Healius has downgraded its profit forecast for the second time
Healius has downgraded its profit outlook for a second time, with this year’s result now more than a third lower than expected in November.
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Healius has announced its second profit downgrade this financial year on lower than average fees flowing from the general practitioner market and general inflationary pressures.
The diagnostic imaging and pathology company said on Tuesday its earnings before interest and tax were expected to come in at $60m-$65m, down from a previous forecast of $70-$80m made in February.
That forecast was again down on the $95-$105m forecast in November.
Healius entered the financial year on an optimistic note, saying in August last year it expected the pathology market to trend higher in the second half of this financial year “while the imaging market will continue with its current strong growth rates’’.
The company has underperformed however and Healius kicked off a strategic review in March, parting ways with managing director Maxine Jaquet who had been in the role for just 12 months.
Former Network Ten chief executive Paul Anderson took over in the top role, and Healius in May put its Lumus Imaging division up for sale.
The profit downgrade announcement on Tuesday contained little detail.
“Improving pathology volumes for the half year to date have been offset by lower than expected average fees due to the softer GP market, and general inflationary pressures,’’ the company said.
“Pathology volumes for January to May have increased by 3.9 per cent on the precious corresponding period.
“The transformation program for pathology is well underway and the company expects to marginally exceed the $15m targeted net savings for FY24.
“Lumus Imaging and Agilex Biolabs have continued to perform well and in line with company expectations.’’
Healius shares were 0.8 per cent lower at $1.48 in early trade.
Originally published as Healius has downgraded its profit forecast for the second time
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