UAE – Mubasher: NMC Health, a leading GCC international private healthcare operator, has announced its profits for the first half ended 30 June 2019.
The company’s earnings before interest, tax, depreciation, and amortisation (EBITDA) grew by 22.5% (for pre-IFRS 16) to $323.5 million (post IFRS 16) and $276.3 million (pre-IFRS16), according to a press release on Thursday.
The working capital cycle days was substantially reduced, hence, supporting one of the highest EBITDA-to-Free Cash Flow for H1-19.
NMC Health is currently in action to expand among GCC markets after it had achieved a strong record of accomplishment in core UAE’s markets during H1-19. Successfully enough, it managed to continue executing its core strategies to guide and grow, year after year.
“NMC Health served a total of c. 4.0m patients (+16.7% YoY) in H1 2019 with 1,922 (H1 2018: 1,530) operational beds. Given the sustained addition of new capacity, 31% of the operational beds are in early ramp-up phase, translating into an occupancy rate of 67.7% (down 220bps YoY)”, according to the press release.
Meanwhile, the group’s CEO Prasanth Manghat commented, “All key financial and operational metrics of our healthcare and distribution businesses performed in line with our guidance. We also made good progress on increasing free cash flow during the period and we see room for further improvement in H2-19, as has been the trend in previous years.”
He further added, “We are also particularly pleased to have closed our strategically important partnership with GOSI/ Hassana Investment Company, which ranks as one of the defining events in the history of NMC. This partnership will provide us with the ideal platform to establish a dominant position in the attractive Saudi Arabia healthcare market.”
As for the full year 2019, the CEO remarked, “We continue to view the future with confidence and reiterate our guidance.”
Outlook:
NMC Health’s successful execution of its core business strategy was a key factor to the H1-19’s strong operational and financial performance.
Consequently, NMC Health’s management remains “highly confident in relation to future performance”. Hence, the management is looking forward to continuously carrying out its growth strategy amid hopes to create significant long-term value for its shareholders.
