BAKU, Azerbaijan, November 14
By Tamilla Mammadova – Trend:
Georgia Healthcare Group (GHG) announced 13-percent year-on-year growth in nine months' revenues, to 703.3 million lari ($238 million) and a 50-basis point improvement, Trend reports with reference to GHG.
The Group posted nine-month profit of 46 million lari ($15.6 million) and adjusted earnings per one share of 0.27 lari (9 cents).
"In the first nine months of 2019, the Group gross revenues totaled 703 million lari ($238.5 million), up by 13 percent on the back of double-digit revenue growthin each of our businesses. Group's return on invested capital, adjusted to exclude the roll-out effect of new hospitals and polyclinics, has also increased, from 13.8 percent to 14.3 percent, over the last twelve months," said the GHG report.
Meanwhile, Group's pharmacy and distribution business performed particularly well with 17 percent revenue growth (12 percent growth net of the newly added centralized procurement entity).
The medical insurance business delivered robust revenue growth and a significant improvement in the combined ratio leading to a pre-tax income of 4.6 million lari ($1.5 million) in the first nine months of the year, an increase of 59 percent.
The stabilized depreciation and lower interest expense that have resulted from the completion of Group's major capital expenditure program meant that the 12-percent growth translated into 53-percent increase in net profit and EPS.
In the first nine months of 2019, Group's hospitals business revenues grew by 11 percent to 218 million lari ($73.9 million).
Group's polyclinic network continues to grow, and the polyclinics clearly stand out from the competition as new, modern facilities that provide a diverse range of high-quality services in one location.
The number of registered patients in Tbilisi has grown to 183,000. Revenues in the first nine months increased by 15 percent, with polyclinics growing by 22 percent and community clinics by 10 percent.
GHG's pharmacy chain and distribution business delivered record revenues in the amount of 442 million lari ($149.9 million) in nine month of 2019, up by 17 percent year-on-year.
The business posted 12-percent organic revenue growth, supported by double-digit organic growth in both the retail and distribution businesses, said GHG.
Group’s medical insurance business has made substantial progress over the last 12 months to increase its client base and is now contributing to the profitability of the Group. Net insurance premiums earned increased by 35 percent in the first nine months of the year, supported by the addition of a large state client in the first quarter.
Georgia Healthcare Group PLC is the UK incorporated holding company of the Group and is listed on the premium segment of the London Stock Exchange.
GHG is presented in Georgian Healthcare ecosystem with three core business lines including healthcare services business, which operates through its fully integrated network of hospitals and polyclinics (outpatient centers); pharmacy and distribution business; and medical insurance business.
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