Smartcare Finance plc - Updated Financial Analysis Summary

On 27 June 2022, Smartcare Finance plc published an updated Financial Analysis Summary. The following are the main highlights of the expected financial performance and position of Smartcare Holdings Ltd (the guarantor of the bonds) in 2022:

  • Revenues are expected to surge to €7.2 million (2021: €2.8 million) reflecting the proceeds from the sale of a number of properties forming part of the Hamrun and Xaghra projects.
  • In view of the much higher level of business, EDITDA is projected to climb to €2.4 million compared to just €0.68 million in 2021.
  • Smartcare Holdings is expected to post a net profit of €0.96 million in contrast to the net loss of €0.28 million recorded in the 2021 financial year.
  • In terms of financial position, total assets and total liabilities are expected to increase to €34.3 million (+5.3%) and €20.2 million (+3.7%) respectively. In view of the projected increase of 12.4% in total debt to €15.8 million, the gearing ratio is anticipated to climb to 52.9% from 51.8% as at the end of 2021. However, given the growth in EBITDA, the net debt-to-EBITDA multiple and the interest cover are projected to improve to 5.6 times (2021: 20.4 times) and 3.45 times (2021: 1.23 times) respectively.