As South Africa's hospitals buckle under the pressure of Covid-19 cases amid a second wave of infections, private group Mediclinic has reported a 2.5% revenue increase.
Earnings, however, fell by 8%.
On Friday, the group released its trading update for the third quarter between October and December 2020, which showed an uptick in revenue compared to the third quarter of 2020.
Like its peers in the private healthcare sector, Mediclinic has seen a decline in demand for elective surgeries like cataract removals and hip replacements during the first wave of the pandemic as patients opted to put these on hold to avoid infection.
The group’s Southern Africa operations include its local facilities and others in Namibia. It also has divisions in Switzerland and the UAE, as well as a 29.9% stake in Spire Healthcare Group in the UK.
"Unlike early in the first wave, there have not been national restrictions on elective procedures and outpatient activity during Q3. Our ability during the period to continue with elective procedures, when and where we have capacity, as well as the unseasonable demand for our inpatient services in Southern Africa and the UAE during December 2020, supported our Q3 financial performance," said Mediclinic’s group CEO Dr Ronnie van der Merwe.
The group explained that it continued to face second wave challenges in Southern Africa, which impacted on its ability to provide non-urgent elective care. Most of its Covid-19 patients are in the Western Cape, KwaZulu-Natal, Mpumalanga, Limpopo and Gauteng, while admissions in the Western Cape begin stabilising.