• Improving performance in Australia drives Group result
• Good progress on transformation priorities, with new Group leadership team in place
• Simplification of the Group underway, with focus on capital allocation

Ramsay Health Care reported a 253.2% increase in Net Profit after Tax and non-controlling interests compared to the prior corresponding period, primarily reflecting the large impairments booked in the prior year related to the UK region. Underlying Net Profit after tax and non-controlling interests increased 8.1%, reflecting good growth in earnings from Australia. The Australian result reflects a 3.1% growth in admissions (ex-Peel Health Campus) combined with higher levels of acuity, improved PHI indexation and cost management. This was partially offset by a decline in the contribution from the Joondalup Health Campus reflecting the new funding mechanism, which has been partially mitigated by operational actions. Australian EBIT margins ex-Joondalup increased 40bps. The UK acute hospital business was impacted by NHS budgetary restrictions towards the end of the period, but this was mitigated by a focus on high acuity and private work, as well as operational initiatives. Elysium continues to face weak market demand from local authorities, but the turnaround plan is underway and beginning to gain traction. Ramsay Santé reported a reduced underlying loss after minority interests compared to the prior corresponding period despite a €20m reduction in French government subsidies and the continued inadequacy of French hospital tariff indexation.

Ramsay expects EBIT growth momentum in Australia to continue, driven by growth in activity in priority therapeutic areas, revenue indexation, cost focus and partial mitigation of the impact of the new funding mechanism at Joondalup. In the UK, NHS activity outlook for 3QFY26 is expected to remain negative compared to the prior corresponding period due to NHS budget constraints, with mitigating plans in place. The turnaround of Elysium is expected to continue to gain traction. The Group's full year effective underlying tax rate is expected to be approximately 35%, and Group capex guidance has been lowered to $755m-$795m.

Ramsay expects its FY26 Group results to reflect continued EBIT growth momentum in Australia, a negative outlook for NHS activity in the UK for 3QFY26, ongoing focus on performance improvement at Elysium, and activity growth in Europe driven by day admissions, partially offset by the impact of a French doctors' strike. The company is progressing initiatives to improve performance in Europe in the face of ongoing funding headwinds, with a focus on cost control, efficiency and cash generation.