Ramsay Générale de Santé (GDS) Q1 2024 earnings summary

Executive summary

• Revenue rose 8.6% year-over-year to €1.18 billion, driven by tariff increases and higher patient volumes in France and Sweden, despite ongoing nurse staffing competition in Europe.

• EBITDA increased 15.1% to €105.4 million, with margin improving to 9.0% from 8.5% a year earlier.

• Strategic milestones included an eight-year extension (with a four-year option) for the St. Göran hospital contract in Stockholm and the acquisition of 12 Cosem primary care centers in France.

Financial highlights

• Organic revenue growth at constant scope and exchange rates was 5.9% year-over-year.

• France revenue grew 9.7%, supported by Cosem centers, more working days, and a 2.2% tariff increase from CICE removal.

• Nordic countries saw 6.1% revenue growth, with a 3.0% organic increase at constant scope and exchange rates.

• EBITDA margin improved to 9.0% from 8.5% year-over-year.

• Pre-IFRS16 EBITDA rose 23.3% to €39.2 million.

Outlook and guidance

• Ongoing cost restructuring and efficiency plans are being intensified to address inflationary pressures not fully offset by government funding.

• Strategic focus remains on integrated patient care and expanding service coverage under the "Yes We Care 2025" plan.