RYM - Ryman Healthcare

[couta1]

Vaygor, have a read of my post #3386 over on the Sum thread, its easy to see where that 15% plus growth is going to come from and that $9 share price. PS-Petone village is up and running and Pukekohe village already has some residents living in it, so there's your 2 new villages with the other 2 mentioned in my post to open this year also.

[Beagle]

No worries Roger…as always, time will tell. The two of us seem to be pretty good at arguing the toss re RYM and coming up with a middle ground that more-or-less reflects reality as it unfolds.

Yeah, Analyst's worth of SUM as confusing as it is for RYM I think. Both long-term winners but RYM with a more reliable (less volatile relatively speaking) history for my style of analysis anyway.

Thanks for your thoughts mate.

20/11/2015 08:36
HALFYR
PRICE SENSITIVE
REL: 0836 HRS Ryman Healthcare Limited

HALFYR: RYM: Ryman reports half year profit of $70.3m

Ryman reports half year profit of $70.3m
On track for 15% profit growth for the full year

Ryman Healthcare's underlying profit rose 6% to $70.3 million in the first
half, and valuation gains lifted the reported profit after tax by 23% to
$132.6 million.

Operating cashflows reached a record $157 million for the half year ended
September 30.

With residents moving into four new villages over the next six months, the
company confirmed it is on track to achieve 15% underlying profit growth for
the full year.

I guess in simple mathematical terms they need underlying profit growth of 24% this half to remain on track. Market a little sceptical ?

[LAC]

http://www.nzherald.co.nz/business/n...ectid=11620424

Any ideas what has brought about these articles? Two articles on the Herald on the same day. Has there been any concerns brought forward in the last week that I have missed? I tried searching but nothing has come up of recent, would be nice to know if anyone has some info.

[winner69]

I guess in simple mathematical terms they need underlying profit growth of 24% this half to remain on track. Market a little sceptical ?

No not at all - this 26% is all priced into current share price.

[Beagle]

http://www.nzherald.co.nz/business/n...ectid=11620424

Any ideas what has brought about these articles? Two articles on the Herald on the same day. Has there been any concerns brought forward in the last week that I have missed? I tried searching but nothing has come up of recent, would be nice to know if anyone has some info.

People move in for the lifestyle, care support and camaraderie of fellow residents. Some kids accept that they will inherit less, some of them don't care and occasionally one is bitter and twisted. I think Couta1 who is closest to the coal face would agree that the vast majority of people make a well informed decision. I know in my case I was active in encouraging my parents into a good quality retirement village fully cognisant of the effect on my inheritance. The most important thing for me is knowing my parents would be happy, well cared for and supported in their twilight years. Surely that matters more than money ?

[stoploss]

People move in for the lifestyle, care support and camaraderie of fellow residents. Some kids accept that they will inherit less, some of them don't care and occasionally one is bitter and twisted. I think Couta1 who is closest to the coal face would agree that the vast majority of people make a well informed decision. I know in my case I was active in encouraging my parents into a good quality retirement village fully cognisant of the effect on my inheritance. The most important thing for me is knowing my parents would be happy, well cared for and supported in their twilight years. Surely that matters more than money ?

Spot on Roger , remember it's their money ,they worked hard for it . So if they want somewhere secure and they like a Ryman go for it .

[Beagle]

100% agree mate. The other thing is that with the exercise programs, social functions, nursing care and support and multiple on site amenities they provide there's every chance that people will be much happier at a quality retirement village but also live a bit longer. Most residents as I am sure Couta1 would be happy to attest..one of their first comments on moving in is "why didn't we make the move years ago" !
What sort of child would begrudge their parents enjoying their last circa seven years of their life with their own hard earned money just so they can inherit some more of it themselves ? Reckon when I'm writing my will I might dock them a bit if they bleat like a lamb lost from its mother about the financial implications to them....give some of it too the SPCA instead just for good measure

[LAC]

People move in for the lifestyle, care support and camaraderie of fellow residents. Some kids accept that they will inherit less, some of them don't care and occasionally one is bitter and twisted. I think Couta1 who is closest to the coal face would agree that the vast majority of people make a well informed decision. I know in my case I was active in encouraging my parents into a good quality retirement village fully cognisant of the effect on my inheritance. The most important thing for me is knowing my parents would be happy, well cared for and supported in their twilight years. Surely that matters more than money ?

I agree totally, and I understand what the article is referring to but I am unsure why on one day there are two articles about it. It's as if there has been complaints about the retirement homes business model. Has there been anyone taken to the courts over being paid less than expected when they have sold their units?

[stoploss]

100% agree mate. The other thing is that with the exercise programs, social functions, nursing care and support and multiple on site amenities they provide there's every chance that people will be much happier at a quality retirement village but also live a bit longer. Most residents as I am sure Couta1 would be happy to attest..one of their first comments on moving in is "why didn't we make the move years ago" !
What sort of child would begrudge their parents enjoying their last circa seven years of their life with their own hard earned money just so they can inherit some more of it themselves ? Reckon when I'm writing my will I might dock them a bit if they bleat like a lamb lost from its mother about the financial implications to them....give some of it too the SPCA instead just for good measure

Unfortunately from what I see day to day from the current generation , I believe the problem "of entitlement" will get worse before it gets better. My mother went into a Ryman independent unit , sadly too late ..but it was a matter of waiting for what she wanted . She was only there just short of 3 months until her passing , so the 4 or 5 % tariff did not apply . I have 2 Aunties who are in another and they absolutely love it .

[Bjauck]

100% agree mate. The other thing is that with the exercise programs, social functions, nursing care and support and multiple on site amenities they provide there's every chance that people will be much happier at a quality retirement village but also live a bit longer. Most residents as I am sure Couta1 would be happy to attest..one of their first comments on moving in is "why didn't we make the move years ago" !
What sort of child would begrudge their parents enjoying their last circa seven years of their life with their own hard earned money just so they can inherit some more of it themselves ? Reckon when I'm writing my will I might dock them a bit if they bleat like a lamb lost from its mother about the financial implications to them....give some of it too the SPCA instead just for good measure

I know people who love the retirement village ambiance and lifestyle. Some treat their retirement units as the ultimate lock-up and leave so that they can easily go away at the drop of a hat. They were aware of the terms of their contract and entered with their eyes wide open. My parents prefer to stay in their large old property for as long as they can - with assistance where necessary. Maintenance and home care could be expensive too, and eat into their estate.

When house prices in Auckland next stagnate or price increases drop to low single digits, will the articles of complaint continue? If villages, from now on, adopt contracts with a share of land value movements, will it be in time for a period of more muted land price movements? Will there then be articles of complaints of unfairness?

Maybe some younger generations complain about the loss of their possible inheritance because they themselves have been shut out of an expensive house market, increasingly affected by NZ investors and foreign investors who can afford larger deposits. Maybe they think that the only way they could afford a family-sized home in a good area is with the help of an inheritance from an existing home owner. Also, if you have had an unfortunate event which has affected your earning power, for even a few years, then with today's prices, you may be locked out of home ownership for a considerable period.