Fresh from their expansion into optometry services, Healthia (ASX: HLA) has hit the ground running, adding two new clinics to their network of more than 200 healthcare businesses as Australia’s fastest-growing allied health company.

The two clinics fall within the newly established Eyes & Ears division of Healthia which was formed following their $43 million acquisition of The Optical Company in November 2020. Through that acquisition, Healthia added 41 optometry clinics and a frames distribution business which follow a hugely successful model consolidating Australia’s podiatry and physiotherapy sectors.

The newly acquired clinics are located in Bernie Lanigan Optometrist in Townsville, Queensland and The Eyecare Place in Abbotsford, Victoria.

Total consideration for the clinics is $620,000 and expected to deliver Healthia annual revenue of $1.36 million for $205k EBITDA in what appears a savvy acquisition given the Company’s average spend on new clinics is around 4.2x EBITDA.

Under their commitment to shareholders to continue expanding the Healthia network of clinics, the Company has committed to spending at least $20 million per annum on strategic acquisitions. These include clinics as well as supply chain and support businesses that can be vertically integrated across the Group.

Prior to these recent acquisitions, Healthia has exceeded that figure substantially through the $43m spent acquiring the Optical Company whereby more and more acquisitions are now being funded by free cash flow.

Despite exceeding their annual commitment, Healthia has continued to be approached by clinicians seeking to join the Healthia network for support services that include nation-wide marketing initiatives, supply chain and patient referrals. Given these two acquisitions were secured at an attractive 3.0x EBITDA multiple, Healthia will not need to draw down funds from their $70 million facility recently secured from ANZ, Bank of Queensland and NAB.

With no set targets as to whether they target podiatry, physiotherapy or optometry expansion, Healthia continues to view each potential clinic on a case-by-case basis where they have quickly emerged as Australia’s fastest-growing allied healthcare company.

This was backed up in their Half-Year results which included a 39% increase in revenue to $61.5 million and 91% increase in EBITDA to $11m, driven by 14.5% organic growth across the Group driving impressive shareholder returns.

In their most recent update, Healthia reported organic growth of their optometry division at 10.5% with Analysts expecting that figure to increase towards the 13.8% reported for podiatry and 15.3% for physiotherapy.

In Australia, more than 13.2 million people suffer from eye disease which gives Healthia access to an annual addressable market of $3.3 billion being driven by an aging population, increased screen time and genetic inheritance.

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