RYM - Ryman Healthcare

[Beagle]

But if I recall correctly Vaygor reckoned it would be $30 by now and no matter whether you think its at a bottom or not RYM still trades at a huge premium to NTA. Nick Mar of Macquarie's loves them but I remain extremely cautious. The RYM magic was Simon Challis and the company has never been the same since he left. https://www.goodreturns.co.nz/articl...or+16+May+2022

[Mel]

Ryman results:
https://www.nzx.com/announcements/392385

[bull....]

not to bad a result either

[BlackPeter]

not to bad a result either

Indeed - pretty solid results even if we discount for the significant revaluation gains (which might be volatile given the turned market mood).

Will be interesting to see what Mr. Market makes out of these results ... will the hammering stop?

[Grimy]

Some high numbers on the buy side already

[Lease]

Excellent results. looks new CEO has done the job!

[jagger]

Excellent results. looks new CEO has done the job!

It's a good result, but I'm always weary of people ascribing results to management who have been in the job for 5 minutes.

He's been there 7 months.
This isn't the easiest business model / operating environment to get your head around.
He would have been cold for at least the first 3 months just trying to understand which way is up, especially given RYM's capital structure headaches.
All the variables (at least the ones within mgmt's control) feeding today's result and RYM's strategy have been locked in place for *years* (i.e. not least, developments completing and capex in the period).

Realistically he's probably only just starting to fire and contribute to the business' direction now.
Even then, a lot of what the business will deliver in the next 2-3 years is inherited (sites acquired, consented and commenced prior to him starting).
This goes for all the players in the sector. Some management teams are being unduly feted or punished currently.

That said, his performance on the call today was a big improvement. It was positive and confident, although it's clear (and understandable for now) that he still leans a lot on the CFO for any response requiring detail.
Big step up on their half year call which was a shambles.

[Lease]

It's a good result, but I'm always weary of people ascribing results to management who have been in the job for 5 minutes.

He's been there 7 months.
This isn't the easiest business model / operating environment to get your head around.
He would have been cold for at least the first 3 months just trying to understand which way is up, especially given RYM's capital structure headaches.
All the variables (at least the ones within mgmt's control) feeding today's result and RYM's strategy have been locked in place for *years* (i.e. not least, developments completing and capex in the period).

Realistically he's probably only just starting to fire and contribute to the business' direction now.
Even then, a lot of what the business will deliver in the next 2-3 years is inherited (sites acquired, consented and commenced prior to him starting).
This goes for all the players in the sector. Some management teams are being unduly feted or punished currently.

That said, his performance on the call today was a big improvement. It was positive and confident, although it's clear (and understandable for now) that he still leans a lot on the CFO for any response requiring detail.
Big step up on their half year call which was a shambles.

Surely the good results are achieved by the team effort. We'll see if he is really capable in the next 12 months given the current tough environment.

[jagger]

Surely the good results are achieved by the team effort. We'll see if he is really capable in the next 12 months given the current tough environment.

Yeah, they're achieved with a team effort - but you can hardly say that "looks like the CEO has done the job" with regards to the FY22 result!
Absolutely the next 12 months will be more so, but again - a lot of what the business will deliver in FY23 is already baked. They can't change where their development sites are or what they're going to spend on them.

RV results are largely down to the following main variables of which he would have had, (being very generous here) little to (more likely) zero impact over:
- Resale gains (years of embedded value released from resales. Most FY22 resales would have occurred or at least had applications when he arrived in order to be booked in this financial year)
- DMF (accrued predominantly from residents already in-situ on his arrival)
- New sales development margin (a function of capex incurred on a project and the new sales price). He may have personally pushed prices higher, that's potentially the only thing. Again, unlikely there was any personal captain's call on that.

These businesses are like oil tankers, what is done today will not be seen for 4-5 years.

[Mr Slothbear]

Excellent results. looks new CEO has done the job!

i agree with Jagger, frankly new ceo looked a bit clueless and only 7 months in I will cut him some slack. Rym is built like a freight train, large with momentum rolling down a hill.

must say aussie CEO really did impress, geez hes onto it, i’m picking him as the up and coming star of the show.

there will also be very easy 20mill underlying profit currently spent on covid control that’ll be an easy winback as covid settles