Mediclinic rises to 11-month high after reporting healthy patient volumes
The share price of private hospital group Mediclinic rose to its best level in almost a year on Wednesday, after it said growth in patient numbers helped boosted interim revenue 9% in its six months to end-September.
Mediclinic Southern Africa saw an increase of 2.7% of inpatient bed days sold during the period, in line with expectations, while inpatient and outpatient volumes in Mediclinic Middle East rose 9% and 5.5% respectively.
At group level, first-half revenue was up about 6.5% in constant currency terms during the period, the company said on Wednesday.
“I am encouraged by the first-half performance of the group, with trading in line with expectations,” said group CEO Ronnie van der Merwe. “At all three divisions, our core acute-care business is being supplemented by our continued expansion across the continuum of care.”
Mediclinic has adopted the new IFRS 16 (International Financial Reporting Standards), with one of the changes requiring companies to bring all their leases on to their balance sheets.
As at the end of the period, Mediclinic operations comprised 78 hospitals, five sub-acute hospitals, 13 day clinics and 22 outpatient clinics.
Mediclinic Southern Africa operates 53 hospitals.
Mediclinic’s share price was up 2.9% to R69.87 as of 9.05am, its best level in 11 months. Mediclinic is up 15.98% so far in 2019, compared to a 1.44% rise in the all share.
Correction: October 16 2019
An earlier version of this article referred to ebitda margins at the group level, when in fact this was at the company's Hirslanden Private Hospital Group in Switzerland. Business Day regrets the error.