One Health(OHGR), a provider of NHS-funded medical procedures, delivered huge growth in the past year, surpassing market expectations and maintaining profit margins despite a challenging financial climate.
The company's revenue surged by 17% to reach £20.5m, a significant recovery following two years of Covid-19 restrictions that impacted the healthcare sector. This performance can be attributed to the creation of new revenue streams, such as waiting list transfers and the company's involvement in the post-pandemic NHS elective surgery recovery plan.
One Health achieved a gross profit of £3.6m, exceeding the previous year's figure of £3.5m. The gross profit margin stood at 18%, slightly lower than the previous year's 20% but still outperforming market expectations. Adjusted EBITDA saw an 11% increase, reaching £1.53m compared to £1.38m in the previous year, again surpassing market expectations.
In the latest fiscal year, One Health saw a 16% increase in new patient referrals, with the increased demand stemming from Waiting List transfers, aided by new government initiatives implemented through the NHS.
OneHealth said it will continue to source new capacity in new geographies to support organic growth. This includes identifying areas with high NHS patient demand and little or no local surgical provision, where it will develop new, owned surgical capacity through acquisitions, partnerships, joint ventures, or new build.
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This is a strong set of results from One Health, which has continued to establish itself as a leading provider of NHS services. Despite challenging financial conditions, One Health underwent a successful IPO in November 2022, and, now equipped with greater capacity and resources, the company is poised to assist the NHS in tackling elective surgery waiting lists.
From April 2016 onwards, there has been a consistent trend of more patients entering the referral-to-treatment waiting list than those being discharged, in every month except one. As a result, the elective waiting list has reached its highest point since 2008, currently exceeding seven million.
Factors contributing to this include the impact of Covid-19, workforce shortages in the NHS, together with an aging population.
With high demand for elective surgeries, One Health is well-aligned to help relieve the burden on the NHS, with its waiting times from consultation to treatment being 3-7 weeks on average (the current NHS standard is 18 weeks). One Health should continue to see increased demand for its services as the NHS tackles the effects of the pandemic on waiting lists.
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