NMC Health raises core earnings view

dubai — Healthcare provider NMC Health on Monday raised its fullyear core earnings and revenue forecasts, citing strong organic growth, and said it remained confident in achieving its longer-term margin guidance.

The company raised its core earnings forecast by 3.2 per cent to $480 million for the year and said it expected revenue to grow 24 per cent, two percentage points more than its previous expectation.

“2019 guidance will also point towards continuation of strong organic growth on the back of a sustained ramp-up at key facilities, integration and expansion of acquired entities, as well as a strong operational performance,” the company said.

The company is benefiting from growing demand in the healthcare sector due to an increasingly wealthy population that is becoming more susceptible to lifestyle diseases such as diabetes and obesity.

NMC Health said during 2019 management anticipated the opening of new greenfield facilities, particularly in the UAE, the expansion of facilities across different countries and the consolidation of Aspen Healthcare, which NMC Health acquired earlier this year.

Revenue for 2019 will increase by between 22 and 24 per cent, and earnings before interest, tax, depreciation and amortisation were expected to grow by 18 to 20 per cent during 2019.