MEDICLINIC INTERNATIONAL PLC - Mediclinic full-year group results for period ended 31 March 2020 (FY20)

Mediclinic full-year group results for period ended 31 March 2020 (“FY20”)

Mediclinic International plc
Incorporated in England and Wales
Company Number: 08338604
LSE Share Code: MDC
JSE Share Code: MEI
NSX Share Code: MEP
ISIN: GB00B8HX8Z88
LEI: 2138002S5BSBIZTD5I60
South African income tax number: 9432434182
("Mediclinic", or the "Company", or the "Group")

MEDICLINIC FULL-YEAR GROUP RESULTS FOR PERIOD ENDED 31 MARCH 2020 ("FY20")

GROUP ADJUSTED RESULTS BROADLY IN LINE WITH EXPECTATIONS DESPITE IMPACT OF COVID-19

PRE-IFRS 16: GROUP FINANCIAL RESULTS

    -   Revenue up 5% to £3 083m; up 4% in constant currency, reflecting balanced organic growth
        and incremental acquisitions
    -   Adjusted EBITDA down 3% at £480m; down 3% in constant currency terms, impacted by
        effect of COVID-19 pandemic in March 2020
    -   Adjusted operating profit down 5% at £312m, reflecting increased depreciation charges
        associated with infrastructure and technology investments
    -   Goodwill and fixed asset impairment charges at Mediclinic Middle East (£481m) and
        Hirslanden (£33m); reported operating loss of £199m
    -   Reported loss of £315m (FY19: loss of £151m) further impacted by the impairment charge of
        the equity investment in Spire of £10m
    -   Adjusted earnings per share down 8% at 24.7 pence
    -   IFRS 16 headline earnings per share 26.9 pence (FY19 pre-IFRS 16: 28.6 pence)
    -   Strong cash conversion at 109% of adjusted EBITDA (FY19: 91%)
    -   Total dividend for the year 3.20 pence per share (FY19: 7.90) paid in December 2019
    -   Final dividend suspended to preserve liquidity during COVID-19

BOARD CHANGES

The following changes to the Board and its committees occurred and were announced during FY20:

    -       Mr Desmond Smith retired from the Board following the Company’s 2019 annual general
            meeting ("AGM") with Mr Alan Grieve assuming the role of Senior Independent Director,
            Chair of the Audit and Risk Committee and member of the Nomination Committee;
    -       Mr Tom Singer was appointed as independent non-executive director and member of the
            Audit and Risk Committee on 24 July 2019, and as a member of the Remuneration
            Committee on 13 November 2019;
    -       Dame Inga Beale was appointed as independent non-executive director, Chair Designate
            and member of the Nomination Committee on 26 March 2020; and
    -       Mr Seamus Keating retired from the Board on 31 March 2020.

Dame Inga will succeed Dr Edwin Hertzog as Chair of the Board upon his retirement at the conclusion
of the Company’s 2020 AGM.

On 1 June 2020, the Board agreed to appoint Dame Inga as a member of the Remuneration Committee
with immediate effect and to succeed Dr Hertzog as Chair of the Nomination Committee upon his
retirement.

DIVIDEND POLICY

The Group’s existing dividend policy is to target a pay-out ratio of between 25% and 35% of adjusted
earnings. The Board may revise the policy at its discretion. As part of the Group’s response to
maintaining its liquidity position through the COVID-19 crises and to maximise its support in combatting
the pandemic, the Board has taken the prudent and appropriate decision to suspend the dividend.

FURTHER INFORMATION

The contents of this short-form announcement are the responsibility of the Board of Directors of the
Company. This announcement represents a summary of the information contained in the unabridged
results announcement. Any investment decisions by investors and/or shareholders should be based
on a consideration of the unabridged announcement. The unabridged announcement can be
accessed on the following JSE link:

https://senspdf.jse.co.za/documents/2020/JSE/ISSE/MEIE/MEIFY20.pdf

The announcement is also published on www.mediclinic.com and available for inspection at the
registered office of the Company and the offices of the Company’s sponsor at no charge, during
normal business hours.

CORPORATE INFORMATION

LISTINGS
The Company’s primary listing is on the London Stock Exchange in the United Kingdom, with
secondary listings on the JSE Ltd in South Africa and the Namibian Stock Exchange in Namibia.

DIRECTORS
Dr Edwin Hertzog (ne) (Chair) (South African), Inga Beale DBE (ind ne) (Chair Designate) (British), Dr
Ronnie van der Merwe (Group Chief Executive Officer) (South African), Jurgens Myburgh (Group
Chief Financial Officer) (South African), Alan Grieve (Senior Independent Director) (British and
Swiss), Dr Muhadditha Al Hashimi (ind ne) (Emirati), Jannie Durand (ne) (South African), Dr Felicity
Harvey CBE (ind ne) (British), Danie Meintjes (ne) (South African), Dr Anja Oswald (ind ne) (Swiss),
Trevor Petersen (ind ne) (South African), Tom Singer (ind ne) (British), Pieter Uys (alternate to Jannie
Durand) (South African)

COMPANY SECRETARY
Link Company Matters Limited (previously named Capita Company Secretarial Services Limited)

REGISTERED OFFICE
Mediclinic International plc
6th Floor, 65 Gresham Street
London, EC2V 7NQ, United Kingdom
Tel: +44 20 7954 9569 Fax: +44 20 7954 9886
Email: info@mediclinic.com
Website: www.mediclinic.com

TOLL-FREE ETHICS LINES
Switzerland and South Africa
Tel: 0800 005 316
UAE
Tel: 800 1 55000

REGISTRAR/TRANSFER SECRETARIES
UK
United Kingdom Computershare Investor Services PLC
SOUTH AFRICA
Computershare Investor Services (Pty) Ltd
NAMIBIA
Transfer Secretaries (Pty) Ltd

CORPORATE ADVISORS

AUDITOR
PricewaterhouseCoopers LLP, London
CORPORATE BROKER AND SPONSORS
UK
Joint corporate brokers: Morgan Stanley & Co International plc and UBS Investment Bank
South Africa
JSE sponsor: Rand Merchant Bank (a division of FirstRand Bank Limited)
Namibia
NSX sponsor: Simonis Storm Securities (Pty) Ltd

2 June 2020
www.mediclinic.com

Date: 02-06-2020 08:00:00
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