Medical Facilities (TSE:DR) Issues Earnings Results

Medical Facilities (TSE:DR) announced its quarterly earnings results on Thursday. The company reported C$0.40 EPS for the quarter, FiscalAI reports. The company had revenue of C$93.78 million during the quarter. Medical Facilities had a return on equity of 45.36% and a net margin of 13.87%.

Here are the key takeaways from Medical Facilities’ conference call:

• Revenue rose 9.8% to $65.9 million, while income from operations increased 17.3% to $11.2 million and EBITDA grew 13.5% to $14.1 million. Management attributed the gains mainly to favorable case and payer mix, including more spine, higher-acuity orthopedic, and pain-management cases.
• Total surgical case volume fell 1.6% year over year, though it was down only 0.6% excluding low-margin dental cases. Operating expenses increased 8.4%, led by higher drugs and supplies costs, salaries, and benefits.
• The company repurchased just under 1.7 million shares for $21.5 million through the first nine months and said it had used its normal-course issuer bid limit. It ended the quarter with $70.8 million in cash, including $60.7 million at the corporate level, and no corporate debt.

Medical Facilities Stock Up 8.6%

TSE DR opened at C$16.94 on Friday. The stock has a 50 day moving average price of C$15.04 and a 200-day moving average price of C$16.47. Medical Facilities has a one year low of C$14.07 and a one year high of C$18.79. The company has a debt-to-equity ratio of 58.57, a quick ratio of 1.51 and a current ratio of 2.49. The company has a market capitalization of C$274.65 million, a P/E ratio of 9.01, a P/E/G ratio of 3.81 and a beta of 0.57.

About Medical Facilities

Medical Facilities owns a 51% controlling interest, with its physician partners owning the remaining 49% interest, in two highly rated, high-quality specialty surgical hospitals located in Arkansas and South Dakota. The hospitals perform scheduled surgical, imaging, diagnostic and other procedures, including primary and urgent care, and derive their revenue from the fees charged for the use of their facilities.