Shares in LifeHealthcare Group rocketed 30 per cent in mid-January after the company provided a positive trading update for the six months to December 31, 2014. Unaudited earnings before interest, tax, depreciation and amortisation of $8.4 million represented an increase of 19.8 per cent compared with the previous corresponding period and exceeded prospectus forecasts by 14.3 per cent.

There was also strong improvement in margins which were once again better than prospectus guidance. Analysts at Bell Potter Securities noted astute currency hedging and the ability to pass on costs enabled the company to increase gross margin by 200 basis points to 55.3 per cent in the first half.