Circle Holdings profits beat expectations

Circle Holdings shares surged Friday after the healthcare provider said 2012 revenues and profits exceeded expectations.

Circle Holdings shares surged Friday after the healthcare provider said 2012 revenues and profits exceeded expectations.

The employee co-owned hospital group expects annual revenue from continuing facilities to increase by 13% to £73m as patient procedures rose 21% year-on-year, according to a trading update.

Circle ended the year with a cash position of £38m, including £5.0m of restricted cash.

Results were driven by strong operating performance and higher patient volumes at hospitals.

The CircleBath private hospital saw a 28% growth in revenue and a 40% increase patient volumes while the CircleReading hospital delivered strong revenues since opening last August.

The company also achieved a projected annual cost savings of £2-3m following restructuring of its head office.

Circle recently announced it was selected as the preferred bidder by National Health Service (NHS) commissioners to provide renewed services at the Nottingham NHS Treatment Centre for a further five years from July.

Subject to completion of final terms, the contract is expected to deliver circa £15m annually.

Shares rose 5.43% to 68.00p at 9:19 Friday.

RD

Recommended

Marks & Spencer shares look cheap – should you buy in?
Retail stocks

Marks & Spencer shares look cheap – should you buy in?

Marks & Spencer shares have been a disappointment for investors for two decades. But with the company now on something of a comeback, Rupert Hargreave…
25 May 2022
The Federal Reserve wants markets to fall – here’s what that means for investors
Stockmarkets

The Federal Reserve wants markets to fall – here’s what that means for investors

The Federal Reserve’s primary mandate is to keep inflation down, and lower asset prices help with that. So, asks Dominic Frisby – just how low will st…
25 May 2022
Four high-quality US stocks to give shelter from the storm
Share tips

Four high-quality US stocks to give shelter from the storm

Professional investor Timothy Parton of the JPMorgan American Investment Trust picks four solid US stocks to buy now.
24 May 2022
Three undervalued mid-cap stocks with attractive prospects
Share tips

Three undervalued mid-cap stocks with attractive prospects

Professional investor Katen Patel of the JPMorgan Mid Cap Investment Trust picks three fast-growing mid-cap stocks to buy now.
24 May 2022

Most Popular

The world’s hottest housing markets are faltering – is the UK next?
House prices

The world’s hottest housing markets are faltering – is the UK next?

As interest rates rise, house prices in the world’s most overpriced markets are starting to fall. The UK’s turn will come, says John Stepek. But will …
23 May 2022
The Federal Reserve wants markets to fall – here’s what that means for investors
Stockmarkets

The Federal Reserve wants markets to fall – here’s what that means for investors

The Federal Reserve’s primary mandate is to keep inflation down, and lower asset prices help with that. So, asks Dominic Frisby – just how low will st…
25 May 2022
Should you be worried about energy windfall tax proposals?
Energy

Should you be worried about energy windfall tax proposals?

Calls have been growing for a windfall tax on UK oil and gas producers. It's a popular idea, but is it a good one? And what does it mean for investors…
24 May 2022