Shares of Ramsay Health Care (ASX:RHC) have dropped as much as 12.9% to A$48.18, marking a lowest since March 25, 2020.
The healthcare provider reported an 8.8% year-on-year increase in fiscal-year net profit after tax attributable.
The company also announced an 11.6% year-on-year rise in fiscal-year revenue and other income, less interest income.
Ramsay Health Care declared a final ordinary dividend of 25 Australian cents per share, predicting that the coming fiscal-year Australian earnings will reflect a mid single-digit percentage volume increase.
Analysts at Macquarie Capital have found the results weaker than expected, having missed estimates.
Citi analysts highlight that the fiscal-year 2024 outlook appears below expectations due to cost inflation and a higher interest cost.
Ramsay Health Care expects its fiscal-year 2024 net interest expense to range between A$570 million and A$600 million, outweighing the consensus estimate of A$482 million.
As of last close, Ramsay Health Care’s shares are down 14.5% this year.
Ramsay Health Care is a global healthcare provider operating in 11 countries across the world.