Sonic Healthcare Shares Plummet Near Decade Lows Amid Regulatory Pressures

Sonic Healthcare (ASX:SHL) shares are hovering near decade lows despite its August result meeting expectations.

The pathology and imaging group's revenue, underlying earnings before interest, tax, depreciation, and amortisation (EBITDA), and underlying net profit all grew at a healthy clip in the second half of August, according to The Motley Fool Australia.

However, the company's guidance for modest growth in constant currency terms, excluding costs from its IT transformation program, was seen as underwhelming and contributed to the stock's decline.

The group also faced headwinds from regulatory changes in Switzerland, where it is the largest private pathology operator, and a slower ramp-up of profit from its large NHS pathology contract in the UK.