Fisher & Paykel Healthcare Boosts FY24 Financial Outlook

Highlights:

• Fisher & Paykel Healthcare upgrades its FY24 financial guidance, anticipating revenues of approximately $1.73 billion and net profits between $260 million and $265 million, attributed to solid demand and successful product launches.
• The company signals a potential non-cash valuation adjustment due to revaluation of its Karaka property, not included in the updated earnings guidance but noted for its impact on reported net profit.
• Plans for a long-term development of a new campus at Karaka are underway, with rezoning applications expected next year, promising significant economic, social, and environmental benefits.

Auckland, New Zealand, 22 March 2024 – Fisher & Paykel Healthcare Corporation Limited (ASX: FPH) today upgraded its financial guidance for the fiscal year ending 31 March 2024, reflecting positive performance and market responses to its product lines.

Revised Revenue and Earnings Expectations

Originally forecasting operating revenue at around $1.7 billion with net profits between $250 million to $260 million, the company has adjusted its projections. With a new NZ:US exchange rate assumption of 61 cents, Fisher & Paykel now anticipates revenues of about $1.73 billion and profits ranging from $260 million to $265 million.

Product Demand and Innovations

Lewis Gradon, CEO, highlighted the sustained demand for hospital consumables and the successful launch of the Evora Full and F&P Solo masks in the OSA segment. The company is optimistic about the Solo mask's upcoming introductions in additional markets.

Real Estate Valuation Impacts

The forthcoming revaluation of company-owned properties could see adjustments due to higher interest rates and the current zoning status of its Karaka land. This non-cash, potential devaluation will affect the reported net profit but is excluded from the FY24 earnings guidance.

Future Developments

Fisher & Paykel is planning a long-term development of a new campus, with rezoning applications for the Karaka property to be submitted next fiscal year. This initiative has garnered positive feedback from the community and support from authorities, underlining its expected economic, social, and environmental benefits.

Looking Ahead

With independent valuations pending and final audit results to be announced on 29 May 2024, Fisher & Paykel Healthcare remains focused on innovation and market expansion, reinforcing its position as a leader in healthcare technology.

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