South Africa’s largest private hospital operator Netcare has announced a rise in first-half profits of 15 per cent, driven by a strong performance in South Africa.
Profits for the six months ending 31 March rose to R666 million, up from R579 million in the same period a year earlier.
The company said that growth in the South African market was able to offset far weaker results in the UK, where the challenging economic environment had a negative impact.
Revenue in South Africa grew by 7.6 per cent to R6.4 billion, up from R6.0 billion a year earlier.
Netcare’s free cash flow also increased during the first half, by 25.5 per cent from the previous year.
The company said its focus had remained on operational efficiency, cost containment and the implementation of business improvement plans to support robust and sustainable businesses.
In a statement, Netcare said: “Netcare remains confident that the demand for private healthcare services at primary and tertiary levels will be sustained in SA over the medium and long term. Our capital investment in expansion will boost growth in SA.”
Through its subsidiaries, Netcare operates the largest private hospital network in South Africa and the UK. In the UK, Netcare is the largest private acute care hospital provider and an independent service provider to the NHS.
The company is headquartered in Sandton, Johannesburg.
