Burjeel Holdings Plc · ADX:BURJEEL
Burjeel — Q3 2023 Earnings Presentation
31 slides from Burjeel's earnings presentation, October 2023
Slide 1: Q3 & 9M 2023 Leading Super-Specialty Healthcare Provider in the MENA
October 2023 Q3 & 9M 2023 Leading Super-Specialty Healthcare Provider in the MENA
Slide 2: Disclaimer
Disclaimer This presentation has been prepared by Burjeel Holdings PLC None of the Company or its subsidiaries or any of their affiliates or based on publicly available information and non-public advisors make any representation or warranty as to the fairness, information to assist you in making a p
Slide 3: Contents
Contents 02 03 Performance Strategy Review Execution 01 Financial Highlights 04 Guidance 05 Q&A Appendix
Slide 4: Financial Highlights
01 Financial Highlights Leading Super-Specialty Healthcare Provider in the MENA
Slide 5: Leading Integrated Healthcare Network in the MENA
Leading Integrated Healthcare Network in the MENA Significant scale and market presence UAE, Oman & KSA 68 19% Geographical Medical assets Inpatient market presence incl. 16 hospitals1 share in the UAE2 1,708 4.4m 1,510 Bed capacity3 Total patients4 Doctors3 Diversified portfolio of brands > 30% Rev
Slide 6: Q3 & 9M 2023 Financial & Operational Highlights
Q3 & 9M 2023 Financial & Operational Highlights Financial Highlights Operational Highlights Revenue AED 1,155m Expanding Patient Footfall In-patient and out-patient footfall grew by 19.7% Q3’23 23.8% YoY and 10.4% YoY in 9M’23, respectively EBITDA AED 260m Leejam Partnership First four premier Physi
Slide 7: Strategy Execution
02 Strategy Execution Leading Super-Specialty Healthcare Provider in the MENA
Slide 8: PhysioTherabia – Entering High Potential KSA Market
PhysioTherabia – Entering High Potential KSA Market Highly attractive entry proposition Launched first premier physiotherapy centers 60 + Physical therapy, rehabilitation and wellness centers in 12 KSA cities in a joint venture (50:50) with Leejam Company 4 centers launched PhysioTherabia centers un
Slide 9: Expanding Our UAE Healthcare Infrastructure
Expanding Our UAE Healthcare Infrastructure The planned launch of five new medical centers will allow the group to tap into new markets and Launch of 5 new attract more patients, resulting in increased revenue streams and improved profitability. Burjeel will medical centers also benefit from economi
Slide 10: Leveraging Digital Transformation to Enhance Patient Experience and Maximise Operational Efficiency
Leveraging Digital Transformation to Enhance Patient Experience and Maximise Operational Efficiency Strategic digital initiatives Key digital achievements Patient digital channel • Mid-term key investment areas in Digital Health Mobile application • Oracle Health information system to be fully imple
Slide 11: Performance Review
03 Performance Review Leading Super-Specialty Healthcare Provider in the MENA
Slide 12: Accelerated Top-line Growth & Enhanced EBITDA Margin
Accelerated Top-line Growth & Enhanced EBITDA Margin Group revenue growth, AED m Group EBITDA growth, AED m YoY EBITDA margin YoY • The Group's hospitals and medical centers 20.8% 22.5% • The Group's EBITDA showed remarkable 1,155 +23.8% accelerated top-line growth in Q3’ 23, +34.1% growth, increasi
Slide 13: Increasing Patient Footfall & Ramping Up Bed Occupancy
Increasing Patient Footfall & Ramping Up Bed Occupancy Group outpatient footfall, k Group inpatients footfall, k % OP utilisation % bed occupancy 72% 69% 74% 71% 62% 63% 54% 60% +10.4% • Hospitals and medical centers contributed +19.7% • The 19.7% increase in inpatient footfall in 9M ‘23 to an 10.4%
Slide 14: Burjeel Medical City Performance
Burjeel Medical City Performance Total patients, k Revenue, AED m1 EBITDA, AED m1 % bed occupancy % EBITDA margin 48% 50% 36% 46% 16.0% 16.1% 11.8% 14.7% +40.6% +66.8% 737 +74.8% 303 108 524 +54.4% +53.0% 182 62 +58.0% 262 42 108 171 27 69 Q3'22 Q3'23 9M'22 9M'23 Q3'22 Q3'23 9M'22 9M'23 Q3'22 Q3'23
Slide 15: Well-Invested Manpower Driving Margin Expansion
Well-Invested Manpower Driving Margin Expansion Group OPEX breakdown1, as % of revenue EBITDA growth , AED m % EBITDA margin 20.8% 22.5% 21.5% 21.9% 79.7% 77.8% 79.0% 78.6% 11.7% 8.0% 10.5% 8.5% +19.5% 1.3% 1.8% 1.8% 1.7% Other 727 22.2% 25.1% 23.3% 24.3% Provision for ECL 608 +34.1% Inventories con
Slide 16: Strong Cash Flow Conversion
Strong Cash Flow Conversion Free cash flow1, AED m Cash flow from operating activities, AED m % FCF conversion2 129% 95% 64% 42% 35% 45% 540 358 497 343 328 311 447 366 331 209 163 212 2019 2020 2021 2022 9M'22 9M'23 2019 2020 2021 2022 9M'22 9M'23 AED m 2019 2020 2021 2022 9M '22 9M '23 Commentary
Slide 17: Maintaining a Robust Balance Sheet
Maintaining a Robust Balance Sheet AED m FY2021 FY2022 9M '23 Debt maturity as of 30 September 2023 Bank balances and cash 134 150 94 Interest bearing loans and borrowings 3,208 1,261 1,186 251 Bank overdraft 91 – – 226 Bank debt1 3,299 1,261 1,186 Net debt 3,165 1,111 1,092 152 152 140 130 Lease li
Slide 18: Robust Net Profit Margin to Deliver Healthy Return to Shareholders
Robust Net Profit Margin to Deliver Healthy Return to Shareholders Net profit evolution, AED m Commentary % net profit margin • Asset-light cash generative model (5.2%) (1.3%) 7.0% 9.0% 7.2% 10.9% 5.6% 11.9% underpins significant dividend paying capacity FY 22 vs FY21 9M ‘23 vs 9M‘22 3Q‘23 vs 3Q‘22
Slide 19: Guidance
04 Guidance Leading Super-Specialty Healthcare Provider in the MENA
Slide 20: Guidance
Guidance FY2023 Mid-term (2024-2027) • UAE Medical centers1: 5 Expansion • UAE Additional beds: 80 • KSA PhysioTherabia centers: 54 • KSA PhysioTherabia centers: up to 6 • Group revenue growth to gradually normalize from mid-teens to • High-teens Group revenue growth high-single-digit over time as k
Slide 21: Q&A Appendix
05 Q&A Appendix Leading Super-Specialty Healthcare Provider in the MENA
Slide 22: Large, Growing and Resilient Addressable Market
Large, Growing and Resilient Addressable Market FY 2022 UAE & Oman & KSA market size1 $104bn Total healthcare expenditure (USD bn) 132 GCC market size2 112 $85bn UAE & Oman & KSA market size1 85 93 1.9x 19% Burjeel Holdings $27bn In-patient private market share in the 69 UAE & Oman UAE (FY2022) mark
Slide 23: UAE Market Leader with a Prominent Position Across Segments
UAE Market Leader with a Prominent Position Across Segments Number of beds by key players1, as of December 2022 #1 inpatient platform in the UAE by private market volumes Beds excl. LTC in UAE 1,660 3 135 1,361 Beds in Oman 1,161 1,077 1,071 300 Focus on specialised and complex LTC2 Beds in UAE 810
Slide 24: Creating Differentiating Healthcare System
Creating Differentiating Healthcare System Burjeel Medical City Intraoperative MRI One of the largest healthcare Support of neuro-oncology facilities in UAE & GCC surgeries Ambulatory Services Centralised Lab State-of-the-art ambulatory services Total lab automation and a helipad for emergency trans
Slide 25: Burjeel Medical City – the UAE Leader in Complex Care
Burjeel Medical City – the UAE Leader in Complex Care 1 Oncology Only advanced cancer center in Abu Dhabi to be accredited by the European Society Overview and complex care specialties for Medical Oncology 2 Trauma Level 1 Trauma Center; First private hospital ~24% 60+ in UAE to be equipped with hel
Slide 26: Expansion through Asset-Light O&M Contracts
Expansion through Asset-Light O&M Contracts O&M opportunities in the UAE and MENA Track record of successful O&M projects • Located in the fast-growing industrial hub of Al Ruwais Approach Al Dhannah within the Western region of the UAE 200k+ Hospital, • Unlocks access to underserved western region
Slide 27: Financial Performance: Hospitals Segment
Financial Performance: Hospitals Segment Revenue, AEDm1 EBITDA, AEDm 3,070 Hospitals segment 9M '22 9M '23 Change 59 2,625 Inventories consumed 719 835 16.1% 26 % of revenue 27.4% 27.2% 1,136 Doctors’ and other employees1 1,068 1,236 15.7% Other 925 % of revenue 40.7% 40.3% Inpatient revenue +16.9%
Slide 28: Financial Performance: Medical Centers Segment
Financial Performance: Medical Centers Segment Revenue, AEDm1 EBITDA, AEDm 322 Medical centers segment 9M '22 9M '23 Change 3 280 Inventories consumed 58 70 20.2% 1 % of revenue 20.8% 21.8% Doctors’ and other employees1 111 126 13.7% % of revenue 39.5% 39.0% Other Revenue +15.0% Provision for ECL 5
Slide 29: Group & Segment Summary Q3 & 9M 2023
Group & Segment Summary Q3 & 9M 2023 Group financial summary Segmental financial summary millions AED million Q3Q3'23 '22 Q3 Q3'22 '23 9M 9M '23 '22 9M '23 9M '22 AED millions FY22 Q3 '23 Q3FY21 '22 FY22 9M '23 FY21 9M '22 Revenue 1,155 933 3,317 2,832 Revenue 1,155 933 3,317 2,832 OPEX3 (899) (743)
Slide 30: Strong Leadership with Well-Established Public Market-Oriented Corporate Governance
Strong Leadership with Well-Established Public Market-Oriented Corporate Governance Highly experienced leadership with focus on growing shareholder value Strong governance framework BoD of 7 Members Сommittees: A B N A N B A N 70% Independent Directors B Business Development Board of Directors A Aud
Slide 31: Investor Relations
Investor Relations October 2023 Sergei Levitskii Head – Investor Relations sergei.levitskii@burjeelholdings.com T: +971 2 3041 111 ir@burjeelholdings.com F: +971 2 2222 363 M: +971 503802383 PO Box: 7400, Abu Dhabi, UAE Investor Calendar Company Website