- Pacific Smiles Group reported 14.6% growth in Same centre patient fee growth for FY2021 year to date period ended 8 December 2020.
- It lifted its previous EBITDA guidance for FY2021 to 35% and 45%.
- It expects the patient fees growth to lie in between 25% to 30%.
Pacific Smiles Group Limited (ASX:PSQ) has provided FY2021 Guidance update.
Pacific Smiles Group is the largest branded dental network in Australia and is situated across Australian Capital Territory, NSW, Victoria, and Queensland. It provides services & facilities to dental practitioners who practice at dental centres operated by Pacific Smiles.
In its announcement, the Company has talked about its FY2021 trading update followed by FY2021 outlook.
The Company updated that Same centre patient fee has witnessed a growth of nearly 14.6% for FY2021 year to date period ended 8 December 2020. As of now, the Company has opened seven new centres, and intends to open seven more sites in FY2021.
Further, the Company updated that monthly same centre patient fee growth figures will no longer be offered from 28 September 2020 given the return to normal dental services for all centres.
Earlier, an announcement released on 06 November 2020 highlighted that there was an 11.2% growth in the same centre patient fee for FY2021 YTD (period ended 31 October 2020) excluding Victoria.
In September 2020, the Australian Health Protection Principle Committee lessened restrictions from Level 3 to Level 1 in metropolitan Melbourne. As a result, the normal dental services commenced from 28 September 2020 with COVID-19 safety measures. During October 2020, Pacific Smiles Group provided complete dental services.
In FY2021, the Company expects 25% to 30% growth in patient fees and 35% to 45% spurt in underlying EBITDA. The guidance is based on:
- Strong performance of YTD same centre fee growth.
- Presuming 2H FY2021 trading occurs without substantial disruption due to COVID-19.
- The opening of ~ 14 new dental centres.
In the previous announcement dated 19 October 2020, the Company expected its patient fees to grow by ~20% and underlying EBITDA to grow by ~25%.
- Before the COVID-19 restrictions, the patient fees and underlying EBITDA growth was approximately 14% for the 8 months to 29 February 2020 as compared to the previous corresponding period (pcp).
- The dental practitioners operating at Pacific Smiles’ owned and operated dental centres, generated A$186.3 million as Patient Fees for FY2020, a drop of 0.6% on the pcp.
- Underlying EBITDA improved by 2.9% to A$23.5 million on pcp.
- Underlying NPAT slipped by 9.7%.
- During FY2020, 5 new Pacific Smiles Dental centres were opened, bringing total number to 94 as at 30 June 2020.
At 1:12 PM AEDT on 14 December 2020, PSQ shares were trading at A$2.380, up 12.264% from the previous close.