IHH Healthcare Posts Healthy Earnings Growth
Better performance all-around in its three biggest markets - Malaysia, Turkey and Singapore - led to IHH Healthcare Bhd posting a 7.8% year-on-year rise in earnings for the quarter ended March 31.
The net profit of RM171.48mil was achieved on the back of a 14% increase in revenue to RM2.003bil.
The healthcare provider, which is 43.6% owned by Khazanah Nasional, attributed the improved revenue to organic growth of existing operations as well as the start of operations of two hospitals - subsidiary Acibadem Holdings’ largest hospital Acibadem Atakent Hospital in January 2014 and Pantai Hospital Manjung in May the same year.
As a result of its robust earnings before interest, taxes, depreciation, and amortisation (Ebitda) growth, the group’s Q1 2015 earnings, excluding exceptional items, jumped 32% to RM227.8mil.
The group’s profit attributable to the company’s owners, however, fell to RM171.48mil if the RM116.4mil exchange loss on non-lira net borrowings recognised by Acibadem Holdings and RM681,000 professional and consultancy fees for acquisitions were included,
In a media statement, IHH said it would open new facilities that was expected to bring the total number of beds to over 10,000 beds by 2017.
This year, IHH expects to see several projects come on stream to contribute to the group’s revenue.
In Turkey, Acibadem Taksim Hospital and a new cancer centre at Acibadem Bodrum Hospital are slated for completion while the expansion at Acibadem Sistina Skopje Hospital in Macedonia is also expected to be finished this year,
In Malaysia, expansion works at Pantai Hospital Kuala Lumpur were completed in March and the expansion of Gleneagles Hospital Kuala Lumpur is expected to be finished during the year.
Gleneagles Kota Kinabalu began operations in May 2015.
IHH closed up 5 sen to RM5.80 on Thursday.
Source: The Star