Image Plus Consultants Limited has entered into an agreement to acquire a 0.73-acre property which will be developed into a multi-level facility by the end of 2024.

The company, which trades as Apex Radiology, made the announcement last Friday on the Jamaica Stock Exchange (JSE) with an intention to complete the transaction by the end of its second quarter which ends in August. This is in keeping with its initial public offering (IPO) where it mentioned moving its largest operations in Kingston to give it better control over revenue and allow the expansion of its offerings.

“I don’t want to commit 100 per cent as to what else could be there. We are going to build more space than we require. Obviously, there are some medical partners we would want in the facility which would also be good for our business, but based on the amount of space, it may be able to accommodate other kinds of corporate or commercial offices,” said Chief Executive Officer Kisha Anderson in a call with the Jamaica Observer on Monday.

When asked about the potential cost of the development, Anderson explained that the focus would be on acquiring the land and finalising discussions with professional parties and potential medical partners for the new location. However, she highlighted that by the time the company has its first annual general meeting since going public, more information should be available on the plans for the development.

This move comes at a time when the company is planning to add two mammography machines by the end of its second quarter and MRI (magnetic resonance imaging) by the end of the third quarter. The mammography would go to its Molynes Road and Ocho Rios location while the MRI would be placed at the latter location. Image Plus just added a new fluoroscopy unit to its 3A Winchester Road, St Andrew location in its 2023 financial year (FY).

“When we move into the 0.73-acre property, we’re going to build out an interventional suite so that we can do something to those bookings. The option that patients have is to actually check into a hospital and spend the money on a hospital room to do these [procedures], when really you could do it as an outpatient in a same day setting like an interventional suite. The cost to the person is much less,” Anderson revealed on the expanded service option the company is considering for the new facility.

Image Plus surpassed $1 billion in revenue for its 2023 FY as it grew its top line by 41 per cent with its net profit growing by 151 per cent to $236.43 million. This growth was driven by the relaxation of COVID-19 restrictions and also an 18 per cent rise in case counts. IPCL’s first quarter report is due for submission by July 15.

The company’s total assets jumped 159 per cent to $1.16 billion with its equity base swelling nearly three times to $938.02 million from the injection of fresh capital in its IPO. While this performance leaves the company with a low price to earnings ratio, its stock price is only up one per cent from its IPO to $2.02 as of Thursday. Shareholders are set to receive a $0.06 dividend payment next Wednesday which translates to a 3.0 per cent dividend yield.

“Despite those economic headwinds, we see the trajectory of growth continuing for us and the truth is that people are always going to always find a way to take care of their medical costs. Even if there is some impact, I don’t expect a significant impact that we haven’t seen to date. We look forward to sharing the Q1 results,” Anderson closed on the outlook amidst the challenging economic environment.