Tuesday 16 August 2022

Prasanth Manghat

NMC net profit surges 38pc to $209m in 2017

LONDON, March 8, 2018

UAE-based NMC Healthcare has posted a net profit of $209.2 million for the year 2017 as against  $151.4 million in the previous year, marking an increase of 38.2 per cent.

Total revenues rose from $1,220.8 million in 2016 to $1,603.4 million last year, up by 31.3 per cent, reported Emirates news agency Wam.

Adjusted net profit rose by 43 per cent from $165.2 million to $236.6 million. A dividend of 13 UK pence per share, up from 10.6 UK pence per share in 2016, is proposed, equivalent to 20 per cent of profit after tax.

Growth in its key healthcare division, covering its hospitals across 13 countries, saw revenues rise by 41.1 per cent from $823.3 million to $1,161.6 million, a rise of 41.1 per cent, with net profit from healthcare rising by 49.2 per cent from $192.9 million to $287.8 million.

For the distribution division, there was an increase of 12.7 per cent in revenues, from $431.9 million to $486.8 million, with net profit for the division rising from US 43.6 million to $48 million.

During 2017, the number of patients handled by the healthcare division rose by 33.5 per cent to 5.8 million as the number of operational beds rose by 101 per cent over 2016, from 679 beds to 1,365 beds.

NMC Healthcare, which listed on the London Stock Exchange in 2012 and which is now a component of the FTSE100 Index, currently operates or manages over 125 assets in 13 countries and is ranked as one of the top 3 in-vitro fertilisation, IVF, operators globally.

"2017 proved to be a year of tremendous achievements for NMC, enhancing further the successful track record already achieved by the Group in previous years," said Group CEO Prasanth Manghat.

"Qualification for the FTSE100 Index, consolidation of previous organic and inorganic expansions, extension of our geographic footprint and strengthening and deepening of the management structure all marked a very active year for NMC. In short, we see 2017 as setting the stage for many more years of growth for the Company and we begin 2018 with confidence."

An aggressive programme of expansion, launched by the company in 2016, has seen major progress in Saudi Arabia, which now accounts for over 35 per cent of its licenced bed capacity. It is also a leading UAE supplier of products and consumables across several key market segments, with healthcare related products providing the major contribution.

Major growth in assets during 2017 included the acquisition of facilities in Oman, where the company now has a 20 per cent share of the private sector in beds, the acquisition of two facilities in the Saudi cities of Hail and Najran, and the acquisition of Al Zahra Hospital in Sharjah. Several new management contracts were announced, including a UAE government hospital in Yemen.

Tags: Hospital | NMC Healthcare | 2017 profit |

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