Mediclinic revenues increase fourfold
Namibian operations add close to N$300 million
Mediclinic International, a private hospital group with operations in Namibia, South Africa, Switzerland and the United Arab Emirates earlier this week announced that its revenue for the recently-ended financial year increased by almost 200%. The group operates three hospitals in Namibia situated in Windhoek, Otjiwarongo and Swakopmund.
Mediclinic International is listed on the Johannesburg Securities Exchange. In compliance with standard JSE listing requirements, the parent company this week provided a trading statement on its expected final results.
Mediclinic is currently in the process of finalising its year-end results for the twelve months ended 31 March 2014. The results are expected to be released on 22 May 2014.
According to a trading statement on audited group results published by the JSE SENS department, “shareholders of Mediclinic have been advised that the company’s basic earnings per share (EPS) and basic headline earnings per share (HEPS) are expected to be between 375% and 385% higher than the restated results reported for the previous corresponding reporting period as released on SENS on 6 November 2013.”
Reuters data showed that Mediclinic shares shot up 7.48% earlier this week, taking the share price to N$77.55 after hitting N$78.47 during intra-day trading, the stock’s highest since the company’s listing in 1988. Said Mediclinic Chief Executive Officer, Danie Meintjes, “Our steady earnings momentum is supported by general increases in bed-days sold, average income per bed-day, number of patients admitted and the average length of stay, as acuity levels continue to rise.”
In 2013, Mediclinic International reported revenue in excess of N$10 billion for its Southern African operations. The three Namibian hospitals collectively contributed close to N$300 million in revenue according to data obtained from its last annual report.
According to Meintjies, Mediclinic Southern Africa contributed 41% of the group’s normalised revenue and 40% of its EBIDTA. Its southern African operations managed to achieve a revenue growth rate of 8%, spurred on by a 3.5% increase in bed-days sold and a 4.6% increase in the average income per bed-day.
The group’s market capitalisation increased from N$170 million at listing on the JSE in 1986, and now stands at N$57 billion according to the latest report.
During that time, revenues increased from N$100 million to over N$24 billion in 2013, equating to a compound annual growth rate of 23.6% since 1987.
As at 2013, the group’s Southern African operations employed a total of 14,927 people and operated 52 hospitals in Namibia and South Africa combined.