Could also be due to a few hiccups with some planning permissions.Quote:
quote:Originally posted by trendman
whats happening with this stock? drop $0.75 in 4 weeks. Has anyone got any ideas :(
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Could also be due to a few hiccups with some planning permissions.Quote:
quote:Originally posted by trendman
whats happening with this stock? drop $0.75 in 4 weeks. Has anyone got any ideas :(
Kevin Hickman's retirement might be to blame - or perhaps RYM is just overpriced.
New Ryman boss makes step up
05 August 2006
By ALAN WOOD
Ryman Healthcare co-founder Kevin Hickman has anointed Simon Challies Ea youthful but principal member of the health provider's management team Eas his successor.
The leadership change comes with Ryman "trading in line with (its) target of 15 per cent growth for the current year", chairman David Kerr told yesterday's annual meeting in Christchurch.
With Ryman in the NZX top 15 of listed companies the stage was set for the management revitalisation, Mr Hickman said.
"The young guys are doing a great job. They've built up ready to take over and if you hang around, you go past the point."
Mr Hickman has been with the company 24 years. "My belief (is) that Ryman has arrived at a new level of maturity whereby it has a life of its own. . . and heading towards a market capitalisation of $1 billion," he said.
". . .The senior management and tactics team Eyou can believe me when I say I wouldn't be going if I didn't trust them totally to run the company. They've earned their stripes, it's time for me to go and I'm going to play a bit of golf and do a few other things for a while."
No dissent was uttered over the company's direction during a presentation focused on updating the management and keeping Ryman sticking to its "knitting".
The Christchurch retirement village specialist has increased its capitalisation to $856 million.
Shares have climbed from their 1999 issue price of $1.35 to close yesterday at $8.56, down 5 cents on the day and also down from a 12-month high of $9.21.
Mr Challies has held the position of general manager for a couple of years, and has been chief financial officer since 1999.
"The healthy share price experienced by the company is in no small way a tribute to the relationships Simon has forged with the financial establishment," Mr Hickman said.
The high-level handover also means the end of an era.
Mr Hickman's one-time business partner, John Ryder, stood down from his role as joint managing director in 2002.
The pair began in 1984 by converting 14 ownership flats in Richmond into a rest home.
Ryman now employs 1400 staff and provides services to more than 2800 residents in retirement homes.
Mr Hickman said the fiscal year to March 31, 2007, would be one of consolidation as Ryman's village construction work "battles to get ahead of sales".
Resort consents were being processed for Palmerston North, New Plymouth and Dunedin, with Nelson to follow.
"(But) Ryman is well positioned to continue to achieve its target of 15 per cent compounded growth in the coming year, with the possibility of exceeding this target again in the future."
Mr Challies said no change in direction would occur under him from the successful strategy of the past six or seven years. "The plan has always been for the last couple of years to increase the rate of growth."
The search would be on now for a replacement chief financial officer
Even though it's a new man in the top seat it seems it will be business as usual.
Wonder what Hickman will do with all his dosh...? Buy a MET retirement unit and disappear into obscurity? :D:D
RYM overvalued at 8.85?
Maybe its just my sour grapes for selling out at $2.45[:0]
Great growth story, but can they find enough land to develop and build more villages to house the grey wave?
Resource consenting costs must be adding to the cost line...
But then I know a guy who says $10 a share by early next year, I wonder if the private equity sharks are circling yet;)
They have quite a substanmtial land bank and low gearing so I have no concerns as to future projects - they have run themselves very conservatively in this respect.
I have often wondered whether they would do a share split when they got close to the $10 mark
15% rise in half year profit :)
9c dividend, up 1c on last year :)
5:1 share split early next year :)
and the SP up 80c to $9.80c :)
Disc: :):):):)
15% is what we have come to expect, however the comments about the large volume of projects coming onstream was the best news. The good story is going to continue for a long time methinks
Indeed Rif, a pleasant result and what we have come to expect from them, underlying cashflow also impressive. Testament to a great business model, this is one of those shares you buy and hold, and don't ever think about selling, well for me that is anyway... :D infact my "exit strategy" for Ryman is to sell my holding in thirty years & use the proceeds to buy a unit in one of their villages :) at this rate that might become a reality!Quote:
quote:Originally posted by Rif-Raf
15% is what we have come to expect, however the comments about the large volume of projects coming onstream was the best news. The good story is going to continue for a long time methinks
FG
Good for KFL too - RYM constitutes about 20% of their portfolio.
I'm a happy holder too.