Healthia revenues surge 40% as clinic acquisition spree continues

Allied healthcare provider Healthia (ASX: HLA) has reported a 40.3% increase in revenues where business has returned to pre-COVID levels, with clinics having remained open through the pandemic in order to take pressure off the public health system as per Government directives. 

Alongside the jump in revenue for FY20 to $92.4m, Healthia has also reported a 46.7% increase in underlying EBITDA to $13.2m and an increase of 36.9% in NPATA to $4.63m. 

“I am extremely proud of our teams for banding together and implementing safety measures for our patients and each other,” said Healthia Chairman, Dr Glen Richards. 

“Despite the months of April and May 2020 being our most challenging period, the business in aggregate is now trading at pre-COVID-19 levels. This being the direct result of the efforts of our dedicated teams.” 

Accompanying the increase in net profit, Healthia has announced a final fully franked dividend of 2 cents per share. 

Since listing on the ASX in 2018 as part of their strategy to consolidate Australia’s highly fragmented physiotherapy and podiatry sectors, Healthia has continued to expand their national network of clinics. Within today’s results announcement, the Company has entered into binding agreements to acquire 3 additional physiotherapy clinics in Queensland and 1 podiatry clinic in South Australia. 

Expected to settle mid-October, the additional clinics will bring Healthia’s network to 153, where independent operators keen to join Healthia’s network over the past two years and gain access to their support services.

Total consideration for the new clinics is $5.05m comprising $4.01m cash and $1.04m clinic class shares with the clinics expected to deliver Healthia an additional $1.16m EBITDA annually. 

As per their commitment to national expansion, Healthia intends to spend an additional $10m on clinic acquisitions throughout FY21 to further grow their flagship AllSports Physiotherapy and My FootDr brands. 

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