TORONTO, March 13, 2025 /CNW/ – Medical Facilities Corporation (“Medical Facilities,” “MFC,” or the “Corporation”) (TSX:DR), reported its financial results today for the fourth quarter and year ended December 31, 2024. All amounts are expressed in U.S. dollars unless indicated otherwise.
Highlights
(For continuing operations1, which exclude Black Hills Surgical Hospital, LLP (“BHSH”), and also excluding the divested MFC Nueterra ambulatory surgery centers, government stimulus income, and non-controllable, non-cash corporate level charges related to share-based compensation plans, compared to the fourth quarter and year ended December 31, 2023)
Sold BHSH, receiving cash proceeds of $96.1 million, and a net receivable for working capital adjustments and escrow reserve of $0.7 million (collected subsequent to year-end), for the Corporation’s 54.2% ownership share
Cash position of $108.5 million at year end
Purchased 1,700,700 of its common shares for a total consideration of $16.6 million under its normal course issuer bid (“NCIB”) in 2024, including 470,100 shares for $5.3 million in the fourth quarter
Repaid $16.0 million on its corporate credit facility in 2024, including $4.0 million in the fourth quarter, bringing the balance to nil
Facility service revenue increased 1.1% to $331.5 million for the year, with the quarter down 1.1% to $91.1 million on slightly lower surgical case volumes
Income from operations increased 10.5% to $54.7 million for the year, with the quarter down 4.9% to $17.4 million, when excluding impairment of goodwill
Adjusted EBITDA2 increased 7.3% to $71.4 million for the year, with the quarter down 2.8% to $21.7 million
“We had a very strong year in 2024, culminating with the sale of BHSH, which strengthened our balance sheet and significantly enhanced our ability to return capital to shareholders,” said Jason Redman, President and CEO of Medical Facilities. “For the year, we returned $16.6 million to shareholders through our NCIB and repaid the full $16.0 million on our corporate credit facility. While our surgical case volumes in the quarter were marginally impacted by the temporary and industry-wide intravenous saline fluids shortage, our full-year financial results included solid growth in income from operations, adjusted EBITDA, and net income. Looking ahead, we remain focused on operational excellence, delivering the utmost quality of care to our patients, and driving further shareholder value.”
Financial Results
Financial Results from
Continuing Operations
For the three months ended
December 31
For the year ended
December 31
(thousands of U.S. dollars, except per
share amounts and where otherwise
noted)
2024
2023
%
change
2024
2023
%
change
Facility service revenue
91,077
92,084
(1.1 %)
331,529
339,576
(2.4 %)
Government stimulus income
–
–
–
11,957
–
100.0 %
Revenue and other income
91,077
92,084
(1.1 %)
343,486
339,576
1.2 %
Operating expenses, before
impairment and non-cash share-
based compensation charges
73,726
73,926
(0.3 %)
277,084
289,989
(4.5 %)
Impairment of goodwill
2,265
–
100.0 %
2,265
–
100.0 %
Non-cash share-based compensation
charges
516
(17)
3,135.3 %
2,498
411
507.8 %
Income from operations
14,570
18,175
(19.8 %)
61,639
49,176
25.3 %
Finance costs (net …