Fourth quarter
- Revenue amounted to E461.9m (E397.7m), an increase of 16.1% with an organic growth of 13.5%.
- Operating profit (EBIT) was E19.0m (E8.9m), an increase of 117.2%, representing an operating margin of 4.1% (2.2%).
- Net profit amounted to E8.6m (E2.3m), which represents a margin of 1.9% (0.6%).
- EBITDA was E66.4m (E53.2m), an increase of 25.3%. EBITDA margin was 14.4% (13.3%).
- EBITDAaL amounted to E40.8m (E30.1m), an increase by 36.1%, corresponding to an EBITDAaL margin of 8.8% (7.5%).
- Net cash flow from operating activities was E42.5m (E41.2m).
-
Basic/diluted earnings per share were E0.078 (E0.013).
Full year
- Revenue amounted to E1,746.4m (E1,510.2m), an increase of 15.6% with an organic growth of 11.6%.
- Operating profit (EBIT) was E61.4m (E55.2m), representing an operating margin of 3.5% (3.7%).
- Net profit amounted to E18.4m (E13.7m), which represents a margin of 1.1% (0.9%).
- EBITDA was E243.8m (E217.1m), an increase by 12.3%. EBITDA margin was 14.0% (14.4%).
- EBITDAaL amounted to E144.9m (E130.9m), corresponding to an EBITDAaL margin of 8.3% (8.7%).
- Net cash flow from operating activities was E205.0m (E170.2m).
- Basic/diluted earnings per share were E0.118 (E0.079).
- The board of directors proposes a dividend for 2023 of E0.12 (E0.12) per share.
REVENUE AND EARNINGS
E millions (Em) | Q4 2023 | Q4 20221) | Variance | FY 2023 | FY 20221) | Variance |
Revenue | 461.9 | 397.7 | 16% | 1,746.4 | 1,510.2 | 16% |
Operating profit (EBIT) | 19.0 | 8.9 | 117% | 61.4 | 55.2 | 11% |
Operating profit margin | 4.1% | 2.2% | 3.5% | 3.7% | ||
Net profit | 8.6 | 2.3 | 289% | 18.4 | 13.7 | 35% |
Net profit margin | 1.9% | 0.6% | 1.1% | 0.9% | ||
Basic/diluted earnings per share, E | 0.078 | 0.013 | 500% | 0.118 | 0.079 | 49% |
EBITDA | 66.4 | 53.2 | 25% | 243.8 | 217.1 | 12% |
EBITDA margin | 14.4% | 13.3% | 14.0% | 14.4% | ||
Adjusted EBITDA | 68.3 | 57.9 | 18% | 253.9 | 233.9 | 9% |
Adjusted EBITDA margin | 14.8% | 14.5% | 14.5% | 15.5% | ||
EBITDAaL | 40.8 | 30.1 | 36% | 144.9 | 130.9 | 11% |
EBITDAaL margin | 8.8% | 7.5% | 8.3% | 8.7% | ||
Adjusted EBITDAaL | 42.7 | 34.8 | 23% | 155.0 | 147.7 | 5% |
Adjusted EBITDAaL margin | 9.2% | 8.7% | 8.9% | 9.8% | ||
EBITA | 23.3 | 15.4 | 53% | 82.6 | 80.9 | 2% |
EBITA margin | 5.1% | 3.8% | 4.7% | 5.4% |
Definition and reconciliation of alternative performance measures are available at www.medicover.com/financial-information.
1) 2022 is restated for IFRS 17 Insurance contracts. For further information, refer to note 1.
CEO Statement
I am pleased to look back at another year of strong growth. In
If we look further back to 2019, the last undisturbed year, before Covid-19 and the war in
After a couple of years of significant investments, last year we have worked on consolidating acquired businesses, improved operational efficiency, and increased capacity utilisation. We have continued our organic growth capital investments in line with historic levels, while we have significantly slowed down acquisition growth, as communicated beginning of last year. During the last two quarters of the year, we have seen an increase in our main profit measures compared to the same quarters in previous year. However, margins in Diagnostic Services remain under pressure as we have not yet seen an increase of the reimbursement levels in
Unfortunately, the war in
Revenue for the quarter continued to grow strongly and was up 16.1% to E461.9m (E397.7m), with an organic growth of 13.5%. Revenue for the year grew 15.6% to E1,746.4m (E1,510.2m) with an organic growth of 11.6%.
EBITDA in the quarter was E66.4m (E53.2m), an increase by 25.3%, representing an EBITDA margin of 14.4% (13.3%). EBITDA for the full year amounted to E243.8m (E217.1m), a margin of 14.0% (14.4%).
Fee-For-Service and other services (FFS) increased by 11.9% in the quarter, now representing 57% of total revenue. Full year FFS revenue growth was 13.8%, representing 58% of total revenue.
At the end of the year the division had 1.8 million members, growing with 34 thousand members over the quarter and with 103 thousand members for the year. We continue to see very robust trading in our corporate paid business, particularly in
FFS increased by 19.7% in the quarter and represented 53% of divisional revenue, full year FFS revenue growth was 28.5%.
EBITDA grew by 20.8% in the quarter to E46.2m (E38.4m), an EBITDA margin of 14.3% (14.8%). EBITDA for the year grew by 36.8% to E171.8m (E125.6m), an EBITDA margin of 14.3% (13.7%).
Diagnostic Services revenue amounted to E143.1m (E143.9m), a decrease by 0.6%, with an organic growth of 3.2%. Excluding Covid revenue in the comparative quarter, organic growth was a healthy 11.5%, illustrating the positive underlying volume development. Revenue growth for the year was -6.7%, with an organic reduction of 2.5%, amounting to E571.2m (E612.5m).
29.3 million tests were performed in the quarter (29.3 million) and 119.2 million tests in the full year (119.3 million). FFS increased by 0.2% in the quarter, now representing 68% of divisional revenue, full year FFS revenue decrease was 4.4%.
EBITDA amounted to E20.4m (E23.0m), a decrease of 10.7%, an EBITDA margin of 14.3% (15.9%). EBITDA in the full year amounted to E88.1m (E118.7m), a decrease of 25.7% and mainly related to no contribution from Covid-19, an EBITDA margin of 15.4% (19.4%).
As we navigate the landscape of 2024, we find ourselves in a robust position, with investments from previous years that will continue to mature supported by continued growth investments. As the year progresses, we are also likely to be more active with our acquisition agenda.
We remain confident on the trading outlook for 2024, with continued good organic growth and continued profit improvement, this puts us on a good path to be able to achieve the medium-term financial targets for the period 2023-2025.
Financial targets by year-end 2025:
- organic revenue should exceed E2.2bn
- An adjusted organic EBITDA in excess of E350m
- Loans payable net of cash and liquid short-term investments/adjusted EBITDAaL ≤3.5x
I would like to express a sincere gratitude to all our staff across our markets for their dedication, hard-work, and professionalism - thank you.
Fredrik Rågmark
CEO
This report has not been subject to review by the Company's auditor.
For full report, see attached pdf.
This is information that
Financial calendar
Annual report week 13 2024
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Annual general meeting 26 April 2024
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For further information, please contact:
Hanna Bjellquist, Head of Investor Relations
Phone: +46 70 303 32 72
E-mail: hanna.bjellquist@medicover.com
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Medicover is a leading international healthcare and diagnostic services company and was founded in 1995. Medicover operates a large number of ambulatory clinics, hospitals, specialty-care facilities, laboratories and blood-drawing points and the largest markets are Poland, Germany, Romania and India. In 2023, Medicover had revenue of E1,746 million and more than 45,000 employees. For more information, go to www.medicover.com
https://news.cision.com/medicover/r/year-end-report-january-december-2023,c3925472
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