Mediclinic delivers 'strong' FY performance

Private healthcare services group Mediclinic said on Thursday that it had delivered a "strong financial performance" over the twelve months ended 31 March, driven by increased client activity.

Mediclinic said group revenue growth was around 8% year-on-year to roughly £3.23bn, while group underlying earnings margins improved from 14.2% in 2020-21 to 16.0% in 2021-22.

The FTSE 250-listed firm also highlighted that it had delivered a recovery in profitability and strong cash conversion during the year, resulting in a "significant reduction" in leverage ratio from 5.1x to 4.0x.

Mediclinic added that it also expects positive momentum in client activity to drive revenue growth and margins in the coming year.

Chief executive Dr Ronnie van der Merwe said: "The group has delivered a strong operational and financial performance this year. We have successfully navigated further waves of Covid-19 and delivered FY22 results in line with our improved outlook. The volume growth delivered this year translated into group revenue now ahead of pre-pandemic levels with a materially improved group EBITDA margin compared with the prior year.

"We remain well-positioned to benefit from the increasing demand for our healthcare services, supported by the growing partnerships and collaborations we are establishing, and therefore expect the positive trends in FY22 to continue into the next financial year."

As of 0835 BST, Mediclinic shares were up 1.40% at 392.0p.