OREANDA-NEWS. April 15, 2013. The Medsi Group of Companies and its subsidiaries ("Medsi" or "the Group"), a leading national provider of medical and healthcare services in Moscow and other regions of Russia, has published its unaudited consolidated US GAAP financial results for the year to 31 December 2012.

MAIN FINANCIAL RESULTS

- Revenues totaled USD223.9 million, up 12.5% year-on-year, while in ruble terms they were RUB6,961.1 million, up 19.0% year-on-year

- OIBDA equaled USD 29.1 million, down 6.3% year-on-year, while in ruble terms it remained largely unchanged. The OIBDA margin was 13.0%, down 2.6 percentage points year-on-year

- Net profit was USD 0.9 million, compared with USD6.7 million in 2011

- Net debt stood at USD 52.0 million at the year-end, down 13.3%

MAIN OPERATING RESULTS

- The overall clinic area equaled 114,621 square meters, up 54.1% year-on-year

- The number of visits totaled 4,979 million, up 20.9% year-on-year

- The number of services provided came to 11,055 million, up 47.6% year-on-year

- The average check was USD 45.0, down 6.9% year-on-year

Commenting on the results, Medsi President Khawar Mann said:

"Last year, we completed the first stage of consolidating the assets of the Medical Center for the Mayor and Government of Moscow (MCMGM), a major undertaking that involved merging the companies and dealing with organizational, technical, legal and other aspects of the deal. Our main achievement was creating a foundation for the future development of Medsi's business as an integrated provider of services. I am pleased to say that the Group is now appropriately structured to grow and strengthen its leading positions in Moscow and the surrounding region, as well as expand in the regions.

We are now preparing a detailed plan for integrating MCMGM that focuses on various operating objectives like establishing unified system of employee motivation and key performance indicators, integrating business processes and IT infrastructure, and others. We expect to complete the process of integrating Medsi and MCMGM in full by the end of 2013.

As merging and consolidating assets involved additional expenses, the Group's financial results were lower in 2012. Once the assets are fully integrated, we expect the financial results to continue growing as before, particularly as the Group will have substantial expanded its activities.

With the merged company, we are entering a new segment, in-patient services, where there is virtually no competition, which will reinforce our position in the outpatient business. Medsi will become a provider of comprehensive medical services, from first aid to high-quality in-patient treatment and care in medical facilities and wellness centers."