Totally PLC (AIM:TLY) said it expects full-year profits to come in well ahead of analysts' predictions due to "enhanced demand" created by the pandemic.
The healthcare services provider said the removal of COVID-19 restrictions for the general population and the emergence of new Covid variants had increased demand for services across the UK and Ireland.
The "significant growth in waiting lists" resulted in the group's underlying profit (EBITDA) moving "substantially" above market consensus forecasts of £5.4mln for the year ended 31 March 2022 compared to £5.0mln for the previous year.
The company, which partners with the NHS and other healthcare providers, said it won new contracts worth £59mln and contract extensions worth £72mln over the 12-month period to end-March.
Totally said it has not yet drawn on its secured £5.0mln rolling credit facility, and had £15.3mln in cash as of 31 March 2022, compared to £14.8mln a year earlier. The company spent £7.4mln cash on the acquisition of two companies - Pioneer Health Care Limited and Energy Fitness Professionals Limited (EFP) - during the year.
Commenting on the acquisition of Pioneer Health Care, the company said numerous contract extensions have been secured, with a focus on the Midlands, Yorkshire and North of England, including one for spinal services, which runs until 31 March 2024.
The company said insourcing and outsourcing services across surgical and medical specialties are available to NHS patients through the combined business of Pioneer and Totally Healthcare.
As a result of acquiring EFP, Totally has been able to diversify across its existing contracts. EPF added two new contracts to its list of blue chip clients, which include Royal Mail, Kingston University, the Ministry of Justice and Network Rail.
Totally's annual results will be announced in July 2022.