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margin was 41.8%, one of the highest among public healthcare companies globally. And net profit rose by more than 100% y/y to €39.37mn.
Last year’s crisis slid off EMC like water from a duck's back, as crises in Russia rarely affect the well-off, who also refuse to scrimp on their health no matter how badly the economy is doing.
The profits were helped by the company’s investment programme coming to an end, as it has most of the modern equipment it was intending to buy. Over the first six months of this
company’s entire profit, minus sundries and working capital needs, will be paid out as dividends.
Expanding market
The EMC started life catering to diplomats and then began to treat the rich, but as incomes have risen over the last two decades it has worked its way down into the middle class.
“I have two types of clients,” says Yanovsky. “The first is a regular and comes to us for all their treatment and care. The second come when they have something important or major to deal
have stagnated more recently. The average bill for outpatient services rose by 4.4% y/y in the first half to €259,
a stable increase as compared to the same period a year earlier.
Inpatient admissions were down by 2.7% to 8,275 due to a change in the structure of services provided under compulsory health insurance schemes. For example, in cancer cases, the focus moved from day-patient chemotherapy to outpatient radiotherapy, with doctors making more house calls thanks to coronavirus (COVID-19) restrictions. The average bill for inpatient services rose by 14.8% to €6,266 due to a larger share of integrated and high-tech medical services.
“I have two types of clients,” says Yanovsky. “The first is a regular and comes to us for
all their treatment and care. The second come when they have something important or major to deal with”
year capex fell by 37.6% y/y to €11.6mn as the company passed the peak of its investment cycle.
Net debt was also down to €100.9mn as of 30 June 2021 from €137.7mn at the end of 2020. The debt load fell below 1.0x, its lowest level for three and a half years.
With money coming in and investments and debt falling the board increased their dividend policy and has recommended a dividend payout
of €76mn for 2020 – basically the
with. Thanks to word of mouth they know EMC has the best care on offer and come to us when they need help.”
And the number of patients keeps rising every year. Outpatient visits rose by 22.2% y/y in the first six months of this year to 296,010, primarily for general treatment, physiotherapy, cardiology, neurology, and ophthalmology.
And the prices for these more occasional customers are affordable after two decades of wage rises, even if incomes
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