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Cape Town - Life Healthcare Group Holdings [JSE:LHC] on Friday announced a 12.3% rise in full-year group revenue to R14 647m, consisting mainly of a 9.2% lift in southern African revenue to R13 999m.
The private hospital operator said earnings before interest, tax, depreciation and amortisation (Ebitda) increased by 12.1% for the year to end-September 2015, reinforcing the group’s performance in the midst of ongoing challenging market conditions.
Headline earnings per share were up 1.2% to 179.9 cents and dividends rose 9.2% to 154 cents per share.
The operator plans to grow its acute business, which relates to short-term treatment for severe injury, in the South African market.
“During the year an additional 253 beds were added to the business,” Life said in its annual results statement on Friday.
Activities as measured by paid patient days increased by 3% and occupancies were recorded at 71.9%.
Expansion in Poland and India
International expansion in Poland and India remained a focus for the group.
The group’s total investment in Poland is now R1.37bn.
India continued to present a strong economic growth outlook due to its fast-growing private healthcare market.
This is driven by a growing middle class, an increasing disease burden and limited public sector provision.
The group said its outlook for 2016 is positive. It aims to add over 200 beds in South Africa as well as 50 renal dialysis stations and a new oncology unit at Life Hilton Hospital.
Internationally, the group said it would continue to focus on its strategy of building world class hospital assets in Poland and India.
Speaking at the results presentation in Johannesburg, Life Healthcare CEO Andre Meyer said “our growth is a reflection of how our strategy has taken hold, demonstrating results in line with market expectations”.
The group continues to focus on its key objectives, which include strategic investment in both the South African and international markets, he said.
Life Healthcare shares traded at R37.66 at 14:00, a 0.37% drop on the previous session's close.
