What initially sparked my interest was an upbeat trading statement at the end of last month. In that announcement, CareTech's executive chairman, Farouq Sheikh, reported that his company's performance since its financial year-end has been in line with analyst predictions of a double-digit rise in current-year pre-tax profits. It also comes on the back of a 13 per cent rise in pre-tax profits and EPS to £19.7m and 31p, respectively, in the 12 months to end-September 2014. Underpinned by encouraging levels of demand for its services, CareTech has been benefiting from a growing market where outsourcing to the private sector is on the increase, and a stringent regulatory environment has been driving consolidation.
A twin approach to care