Life Healthcare pays R466m after a good 6-month performance
LIFE Healthcare said it has paid a total of R466.02 million to its shareholders as part dividends after a good performance in the six months to end March results.
The group said a total number of 1 226 376 547 ordinary shareholders elected to receive the gross cash dividend, which was paid out of the distributable retained profits of the company.
A total of 3 369 339 new ordinary shares were issued yesterday to shareholders who did not elect to receive the cash dividend in respect of all or part of their shareholding.
Life Healthcare said the issuance resulted in a capitalisation of the distributable retained profits of the company of R6.52 million.
“Share certificates, where applicable, were dispatched to certificated shareholders at their own risk, and the cash dividend payments were made today,” the group said.
Earlier in the month Life Healthcare declared an interim dividend of 38 cents an ordinary share, up by 9 percent as compared to 35c declared last year.
Life Healthcare is one of South Africa’s largest private hospital operators.
In the results, Life Healthcare produced an improved performance with group revenue up by 17.5 percent to R11.3 billion, up from R9.6bn, while headline earnings per share increased by 116.5 percent to 53.7c a share, up from 24.8c as compared to last year.
Earnings per share increased by 329.9 percent to 54.6c, up from 12.7c.
Chief executive Dr Shrey Viranna said Life Healthcare would continue to expand into complementary businesses and diversify from being predominantly a hospital business to an internationally diversified health-care provider that offered a range of services.
Life Healthcare Southern Africa also increased its revenue during the period by 9.7 percent to R8.4bn, with the southern African hospitals’ and complementary services’ revenue rising 7.9 percent to R7.8bn.
Health-care services’ revenue increased by 42.4 percent to R568m, up from R399m, and the
group said this was due to the return of 700 Gauteng mental health patients and the acquisition of an occupational health and wellness business.
The group said the only blemish in its performance during the period was Max Healthcare in India, which reported a
R67m loss. However, the group is also looking at selling the Indian division in which it has a 49.7 percent stake. It said talks were progressing well in that regard.
Its 2016 UK acquisition, Alliance Medical Group, also delivered a solid financial performance, with revenue increasing by 56.3 percent to R2.3bn and normalised earnings before interest, tax depreciation and amortisation up by 26.3 percent to R518m.
Life Healthcare rose 0.36 percent on the JSE yesterday to close at R24.87.