Private hospital giant is booming in South Africa

Netcare said, despite pressure in the medical scheme industry, it is set to report solid results for the first half of its 2026 financial year.

With plans to increase capacity and convert some beds into higher-demand disciplines, the healthcare giant expects the second half of the year to deliver a stronger performance.

On Tuesday, 24 March, Netcare released an operational update for the five months ended 28 February 2026. This comes ahead of the group’s interim results for the six months through March 2026.

The group explained that total normalised paid patient days grew by 0.8% for the five-month period, comprising 0.5% in acute hospitals and 2.9% in mental health facilities. 

Netcare’s revenue increased by 4.5% compared to the previous year, while operating costs have been well contained.

The company said its EBITDA margins have increased slightly over the prior period, despite lower activity levels.

These lower levels were attributed, in part, to seasonality, as well as continued pressure within the medical scheme industry.

Netcare said this pressure resulted in scheme-specific changes to benefit structures into calendar year 2026, which prompted shifts in member utilisation patterns and tighter managed healthcare interventions.

The group explained that, in line with usual seasonality, activity in its acute hospitals is expected to be weighted towards the second half of its 2026 financial year. 

It added that this will be further supported by capacity optimisation initiatives, including the in-year conversion of 36 existing beds into higher-demand disciplines.

Netcare also plans to add 53 new beds at established acute facilities where demand remains robust. 

“Similarly, activity in the mental health division during H2 2026 will benefit from the commissioning of the 87-bed Netcare Akeso Polokwane facility on 16 March 2026,” it said.

Netcare plans to release its full interim results for the first half of its 2026 financial year on Monday, 25 May 2026.