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Speaker 1: Jeremy Hutton, Milford Asset Management is with us.

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Speaker 2: Hey, Jeremy, good evening, Heather.

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Speaker 1: Ryman Healthcare. What's going on here?

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Speaker 2: Yeah, retirement village operator Ryman Healthcare. They're still languishing and

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Speaker 2: the share price is nearing a fifteen year low of

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Speaker 2: nearly two dollars now. Recall, Ryman has raised almost two

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Speaker 2: billion dollars of fresh equity from our investors over the

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Speaker 2: past few years, and half of that was in February

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Speaker 2: this year, and that was at a share price of

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Speaker 2: three dollars and five cents. So unfortunately, investors are already

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Speaker 2: down thirty percent on the fresh money they put in

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Speaker 2: this year alone. And part of the issue here is that,

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Speaker 2: you know, there's still limited good news story for Ryman

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Speaker 2: and a hard story for investors to back. And unfortunately

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Speaker 2: the update this week was a bit more of the same.

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Speaker 2: You know, Ryman's still struggling to clear some of its

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Speaker 2: excess retirement units and still asking for a bit more

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Speaker 2: patients from investors and trying to improve the profitability of

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Speaker 2: the business. So investors are going to have to wait

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Speaker 2: a little bit longer for the turnaround story here.

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Speaker 1: Jeremy, how much of the trouble that it is in

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Speaker 1: at the moment is caused by the slow local housing market.

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Speaker 2: Yeah, you're correct that the retirement village sector and companies

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Speaker 2: are heavily exposed to the housing market, and Rayman has

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Speaker 2: continued to call out that the conditions are still very

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Speaker 2: challenging for them. This impacts them as they do struggle

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Speaker 2: to sell the units that they're building every year, and

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Speaker 2: they do bring more to market every year, and they're

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Speaker 2: also struggling to get the prices that they want. Now Rayman,

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Speaker 2: they've responded, you know, they are reducing their build rate materially,

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Speaker 2: They've slashed this number, and they've also reduced some of

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Speaker 2: the big debt load that it has by those equity

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Speaker 2: raisers I mentioned earlier. But it still feels like the

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Speaker 2: company needs a much more buoyant property market to try

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Speaker 2: and regain some momentum. And I suppose the problem is

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Speaker 2: here is that you know, the data we're looking at

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Speaker 2: and hearing is that despite you know, some of the

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Speaker 2: interest rates mortgagerate reductions coming through, it's still really hard

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Speaker 2: for the housing market out there. So perhaps you know

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Speaker 2: a bit more patients still required on Ryman.

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Speaker 1: I want to ask you about Infertill. I mean this

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Speaker 1: is a business that is exposed to a lot of

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Speaker 1: the global themes at the moment. How do they go

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Speaker 1: in their results?

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Speaker 2: Yeah, Infratill has a great track record of investing in

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Speaker 2: businesses attached to those growing global themes. And one of

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Speaker 2: those and the most important investment they have is an

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Speaker 2: investment in Canberra Data centers and that's the market leader

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Speaker 2: in data center construction in Australia and New Zealand, and

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Speaker 2: it's also directly exposed to that really hot AI theme.

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Speaker 2: Has been a little bit more volatile this year in

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Speaker 2: AI with some of that spend slowing globally and that's

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Speaker 2: impacted Camber Data Centers and therefore Infertil a little bit

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Speaker 2: as well. But the management team there they still remain

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Speaker 2: super confident in hitting their build program and if they

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Speaker 2: do hit those targets, there should be a lot of

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Speaker 2: upside and interest in the Infantile, in the Infantil stock

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Speaker 2: if that happens.

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Speaker 1: Good stuff. Hey, Jeremy, thank you so much for talking

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Speaker 1: us through that. That's Jeremy Hutton of Milford Asset Management.

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