MEDVIEW PLC: GOOD 2017 REAR VIEW.

According to audited full year figures to December 2017 released recently, Medview Plc rear view of the financial year was good. So good in fact that it more than doubled its profit before tax within the period.

Overall income rose by. 42.9% to N38357.3m as revenue from core operations rose by 42.4% to 25962.5m and income from other sources ended at N397.3m, up 125.5% from 2016's N176.2m.

In addition to the healthy revenue growth, Medview had good control of its costs.

Direct operating cost that generated core revenue grew by lower 41.7% to N31,016.5m thus allowing gross profit to grow by 46.1% to N5943.6m.

Then, administration expenses rose by even lower 31.2% to N4356.3m compared to N3321.3m in 2016.

For good measure, the N975.3m increase in capital last year had first full year impact as finance cost increased by only 17.1% to N227.1m

In the end, Medview ended the year with 4.59% profit margin as against 3.21% in 2016.

Good year but, unfortunately, not good enough to end Medview's liquidity squeeze; it only reduced working capital deficit from N3735.3m in 2016 year end to N2952.6m.

Not much of the deficit could lead to higher finance cost in future though principally, of the current liabilities, only trade payables rose by 38.5% to N10,372.1m and to boot, interest bearing borrowed funds dropped 53.3% to N452m while cash on hand was far more comfortable N2928.1m compared to only N525.9m the previous year.

MEDVIEW PLC: Full year, Nm
                                 2017.            2016
Total revenue.      37357.3.     26138.7
Core revenue        36960.0.    25962.5
Operating cost     31016.5.    21895.3
Gross profit.            5943.6.      4067.2
Other income             397.3.       176.2
Administration.       4356.3.     3321.3
Finance cost.             227.1.       193.9
Profit before tax.    1724.8.        840.0
Profit margin%.          4.59.           3.21
Working capital.    (2952.6).   (3735.3)
Cash & equivalent.   2928.1.      525.9

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