PRIVATE healthcare group IHH Healthcare posted a net profit of RM623 million (S$188 million) for the second quarter of its 2024 fiscal year ended Jun 30.
Net profit more than doubled from RM301 million for the same period the year before, on the back of strong operational performance and the positive impact of deferred tax credits, said IHH Healthcare in its latest financial statement released on Thursday (Aug 29).
Revenue grew 30 per cent to RM6.1 billion from sustained growth in patient volume, and more acute and complex cases being taken on across all markets.
Earnings before interest, taxes, depreciation and amortisation jumped by 34 per cent to RM1.4 billion over the same period. This was mainly driven by higher revenue, though it was partially offset by higher staff costs and other operating expenses, such as utilities.
Earnings per share for the quarter came in at 7.07 sen, an improvement from 3.43 sen in the year-ago quarter.
The company has recommended an interim single-tier dividend of 4.5 sen per ordinary share for the financial year ending Dec 31.
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IHH Healthcare said that the growth in revenue was driven by a sustained demand for quality healthcare services, a higher number of patients with acute conditions and price adjustments to counter inflation.
Its hospital and healthcare segment was the biggest contributor to this quarter’s revenue, with revenue growth of 18 per cent.
Hospital occupancy for the quarter stood at 70 per cent, with over 220,000 inpatient admissions.
IHH Healthcare is confident of its growth trajectory; its plans include adding close to 4,000 new beds in the next five years.
Overall, it expects continued revenue growth fuelled by healthcare megatrends and plans to focus on driving profitability and sustaining a healthy return on equity, while managing its capital prudently.
Shares of IHH Healthcare closed flat at S$1.90 on Thursday.
