Why the Doctor Care Anywhere (ASX:DOC) share price is up 62% since December

The Doctor Care Anywhere Ltd (ASX:DOC) share price has risen a remarkable 62% since its IPO in December. Its full year result shows why…

The Doctor Care Anywhere Ltd (ASX: DOC) share price failed to continue its positive run on Thursday despite the release of a strong full year result.

The telehealth company's shares ended the day flat at $1.30.

Despite this, the Doctor Care Anywhere share price is up over 62% since its IPO in December.

A young woman smiling and looking happy, indicating a positive share price movement on the ASX market.

Image source: Getty Images

How did Doctor Care Anywhere perform in FY 2020?

For the 12 months ended 31 December, the company reported a 102% increase in revenue to 11.6 million pounds. This was 5.8% ahead of its prospectus forecast.

Management advised that its strong revenue growth was driven by a 306% increase in consultations through its platform and a 199% increase in activated lives (active customers).

On the bottom line, Doctor Care Anywhere reported a loss before interest and tax of 9.6 million pounds and a net loss of 31.3 million pounds. This was driven by costs associated with the company's IPO and fair value finance charges in respect of convertible loan notes.

At the end of the period, the company had a cash balance of 38.4 million pounds.

Management commentary

While the company didn't comment on its results today, it previously spoke about them with its fourth quarter update.

Doctor Care Anywhere's CEO, Bayju Thakar, said: "We continue to see robust growth in consultation volumes across all channel partners, as new and existing patients become accustomed to adopting digital healthcare into their everyday lives. Consultations have grown over 300% on the prior corresponding period and this demand has helped deliver positive financial outcomes for DOC while demonstrating that we are providing a much-needed service to patients across the UK and Ireland."

"The pandemic has accelerated a long-overdue digitisation of the healthcare industry. Both patients and healthcare practitioners are growing more comfortable with remote diagnosis and treatment. Our patients are benefiting from faster and more convenient access to healthcare. Clinicians are appreciating the flexibility of working at a place and time of their choosing and the efficiency of single electronic health records stored in the cloud. Our insurance partners are also seeing the cost savings that can be achieved by controlling the patient journey and reducing unnecessary interventions."

Outlook

In respect to the year ahead, the company's focus remains firmly on increasing activations and consultations across its existing membership base.

It also intends to continue growing its membership base through new channel partner agreements and adding higher margin diagnostic referral pathways and services such as mental health.

This is part of its overall plan to deliver the first truly joined up healthcare experience by 2023.

Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia has recommended Doctor Care Anywhere Group PLC. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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