Regency Specialist Hospital to work on block extension

The project will double its existing capacity by 2020.

Health Management International (HMI), owner of Regency Specialist Hospital (RSH), has established a strong track record in management execution and developed an edge for themselves with their unique business model, according to OCBC.

The group had notably turned around an unprofitable hospital in a short span of time for Mahkota Medical Centre (MMC) in Malacca, and grew RSH from an empty building in Johor into an established profitable hospital.

Here’s more from OCBC:

HMI went on to display consistent growth in estimated core earnings, at an approximate CAGR of 101% over FY11-16. Amidst a competitive private healthcare sector, the group’s unique adaptation of the independent clinic model for its hospitals has allowed HMI to attract and retain their doctors.

In addition, being the first to address a lack of certain treatment methods has also been one of HMI’s strengths, in our view.

Looking ahead, through a multi-strategy approach grounded on talent management, broadening scope of specialties, expansion of facilities, capacity building, and efficiency initiatives, we see better and sustainable profitability outcomes ahead.

RSH will also start works on a new medical block extension that is slated to double its existing capacity when completed in 2020. HMI’s growth story is further supported by a backdrop of favourable secular trends, greater private insurance coverage, and encouraging government initiatives for the local healthcare and medical tourism sector.