Healius Limited · ASX:HLS
Healius — Primary Health Care — Investor Presentation (May 2011)
16 slides from Healius's investor presentation, May 3, 2011
Slide 1: Market Announcement: Medical Centres Investor Presentation
PRIMARY HEALTH CARE LIMITED (ACN 064 530 516) LEVEL 1, 30-38 SHORT STREET LEICHHARDT NSW 2040 TEL: (02) 9561 3300 FAX: (02) 9561 3302 3 May 2011 ASX Limited Company Announcements Office Exchange Centre Level 4, 20 Bridge Street Sydney NSW 2000 MARKET ANNOUNCEMENT (ASX:PRY) MEDICAL CENTRES INVESTOR P
Slide 2: Medical Centre Investor Presentation
Primary Health Care Limited May 2011 Medical Centre Investor Presentation 2
Slide 3: Overview
Overview This presentation provides shareholders and investors with additional operational and financial detail in relation to the large scale medical centre model of Primary Health Care Limited (“Primary”). The Primary Medical Centre division continues to contribute strongly – contributing in e
Slide 4: Australian Medical Centre Environment
Australian Medical Centre Environment Primary Medical Centres provide comprehensive services including GPs, Dental, Physiotherapists, Specialists, Pharmacy, Day Surgery, Eye Clinics and other allied health services. General Practitioner (“GP”) services represent c.65% of overall Medical Centre r
Slide 5: Primary's Unique Medical Centre Model
Primary’s Unique Medical Centre Model Primary has the largest medical centre network in Australia. The model it operates is unique: Well equipped and staffed Large scale Consolidated General Practitioner ( GP ) and other medical services attractive facilities Cost of replication by a competi
Slide 6: Large Scale Medical Centre
Large Scale Medical Centre Primary’s medical centres are a community based model: - accessible by major roads - close to rail - close to bus stops - large community shopping centre nearby - car parking on site Large infrastructure established offering the complete range of primary care services
Slide 7: Medical Centres – financial history
Medical Centres – financial history Medical Centres has grown significantly over the last 7 years increasing EBITDA from c.$37m in 2003 to c.$142m in 2010, achieving a sustainable EBITDA margin of 50%+ (1) EBITDA Revenue & EBITDA Margin % 300 58% 56% 56% 56% 250 55% 54% 200 52% 51% $m 150 50% 49%
Slide 8: Medical Centre – underlying performance
Medical Centre – underlying performance There were a number of changes which impacted the Medical Centre EBITDA result across 2009 and 2010, including: - a reduction in government funding - a change in accounting standards - a change in Primary’s clinical trial business The underlying EBITDA gro
Slide 9: Medical Centres – segmentation
Medical Centres – segmentation Medical Centres continue to provide significant growth opportunities in all States. Primary commenced its operations in NSW and has begun capitalising on the opportunities outside of NSW in recent years (1) Medical Centre ‐ Revenue 2006 Medical Centre ‐ Revenue 2010
Slide 10: Current profile of medical centres
Current profile of medical centres In the last 5 years (2006-2011), Primary has invested significant capital in growing its medical centre business 2006 Medical Centres (31 in total) In 2012 and beyond, Primary expects Proportional % to benefit from an increasing return Contribution to on capital
Slide 11: Typical profile of medical centre
Typical profile of medical centre For the purposes of providing a detailed financial example of the Primary Medical Centre model, set out below are actual numbers for a typical large scale medical centre (operating for 10 years in suburban Sydney) 6 mnths ('000') 2001 2002 2003 2004 2005 2006 2007
Slide 12: Primary's attractive model for GPs
Primary’s attractive model for GP’s The unique model of Primary allows GP’s to focus on patient care with the ability for the GP to generate a higher fee per patient in Primary Medical Centres compared to stand-alone centres. (1) (2) Medicare Medicare Medicare Primary Individual GPs Earnings Incre
Slide 13: Profile of GPs – Primary vs Industry
Profile of GP’s – Primary vs Industry The profile of a Primary Medical Centres GP compares favourably with overall Australian industry data. This profile has been compared with medical centre data from the 2010 “BEACH Project” - Bettering the Evaluation And Care of Health Conducted. This was con
Slide 14: Future Growth Drivers
Future Growth Drivers • GP attendances continue to grow (c.3 to 4% per annum). Industry growth • Medicare funding continues to support GP services. • Australian population expected to grow consistently over the medium to long term. Population growth and • Proportion of Australian population aged ove
Slide 15: Future Growth Drivers
Future Growth Drivers • The age profile of the Primary Medical Centres will bring an increasing return on capital and additional cashflow. Backfilling existing centres • Primary is currently utilising c.60% of its infrastructure. That is, the number of contracted Primary GPs could increase by at lea
Slide 16: Disclaimer
DISCLAIMER This presentation has been prepared by Primary Health Care Limited (ACN 064 530 516) (‘PRY’). Material in this presentation provides general background information about PRY which is current as at the date this presentation is made. Information in this presentation remains subject to
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