Financial and
Operational Review
Summary of Financial Results (FY16 Actual vs FY15 Actual)
FY16
S$’000
FY15
S$’000
Variance
%
FY16
INR’000
FY15
INR’000
Variance
%
Total Revenue (excluding straight-lining)
(a)
138,447 130,590
6% 6,556,651 6,189,120
6%
Net Service and Hospital Income
excluding straight-lining, depreciation and
amortisation)
(b)
93,612
91,561
2% 4,433,325 4,338,714
2%
Distributable Income
61,583
58,166
6%
–
–
–
(a)
FY15 numbers excludes gain on acquisition in connection with the acquisition of the Mohali Clinical Establishment.
(b)
FY15 numbers excludes one off stamp duty and gain on acquisition in connection with the acquisition of the Mohali Clinical Establishment.
*
Based on an exchange rate of S$1 = INR49.22
Total Revenue grew 6% in INR terms between FY15 and FY16,
mainly due to the increase in Service Fee. This increase stemmed
from the contractual upward revision in Base Fees by 3%, and
higher revenue recorded by Fortis which led to an increase in
RHT's Variable Fees.
Net Service Fee and Hospital Income (excluding straight-lining,
depreciation and amortisation) increased by 2% due to increase
in Total Revenue. This was offset by higher operating cost in
connection with the expansion of the out-patient departments.
Distributable income
The growth of the Net Service Fee and Hospital Income of
2% in INR terms, as well as an improved average forward INR/
SGD (50.07 compared to 52.28) translated to a 6% growth in
Distributable Income over FY15. This was after taking into higher
finance costs in FY16.
Funding and Borrowings
During the year, the Trustee-Manager issued S$60 million
fixed rate notes at 4.5%, which will mature on 22 July 2018.
The proceeds from the issuance of notes were used for early
repayment of the S$60 million DBS facility. This served to convert
a floating rate loan into a fixed rate loan.
In Q3FY16, the Group utilised a S$30 million facility with United
Overseas Bank for the acquisition of land and expansion projects.
As at 31 March 2016, RHT’s outstanding loans and borrowings are
at S$164,023,000.
Details of the bank loans are set out under Note 24 of the Annual
Financial Statements which can be found on page 110 of the
Annual Report.
Acquisitionof Mohali Land
In August 2015, the Group, through its wholly owned subsidiary,
successfully bid for a freehold piece of land designated for hospital
use during a public auction held by the Greater Mohali Area
Development Authority (“GMADA”) (the “Land”). The acquisition
of the Land was completed on 10 February 2016. The Land will be
used to extend the Mohali Clinical Establishment.
PROPOSED DIVESTMENT OF 51% INTEREST IN FHTL
On 4 February 2016, Religare Health Trust Trustee Manager Pte.
Ltd. ("RHT TM" or the "Trustee-Manager") on behalf of Religare
Health Trust ("RHT") made an SGXNET announcement regarding
the Proposed Disposal of Relevant Securities to, as well as Related
Arrangements with, members of the Fortis group (the "Proposed
Transaction"). This Proposed Transaction, if completed, will result in
a reduction of 51% in RHT's economic interest in FHTL.
The consideration represents an estimated 15% internal rate
of return, and 100% of the net proceeds will be distributed to
unitholders. This translates to a special distribution of S$0.245*
per unit.
Annual report FY2016
005
