Testing times: But Sonic Healthcare is still growing strong. Photo: Jim Rice <\/p>\n
PATHOLOGY and radiology group Sonic Healthcare expects to hit its full-year pre-tax earnings target of 10-15 per cent growth as it reaps the rewards of strong organic revenue growth, market share gains in Australia and margin expansion in Germany. <\/p>\n
Sonic also says it will expand its margins in North America where its business has increased market share despite the weak economic environment. <\/p>\n
Chief executive Colin Goldschmidt said yesterday pathology was an ''absolute essential service'' in the healthcare sector and Sonic had incredible infrastructure in Australia, Germany and the US. <\/p>\n
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''It really is a very nice position to be in going into the future, despite the uncertainties of the global climate et cetera,'' Dr Goldschmidt said. ''It's a sector that tends to be shielded in some way from some of the downturns that occur in other sectors because it is an essential service.'' <\/p>\n
Sonic, which also has healthcare businesses in New Zealand, Belgium and Switzerland, has posted a 6 per cent lift in interim net profit to $143 million, or in constant-currency terms up 8 per cent to $146 million. <\/p>\n
Statutory revenue was 9 per cent better at $1.64 billion, but up 12 per cent to $1.69 billion in constant-currency terms. <\/p>\n
The company has declared an interim dividend of 24\u00a2 a share, which is unchanged from the previous year. <\/p>\n
Dr Goldschmidt said headwinds from the strong Australian dollar had softened the company's results, but did not affect underlying performance. <\/p>\n
''In a time of global uncertainty and weak economic conditions, Sonic's operations continue to perform strongly, taking market share from competitors and increasing margins,'' Dr Goldschmidt said. <\/p>\n
Sonic was on track to deliver growth in earnings before interest, tax, depreciation and amortisation of 10-15 per cent over the 2010-11 level of $570 million, he said. <\/p>\n<\/p>\n
See original here: Testing times: But Sonic Healthcare is still growing strong. Photo: Jim Rice PATHOLOGY and radiology group Sonic Healthcare expects to hit its full-year pre-tax earnings target of 10-15 per cent growth as it reaps the rewards of strong organic revenue growth, market share gains in Australia and margin expansion in Germany. Continue reading
\nSonic sounds depths of growth<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"