Press release
SHL announces half-year results 2020 - Telemedicine is at a tipping point
Tel Aviv / Zurich, 25 September 2020 - SHL Telemedicine Ltd. (SIX Swiss Exchange: SHLTN) ("SHL"), a leading provider and developer of advanced personal telemedicine solutions, announced today the results of the first half-year 2020.
The first half of 2020 was marked by the disruptive acceleration in the adaption of telemedicine, with the outbreak of the global COVID-19 pandemic serving as a catalyst. The Company, as a leading provider and developer with vast experience in the field of telemedicine, is well positioned to leverage its assets and know-how and benefit from this change.
Although the pandemic, being a rolling event, impacts our financial results, with decline in revenues and increased costs, the Company is building a valuable pipeline of customers and potential deals which is expected to materialize into significant business in the mid-term.
Financial Highlights:
- In Germany, revenues for the period were USD 8.1m, down by 11% compared to the first half of 2019 in constant currency[1], as a result of longer decision making cycles of institutional customers, delays in launch of new programs and slower recruitment of patients to Chronic Disease Telehealth Programs, along with a decline in service utilization by one of the institutional payors with whom the engagement will end this year.
- In Israel, revenues were USD 11.0m, slightly up by 3% compared to the first half of 2019, in constant currency. The Israeli operation continued to contribute profitability to the Group.
- Operating results for the first half year were affected by the COVID-19 global pandemic causing decreased operational efficiency and increased costs.
Key figures half-year 2020:
- Revenues for the period were USD 19.5m, compared to USD 19.9m in constant currency (USD 19.8m as reported) in 1HY2019.
- EBITDA for the period was USD 2.8m compared to an EBITDA of USD 6.0m in constant currency in 1HY2019 (which included performance-based revenues of USD 2.0m generated from cost savings delivered under a Chronic Disease Telehealth contract in Germany relating to the years 2015 and 2017).
- Net income for the period was USD 0.1m compared to a net income of USD 3.9 in constant currency in 1HY2019 (which included the performance-based revenues of USD 2.0m).
- Operational free cash flow of USD 1.4m.
- Cash reserves as of June 30, 2020 were USD 9.0m (including short term investments of USD 3.9m).
in USD million | 1HY2020 | 1HY2019 | 1HY2019 CC* |
Revenues for the period | 19.5 | 19.8 | 19.9 |
Performance-based revenues | - | **2.0 | **2.0 |
Revenues | 19.5 | 21.8 | 21.9 |
Revenues
| 8.1 11.0 0.4 | 11.3 10.4 0.1 | 11.1 10.7 0.1 |
EBIT | 0.4 | 4.2 | 4.1 |
EBITDA | 2.8 | 6.1 | 6.0 |
Net income | 0.1 | 4.0 | 3.9 |
EPS | 0.01 | 0.38 | 0.37 |
Operating Free cash flow | 1.4 | 5.5 | n.a. |
*Constant currency
**Performance-based income of USD 2.0m generated from cost savings delivered under a Chronic Disease Telehealth contract in Germany relating to the years 2015 and 2017
The half-year report 2020 is available on:
www.shl-telemedicine.com/about-us/investorrelations/financial-reports-pres-2020
Financial calendar
8 October 2020 | Annual General Meeting, Tel Aviv, Israel |
For further information, please contact:
Martin Meier-Pfister, IRF, phone: +41 43 244 81 40, shl@irf-reputation.ch
[1] Constant Currency - to enable meaningful comparison between 1HY2020 and 1HY2019 results, 1HY2019 results are also presented at 1HY2020 constant currency exchange rates. Management believes that this presentation enables a more meaningful comparison between the periods due to the significant fluctuations in NIS/USD/EUR exchange rates during the period.
Provider | Channel | Contact | ||
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EQS Group Ltd., Switzerland switzerland.eqs.com |
newsbox.ch www.newsbox.ch |
Provider/Channel related enquiries cs.switzerland@eqs.com +41 41 763 00 50 |