SHL 0.46% $26.37 sonic healthcare limited

Ann: Half Yearly Report and Accounts, page-12

  1. 16,517 Posts.
    lightbulb Created with Sketch. 8047
    "The Future is bright, they just got to sort out the Profit Margins and Operating costs."

    Several anecdotes and a number of channel checks by others over the past 6 months were indicating a bit of a land grab for qualified and experienced pathology staff, which were in short-supply.

    I suspect this is a primary reason for the sloppy operating margin performance in the half. And the margin impact is twofold: the obvious part, higher costs, but staff shortages results in capacity under-utlilisation and reduced ability to fractionalise fixed costs due to the foregone revenue.

    Problem is that companies like SHL are effectively paid by the government for their services on a contracted rate, so when their costs go up, they need to simply cop it in the short-term, before re-contracted pricing terms restore margins.

    .
 
watchlist Created with Sketch. Add SHL (ASX) to my watchlist
(20min delay)
Last
$26.37
Change
0.120(0.46%)
Mkt cap ! $12.66B
Open High Low Value Volume
$26.00 $26.38 $25.96 $31.28M 1.193M

Buyers (Bids)

No. Vol. Price($)
1 2895 $26.37
 

Sellers (Offers)

Price($) Vol. No.
$26.38 3597 2
View Market Depth
Last trade - 16.10pm 27/06/2024 (20 minute delay) ?
SHL (ASX) Chart
arrow-down-2 Created with Sketch. arrow-down-2 Created with Sketch.