The South African healthcare group Mediclinic reported a rise in revenues in the UAE in its first filing since listing on the London Stock Exchange following the acquisition of Abu Dhabi-based Al Noor Hospitals.
For the 11 months ended February 29 2016, Mediclinic’s Middle East business – excluding Al Noor – recorded revenues of Dh1.39 billion as bed day growth was at a rate of 5.9 per cent and outpatient and accident and emergency patient attendance increased by 3.7 per cent.
Mediclinic operates two hospitals in Dubai and 10 clinics across Dubai, Abu Dhabi and Al Ain.
For the financial year ended in March 2015, Mediclinic’s revenues in the Emirates touched 4.3bn South African rand (Dh1.06bn).
The rand had depreciated to 14.91 per US dollar on Wednesday from 11.95 a year ago.
The group joined the FTSE 100 index after taking over Al Noor Hospitals in February.
Its shares were trading at 896 pence around 5.15pm UK time on the London Stock Exchange, down by 0.7 per cent from Wednesday’s close. Still, that was up from £7.19 a year ago.
Further, Mediclinic shares are up 12.4 per cent for the year to date, versus a drop of 1.0 per cent for the FTSE 100 as a whole.
“In line with industry trends, we are continuing to see the impact on our business of ongoing regulatory initiatives and increasing competition,” said Danie Meintjes, the chief executive at Mediclinic International.
Results for this financial year are expected in May and will include an update on Al Noor’s integration into the overall business.
“Al Noor operating performance is in line with management’s expectations,” the company said in its filing.
The 40-bed Al Jowhara Hospital in Al Ain is expected to be ready in the second quarter.
In Dubai, expansion of City Hospital – adding an oncology centre, more outpatient services and 80 inpatient and day care beds – is expected to be ready in the third quarter.
The 188-bed Mediclinic Parkview Hospital on Umm Suqeim Road in Dubai, and the 100-bed Al Noor Hospital on Airport Road in Abu Dhabi are expected to be completed in the first quarter of 2019.
Group net debt for the year ending March 31 is expected to be below £1.65 billion (Dh8.73bn).
Its debt increased by drawing £313 million of the £400m available bridge facility to fund the tender offer to Al Noor shareholders.
Mediclinic’s home revenues touched 12.26bn rand as length of patient stays rose by 3.6 per cent for the 11 months ending February 29.
The group opened its latest hospital in South Africa in March. It also opened two day clinics and 80 beds across the country. Last June, it acquired 29.9 per cent of the UK hospital chain Spire Healthcare for £432m.
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