Dean Hamilton, Ryman chairman. Photo / Michael Craig
Ryman Healthcare’s previous $82 million profit has turned into a $45.1m loss after lower revaluations but its boss says an important corner has been turned in its transformation with the balance sheet reset.
The company today reported its half-year to September 30, 2025 result, comparing that to the previous corresponding period.
Net after-tax profit fell but total revenue rose from $366.2m to $413.7m.
Previous Ryman net profit was boosted by a $101m revaluation but that was only $43m in the latest period.
“Net profit declined from $82m in 1H25 to a loss of $45.2m with the improvement in operating earnings being offset by lower fair value movements. Earnings per share declined from 11.9cps to -4.4cps, reflecting lower profit and higher shares on issue,” the company said.
In October, it listed on the ASX.
Chief executive Naomi James said performance had strengthened because total revenue rose 13%, underpinned by a rising resident base and strong fee growth.
“The business has stabilised, momentum is returning, and we are delivering results with meaningful progress achieved against FY26 priorities.
“This result was the first positive free cash flow result in more than a decade of $56.2m.
“Our focus is now moving to accelerating performance across our portfolio of high-quality retirement villages.”
The Christchurch-headquartered company is chaired by Dean Hamilton.
Occupation rights sales rose from 1300 previously to 1400.
Two Christchurch rest homes, Margaret Stoddart and Woodcote, with 95 beds, shut in this year’s first half.
“Earlier this year, Ryman confirmed it was reviewing its aged care bed capacity in New Zealand due to sector-wide under-funding, and two care centres have since been closed.”
Remuera’s Edmund Hillary hospital care wing recently reopened following relevelling works, the company said today.
Getting a bed in a Ryman rest home or hospital is becoming more expensive: “Care pricing has seen robust growth year on year, with average daily room premiums up 10%”.
Following its $1b equity raise on February 5 and refinancing $2b bank debt this month, the balance sheet reset was now complete, James said.
The new funding structure aligned with the operating model.
Total vacant stock increased from 1239 units in March 2025 to 1335 by September.
That was partly due to building 179 new units, including major apartment stages at Kevin Hickman in Christchurch and Melbourne’s Nellie Melba village.
Vacant stock under contract increased from 367 to 380.
Instead of having the lowest fees of 20% for money it keeps when a resident leaves - usually by dying - Ryman has hiked that lately.
“A refreshed sales strategy is rebuilding momentum and demonstrating confidence in Ryman’s new standard 30% deferred management fee offering,” it said today.
On the outlook, James said sales in the second half of FY26 were expected to remain broadly in line with the first half.
That reflects what she called mixed market conditions and the timing of unit delivery, which was weighted toward the first half.
Anne Gibson has been the Herald‘s property editor for 25 years, written books and covered property extensively here and overseas.