Return of Gauteng psychiatric patients boosts Life Healthcare
The private hospital operator grew profit despite a loss from its Indian joint venture, which it is in the process of selling
Profit from Life Healthcare’s South African hospitals was not dragged down severely by losses from foreign operations, in contrast with recent results from its competitors Mediclinic and Netcare. The group’s overall revenue grew 13% to R23.5bn a net profit jumped 71% to R1.9bn in the year to end-September, its results released on Friday morning said. The jump in profit was thanks to a R297m reduction in finance costs to service debt taken on in its R10bn acquisition of UK diagnostics group Alliance in 2016. Life Healthcare’s Polish subsidiary Scanmed turned to an operating profit of R7m from a R34m loss in its 2017 financial year. Although the group stemmed the bleeding from its Indian joint venture by selling its half of Max Healthcare to US private equity group Kohlberg Kravis Roberts and Company for 80 rupees per share in September, the loss contributed by Max during its 2018 financial year widened to R118m from R27m. Life Healthcare said the final amount it will get from the sal...
Would you like to comment on this article?
Sign up (it's quick and free) or sign in now.
Please read our Comment Policy before commenting.
Subscribe now to unlock this article.
Support BusinessLIVE’s award-winning journalism for R129 per month (digital access only).
There’s never been a more important time to support independent journalism in SA. Our subscription packages now offer an ad-free experience for readers.
Cancel anytime.
Questions? Email helpdesk@businesslive.co.za or call 0860 52 52 00. Got a subscription voucher? Redeem it now.