Genolier Swiss Medical Network (GSMN) / Final Results/Final Results 29.04.2010 07:31 Dissemination of a Adhoc News, transmitted by DGAP - a company of EquityStory AG. The issuer is solely responsible for the content of this announcement. --------------------------------------------------------------------------- 9.0% increase in turnover to CHF 139.3 million Genolier Swiss Medical Network (GSMN.SW) today published its Annual Report for 2009. With the sale of Agefi and the acquisition of the Bethanien Clinic in Zurich, 2009 was a significant year for the Group, giving it a real national dimension. Turnover increased by 9.0% to CHF 139.3 million (CHF 127.8 m), and most of the units are showing growth and posting improved results. EBITDA according to IFRS, which was adversely affected by the costs of acquisition, development and restructuring, fell to CHF 8.9 million (CHF 10.5 m). Including the extraordinary profit associated with the sale of Agefi, the Group achieved net income of CHF 1.9 million (CHF 0.2 m). GSMN will present its first financial statements as per SWISS GAAP FER in the first half of 2010. In 2009, according to Swiss GAAP, EBITDA would have amounted to CHF 10.4 million and net income to CHF 3.7 million. GSMN's turnover in 2009 was CHF 139.3 million, an increase of 9.0% over 2008. Since Centre médico-chirurgical des Eaux-Vives has been consolidated since March 2009, the increase would have been 3.6% on a like-for-like basis. EBITDA according to IFRS, with a drop of 15.4% to CHF 8.9 million, has been adversely affected by the costs of acquisition and development. Including the transfer of 51% of AGEFI, the Group's net income rose to CHF 1.9 million. Operating cash flow fell slightly to CHF 9 million. Staff costs associated with overheads accounted for just 2.9% of turnover (3.8% in 2008), and this percentage will fall even further with the consolidation of Bethanien in 2010. GSMN expects to achieve a turnover of almost CHF 200 million in 2010. At the individual clinic level, Clinique de Genolier, which continued to develop in 2009, achieved a turnover of CHF 74.1 million (CHF 70.0m). The opening of the secure healthcare residence 'Les Hauts de Genolier' has increased the capacity of the site. On the other hand, costs associated with this opening had an adverse impact of almost CHF 1 million on Genolier's results in 2009. The effect is expected to be neutral in 2010 and positive from 2011. With a turnover of CHF 16.9 million, Clinique de Montchoisi has proved to be the most productive establishment per bed and m2. By the end of 2010, the Lausanne-based clinic will benefit from a new 370 m2 Radiology Centre, an underground car park with 45 spaces and a restaurant, thereby allowing its continued growth. These important projects have negatively impacted EBITDA in 2009 by some CHF 0.5 million, but they offer the prospect of an increase of almost 35% in turnover. Clinique Générale in Fribourg has now reached cruising speed, with a turnover of CHF 27.5 million and an EBITDA of CHF 2.2 million. For Clinique Valmont, 2009 has been a key year, with the relinquishment of cardiac rehabilitation and a refocusing on private and semi-private clients. These restructuring measures will eventually make the clinic more profitable. Centre Médico-Chirurgical des Eaux-Vives, acquired in March 2009, has contributed some CHF 6.9 million to Group turnover and CHF 0.8 million to EBITDA. Its radio-oncology centre currently treats almost 30 patients a day and offers exceptional technical facilities to the physicians and patients of Geneva. From an organic standpoint, the Group has the capacity to enjoy significant growth and is currently focusing on the recruitment of new panel doctors and new agents in other countries. Similarly, intensive efforts focusing on the patient mix should enable the Group to achieve qualitative growth in both turnover and EBITDA. On the other hand, the financial and economic crisis has significantly reduced the multiples applied to transactions in this sector. Together with the uncertain legislative environment, this factor obviously opens up interesting acquisition prospects for GSMN. The Annual Report for 2009 is available on the website (http://ir.gsmn.ch/cgi-bin/show.ssp?companyName=genolierswiss&language=Eng lish&id=1). Genolier Swiss Medical Network AG (GSMN) is a major private hospital network in Switzerland. Its growth strategy is focused on building a national network by acquiring clinics and integrating their operations. GSMN's main goal is to provide premium hospital care to Swiss and foreign patients. GSMN stands out through its high-quality services, brand value, congenial working environment and an experienced and entrepreneurial management team. GSMN currently manages 6 private facilities (Clinique de Genolier, Privatklinik Bethanien, Clinique de Montchoisi, Clinique Valmont, Clinique Générale and Centre medico-chirurgical des Eaux-Vives), with over 550 admitting physicians and 1'027 employees. The Group is listed on the Main Segment of the SIX Swiss Exchange (GSMN.SW). --------------------------------------------------------------------------- Information and Explaination of the Issuer to this News: GSMN SA Press Service Séverine Van der Schueren General Secretary Tel. +41 22 366 99 87 svanderschueren@gsmn.ch Service de Presse GSMN SA Séverine Van der Schueren Secrétaire Générale Tél. 022 366 99 87 svanderschueren@gsmn.ch 29.04.2010 Ad hoc announcement, Financial News and Media Release distributed by DGAP. Media archive at www.dgap-medientreff.de and www.dgap.de ---------------------------------------------------------------------------