HarmonyBridge Children’s Health & Rehabilitation Centres Business Plan — Appendix A: Detailed Financial Statements

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Appendix A · 21 of 23

Detailed Financial Statements

Revenue by payer & stream (R m)

Stream

Year 1

Year 2

Year 3

Year 4

Year 5

Medical aid payments

68.4

124.8

200.0

304.0

440.0

Government contracts

32.4

60.8

100.0

152.0

220.0

Private patients

27.0

48.0

75.0

114.0

165.0

Home healthcare

16.2

25.6

40.0

60.8

88.0

Corporate wellness & occ. health

9.0

16.0

25.0

38.0

55.0

Equipment rental

7.2

12.8

20.0

30.4

44.0

Training academy

5.4

9.6

15.0

22.8

33.0

Research grants

3.6

6.4

10.0

15.2

22.0

Donations & CSI

10.8

16.0

15.0

22.8

33.0

Total revenue

180

320

500

760

1100

Operating & capacity KPIs

Metric

Year 1

Year 2

Year 3

Year 4

Year 5

Operational beds

120

180

300

440

600

Operational centres

1

1

3

5

7

Occupancy

62.0%

70.0%

74.0%

78.0%

82.0%

Revenue per bed (R m)

1.50

1.78

1.67

1.73

1.83

Total headcount

280

499

803

1228

1775

Cash flow & balance sheet summary (R m)

Metric

Year 1

Year 2

Year 3

Year 4

Year 5

Operating cash flow

(5.4)

32.6

80.2

146.2

234.6

Free cash flow (pre-financing)

(570.4)

(2.4)

(389.8)

96.2

54.6

Closing cash

97.1

62.2

211.3

208.8

172.6

Net PP&E

523

511

901

864

942

Term debt

250

250

470

432

398

Total equity

390.1

358.8

697.5

724.1

838.1

Profit reconciliation: EBITDA to net profit (R m)

Line

Year 1

Year 2

Year 3

Year 4

Year 5

EBITDA (derived from margin)

14.4

48.0

100.0

174.8

275.0

Less depreciation

(41.8)

(46.9)

(80.1)

(87.1)

(101.8)

Less interest

(32.5)

(32.5)

(61.1)

(61.1)

(56.2)

Less tax

0.0

0.0

0.0

0.0

(3.0)

Net profit after tax (re-derived)

(59.9)

(31.4)

(41.2)

26.6

114.0