Primary Healthcare Ltd (ASX:PRY) reported its results today.
For the ½ year Health Technology provided Revenue of $18.8M (up $1.6M) and EBITDA of $9.7M ($9.5M)
From this is it clear this is a very profitable - albeit small - component of the overall Revenues of $720M ($682M)
The EBITDA Margin was 51.6% which is really, really profitable!
Management comments were that they were “Committed to retain and invest in this business”. Hardly a surprise given how profitable it is - remembering there were rumours of divestment a year or so ago.
Other points made were:
• All software products performing in line with expectations
• Senior management changes enacted during the period
• Revenue growth of 9% primarily in lower margin products
• Costs of detailed review of business expensed in period
• Opportunity to grow the business both internally and externally:
§ New functionality for software to be web based
§ Enhanced products for new markets (specialists)
All in all a very interesting result for all those in GP and e-Health land. They are not suffering too much in providing this software for those who are using it.
David.