New contracts boost turnover at The Practice
Primary care specialist The Practice has reported a massive surge in turnover as the emerging NHS market sent patient numbers and new contracts soaring.

The company, which provides clinical, property, commissioning and GP services announced a 66% increase in turnover to £8.22m in the year ended 31 December 2009 as it continued to gain new contracts for community based primary care services and GP centres. During the year, the number of GP surgeries went from six to 15 and patients registered with the Group increased organically from 18,183 to 25,296. The company also succeeded in winning a number of new contracts to deliver specialist clinics, such as ophthalmology and dermatology in community based settings, signing new deals with primary care trusts in Harrow, Milton Keynes, Newham, Hounslow, south east Essex and Dorset.

Gross profit for the year doubled to £3.8m (2008: £1.9m) but exceptional costs incurred to take five large projects live pushed administration expenses to £4.3m (2008: £3.3m), resulting in an operating loss of £461,611. Nevertheless, this was a marked improvement on the previous year’s £1.4m loss and the directors’ said they expect to return an operating profit this year.

In his report, chief executive Peter Watts said: ‘With our current base of service contracts and GP surgeries, combined with a strong pipeline of potential new contracts for both services and GP surgeries, we believe the short to medium prospects for growth remain excellent. Beyond this, the Board is confident in the range and scale of opportunity and in the Practice’s capability to manage, innovate and prosper from the developments we see in the NHS primary healthcare market.’



<<Back

You must be an HMN subscriber to access all articles including our extensive archive.
Subscribe