MD Medical Group Posts Strong Growth Across All Operational Indicators for Q4 and FY 2015
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 fourth quarter and 12 months of 2015.
Key operational highlights for FY 2015
- Total deliveries increased by 22% year-on-year (y-o-y) to 5,535
- Total IVF cycles increased by 21% y-o-y to 9,289
- Total in-patient treatments increased by 42% y-o-y to 51,014
- Total out-patient treatments increased by 34% y-o-y to 1,176,630
Mark Kurtser, Chairman of the Board of Directors of MD Medical Group, said:
“We are very pleased with our results for 2015. During the year we substantially grew our operating indicators in all key areas.“This success was driven by growth in demand for highly qualified medical assistance in Russia. We have seen higher demand for Mother & Child’s services in all the regions where we operate.“Our operating indicators grew primarily thanks to the steady growth of patient numbers at Lapino, and strong results from the first full year of operations at Ufa hospital and Mother & Child Novosibirsk as part of the Group. I would like also to note in particular the results of our other Mother & Child clinics both in Moscow and the regions.Our operational results for FY 2015 grew by double-digits across the board. Deliveries at our facilities increased by 22% year-on-year, to 5,535. In 2015 we carried out 9,289 IVF cycles, which is 21% more than in 2014. Our leadership in this segment is further underscored by 5% LFL growth – Mother & Child is one of the few market players to have growth IVF cycles in 2015. In-patient and out-patient treatments grew substantially year-on-year in 2015, by 42% and 34%, respectively.“We were able to deliver excellent results despite continued challenging conditions in the consumer sector. This was driven by further leveraging the capacities of our existing facilities and by expending our network into high-potential regions of Russia.“2015 was a significant one in terms of our regional expansion. We began the year with the opening of the first ever IVF clinic in Ryazan, and in the autumn we started work on the expansion of our in-patient facilities in Novosibirsk, which have seen extremely high demand. Towards the end of 2015 we acquired Medica, the leading IVF clinic in Novokuznetsk. In 2016 we also intend to increase our presence in the fast-growing Moscow market.“Expansion of our network by opening new clinics and further developing the potential of our existing high-tech facilities across Russia gives us confidence that we will be able to deliver further successful growth in 2016.”
Deliveries
- In FY 2015, total deliveries increased 22% y-o-y to 5,535.
- In Q4 2015, total deliveries increased 13% y-o-y to 1,423.
- In FY 2015, like-for-like[1] (LFL) deliveries increased by 1% y-o-y to 4,616.
- During FY 2015, the number of deliveries at Mother & Child Ufa hospital was 751.
IVF
- In FY 2015, total IVF cycles grew 21% y-o-y to 9,289.
- In Q4 2015, total IVF cycles across the Group increased by 32% to 2,683 y-o-w.
- In FY 2015, LFL IVF cycles amounted to 8,073, up 5% y-o-y.
In-patient treatments
- In FY 2015, total in-patient treatments grew by 42% y-o-y to 51,014, driven by:
- 16% increase in OBGYN in-patient days;
- 34% increase in paediatric in-patient treatments;
- 192% increase in in-patient days using other medical services. This significant growth was mostly due to the acquisition of Avicenna, and specifically the results of the surgical departments; the opening of a plastic surgery department at the Ufa hospital; as well as increased utilisation of in-patient surgery and therapy departments at Lapino.
- In Q4 2015, total in-patient treatments increased by 20% y-o-y to 13,464.
- In FY 2015, LFL in-patient treatments increased by 5% y-o-y to 37,764.
Out-patient treatments
- For FY 2015, the total number of out-patient treatments increased by 34% y-o-y to 1,176,630, driven by:
- 18% increase in OBGYN out-patient treatments;
- 27% growth in paediatric out-patient visits;
- 68% increase in other medical services.
- In Q4 2015, total out-patient treatments increased by 17% y-o-y to 313,805.
- In FY 2015, LFL out-patient treatments increased by 8% y-o-y to 951,724.
October 2014.
2) January-October 2015 – Ufa hospital, which was opened on 31 October 2014.
3) January-December 2015 – Out-patient clinic in Ryazan, which was opened on 9 February 2015
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Operating Highlights |
LFL | ||||||||||||
|
|
FY2015 |
FY2014 |
y-o-y, % |
Q4 2015 |
Q4 2014 |
y-o-y, % |
FY2015 |
FY2014 |
y-o-y, % |
Q4 2015 |
Q4 2014 |
y-o-y, % | |
|
Obstetrics and Gynaecology | |||||||||||||
|
Deliveries |
5,535 |
4,550 |
22% |
1,423 |
1,263 |
13% |
4,616 |
4,550 |
1% |
1,347 |
1,263 |
7% | |
|
In-patient treatments (except deliveries) |
23,626 |
20,331 |
16% |
6,229 |
5,674 |
10% |
19,525 |
20,331 |
-4% |
5,910 |
5,674 |
4% | |
|
Out-patient treatments |
451,986 |
382,430 |
18% |
117,782 |
103,518 |
14% |
399,491 |
328,430 |
4% |
112,715 |
103,518 |
9% | |
|
IVF | |||||||||||||
|
|
9,289 |
7,654 |
21% |
2,683 |
2,036 |
32% |
8,073 |
7,654 |
5% |
2,576 |
2,036 |
27% |
|
|
Paediatrics | |||||||||||||
|
In-patient treatments |
15,387 |
11,454[2] |
34% |
4,014 |
3,304 |
21% |
12,761 |
11,454 |
11% |
3,731 |
3,304 |
13% | |
|
Out-patient treatments |
347,003 |
272 693 |
27% |
95,973 |
81,196 |
18% |
296,737 |
272,693 |
9% |
91,968 |
81,196 |
13% | |
|
Other medical services | |||||||||||||
|
Other medical services in-patient |
12,001 |
4,115 |
192% |
3,221 |
2,211 |
46% |
5,478 |
4,115 |
33% |
3,077 |
2,211 |
39% | |
|
Other medical services out-patient |
377,641 |
224,812[3] |
68% |
100,050 |
83,870 |
19% |
255,496 |
224,812 |
14% |
97,402 |
83,870 |
16% | |
|
Total |
| ||||||||||||
|
Deliveries |
5,535 |
4,550 |
22% |
1,423 |
1,263 |
13% |
4,616 |
4,550 |
1% |
1,347 |
1,263 |
7% | |
|
IVF |
9,289 |
7,654 |
21% |
2,683 |
2,036 |
32% |
8,073 |
7,654 |
5% |
2,576 |
2,036 |
27% | |
|
In-patient treatments |
51,014 |
35,900 |
42% |
13,464 |
11,189 |
20% |
37,764 |
35,900 |
5% |
12,718 |
11,189 |
14% | |
|
Out-patient treatments |
1,176,630 |
879,935 |
34% |
313,805 |
268,584 |
17% |
951,724 |
879,935 |
8% |
302,085 |
268,584 |
12% | |
For further information please contact:
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Investors |
Media |
|
Elena Romanova MD Medical Group Investments Plc |
EM |
About MD Medical Group
MD Medical Group operates in the highly attractive Russian private healthcare service market and has a leading position in high-quality women’s health and paediatrics. The company manages 24 modern healthcare facilities, including 4 hospitals and 20 outpatient clinics in Moscow, St. Petersburg, Ufa, Perm, Samara and Samara region, Novosibirsk, Irkutsk, Yaroslavl, Novokuznetsk and Ryazan.
The Company’s shares have been listed on the London Stock Exchange (LSE ticker “MDMG”) in the form of Global Depositary Receipts (GDRs) since 12 October 2012.
Forward-Looking Statements:
This press release contains forward looking statements, which are based on the Company’s current expectations and assumptions and may involve known and unknown risks and uncertainties that could cause actual results, performance or events to differ materially from those expressed or implied in such statements. The forward looking statements contained in this press release are based on past trends or activities and should not be taken that such trends or activities will continue in the future. It is believed that the expectations reflected in these statements are reasonable, but they may be affected by a number of variables which could cause actual results or trends to differ materially, including, but not limited to: conditions in the market, market position of the Company, earnings, financial position, cash flows, return on capital and operating margins, anticipated investments and economic conditions; the Company’s ability to obtain capital/additional finance; a reduction in demand by customers; an increase in competition; an unexpected decline in revenue or profitability; legislative, fiscal and regulatory developments, including, but not limited to, changes in environmental and health and safety regulations; exchange rate fluctuations; retention of senior management; the maintenance of labour relations; fluctuations in the cost of input costs; and operating and financial restrictions as a result of financing arrangements.
No statement in this press release is intended to constitute a profit forecast, nor should any statements be interpreted to mean that earnings or earnings per share will necessarily be greater or lesser than those for the relevant preceding financial periods for the Company. Each forward looking statement relates only as of the date of the particular statement.