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Brazil health plan operator Hapvida doubles quarterly adjusted profit
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Brazil health plan operator Hapvida doubles quarterly adjusted profit
Mar 28, 2024 5:57 PM

SAO PAULO, March 28 (Reuters) - Brazilian healthcare

operator Hapvida posted on Thursday a 104.8% jump in

its adjusted net profit for the fourth quarter compared to a

year earlier, bolstered by higher prices for its health plans.

The company, which operates health and dental plans and owns

hospitals in Brazil, reported a 330.5 million real ($65.9

million) adjusted net profit in the quarter ended in December.

Hapvida said its net revenue rose 6.7% to 6.94 billion reais

in the quarter year-on-year, as its main health plan business

saw an 8% revenue rise, with higher prices offseting a fall in

the number of customers.

The firm's cash medical loss ratio, an indicator closely

watched by investors, fell 3.6 percentage points from a year

earlier to 69.3%, down 2.6 percentage points from the third

quarter.

Its adjusted earnings before interest, taxes,

depreciation and amortization (EBITDA) stood at 949.7 million

reais in the quarter, up 58.6% year-on-year, above the 913.6

million real estimate from analysts polled by LSEG.

Without adjustments, which included amortization of

intangible assets, Hapvida posted a 29.9 million real net loss,

from a 316.7 million real net loss a year earlier.

($1 = 5.0153 reais)

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