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View All NewsSweden – Dedicare reports record revenue for Q4
Swedish healthcare staffing company Dedicare AB (DEDI: SS) reported revenue for the fourth quarter of SEK 189.2 million (€19.9 million), an increase of 33.3% from SEK 141.9 million (€15.0 million) in Q4 2015.
| (SEK millions) | Q4 2016 | EUR (millions) | Q4 2015 | Change |
| Revenue | 189.2 | 19.9 | 141.9 | 33.3% |
| Operating Profit | 22.5 | 2.3 | 9.7 | 131.9% |
| Net Income | 17.9 | 1.8 | 7.5 | 138.6% |
On an annual basis, the company reported revenue of SEK 650.1 million (€68.5 million), an increase of 13.4% compared with SEK 573.2 million (€60.8 million) in 2015.
| (SEK millions) | FY 2016 | EUR (millions) | FY 2015 | Change |
| Revenue | 650.1 | 68.5 | 573.2 | 13.4% |
| Operating Profit | 69.5 | 7.3 | 39.4 | 76.4% |
| Net Income | 52.9 | 5.5 | 29.8 | 77.5% |
"In terms of revenue, this is our strongest quarter ever,” Stig Engcrantz, CEO of Dedicare, said. “Dedicare grew in the quarter, both in Norway and Sweden. We have had growth in all categories of staffing including in nursing, social work and education.”
| (SEK millions) | Q4 2016 | EUR | Q4 2015 | Change |
| Norway | 141.1 | 14.8 | 98.7 | 43% |
| Sweden | 48.2 | 5.1 | 43.2 | 11.6% |
According to Dedicare, the increase in revenue for Norway was attributable to social work and nursing rentals while medical rent decreases compared with last year. The revenue increase for Q4 in Sweden was also attributable to a decrease in medical rent.
For the full year, revenue in Sweden operations saw an increase of 21% to SEK 468.9 million (€49.4 million) when compared to SEK 387.6 million (€41.1 million) last year. Meanwhile, revenue for operations in Norway fell by 2.4% to SEK 181.2 million (€19.1 million) compared to SEK 185.6 million (€19.7 million) last year.
"The Swedish market has developed positively during the year and we see that Dedicare Sweden is growing faster than the market, according to statistics from the recruitment companies. In Norway, revenue declined slightly for the full year compared to the same period last year, but we have nevertheless improved operating profit compared with the previous year. Dedicare Norway healthcare staffing has a market share equivalent to the same period last year as measured by the Norwegian National Federation of Service Industry (NHO),” Engcrantz said.
"In reporting for 2017, we are changing the segment name from the healthcare staffing for staffing because of the wider range of services," Engcrantz said.
"There is a continuing lack of both health care professionals, social workers and educators in Sweden and Norway, which leads to an increased demand for our services in healthcare, social work and educational activities", Engcrantz said.
In trading today, Dedicare traded at SEK 93.50 (€9.86), up 20.5% on the day. Based on its current share price the company has a market value of SEK 542.6 million (€57.2 million).