Pacific Smiles (ASX:PSQ) share price jumps 13%. Here’s why

The Pacific Smiles Group Ltd (ASX: PSQ) share price has risen by more than 13% in early trade, after the dental operator provided its FY21 guidance this morning. At the time of writing, the Pacific Smiles share price is trading at $2.40, up 28 cents to a new, 52-week high.

What’s driving the Pacific Smiles share price?

The Pacific Smiles share price is surging higher after the company reported it expects patient fees to grow by 25%-30%, up from a previous guidance of 20%.

As a result, Pacific Smiles expects its underlying earnings before interest, tax, depreciation, and ammortisation (EBITDA) growth to be in the range of 35%-45%, revised up from 25%.

The company said the forecast is based on the assumption that trading in the…