Johannesburg - Netcare said full-year earnings rose 13 percent as South Africa’s second-biggest private-hospital operator added more beds in its home market and attracted a higher number of patients in the UK.
Adjusted earnings per share excluding one-time items were R1.89 in the year through September, Johannesburg-based Netcare said in a statement on Monday.
That was in line with the average estimate of 12 analysts polled by Bloomberg. Revenue advanced 6.1 percent to R33.7 billion ($2.4 billion). The final dividend was raised 13 percent to 54 cents a share.
“The demand for private health-care services in South Africa is expected to remain resilient despite weakness in the economy,” Netcare said.
“We expect higher growth in demand across our network of services in 2016, driven in part by the new hospitals and capacity added in 2015.”
Netcare is benefiting from increasing demand for private health care in South Africa and the U.K. as higher earners switch from state-owned providers.
The company added 584 new beds in its home market during the period, bringing the total to 9 996, and plans to invest R2 billion on more beds this financial year.
The stock has climbed 3 percent this year, while larger competitor Mediclinic International, which has agreed to combine with Al Noor Hospitals Group of Abu Dhabi, has gained 24 percent.
BLOOMBERG