HM Company News

Bupa, the international healthcare group in the year ended 31 December 2012, saw global revenue up to £8,374m from £8,018m in 2011. Total claims and expenses were £7,845m (2011: £7,818m). Financial income of £125m (2011: £95m) and financial expenses of £70m (2011: £74m) meant profit before taxation was £584m, almost triple the £220m posted in 2011. Nearly all of this improvement’ can be explained by impairment charges for Bupa’s US based disease management company Health Dialog, which were £165.8m in 2011 and which, along with other impairment costs of the MBF brand in Australia transitioning to the Bupa brand, had contributed to the lower profit before tax that year. Growth for the business has been driven by increased profits, of 12% in Australia and New Zealand, of 7% in Spain and Latin America and 13% for the international private medical insurance (PMI) division.

Medicash reported a surplus of £199,000 for the year ending 31 December 2012 following a £24,000 loss in 2011.

Pathology Group Ltd, the recruitment company specialising in finding pathology staff, showed steady growth for the year ending 30 September 2012 demonstrating increased turnover, an increase in operating profit and higher profits before tax.

TBS GB Telematic & Biomedical Services Ltd, which repairs and maintains medical equipment and provides telecare and telehealth services posted increased profits in its financial accounts to year ended 31 December 2012.

MedicX Fund Limited, the specialist primary care infrastructure investor in modern purpose-built primary healthcare properties in the UK, in its results for the six months to 31 March 2013 reports a significant rise in income to £12.3m (2011: £7.4m). Total valuation and impairment adjustments were £787,000 (2011: £287,000). Total expenses including acquisition costs were £9.5m (2011: £6.8m) leaving a profit before tax of £3.6m (2011: £900,000).

SWIIS International Limited (and subsidiary undertakings), the provider of foster, social and healthcare services, for the year ended 30 September 2012 saw revenue fall to £37.9m (2011: £39.3m). Cost of sales were lower at £22.2m (2011: £23.2m) although administrative expenses were up to £14.7m (2011: £13.9m).

Mutual health cash plan provider, Paycare, recorded a fall in premiums from £6.5m in 2011 to £6.4m for the year ending 31 December 2012.

The Doctors Laboratory, the provider of clinical pathology services, in its report and financial statements for the year ended 30 June 2102, showed turnover was up to £50.9m (2011: £41.3m). Cost of sales was £35.6m (2011: £25.5m). Administrative expenses were £7.4m (2011: £6.4m), which along with other operating income of £584,000 (2011: £411,000) and interest payments of £146,000 (2011: £132,000) led to a profit before tax of £8.3m (2011: £9.7m). The directors say: We have experienced increased activity in the NHS pathology opportunities, and the resulting increase in bid costs has led to the reduction in after tax profits. These tenders are complex and can take between one and two years to finalise.

Spire, the UK’s largest hospital provider, in its annual report for the year ended 31 December 2012 showed revenue up 9.6% to £739.0m from £674.0m in 2011. Operating expenses were £534.6m. Exceptional items of £11.9m for corporate restructuring, refinancing and regulatory costs, £6.0m for PIP patient recalls, £2.6m for reorganisation and set up costs, £2.7m for rent and £51.5m depreciation left an operating profit of £129.7m (2011: £134.1m). EBITDAR (pre-exceptional items) was £204.0m, being 28% of revenue, making Spire best in class’ for its KPI (2011: £188.2m).

Optegra UK Ltd, the specialist provider of ophthalmic services, increased turnover but posted its biggest losses to date in the year to 30 June 2012, largely as a result of administrative expenses’ of £16.1m (more than the entire revenue of the company) which are unexplained in the accounts. Turnover rose to £13.6m (2011: £9.0m). Cost of sales however increased to £7.0m (2011: £4.8m) as did administrative expenses to £16.1m (2011: £12.5m). Interest of £2.1m was received but this was down significantly from £12.1m the previous year and didn’t help the loss before tax of £9.5m (£8.3m). EBITDAR was -£5.4m (2011: -£4.3m). In the period Optegra built another hospital in Manchester and acquired Prospect Eye Clinic. The company is backed by Moonray, the private equity arm of Fidelity International Ltd, which acquired Lexum, the provider of ophthalmology in Czech Republic and Poland, at the end of 2012, which it intends to combine with Optegra.