Spire Healthcare has reported a jump in revenue as the healthcare provider once again benefited from a high-performing private sector and a surge in medical insurance amongst working-age people.
In its half-year results today, the FTSE 250-listed company, which is also the UK’s second-largest private healthcare group, said revenue was up 12.7 per cent to £762.5m.
Adjusted earnings before interest, taxes, depreciation, and amortisation (EBITDA) was up 10.8 per cent to £130.6m.
Adjusted profit before taxation also increased, up by 20.2 per cent to £26.8m.
Justin Ash, chief executive of Spire Healthcare, said the “strong” results prove the strength of its strategy as an expanded group, including the positive momentum of its recently-acquired Vita Health Group.
Ash added: “Our private revenue grew in H1, driven by strong growth in private medical insurance (PMI) which has seen a resurgence amongst working-age people. Patients are also increasingly switching between self-pay and PMI.
“Our work with the NHS also increased in the first half, partly due to higher commissioning, increased complexity and patients exercising the right to choose where they receive treatment.
“Spire stands ready to work with the new government to help address NHS waiting lists.”
Spire Healthcare’s investment in services such as mental health and physiotherapy has also played a part in the positive start to the year, Ash said.
During 2023 the group acquired Vita Health Group, a provider of mental and physical health services in England, for £73.2m.
Vita revenue was £53m, up from £41.2m last year. Adjusted EBITDA was at £5.1m, up from £3.5m.
“I am also pleased to report that our savings programme remains on track and we are maintaining our safe and high quality care,” Ash adds.
“We look forward to building on the Group’s performance in the first half and we are entering the second half confident of further progress.”