Netcare: SA, UK operations help grow revenue

GROUP revenue for Netcare increased 16.1 percent to R31.78 billion for the financial year to September, the private health-care provider said yesterday. Its South African and UK operations grew revenue in their respective local currencies, Netcare said. Group revenue in 2013 was R27.38bn. In South Africa, revenue grew 7.4 percent to R16.27bn this year, compared to R15.15bn last year. “The demand for private health care in South Africa is expected to remain strong, which will support Netcare’s growth over the next few years,” said group chief executive Richard Friedland. “We will continue to focus on cost containment and optimisation initiatives to ensure operational excellence, broad-based quality improvement and superior patient care.” He said the South African hospitals and emergency services division was going through a “strong expansionary phase”, which included construction of a 100-bed hospital in Pinehaven, west of Johannesburg. A 170-bed hospital was also being built in Polokwane. The group’s normalised earnings before interest, tax, depreciation and amortisation increased by 18.3 percent to R6.87bn compared to R5.8bn in 2013. Its shares surged 6.89 percent to R35.99. – Sapa