range of $300-$330 million (previously $310-
$330 million). This wider range reflects the ongoing levels of market uncertainty and
dependency on sales in the new year.
Fourteen villages in the construction phase
New Zealand (9) Australia (5)
Lynfield, Auckland (Murray Halberg) * [future
stages paused]
Brandon Park, Melbourne (Nellie Melba) *
Devonport, Auckland (William Sanders) * Ocean Grove, Victoria (Deborah Cheetham) *
Henderson, Auckland (Miriam Corban) * Highett, Melbourne (Bert Newton) *
Havelock North, Hawkes Bay (James Wattie) * Ringwood East, Melbourne [paused]
Hobsonville, Auckland (Keith Park) * Mulgrave, Melbourne
Riccarton Park, Christchurch (Kevin Hickman) *
Cambridge, Waikato (Patrick Hogan) *
Northwood, Christchurch *
Takapuna, Auckland [paused]
*Village open and under construction
Nine sites in the land bank
New Zealand (5) Australia (4)
Park Terrace, Christchurch Mt Eliza, Victoria
Karori, Wellington Essendon, Melbourne
Karaka, Auckland Coburg North, Melbourne
Rolleston, Canterbury Kealba, Melbourne
Taupō, Waikato
About Ryman:
Ryman Healthcare was founded in Christchurch in 1984 and owns and operates 48 retirement
villages in New Zealand and Australia. Ryman villages are home to 14,200 residents, and the
company employs 7,600 staff.
Contacts:
For investor relations information contact Hayden Strickett, Head of Investor Relations, on
027 303 1132 (+64 27 303 1132) or email hayden.strickett@rymanhealthcare.com.
For media information or images contact Silke Marsh, Group Corporate Affairs Manager, on
027 294 3609 (+64 27 294 3609) or email silke.marsh@rymanhealthcare.com.
RYMAN HEALTHCARE LIMITED
KEY STATISTICS
Sept 23
Half Year
Unaudited
Sept 22
Half Year
Unaudited
Mar 23
Full Year
Audited
Underlying profit (non-GAAP)
1
$m 139.2 138.8 301.9
Unrealised fair-value movement on retirement-
village units $m 27.3 89.3 73.6
Deferred tax movement $m 43.3 (23.3) 51.6
Impairment loss $m (15.8) (10.8) (11.0)
Costs relating to swap amendments
$m (5.3) - -
Close out of employee share schemes
$m (2.0) - -
Costs relating to USPP prepayments and swaps
$m - - (158.3)
Reported net profit after tax $m 186.7 194.0 257.8
Weighted average number of shares 000s
687,642
500,000 516,323
Earnings per share - basic and diluted cents
27.1
38.8 49.9
Dividend per share cents 0.0 8.8 8.8
Capital management
Free cash flow (non-GAAP)
2
$m (158.4) (296.9) (389.0)
Net interest-bearing debt $m 2,466.4 3,000.1 2,303.1
Total equity $m 4,864.0 3,628.1 4,663.9
Total assets $m
13,085.2 12,033.3
12,510.6
Gearing
3
% 33.6 45.3 33.1
Net tangible assets - basic and diluted
4
cents 683.6 704.6 658.1
Sales of occupation right agreements
New sales of occupation rights no. 144 216 462
Resales of occupation rights no. 555 556 1,057
Total sales of occupation rights no. 699 772 1,519
New sales of occupation rights $m 135.3 188.0 418.3
Resales of occupation rights $m 403.5 394.7 754.6
Total sales of occupation rights $m 538.8 582.6 1,172.9
Portfolio:
Aged-care beds no. 4,540 4,299 4,456
Retirement-village units no. 9,356 8,667 9,142
Total units and beds no. 13,896 12,966 13,598
Land bank (to be developed)
5
Aged-care beds no. 1,212 1,623 1,356
Retirement-village units no. 4,082 5,087 4,512
Total units and beds no. 5,294 6,710 5,868
1
Underlying profit is a non-GAAP (Generally Accepted Accounting Principles) measure and differs from NZ IFRS profit for the
year. Underlying profit does not have a standardised meaning prescribed by GAAP and so may not be comparable to similar
financial information presented by other entities.
The Group uses underlying profit, with other measures, to measure performance. Underlying profit is a measure that the
Group uses consistently across reporting periods.
Underlying profit includes realised movement on investment property for units in which a right-to-occupy has been sold during
the period and for which a legally binding contract is in place at the reporting date. The occupancy advance for these units may
have been received or be included within the trade receivables balance at reporting date.
Underlying profit excludes deferred taxation, taxation expense, unrealised movement on investment properties, impairment
losses on non-trading assets, costs relating to swap amendments, costs relating to the close out of employee share schemes
and the cost of exiting USPP borrowings and swaps.
2
Combination of net operating cash flows and net investing cash flows. Free cash flow is a non-GAAP (Generally Accepted
Accounting Principles) measure and does not have a standardised meaning prescribed by GAAP, and so may not be
comparable to similar financial information presented by other entities.
3
Gearing calculated as net interest-bearing debt to net interest-bearing debt plus total equity.
4
The NTA figures for 30 September 2022 have been restated to exclude deferred tax assets.
5
The land bank is subject to resource and building consent and various regulatory approvals.
---
RYMAN HEALTHCARE
Half year result
For the period ending 30 September 2023
Presented 29 November 2023
Today’s
Speakers
Richard Umbers
GROUP CHIEF EXECUTIVE
OFFICER
David Bennett
CHIEF STRATEGY
OFFICER
Rob Woodgate
GROUP CHIEF FINANCIAL
OFFICER
1
Financial
performance
•Unaudited reported (IFRS) profit, which includes fair value movements, of $186.7 million (27.1 cps), down 3.8%
•Steady unaudited underlying profit
1
of $139.2 million, up 0.3% on 1H23, driven by solid growth in operating
EBITDA
1
(up 7.8%), offset by lower new sales in sites under development
•Negative free cash flow
1
of $158.4 million, an improvement of $138.5 million on 1H23, driven by improved
cash flow from existing operations and lower cash outflow on development activity
Development•Development under way across 14 sites, including Mulgrave which recently commenced
•Three new villages opened, welcoming first residents into Northwood (Christchurch), and Patrick Hogan
(Cambridge) in New Zealand and Bert Newton (Highett) in Australia
•Ongoing reprioritisation of development programme with Ringwood East, Takapuna and future stages
at Murray Halbergput on hold. Kohimarama is now being held for sale.
Capital
management
•Net interest-bearing debt of $2.47 billion - gearing of 33.6% within medium-term target of 30-35%
•Total facility headroom now at $533.9 million (including cash) following bank refinance in September 2023
•No interim dividend declared for 1H24. The outcome of the current dividend policy review is that dividends
will remain suspended. The board intends to undertake a further review of the dividend policy at FY26.
Any future dividend policy is expected to be based on cash flow.
Management
& board
•Rob Woodgate commenced in his role as Group CFO, with David Bennett transitioning
to Chief Strategy Officer
•Kate Munnings recently joined the Board as an independent non-executive director
Summary
1 Underlying profit, operating EBITDA and free cash floware non-GAAP (Generally Accepted Accounting Principles) measures and do not have a standardised
meaning prescribed by GAAP, and so may not be comparable to similar financial information presented by other entities.
2
3
Half year key
financials
Underlying profit
1
$139.2m
0.3%
1Underlying profit, operating EBITDA, free cash flowand free cash flow from existing operations are
non-GAAP (Generally Accepted Accounting Principles) measures and do not have a standardised
meaning prescribed by GAAP, and so may not be comparable to similar financial information
presented by other entities.
2 Change relative to March 2023.
Free cash flow from
existing operations
1
$49.2m
Operating EBITDA
1
$146.3m
7.8%
•IFRS profit of $186.7 million
(27.1 cps), including fair-value
movements
•Underlying profit steady with
higher operating EBITDA
offset by lower new sales at
sites under development
•Free cash flow of -$158.4
million, up $138.5 million
on 1H23
•Compliant with all lending
covenants
Total assets
$13.09bn
4.6%
2
Free cash flow
1
-$158.4m$186.7m
Reported (IFRS) profit
-3.8%
1
Existing
operations
Management focus
Continued focus on resetting the business for improved long-term performance
Strategic focus
2
Development
activity
3
Capital
management
Financial metrics which matter
Targeted sales and marketing across pricing,
incentives and brand partnerships
Leveraging scale across regional operating
model to drive cost benefits
System and process improvement
Free cash flow from existing operations
Operating EBITDA
Resale settlements
Reviewing existing land bank to ensure sites meet
current investment criteria
Optimising site mix with a focus on capital
recycling and peak debt
Balancing development resource
Free cash flow from development activity
Capital recycling and peak debt
New sale settlements
Matching build programme to sales activity and
funding envelope
Maintaining funding headroom and tenor
Dividends remain suspended to maintain
financial headroom
Total free cash flow
Net debt and gearing
Lending covenants
4
5
•7.8% increase in operating EBITDA
driven by improved village operating
performance, offset by decline in
recognised gross resales margin
•Resales bank of $1.71 billion
is expected to underpin future
growth in operating EBITDA
Operating EBITDAis a non-GAAP (Generally Accepted Accounting Principles) measure
and does not have a standardised meaning prescribed by GAAP, and so may not be
comparable to similar financial information presented by other entities.
84.4
94.5
87.5
100.5
135.8
146.3
-
$20m
$40m
$60m
$80m
$100m
$120m
$140m
$160m
1H191H201H211H221H231H24
Operating EBITDA
Operating EBITDA
Improvement in
operating EBITDA
1. Existing operations
Leading the sector
in care quality
•Of all the large aged-care providers in
New Zealand
1
, Ryman has the highest
number of care centres with 4-year
2
Ministry of Health certifications at 85%
•Recently received a 3-year
2
certification for 100% of care centres
audited by the Australian Aged Care
Quality and Safety Commission
•Ongoing development of a new care
suite product which will offer additional
space and premium features within our
new care centres, with the first care
suites expected to be delivered in
Northwood in late 2025
6
1 Providers with 20 or more operational care centres.
2 Highest certification period.
Based on MoH data at 19 October 2023. Excludes care centres which are listed
under certification as "other" or "no change".
85%
48%
42%
41%
40%
24%
23%
0%
20%
40%
60%
80%
100%
Proportion of care centres with 4-year Ministry of Health
certification in New Zealand
1. Existing operations
Expandinghome
care offering
7
•Home care offering growing in
Australia with 192 residents receiving
funded home care packages,
1-in-7 of ~1,400 independent and
serviced residents across our
7 operational villages
•Funded home care packages in
Australia improves the value
proposition for serviced apartment
residents who can subsidise their
Ryman weekly fees
•Continued development of privately-
paid home care support services
for retirement village residents
in New Zealand villages
1. Existing operations
Portfolio
movement
•Gross portfolio increase of 302 RV units
and aged care beds in 1H24
•FY24 outlook for gross portfolio increase
of 650-750 RV units and beds (previously
750-800)
•Medium-term outlook for the build
programme will be reviewed at the
full-year result
8
Gross increase in RV units and aged care beds excludes reconfigurations of existing
RV units and aged care beds. Net portfolio increase of 298 units includes -4 from
reconfigurations (ref appendix 25).
280
193
306
290
189
302
477
648
430
421
663
757
841
736
711
852
-
100
200
300
400
500
600
700
800
900
FY19FY20FY21FY22FY23FY24
Gross increase in RV units and aged care beds
First halfSecond half
Full year
2. Development activity
Development pipeline: New Zealand
7James WattieLow
>$1.0m
FY25
8Kevin HickmanLow
>$0.6m
FY27
9Patrick HoganLow
>$0.9m
FY27
10NorthwoodLow
>$0.6m
FY27
11Park TerraceHigh
>$1.1m
TBC
12KaroriHigh
>$1.0m
TBC
13RollestonLow
>$0.8m
TBC
14TaupōLow
>$0.8m
TBC
Peak capital
requirement
Median
house price
Design Consenting
Council
approval
Construction
Village
open
Village centre
open
Targeted village
completion
1William SandersHigh
>$1.4m
FY24
2Murray HalbergHigh
>$0.9m
FY24 (Stage 8)
1
3Miriam Corban Medium
>$0.8m
FY25
4Keith ParkHigh
>$0.9m
FY27
5TakapunaMedium
>$1.2m
Paused
6KarakaLow
>$1.0m
TBC
Rest of New Zealand
Auckland
Pipeline reflects status at 30 September 2023. Median house price is in New Zealand dollars and reflects the median house price in the catchment
area. Targeted village completion is based on current estimates and may vary from the final completion date.
1Excluding Stage 8, other stages at Murray Halbergare paused.
Sites under
construction
9
9
NewtownHeld for sale
KohimaramaHeld for sale
No longer included in pipeline
Totalsites in
pipeline
14
1H24 update
2. Development activity
John FlynnComplete
Mt MarthaUnder contract
Peak capital
requirement
Median
house price
DesignConsenting
Council
approval
Construction
Village
open
Village centre
open
Targeted village
completion
1Nellie MelbaMedium
>$1.6m
FY26
2
Deborah CheethamLow
>$1.2m
FY26
3Bert NewtonMedium
>$1.7m
FY25
4Ringwood EastHigh
>$0.9m
Paused
5MulgraveLow
>$1.2m
FY28
6Mt ElizaHigh
>$1.6m
TBC
7EssendonMedium
>$1.3m
TBC
8KealbaLow
>$1.0m
TBC
9Coburg NorthHigh
>$1.1m
TBC
Development pipeline: Australia
No longer included in pipeline
Sites under
construction
5
10
Totalsites in
pipeline
9
Pipeline reflects status at 30 September 2023. Median house price is in Australian dollars and reflects the median house price in the catchment
area. Targeted village completion is based on current estimates and may vary from the final completion date.
1H24 update
2. Development activity
2,440
1,450
60
370
2,500
1,820
Forecast capital recycling on projects under construction
Forecast resident receiptsForecast capital recycling deficitForecast total cost
11
Capital recycling
projection
•14 sites under construction are expected
to cost $4.32 billion and result in a capital
recycling deficit of $430 million
•$370 million of this deficit (~85%) comes from
five sites which have been impacted by
construction cost inflation, severe weather
events and COVID related delays
•Ongoing investment in these developments
is expected to deliver incremental cash flow of
over $1.0 billion from September 2023
Capital recycling represents total cash
receipts from resident occupancy
advances and refundable
accommodation deposits, less total
development cost
Other 9 sites under
construction
1Total costs include costs to date plus forecast costs to complete. Forecasts are
based on an assumed delivery and sell-down profile which are estimates and
subject to change. Costs include capitalised interest and head office recharges
which are dependent on build programme and allocation methodology.
5 impacted sites
•Murray Halberg
•Miriam Corban
•Keith Park
•James Wattie
•Kevin Hickman
1
2. Development activity
Gearing within
medium-term
target
12
•Net debt of $2.47 billion at September
2023 ($2.30 billion at March)
•Gearing of 33.6% at September, within
medium-term target of 30-35%
•Total facility headroom including cash
now $533.9 million
44.3%
44.5%
42.6%
45.3%
33.1%
33.6%
-
5%
10%
15%
20%
25%
30%
35%
40%
45%
50%
Mar-21Sep-21Mar-22Sep-22Mar-23Sep-23
Gearing
Gearing calculated as net interest-bearing debt to net interest-bearing debt
plus equity.
3. Capital management
Compliant with all
lending covenants
13
•Interest cover ratio (ICR) covenant
amended to be calculated on
adjusted EBITDA to total interest
and excludes USPP interest
(ref appendix 23)
Interest cover ratio
(ICR) covenant
(>1.75)
Adjusted total
liabilities to net
tangible assets
(<=1.0)
2.25x
0.60
3. Capital management
14
Ryman team member Kim, and Charles Upham Village resident Margaret.
Booked sales of
occupation rights
26.4%
Gross new sales
margin
Revenue per
occupied bed
(per day)
$281699
12.1%
2.3%*
Available RV
unit resale stock
* Percentage points
2.4%
0.3%*
-9.5%
28.3%
Gross resales
margin
3.8%*
Average aged
care occupancy
for mature villages
96%
2%*
First half key
performance
indicators
vs last year
vs last year
vs last year
vs last year
vs Mar 2023
vs last year
15
•Gross resale margins remain
above long-run average
•Improving operating metrics
in aged care business with
occupancy of 96% in
mature villages, back to
pre-COVID levels
•Growth in revenue per bed
being driven by government
funding and room premium
charges
Half year
underlying profit
of $139.2 million
•Total revenue up 17.8% driven
predominantly by a 12.1% like-for-like
growth in revenue per occupied bed
•Operating EBITDA up 7.8% reflecting
improved village operating
performance
•Underlying profit flat with operating
EBITDA growth offset by lower gross
development margins
•P&L interest expense down reflecting
impact of lower debt levels following
the equity raise in 2H23 and a resulting
higher proportion of interest costs
being capitalised
16
1 Operating EBITDA, underlying EBITDA, underlying EBIT and underlying profit are
non-GAAP (Generally Accepted Accounting Principles) measures and do not have
a standardised meaning prescribed by GAAP, and so may not be comparable to
similar financial information presented by other entities.
21H24 excludes $2.0 million cost associated with close out of employee share schemes.
Alternative profit and loss presentation (non-GAAP
1
)
$m1H241H23YoY
Total revenue323.0274.217.8%
Gross resale margin114.2126.7-9.8%
Operating expenses
2
(290.9)(265.1)9.7%
Operating EBITDA146.3135.87.8%
Gross development margin35.545.4-21.7%
Underlying EBITDA181.8181.20.4%
Depreciation and amortisation(26.2)(23.0)13.9%
Underlying EBIT155.7158.2-1.6%
Interest expense(16.4)(19.4)-15.1%
Underlying profit139.2138.80.3%
Weighted shares on issue (000s)687.6500.037.5%
Underlying profit per share (cps)20.227.8-27.1%
RV unit sales
performance
•Total booked sales of occupation rights
down 9.5% driven by lower new sales
•Realised fair value movement down
13.0% to $149.7m
•Total unsold stock of 453 units
17
1Percentage points.
2Gross margin booked on new sales (development margin) and resales
(resales margin).
3 New sales stock includes fully complete units which can be occupied.
1H241H23YoY
Booked
sales
New sales144216-33.3%
Resales555556-0.2%
Total699772-9.5%
Average price
per unit
New sales$939k$870k7.9%
Resales$727k$710k2.4%
Total$771k$755k2.1%
Margins
New sales26.3%24.1%2.2%
1
Resales28.3%32.1%-3.8%
1
Total27.8%29.5%-1.7%
1
Realised fair
value moment
2
New sales$35.5m$45.4m-21.7%
Resales$114.2m$126.7m-9.8%
Total$149.7m$172.1m-13.0%
Unsold stock
New sales
3
23318128.7%
Resales22014452.8%
Total45332539.4%
Booked sales of
occupation rights
18
Resales
•Steady booked resales of 555 units
(down 0.2%) reflecting demand for
mature villages
•Available resale stock of 220 units,
2.4% of RV unit portfolio
New sales
•Softer booked new sales of 144 units
(down 33.3%) reflecting challenging
sales environment
•Available new sales stock of 233 units
405
454
456
514
556
555
168
229
121
189
216
144
573
683
577
703
772
699
-
100
200
300
400
500
600
700
800
900
1H191H201H211H221H231H24
Booked sales of occupation rights
Booked resalesBooked new sales
Total booked sales
Settled sales of
occupation rights
19
•Total settlements of occupation rights
up 10.2% to 767
•Solid growth in resales settlements,
up 16.3% to 535
•Gross margin from 1H24 settled resales
of $120.4 million ($114.2 million for
booked resales)
427
435
449
451
460
535
241
271
107
282
236
232
668
706
556
733
696
767
-
100
200
300
400
500
600
700
800
900
1H191H201H211H221H231H24
Settled sales of occupation rights
Settled resalesSettled new sales
Total settled sales
Average price on
booked sales
20
•Average new sale and resale prices
lifted to $939,000 and $727,000
respectively
•Uplift in average pricing largely
reflects mix of villages, particularly for
serviced apartments where we are
achieving strong pricing for this
product in higher value locations
(Auckland and Melbourne)
363
358
347
396
436
501
455
577
717
702
744
728
870
939
312
323
356
349
381
380
419
512
499
517
521
605
710
727
-
$200k
$400k
$600k
$800k
$1,000k
New salesResales
Resilient margins
despite challenging
market
21
•Margins impacted by mix of units
and geographical location
•Like-for-like pricing flat at a portfolio
level during the period
27.3%
19.8%
29.0%
20.7%
24.1%
26.3%
24.6%
23.6%
21.4%
25.1%
32.1%
28.3%
-
5%
10%
15%
20%
25%
30%
35%
1H191H201H211H221H231H24
Gross new sale and resale margins
New sale gross marginResale gross margin
Significant
embedded value
in existing portfolio
•Portfolio embedded value of
$2.45 billion (flat vs March 2023),
including $250 million for Australian
villages
•Higher accrued management fees
and resident loans offsetting a
reduction in the gross resale bank
reflecting realised resale margin
in 1H24
•Gross resale bank excludes unit selling
costs, comprising unit refurbishment,
sales incentives and commissions
22
Embedded value is a non-GAAP (Generally Accepted Accounting Principles)
measure and does not have a standardised meaning prescribed by GAAP, and so
may not be comparable to similar financial information presented by other entities.
1.15
1.67
1.87
1.95
1.78
1.71
0.50
0.54
0.58
0.62
0.67
0.74
1.65
2.21
2.45
2.57
2.452.45
-
$0.5b
$1.0b
$1.5b
$2.0b
$2.5b
$3.0b
Mar-21Sep-21Mar-22Sep-22Mar-23Sep-23
Embedded value
Gross resale bankAccrued management fees and resident loans
New alternative presentation
providing segmental view of cash flow
from existing operations, cash flow
from development activity and net
expensed interest paid
Free cash flow
23
1 Cash flow from existing operations, cash flow from development, and free cash flow
are non-GAAP (Generally Accepted Accounting Principles) measures and do not have
a standardised meaning prescribed by GAAP, and so may not be comparable to
similar financial information presented by other entities.
2 Net investing cash flows reflects the combination of capex on existing villages and head
office, capex on new villages excluding interest, and capitalised interest paid.
Alternative free cash flow presentation (non-GAAP
1
)
$m1H241H23YoY
Village and care fees251.6213.338.3
Resales of occupational rights355.3293.761.7
Repaid occupational rights on resales(221.0)(201.6)(19.3)
Payments to suppliers and employees(289.8)(252.4)(37.4)
Capex on existing villages and head office
2
(47.0)(66.9)19.9
Cash flow from existing operations49.2(14.0)63.2
New sales of occupation rights on RV units207.5162.744.8
Net increase in RADs on aged care beds54.545.09.5
Capex on new villages excluding interest
2
(395.7)(432.0)36.3
Capitalised interest paid
2
(53.5)(41.6)(11.9)
Cash flow from development(187.3)(265.9)78.6
Net expensed interest paid(20.3)(17.0)(3.3)
Free cash flow(158.4)(296.9)138.5
Reconciliation to IFRS cash flow statement
Net operating cash flows337.9243.794.2
Net investing cash flows
2
(496.3)(540.5)44.3
Free cash flow(158.4)(296.9)138.5
•$63.2 million improvement in cash
flow from existing operations
•Freecash flow of -$158.4 million
(-$296.9 million in 1H23)
•Targeting positive free cash flow
from FY25
24
Cash flow
from existing
operations
•Cash flow from existing operations of
$49.2 million, up on 1H23, driven by lift
in resales settlements
•Includes all capital expenditure on
existing villages including unit
refurbishment
•Payouts on existing RV units
(repurchased stock) sitting at $152.7
million at September 2023, up from
$138.9 million at March 2023
New metric showing net cash flow from
existing retirement villages and head
office functions
Cash flow from existing operations is a non-GAAP (Generally Accepted Accounting
Principles) measures and do not have a standardised meaning prescribed by GAAP,
and so may not be comparable to similar financial information presented by
other entities.
10.8
4.4
(24.4)
7.6
(14.0)
49.2
($400m)
($300m)
($200m)
($100m)
-
$100m
$200m
$300m
$400m
1H191H201H211H221H231H24
Cash flow from existing operations
Village and care feesPayments to suppliers and employees
Net resales of occupational rightsCapex on existing villages and head office
Cash flow from existing operations
25
Cash flow
from development
activity
•Negative cash flow from development
activity of -$187.3 million in 1H23,
an improvement of $78.6 million on
-$265.9 million in 1H23
New metric showing net cash flow from
development of new retirement villages
Cash flow from development is a non-GAAP (Generally Accepted Accounting
Principles) measures and do not have a standardised meaning prescribed by GAAP,
and so may not be comparable to similar financial information presented by
other entities.
(94.2)
(101.5)
(278.8)
(103.7)
(265.9)
(187.3)
($500m)
($400m)
($300m)
($200m)
($100m)
-
$100m
$200m
$300m
1H191H201H211H221H231H24
Cash flow from development activity
New sales of occupation rights on RV unitsCapex on new villages excluding interest
Net increase in RADs on aged care bedsCapitalised interest paid
Cash flow from development activity
26
Funding update
•Following bank refinance in September
2023, total debt facilities including retail
bond and ITL, now $3.01 billion
•Average funding tenor across all debt
of 3.6 years, up from 2.6 years prior to
banking refinance
•Facility headroom, including cash, of
$533.9 million at September 2023
•Forward starting interest rate swaps of
$675.4 million at average rate of 4.11%
entered into in 1H24
115
104
157
779
521
295
134
43
391
54
150
268
249
147
698
779
843
295
-
$100m
$200m
$300m
$400m
$500m
$600m
$700m
$800m
$900m
FY 24FY 25FY 26FY 27FY 28FY 29FY 30
Debt maturity profile
Bank facilities - NZDBank facilities - AUDRetail bondITL
Total
1 Includes NZD facilities limit plus undrawn amounts of multi-currency facilities.
1
Sustainability
progress
27
•Set a science-based target to reduce
our emissions following a baseline
emissions inventory calculation
•Baseline inventory, science-based
targets, and our emissions reduction
planapproved by the Board and
submitted to The Science Based
Targets initiative (SBTi) for validation
Underlying profit
•FY24 underlying profit is expected to be in the range of $300-$330 million
(previously $310-$330 million). This wider range reflects the ongoing levels of
market uncertainty and dependency on sales in the new year.
•Beyond FY24, guidance will not be based on underlying profit.
Portfolio growth
•FY24 portfolio to grow by 650-750 retirement village units and aged care
beds.
•Medium-term outlook for the build programme will be reviewed at the
full-year result.
Free cash flow
•Targeting free cash flow positive from FY25.
Dividends
•No interim dividend declared for 1H24. The outcome of the current
dividend policy review is that dividends will remain suspended.
•The board intends to undertake a further review of the dividend policy at
FY26. Any future dividend policy is expected to be based on cash flow.
Outlook
Ryman’s outlook for FY24 is based on current market conditions and our assessment of the future.
28
29
Charles Brownlow Village resident, Wendy.
Questions
30
Artist’s impression of our Mulgrave Village, Melbourne.
Development
updates
Deborah Cheetham
Village
Ocean Grove
31
•Village centre opened and
welcomed first serviced apartment
and care centre residents in
July 2023
•Phase 3 (64 independent
townhouses) received final planning
conditions (endorsement) in
September 2023 and has since
commenced construction
IndependentServicedCare
14553120
Village centre
Photo, July 2023.
Development
Bert Newton Village
Highett, Melbourne
32
•Village officially opened with the
welcoming of its first residents into
the Stage 2 apartment building
in June 2023 (article link
)
•Stage 3 apartment building
completed in September 2023
Stage 2
Stage 3
IndependentServicedCare
854579
Photo, September 2023.
Development
Mulgrave Village
Melbourne
33
•Commenced construction in
1H24 with civil works under way
and built form construction
to commence shortly
•“Fly-through” video and villa tour
available on Ryman Australia
website (website link
)
•Sales office opened in
November 2023
IndependentServicedCare
1755460
Artist impression.
Artist impression.
Artist impression.
Development
Miriam Corban
Village
Henderson, Auckland
34
•First sub-stage of Stage 5
townhouses completed in July 2023
IndependentServicedCare
2087760
Stage 5
Photo, September 2023.
Development
Keith Park Village
Hobsonville, Auckland
35
•Stage 6 independent apartment
building completed in July 2023
•Site impacted by severe weather
events in early 2023
•Resilient construction team won
Construction Site of the Year in the
2023 Ryman Awards (article link
)
Stage 6
IndependentServicedCare
276101120
Photo, September 2023.
Development
Northwood Village
Christchurch
36
•Village opened, welcoming first
independent residents in June 2023
•Stage 9 townhouses completed
IndependentServicedCare
1657160
Photo, July 2023.
Development
Patrick Hogan
Village
Cambridge
37
•Village opened, welcoming first
independent residents in July 2023
•Stage 2 and 3 townhouses
completed
•Village named in honour of the late
New Zealand horse racing and
breeding legend, Sir Patrick Hogan
KNZM CBE (article link
)
IndependentServicedCare
1856080
Photo, August 2023.
Development
38
Appendices
Logan Campbell Village resident Dora, and her daughter Vanessa Joe.
Appendix 1
Reported (IFRS) profit reconciliation
39
Underlying profitis a non-GAAP (Generally Accepted Accounting Principles) measure and differs from NZ IFRS profit for the period. Underlying profitdoes
not have a standardised meaning prescribed by GAAP and so may not be comparable to similar financial information presented byother entities.
The Ryman Group uses underlying profit, with other measures, to measure performance. Underlying profitis a measure that the Ryman Group uses consistently
across reporting periods.
Underlying profitincludes realised movement on investment property for units in which a right-to -occupy has been sold during the period and for which a legally
binding contract is in place at the reporting date. The occupancy advance for these units may have been received or be included within the trade receivables
balance at reporting date.
Underlying profitexcludes deferred taxation, taxation expense, unrealised movement on investment properties, impairment losses on non-trading assets,costs
relating to the close out of employee share schemes and the cost of exiting USPP borrowings and swap amendments.
6 months to
30-Sep-23
6 months to
30-Sep-22
12 months to
31-Mar-23
$000sNZAUGroupNZAUGroupNZAUGroup
Underlying profit (non-GAAP)126,96112,266
139,227
111,68327,123
138,806
232,22269,670
301,892
Unrealised revaluations of investment properties(3,186)30,491
27,305
49,59439,686
89,280
20,23353,428
73,661
Deferred tax (expense) / credit28,92714,323
43,250
(32,609)9,293
(23,316)
31,26120,379
51,640
Impairment loss(15,824)-
(15,824)
-(10,784)
(10,784)
(250)(10,784)
(11,034)
Costs relating to USPP prepayment and swaps--
-
--
-
(156,090)(2,233)
(158,323)
Costs relating to swap amendments(4,227)(1,046)
(5,273)
--
-
--
-
Close out of employee share schemes(2,000)-
(2,000)
--
-
--
-
Reported net profit after tax130,65156,034
186,685
128,66865,318
193,986
127,376130,460
257,836
Appendix 2
Booked sales of occupation rights
40
6 months to
30-Sep-23
6 months to
30-Sep-22
12 months to
31-Mar-23
NZAUGroupNZAUGroupNZAUGroup
Resale of existing units
Independent24024
264
22826
254
43852
490
Serviced26823
291
28517
302
52839
567
50847
555
51343
556
96691
1,057
Sale of new units
Independent7330
103
6969
138
165138
303
Serviced1922
41
3345
78
58101
159
9252
144
102114
216
223239
462
Total
60099
699
615157
772
1,189330
1,519
Appendix 3
Available resales stock
41
1Uncontracted available resales stock as a percentage of total RV unit
portfolio (independent and serviced units). Available stock excludes
stock which is unavailable due to alternative use e.g., temporary sales
office or temporary village centre.
Sep-23Mar-23Sep-22
Independent living units
108
7752
Serviced apartments
112
11592
Total resales stock
220
192144
Total retirement portfolio
9,356
9,1428,667
Uncontracted stock
percentage
1
2.4%2.1%1.7%
Country split represents available resales stock in the country
as a % of the total Group retirement village portfolio.
1.0%
0.8%
1.1%
1.4%
1.5%
1.0%
0.7%
1.0%
1.3%
1.6%
1.7%
0.2%
0.2%
0.4%
0.3%
0.4%
0.5%
0.5%
0.4%
0.3%
0.5%
0.6%
1.2%
1.0%
1.6%
1.7%
1.9%
1.4%
1.2%
1.4%
1.7%
2.1%
2.4%
-
0.5%
1.0%
1.5%
2.0%
2.5%
Sep
18
Mar
19
Sep
19
Mar
20
Sep
20
Mar
21
Sep
21
Mar
22
Sep
22
Mar
23
Sep
23
Uncontracted resales stock
New ZealandAustralia
Total
Appendix 4
Margins
42
6 months to
30-Sep-23
6 months to
30-Sep-22
12 months to
31-Mar-23
$000sNZAUGroupNZAUGroupNZAUGroup
New sales
Realised fair value movement
1
16,66118,871
35,532
16,61628,773
45,389
47,06775,874
122,941
Sale of occupation rights80,50354,762
135,265
83,502104,449
187,951
186,561231,761
418,322
Gross development margin
20.7%34.5%
26.3%
19.9%27.5%
24.1%
25.2%32.7%
29.4%
Resales
Realised fair value movement
1
107,5016,703
114,204
118,6098,068
126,677
219,37215,529
234,901
Resale of occupation rights361,33742,114
403,451
356,68038,019
394,699
672,17982,403
754,582
Gross resales margin
29.8%15.9%
28.3%
33.3%21.2%
32.1%
32.6%18.8%
31.1%
Total sales
Total realised fair value movement
1
124,16225,574
149,736
135,22536,841
172,066
266,44091,402
357,842
Total sale of occupation rights441,84096,876
538,716
440,182142,468
582,650
858,740314,164
1,172,904
Gross total margin
28.1%26.4%
27.8%
30.7%25.9%
29.5%
31.0%29.1%
30.5%
1Note 4 in 2024 interim financial statements, note 10 in 2023 full year financial statements.
3%
78%
8%
7%
75%
14%
10%
75%
18%
-
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
New ZealandAustraliaGroup
RAD penetration
Sep-21Sep-22Sep-23
Appendix 5
Refundable accommodation
deposits (RADs)
43
RAD balance ($000s)Sep 23Mar 23Sep 22
New Zealand131,463115,32991,682
Australia232,720184,985160,316
Group364,183300,314251,998
Outstanding RADs (no.)Sep 23Mar 23Sep 22
New Zealand358312252
Australia385324274
Group743636526
RAD penetration calculated as no. outstanding RADs divided by
total occupied aged care beds, and includes combination RADs
(residents who pay partially via RAD and partially via fee equivalent).
Appendix 6
Investment property valuation summary
Valuer unit price inflation assumption
Discount rate
As at 30 September 2023Yr 1Yr 2Yr 3Yr 4Yr 5+
Auckland0.8%1.5%2.3%3.0%3.5%12.9%
Rest of New Zealand0.8%1.4%2.2%2.8%3.4%13.2%
Australia4.2%3.2%3.3%3.5%3.6%13.2%
Valuer unit price inflation assumption
Discount rate
As at 31 March 2023Yr 1Yr 2Yr 3Yr 4Yr 5+
Auckland0.1%0.6%2.3%3.0%3.5%12.9%
Rest of New Zealand0.2%0.7%2.2%2.8%3.4%13.1%
Australia3.5%3.1%3.2%3.4%3.6%13.2%
Valuer unit price inflation assumption
Discount rate
As at 30 September 2022Yr 1Yr 2Yr 3Yr 4Yr 5+
Auckland0.3%1.1%2.3%3.0%3.5%12.8%
Rest of New Zealand0.4%1.2%2.2%2.8%3.5%13.1%
Australia2.9%3.1%3.4%3.5%3.4%13.5%
44
The average price shown for Ryman units is for resales only. The median house price
reflects the average median house price over the last 6 months in the areas
surrounding our villages.
Appendix 7
Resales affordability
45
1.59
1.17
0.72
0.95
1.08
0.70
0.72
0.70
0.50
-
$0.3m
$0.6m
$0.9m
$1.2m
$1.5m
$1.8m
Melbourne (A$)Auckland (NZ$)Rest of NZ (NZ$)
Resales affordability
Median house price - village areasRyman - 2 bed independentRyman - serviced
Appendix 8
Resident average age
and tenure (years)
46
Average age (current)Sep-23Mar-23Sep-22
Independent82.682.682.4
Serviced87.487.487.3
Care centre86.586.486.4
Average age (on entry)Sep-23Mar-23Sep-22
Independent80.279.879.8
Serviced85.985.386.1
Average tenure (vacated)Sep-23Mar-23Sep-22
Independent6.16.46.2
Serviced3.22.63.3
80
81
82
83
84
85
86
87
88
89
90
Mar-18
Sep-18
Mar-19
Sep-19
Mar-20
Sep-20
Mar-21
Sep-21
Mar-22
Sep-22
Mar-23
Sep-23
Average age (current)
IndependentServicedCare centre
47
Appendix 9
Aged care
occupancy
88%
90%
92%
94%
96%
98%
100%
AprMayJunJulAugSepOctNovDecJanFebMar
Aged care occupancy for mature villages
FY24FY23FY22
Appendix 10
Revenue
48
$000sFinancial statement
reference
6 months to
30-Sep-23
6 months to
30-Sep-22
12 months to
31-Mar-23
Care204,607170,881356,440
Serviced24,52222,19044,975
Independent19,88517,11635,926
Care and village fees
Income statement
249,014210,187437,341
Care---
Serviced19,04315,52832,858
Independent48,61444,21889,911
Deferred management fees
Income statement
67,65759,746122,769
Care204,607170,881356,440
Serviced43,56537,71877,833
Independent68,49961,334125,837
Total fees
Income statement
316,671269,933560,110
Interest receivedIncome statement1,2743642,140
Other incomeIncome statement5,0173,9428,727
Total revenue
Income statement
322,962274,239570,977
Revenue per occupied bed
Total fees on aged care beds ($000s)204,607170,881356,440
Total occupied bed-days (no.)729,100682,8001,390,000
Care fees per occupied bed per day ($)281250256
Appendix 11
Cash management fees
49
$000s
Financial statement
reference
6 months to
30-Sep-23
6 months to
30-Sep-22
12 months to
31-Mar-23
Accrued management fees and resident loans – opening(Note 10)671,838578,254578,254
Accrued management fees and resident loans – closing(Note 10)(739,812)(622,635)(671,838)
Movement in accrued management fees(67,974)(44,381)(93,584)
Plus: DMF incomeIncome statement67,65759,746122,769
Plus: Revenue in advance movementCash flow statement19,3877,43818,019
Plus: GST / accommodation credit adj' / FX movement1,2603,3431,683
Plus: Movement in resident loans13,7822,82013,510
Cash management fees34,11228,96662,397
Appendix 12
Operating cash flow
50
$000s
Financial statement
reference
6 months to
30-Sep-23
6 months to
30-Sep-22
12 months to
31-Mar-23
Care and village fees receivedNot disclosed251,640213,302442,915
Refundable accommodation deposits (net)Not disclosed54,49545,040100,619
New sale of occupation rightsNot disclosed207,466162,710447,242
Resales of occupation rightsNot disclosed355,331293,676611,742
Total receipts from residents
Cash flow statement
868,932714,7281,602,518
Interest receivedCash flow statement1,3023802,198
Payments to suppliers and employeesCash flow statement(289,783)(252,421)(469,648)
Payments to residentsCash flow statement(220,970)(201,629)(437,375)
Interest paidCash flow statement(21,564)(17,377)(46,864)
Net operating cash flow337,917243,681650,829
51
Appendix 13
Investing cash flow
48.2
71.2
36.5
35.3
115.3
50.6
6.6
0.2
208.2
237.9
325.8
315.2
358.3
398.7
20.0
18.3
23.2
30.2
29.2
17.8
27.5
25.7
20.6
25.7
38.0
29.3
306.6
362.6
409.6
411.5
540.5
496.3
-
$100m
$200m
$300m
$400m
$500m
$600m
1H191H201H211H221H231H24
Investing cash flow
Purchases of landBed licencesNew villages
Care / systems / projectsVillage upgradesAdvances to employees
Total investing cashflow
Appendix 14
Free cash flow
52
$m
Financial statement and
appendix reference
6 months to
30-Sep-23
6 months to
30-Sep-22
12 months to
31-Mar-23
Care and village feesAppendix 12251.6213.3442.9
Resales of occupational rightsAppendix 12355.3293.7611.7
Repaid occupational rights on resalesCash flow statement(221.0)(201.6)(437.4)
Payments to suppliers and employeesCash flow statement(289.8)(252.4)(469.6)
Capex on existing villages and head office
1
Appendix 13(47.0)(66.9)(111.0)
Cash flow from existing operations49.2(14.0)36.6
New sales of occupation rights on RV unitsAppendix 12207.5162.7447.2
Net increase in RADs on aged care bedsAppendix 1254.545.0100.6
Capex on new villages excluding interest
2
(395.7)(432.0)(820.8)
Capitalised interest paidCash flow statement(53.5)(41.6)(108.1)
Cash flow from development activity(187.3)(265.9)(381.0)
Net expensed interest paid(20.3)(17.0)(44.7)
Free cash flow(158.4)(296.9)(389.0)
Reconciliation to IFRS cash flow statement
Net operating cash flows337.9243.7650.8
Net investing cash flows
3
(496.3)(540.5)(1,039.9)
Free cash flow(158.4)(296.9)(389.0)
1Calculated as care / systems / projects plus village upgrades, as shown on appendix 13, plus advances to employees, shown in investing activities in the
consolidated statement of cash flows.
2Calculated as net investing cash flows, shown in the consolidated statement of cash flows, less capex on exiting villages andhead office presented on this slide,
less capitalised interest paid, shown in the consolidated statement of cash flows.
3Combination of capex on existing villages and head office, capex on new villages excluding interest, and capitalised interestpaid.
53
Capital recycling for sites under construction (non-GAAP
1
)
1 Capital recycling is a non-GAAP (Generally Accepted Accounting Principles) measure
and does not have a standardised meaning prescribed by GAAP, and so may not be
comparable to similar financial information presented by other entities.
2Total costs include costs to date plus forecast costs to complete.
3Future stages currently on hold.
$mStarted
construction
Current
phase
Forecast
total cost
2
Forecast
capital
recycing
Murray Halberg
3
FY18Late stages400-500
(100) – (50)
Miriam CorbanFY19Main building300-400
Keith ParkFY20Main building400-500
James WattieFY20Main building200-300
Kevin HickmanFY20Main building200-300
Impacted sites1,820(370)
Nellie MelbaFY17Late stages300-400
(60) - 100
William SandersFY18Late stages300-400
Deborah CheethamFY20Late stages200-300
Bert NewtonFY22Main building200-300
Takapuna
3
FY22Foundations200-300
Ringwood East
3
FY22Foundations300-400
NorthwoodFY22Early stages200-300
Patrick HoganFY23Early stages200-300
MulgraveFY24Foundations200-300
Other sites2,500(60)
Total under construcion14 sites4,320(430)
Capital recycling represents total cash
receipts from resident occupancy
advances and refundable
accommodation deposits, less total
development cost
Appendix 15
Capital recycling
projection
•Forecasts are based on an assumed delivery
and sell down profile which are estimates and
subject to change
•Costs include capitalised interest and head
office recharges which are dependent on
build programme and allocation methodology
Appendix 16
Balance sheet summary
54
1Includes inventory, advances to employees, and derivative financial instruments.
2Includes employee entitlements, revenue in advance, derivative financial instruments, lease liabilities and deferred tax liability.
3Total equity less intangible assets and deferred tax asset.
4Net interest-bearing debt to net interest-bearing debt plus total equity.
$m6-month
change
Sep-23Mar-23Sep-22Mar-22Sep-21Mar-21
Cash and cash equivalents5332826281520
Trade and other receivables(41)678719792671509543
Assets held for sale397131----
Property, plant & equipment322,2382,2052,2302,0911,8471,659
Investment properties5109,8339,3238,7378,0277,3396,837
Intangible assets1868560525442
Deferred tax asset24785445353632
Other assets
1
46965144614938
Total assets57513,08512,51112,03310,9669,8499,172
Trade and other payables(60)146206248264181106
Interest bearing loans and borrowings1692,5002,3313,0262,5772,4502,274
Resident loans - occupancy advances1905,0164,8264,6324,2863,9023,702
Resident loans - RADs64364300252200147114
Other liabilities
2
12195183247204135146
Total liabilities3748,2217,8478,4057,5326,8156,342
Total equity2004,8644,6643,6283,4353,0342,829
Net tangible assets (NTA)
3
1754,7014,5253,5233,3482,9442,754
Shares on issue (m)-688688500500500500
NTA per share (cps)25.5683.6658.1704.6669.6588.7550.9
Net interest-bearing debt
4
1632,4662,3033,0002,5482,4352,254
Gearing
4
0.6%33.6%33.1%45.3%42.6%44.5%44.3%
Appendix 17
Retirement village unit receivables and payouts
55
1Includes care and village fees receivable, refundable accommodation deposit receivable and prepayments and other receivables.
2Contracted new sales not booked are unconditional sales of occupational right agreements which have not met the criteria to beincluded in the investment
property valuation at fair value or booked as new sales.
3Net amounts paid out on existing RV units for vacating residents or internal transfers where the unit has not been both resoldand settled.
$m6-month
change
Sep-23Mar-23Sep-22Mar-22Sep-21Mar-21
Trade and other receivables
New sales receivable(72.2)249.9322.0389.9358.4209.9290.6
Gross resales receivable6.1357.3351.2350.3262.3247.6188.2
Other
1
24.670.645.951.650.851.964.0
Total trade and other receivables(41.4)677.7719.1791.9671.5509.4542.8
Committed new sales
New sales receivable(72.2)249.9322.0389.9358.4209.9290.6
Contracted new sales not booked
2
3.228.725.5122.574.9162.4100.5
Total committed new sales(69.0)278.6347.6512.4433.3372.3391.1
Resales payouts
3
Existing payouts on resold units4.769.765.061.736.735.534.0
Existing payouts on uncontracted units7.281.174.042.033.234.840.5
Total payouts11.9150.8138.9103.870.871.174.7
Net resales receivable
Gross resale receivable6.1357.3351.2350.3262.3247.6188.2
Expected payouts on resold units(5.9)(131.2)(125.3)(129.4)(108.0)(111.8)(86.3)
Net resale receivable0.3226.1225.8220.9154.4135.8101.9
Appendix 18
Development work in progress
56
$m, all figures at cost6-month
change
Sep-23Mar-23Sep-22Mar-22Sep-21Mar-21
Included within property, plant and equipment
Land pending development(72.9)451.0523.9690.9636.4533.7343.4
Aged care centres under development132.0356.0224.0341.1285.9222.5256.3
Property under development at cost
59.1807.0747.91,032.0922.3756.2599.7
Included within investment properties
Investment property work in progress141.7928.6786.9702.4494.7633.4653.0
Uncontracted fully complete RV units(49.6)119.1168.7104.5143.7153.0102.3
57
Appendix 19
Net debt and total
assets trend
9.17
9.85
10.97
12.03
12.51
13.09
2.25
2.43
2.55
3.00
2.30
2.47
-
$2b
$4b
$6b
$8b
$10b
$12b
$14b
Mar-21Sep-21Mar-22Sep-22Mar-23Sep-23
Net debt and total assets
Total assetsNet interest-bearing debt
58
Appendix 20
Debtfunding summary
1All amounts shown in NZD. AUD fixed rate debt instruments (ITL and AUD swaps) converted to NZD at 30 September 2023 NZD/AUD rate of 0.9322.
2 Facility size includes AUD facilities limit plus amounts drawn in AUD on multi-currency facilities. Drawn debt includes amounts drawn on AUD facilities plus
amounts drawn in AUD on multi-currency facilities.
Debt facilities at 30 September 2023
$000s
1
Facility size
(NZD)
Drawn debt
(NZD)
Headroom
(NZD)
NZD Bank facilities1,781,6291,415,130366,499
AUD Bank facilities
2
810,448676,357134,091
AUD Institutional term loan (ITL)268,183268,183-
NZD Retail bond150,000150,000-
Debt facilities at face value3,010,2612,509,670500,591
Cash on hand33,295
Total funding available533,886
1.71
1.61
1.75
1.85
1.89
2.06
0.15
0.15
0.15
0.15
0.15
0.15
0.26
0.26
0.27
0.26
0.26
0.40
0.42
0.39
0.72
2.25
2.43
2.55
3.00
2.30
2.47
-
$0.5b
$1.0b
$1.5b
$2.0b
$2.5b
$3.0b
Mar-21Sep-21Mar-22Sep-22Mar-23Sep-23
Bank loans net of cashRetail bondsITLUSPP notes
Net debt by funding type
Appendix 21
Key debt metrics
59
1Includes retail bond, fixed portion of institutional term loan, and interest rate swaps (ref appendix 22).
2Total cost of fixed rate debt including retail bond (fixed coupon), fixed portion of institutional term loan (fixed coupon), interest rate swaps (fixed swap rate plus
average margin and line fees on bank debt, including margin on undrawn facilities weighted on drawn facilities), and fixed component of USPP notes at
September 2022 (fixed coupon).
3Total cost of all debt including fixed rate debt, floating rate debt and line fees on bank debt, including margin on undrawn facilities weighted on drawn facilities.
Debt facilitiesReference30-Sep-2331-Mar-2330-Sep-22
Total facilities at face value3,010,2612,889,3733,477,396
Drawn interest bearing debt at face valueNote 82,509,6702,340,0343,022,230
Debt headroom500,591549,339455,166
Cash and cash equivalentsBalance sheet33,29527,87925,874
Total funding headroom533,886577,219481,040
Weighted average term to maturity of debt facilities3.6 years3.1 years5.3 years
Interest bearing debt
Drawn interest bearing debt at face valueNote 82,509,6702,340,0343,022,230
IFRS adjustments(9,999)(9,084)3,721
Interest bearing loans and borrowings per balance sheetBalance sheet2,499,6712,330,9503,025,951
Cash and cash equivalentsBalance sheet(33,295)(27,879)(25,874)
Net interest bearingdebt2,466,3762,303,0713,000,077
Gearing
Net interest bearingdebtBalance sheet2,466,3762,303,0713,000,077
Equity per balance sheet4,863,9674,663,8973,628,069
Gearing (net debt to net debt plus equity)33.6%33.1%45.3%
Interest rate management
Total active fixed rate debt instruments
1
1,572,0021,570,3871,148,585
Weighted average term of fixed rate debt instruments
1
2.7 years2.0 years4.0 years
Percentage of drawn debt at face value at fixed rates63%67%38%
Weighted average interest rate on drawn fixed rate debt
2
4.8%4.9%4.5%
Weighted average interest rate on all drawn debt
3
5.8%5.4%5.4%
Appendix 22
Fixed rate debt profile at30 September 2023
All amounts shown in NZD. AUD fixed rate debt instruments (ITL and AUD swaps) converted to NZD at30 September 2023 NZD/AUD rate of 0.9322.
Face value of Institutional term loan (ITL) is A$250m, of which A$100m is fixed (NZ$107m as presented in the chart).
3
107107107107107107107107107107
150150150150150150150
950
660
620
570
440
575
430
430
360
280
230
365
375
375
375
375
375
375
343
343
311
257
1,572
1,293
1,253
1,203
1,073
1,208
1,063
881
811
698
487
-
$200m
$400m
$600m
$800m
$1,000m
$1,200m
$1,400m
$1,600m
$1,800m
Sep
23
Mar
24
Sep
24
Mar
25
Sep
25
Mar
26
Sep
26
Mar
27
Sep
27
Mar
28
Sep
28
Notional value of fixed rate debt ($m)
ITLRetail bondNZD swapsAUD swapsTotal fixed rate debt
60
4.8%
5.4%
5.4%
5.5%
5.5%
5.6%
5.6%
6.2%
6.2%
6.3%
6.5%
-
1.0%
2.0%
3.0%
4.0%
5.0%
6.0%
7.0%
Sep
23
Mar
24
Sep
24
Mar
25
Sep
25
Mar
26
Sep
26
Mar
27
Sep
27
Mar
28
Sep
28
Average interest rate on fixed rate debt (%)
Adjusted total liabilities to net tangible assets
at30 September 2023
Reference$000s
Adjusted total liabilities
Total liabilitiesBalance sheet8,221,205
Less net occupancy advancesBalance sheet(5,015,906)
Less RADsBalance sheet(364,183)
Adjusted total liabilities2,841,116
Net tangible assets
Total equityBalance sheet4,863,967
Less intangible assetsBalance sheet(85,710)
Less deferred tax assetBalance sheet(77,528)
Net tangible assets4,700,729
Ratio0.60
Covenant - no greater than:1.00
Headroom1,859,613
Appendix 23
Debt covenants
61
Interest coverage ratio (ICR)
for the 12 months ending 30 September 2023
$000s
Gross interest expense
Total finance costs207,721
Costs for USPP prepayment and swaps(163,596)
Interest costs incurred on repaid USPP notes (26,356)
Interest expense17,769
Capitalised interest paid120,006
Interest income(3,050)
Gross interest expense134,725
Adjusted EBITDA
Underlying profit302,313
Interest expense17,769
Interest income(3,050)
Depreciation and amortisation49,790
Management fees(130,680)
Cash management fees67,543
Other1
Adjusted EBITDA303,686
Ratio (adjusted EBITDA to gross interest)2.25
Covenant - greater than:1.75
1
Adjusted EBITDA Headroom67,917
1Interest Coverage Ratio (ICR) covenant is 1.75x through to March 2025, 2.00x in September 2025 and 2.25x thereafter.
Appendix 24
Summary of RV Units and aged care beds
62
Unit typeAsset baseLand bankAsset base and land bank
New
Zealand
AustraliaTotalNew
Zealand
AustraliaTotalNew
Zealand
AustraliaTotal
Independent townhouse2,7601302,8908402821,1223,6004124,012
Independent apartment
3,0098243,8331,0121,0282,0404,0211,8525,873
Total independent RV units5,7699546,7231,8521,3103,1627,6212,2649,885
Serviced apartment RV units2,2653682,6335713499202,8367173,553
Total RV units8,0341,3229,3562,4231,6594,08210,4572,98113,438
Hospital
1,6292571,8861902644541,8195212,340
Dementia
9261841,1102731894621,1993731,572
Rest home
1,3102341,544206902961,5163241,840
Total care beds
2
3,8656754,5406695431,2124,5341,2185,752
Total RV units and care beds11,8991,99713,8963,0922,2025,29414,9914,19919,190
% total
Independent RV units48%48%48%60%59%60%51%54%52%
Serviced apartment RV units19%18%19%18%16%17%19%17%19%
Care beds32%34%33%22%25%23%30%29%30%
Total RV units and care beds100%100%100%100%100%100%100%100%100%
1RV units and beds included in the asset base are either complete or near complete at balance date (ref appendix 26).
2Includes both aged care beds and care suites. There are currently no operational care suites in the asset base. 109 premium care suites are included within the
813 care beds in the New Zealand land bank.
63
Appendix 25
Development of RV Units and aged care beds
1RV units and beds included in total build are either complete or near complete at balance date (ref Appendix 26).
Independent
townhouse
Independent
apartment
Serviced
apartment
Total
RV units
Aged care
beds
Total RV units
and beds
New Zealand
William Sanders-6-
6
-
6
Murray Halberg-12-
12
-
12
Miriam Corban14175
36
-
36
Keith Park-1011
21
15
36
James Wattie--62
62
69
131
Northwood68-
14
-
14
Patrick Hogan34--
34
-
34
Total build - New Zealand54537818584269
Australia
Bert Newton-24-
24
-
24
Deborah Cheetham9--
9
-
9
Total build - Australia924-33-33
Total build - Group63777821884302
Reconfigurations of existing units-2(6)
(4)
-
(4)
Total increase in RV units and aged care beds63797221484298
64
8,307
Complete
Sold RV units
Near
complete
Total units included in independent valuation
(units fair valued to date)
1,2
8,666
167
192
Vacant RV
resale stock
-
4,217Aged Care beds
3
239
177
Unsold new
RV units
2,3
299
Total
8,474
192
4,456
476
Total RV units and Aged Care beds13,598
As at 31 March 2023
8,560
Complete
Sold RV units
Near
complete
Total units included in independent valuation
(units fair valued to date)
1,2
8,806
26
220
Vacant RV
resale stock
-
4,337Aged Care beds
3
203
233
Unsold new
RV units
2,3
317
Total
8,586
220
4,540
550
Total RV units and Aged Care beds13,896
As at 30 September 2023
Increase in RV units
and Aged Care beds
298
1Units included in the independent valuation are consistent with those
booked in underlying profit to date (new sales margin realised) and
represents completed units and units under development that the Directors
have determined fair value can be reliably measured at reporting date.
Included within the total units as at March 2023 are 36 RV units added to the
portfolio through the acquisition of Essendon Terrace.
2Units included in the carrying value of investment property comprise: units
which the Directors have determined fair value can be reliably measured at
reporting date and have been independently valued (8,806 at September
2023), units for which fair value would be able to be reliably measured if an
agreement to occupy was in place at reporting date but, as they remain
unsold at reporting date, they are not included in the valuation and are
held at cost (550 at September 2023).
3 Beds and units in the main buildings are recognised in the near complete
number on a proportional basis when the cost to date is over 60% of the
forecast cost (194 SA and 203 care beds are included on this basis at
September 2023).
Appendix 26
Movement in RV units and Aged Care beds
Appendix 27
Asset base: New Zealand (ex Auckland)
65
VillageLocationHospital
care
Dementia
care
Resthome
care
Total
care
Serviced
apartment
Independent
apartment
Independent
townhouse
Total
RV units
Total RV units
and care
Anthony WildingChristchurch80333514850-110160
308
Bob OwensTauranga40404012079113105297
417
Bob ScottPetone40403411489254-343
457
Charles FlemingWaikanae4040401207963138280
400
Charles UphamRangiora4040401208766198351
471
Diana IsaacChristchurch4040401207923233335
455
Ernest RutherfordNelson422527947524100199
293
Essie SummersChristchurch4124309558-2280
175
Frances HodgkinsDunedin--51513242-74
125
Hilda RossHamilton69404215151-167218
369
James WattieHawkes Bay27271569624479185
254
Jane ManderWhangārei6032201127168115254
366
Jane WinstoneWhanganui2020296950-54104
173
Jean SandelNew Plymouth4022491116027144231
342
Julia WallacePalmerston North3521288450-111161
245
Kevin HickmanChristchurch-----6345108
108
Kiri Te KanawaGisborne40164197612184166
263
Linda JonesHamilton4040361169315791341
457
Malvina MajorWellington58-5811639123-162
278
Margaret StoddartChristchurch--454521-2041
86
Ngaio MarshChristchurch73-4111440-119159
273
NorthwoodChristchurch-----181836
36
Patrick HoganWaikato------5656
56
Princess AlexandraNapier602424108541755126
234
Rita AngusWellington49-20694999-148
217
Rowena JacksonInvercargill63325915446-103149
303
Shona McFarlaneLower Hutt38-387650-130180
256
WoodcoteChristchurch--49497-1825
74
Yvette WilliamsDunedin573039032--32
122
Total New Zealand (ex Auckland)1,0925869342,6121,4641,2222,3155,0017,613
Appendix 27 cont.
Asset base: New Zealand (Auckland)
66
VillageLocationHospital
care
Dementia
care
Resthome
care
Total
care
Serviced
apartment
Independent
apartment
Independent
townhouse
Total
RV units
Total RV units
and care
Bert SutcliffeBirkenhead40403811881225-306
424
Bruce McLarenHowick41414012272194-266
388
Edmund HillaryRemuera11530501956028290432
627
Evelyn PageŌrewa6037201176421236312
429
Grace JoelSt Heliers70-279765470139
236
Keith ParkHobsonville2828288471124-195
279
Logan CampbellGreenlane43304311680116-196
312
Miriam CorbanHenderson202010506117132264
314
Murray HalbergLynfield42384212286228-314
436
Possum BournePukekohe4040401208442217343
463
William SandersDevonport38363811277189-266
378
Total Auckland5373403761,2538011,7874453,0334,286
Total New Zealand1,6299261,3103,8652,2653,0092,7608,03411,899
Appendix 27 cont.
Asset base: Australia
67
VillageLocationHospital
care
Dementia
care
Resthome
care
Total
care
Serviced
apartment
Independent
apartment
Independent
townhouse
Total
RV units
Total RV units
and care
Charles BrownlowVictoria402040100602357140
240
Deborah CheethamVictoria40404012053-73126
246
John FlynnMelbourne39313910995174-269
378
Nellie MelbaMelbourne77367719085256-341
531
Raelene BoyleMelbourne193718742764-91
165
Weary DunlopMelbourne4220208248200-248
330
Essendon TerraceMelbourne-----36-36
36
Bert NewtonMelbourne-----71-71
71
Total Australia2571842346753688241301,3221,997
Appendix 28
Land bank: New Zealand
68
The land bank is subject to resource and building consent and various regulatory approvals.
1Includes both aged care beds and premium care suites. There are currently no operational care suites in the asset base. 109 premium care suites are included
within the 669 care beds in the New Zealand land bank.
LocationHospital
care
Dementia
care
Resthome
care
Total
care
Serviced
apartment
Independent
apartment
Independent
townhouse
Total
RV units
Total RV units
and care
Existing villages
Grace Joel
Auckland-----96-96
96
James Wattie
Hawkes Bay8852116-2440
61
Jean Sandel
New Plymouth-----164359
59
Keith Park
Auckland1212123630152-182
218
Kevin Hickman
Christchurch202040806510914188
268
Linda Jones
Hamilton--------
-
Miriam Corban
Auckland--1010164-20
30
Murray Halberg
Auckland-----113-113
113
William Sanders
Auckland--------
-
Patrick Hogan
Waikato2040208060-129189
269
Northwood
Christchurch15301560716564200
260
Subtotal existing villages751101022872585552741,0871,374
New sites
Karaka
Auckland173417686064142266
334
Karori
Wellington2020206068179-247
307
Rolleston
Canterbury1836187264-218282
354
Park Terrace
Christchurch3130208127155-182
263
Takapuna
Auckland151515453059-89
134
Taupō
Waikato1428145664-206270
326
Subtotal new sites1151631043823134575661,3361,718
Total New Zealand 1902732066695711,0128402,4233,092
Appendix 28 cont.
Land bank: Australia
69
LocationHospital
care
Dementia
care
Resthome
care
Total
care
Serviced
apartment
Independent
apartment
Independent
townhouse
Total
RV units
Total RV units
and care
Existing villages
Nellie Melba
Melbourne-----74-74
74
Deborah Cheetham
Victoria------7272
72
Subtotal existing villages-----7472146146
New sites
Coburg North
Melbourne6420-8465332-397
481
Essendon
Melbourne3030-6050162-212
272
Bert Newton
Melbourne301930794514-59
138
Mt Eliza
Victoria3030-6027104-131
191
Kealba
Melbourne4020208054-140194
274
Mulgrave
Melbourne3030-605410570229
289
Ringwood East
Melbourne40404012054237-291
411
Subtotal new sites264189905433499542101,5132,056
Total Australia264189905433491,0282821,6592,202
The land bank is subject to resource and building consent and various regulatory approvals.
Glossary
TermDefinition
AU
Australia
Capital recycling
Total cash receipts from resident occupancy advances and refundable
accommodation deposits, less total development cost
Care bed
Rest home, hospital and dementia level care
Care suite
Rest home, hospital and dementia level care rooms subject to an
ORA that attracts a DMF
Continuum of care
Co-location of aged care beds / care suites and RV units at the
same village
DMF
Deferred management fee
Embedded value
Embedded value is a non-GAAP measure and reflects the resale bank (the
difference between the price paid by the last resident and the price that would
be paid by an incoming resident across the portfolio), accrued management
fees and resident loans
Equity raise
$902.4m 1-for-2.81 accelerated pro rata entitlement offer announced 15
February 2023
Free cash flow
Sum of net operating cash flows and net investing cash flows per the cash flow
statement. Free cash flow is a non-GAAP measure.
Cash flow from existing
operations
Net cash flow from existing retirement villages and head office functions
Cash flow from
development activity
Net cash flow from development of new retirement villages
FY
Financial year
Gearing
Net debt / (Net debt + equity), pre IFRS-16
ILU
Independent living unit
ITL
Institutional term loan
NZ
New Zealand
Operating EBITDA
Total revenue per financial statements, plus resales margin less operating
expenses. Operating EBITDA is a non-GAAP measure.
TermDefinition
ORA
An occupation right agreement within the meaning of the Retirement Villages Act
2003 (for Villages in New Zealand) or a residence contract within the meaning
of the Kaela Retirement Villages Act 1986 (Vic) (for Villages in Australia)
Pro-forma
Adjusted for the impact of the equity raise
RAD
Refundable accommodation deposit
Resales
The sale of an ORA contract on an existing unit when a resident departs a unit
Resale gain
Resale gains occur in the event resale price is higher than outgoing ORA
Resident
A person who is resident in a Ryman Village in an ILU, SA or care room
Retirement village
(RV) unit
Any independent unit or serviced apartment
RV
Retirement village. A retirement village unit includes ILUs and SAs, excludes
care beds.
SA
Serviced apartment
Underlying profit
Underlying profit is a non-GAAP measure and differs from NZ IFRS profit for the
period. Refer to Appendix 1 for a breakdown of underlying profit.
Unit
Any independent unit or serviced apartment
USPP
US private placement
Village
Any retirement village owned by a Ryman Group member that:
• in New Zealand is registered as a retirement village under the
Retirement Villages Act 2003, and
• in Australia is registered as a retirement village under The Retirement
Villages Act 1986 (Vic).
70
71
Our villages
Open & complete 14
Open & under construction2
Under construction-
Planned2
Total18
1Council approved.
VillageLocationOpened
Malvina MajorWellington1998
Shona McFarlaneLower Hutt2000
Rita AngusWellington2001
Hilda RossHamilton2002
Princess AlexandraNapier2003
Jane WinstoneWhanganui2006
Julia WallacePalmerston North2007
Jean SandelNew Plymouth2009
Jane ManderWhangārei2009
Kiri Te KanawaGisborne2011
Bob OwensTauranga2011
Charles FlemingWaikanae2012
Bob ScottLower Hutt2015
Linda JonesHamilton2019
James WattieHavelock North2020
Patrick HoganCambridge2023
Karori
1
Wellington-
Taupō--
NEW ZEALAND NORTH ISLAND EX AUCKLAND
AotearoaTeIka-a-māui
72
Our villages
NEW ZEALAND AUCKLAND REGION
AotearoaTāmaki-makaurohe
VillageLocationOpened
Grace JoelSt Heliers2002
Edmund HillaryRemuera2007
Evelyn PageŌrewa2009
Bruce McLarenHowick2014
Possum BournePukekohe2015
Bert SutcliffeBirkenhead2016
Logan CampbellGreenlane2018
Murray HalbergLynfield2018
William SandersDevonport2019
Miriam CorbanHenderson2020
Keith ParkHobsonville2021
Takapuna--
Karaka--
Open & complete 7
Open & under construction4
Under construction1
Planned1
Total13
73
1Council approved.
Our villages
NEW ZEALAND SOUTH ISLAND
Aotearoa TeWaipounamu
VillageLocationOpened
WoodcoteChristchurch1991
Essie SummersChristchurch1991
Margaret StoddartChristchurch1993
Frances HodgkinsDunedin1994
Rowena JacksonInvercargill1996
Ngaio MarshChristchurch1998
Anthony WildingChristchurch2006
Ernest RutherfordNelson2008
Yvette WilliamsDunedin2011
Diana IsaacChristchurch2012
Charles UphamRangiora2016
Kevin HickmanChristchurch2021
NorthwoodChristchurch2023
Park Terrace
1
Christchurch–
Rolleston
1
––
Open & complete 11
Open & under construction2
Under construction-
Planned2
Total15
74
1Council approved.
2Essendon Terrace was acquired in 2021.
Our villages
AUSTRALIA VICTORIA
VillageLocationOpened
Weary DunlopWheelers Hill2014
Essendon Terrace
2
Essendon2014
Nellie MelbaWheelers Hill2018
Charles BrownlowHighton2020
Deborah Cheetham
Ocean Grove
2020
John FlynnBurwood East2020
Raelene BoyleAberfeldie2021
Bert NewtonHighett2023
Ringwood East––
Mulgrave––
Mt Eliza
1
––
Essendon––
Coburg North––
Kealba––
Open & complete 5
Open & under construction3
Under construction2
Planned4
Total14
John Flynn Village resident Patricia, and Ryman team member Bryant.
Disclaimer
This presentation has been prepared by Ryman Healthcare Limited and its group companies
("Ryman") for informational purposes.This disclaimer applies to this document and the verbal
or written comments of any person presenting it.
This presentation provides additional comments on the half year result for the period to 30
September 2023 presented on 29 November 2023.It should be read in conjunction with all
other material which we have released, or may release, to NZX from time to time.That
material is also available on our website at www.rymanhealthcare.com
.
Purpose of this presentation
This presentation isnot an offer of financial products, or a proposal or invitation to make any
such offer.It is not investment advice, or any otheradvice, or a recommendation in relation to
financial products, and does not take into account any person’s individual circumstances or
objectives. Every investor should make an independent assessment of Ryman on the basis of
expert financial advice.
Forward-looking statements
This presentation contains forward-looking statements and projections.These reflect our
current expectations, based on what we think are reasonable assumptions.However, any of
these forward-looking statements or projections may be materially different due to a range of
factors and risks. Ryman gives no warranty or representation as to our future financial
performance or any future matter.Actual results may differ materially from those
projected.Except as required by law or the NZX Listing Rules, Ryman undertakes no obligation
to update any forward-looking statements whether as a result of new information, future
events, or otherwise.
Non-GAAP information
A number offinancial measures used in this presentation are based on non-generally
accepted accountingprinciples (i.e.non-GAAP financial information).This includes, in
particular, our ‘underlying profit’ which Ryman has used for many years as a means of
showing our profit absent any unrealised valuation movements.We show our underlying profit
together with our reported profit based on NZ IFRS (a GAAP measure). You should not
considerany of these statements in isolation from, or in substitution for the information
provided in the Financial Statements for the six months ended 30September 2023.
75
Data sourced from publicly available filings. Our datasets may not be complete. Automated analysis can produce errors. If you believe any data on this page is incorrect, please contact us at hello@nzxplorer.co.nz. For informational purposes only. Not investment advice.