The company does not plan to expand outside Bucharest and banks on the development of private insurance services.
“In 2014, we want to develop lung transplant, which hasn’t been done before in Romania, and heart surgery, but also expand the laboratory,” said Doris Andronescu. She is also the company’s single stakeholder.
Sanador is a major player on the private healthcare market and this year expects revenue of EUR35 million, up 8%-10% from 2013. The company operates the biggest hospital in Romania, opened in 2011, filling an 18,000-sqm area. The opening of the hospital had a great impact on the company’s revenue, which doubled during the 2011-2013 period.
Unlike the rest of large private healthcare companies that preferred to expand across country and grow through acquisitions and greenfield investments, Sanador has bet on strengthening its business and adding new services.
“We are not interested in expanding outside Bucharest. Each city has its very good doctors and each of them has his or her nucleus in the respective cities. I believe it’s very hard to develop a network. I admire those who did it, but this is not part of our plans,” Andronescu also said.
She explained the business counted on fee for service from the very beginning and this accounts for 85%-90% in the revenue at the moment.
The company further bets on the development of the private insurance market, which should take over part of the sums that patients need to pay themselves now.
This is also where Sanador differs from other companies which have bet on private subscriptions.
Last year, Sanador reached revenue of EUR33 million, above initial expectations. Operating income stood at EUR2.9 million in 2013, and the target for this year is EUR3.5 million.
In the first two months of this year, the company’s revenue rose by around 20% against the same period of last year.
Sanador was set up by Doris Andronescu 13 years ago. In 2006, she opened the polyclinic of Victoria Square, which led to a business boom, and in 2011 opened the hospital.
At present, Sanador is the biggest private healthcare company still entirely held by its founder. Andronescu says she is constantly getting bids to sell the company, but she is not interested at this moment and she wishes to continue under the same formula.
(English version by Catalina Apostoiu)