MD Medical Group Posts Strong Growth Across All Operational Indicators for 9m 2016

MD Medical Group Investments Plc (“MD Medical Group”, “MDMG” or the “Company” – LSE: MDMG), a leading Russian private healthcare provider, today announces its operating results for the third quarter and nine months of 2016.

Key operational highlights for 9M 2016:

• Total deliveries increased 22% year-on-year (y-o-y) to 5,018
• Total IVF cycles increased 52% y-o-y to 10,011
• Total in-patient treatments increased 11% y-o-y to 41,582
• Total out-patient treatments increased 18% y-o-y to 1,018,117

Mark Kurtser, CEO of MD Medical Group, said:

“Nine months is an important period, especially in our business. And we are glad to announce that thanks to continued strong growth across all operational parameters in Q3 we have successfully completed the first nine months of 2016.

“During the period we had 22% more deliveries than in 9M 2015. The number of IVF cycles grew by more than 1.5x and has already exceeded the results of FY 2015. No other company in Russia ever completed more than 10,000 IVF cycles within a nine-month period. In-patient and out-patient treatments grew 11% and 18% year-on-year, respectively.

“Key drivers of this growth included continued ramp-up at our Lapino, Ufa and PMC hospitals. The remarkable growth in the IVF segment was largely driven by our new clinics in Siberia, which delivered approximately 2,000 cycles, as well as other clinics.

“We are satisfied with our dynamics this year to date and are committed to maintaining the positive trend going forward in 2016.”

Deliveries

• In 9M 2016, total deliveries increased 22% y-o-y to 5,018.
• In Q3 2016, total deliveries increased 24% y-o-y to 1,815.
• In 9M 2016, there were 786 deliveries at Mother & Child Ufa hospital.

IVF

• In 9M 2016, total IVF cycles rose 52% y-o-y to 10,011.
• In Q3 2016, total IVF cycles rose 44% y-o-y to 3,443.
• In 9M 2016, LFL^[1] 8,069 IVF cycles were performed, up 22% y-o-y.

In-patient treatments

• In 9M 2016, total in-patient treatments grew 11% y-o-y to 41,582, driven by:
  • 4% increase in OBGYN in-patient treatments;
  • 21% increase in paediatric in-patient treatments;
  • 12% increase in in-patient days using other medical services.
• In Q3 2016, the total number of in-patient days increased 16% y-o-y to 13,432.
• In 9M 2016, LFL in-patient treatments increased 11% y-o-y to 41,540.

Out-patient treatments

• In 9M 2016, the total number of out-patient treatments increased 18% y-o-y to 1,018,117, driven by:
  • 12% increase in OBGYN out-patient treatments;
  • 15% rise in paediatric out-patient visits;
  • 28% increase in other medical services.
• In Q3 2016, the total number of out-patient treatments increased 16% y-o-y to 338,499.
• In 9M 2016, LFL out-patient treatments increased 11% y-o-y to 954,642.

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