IHH Healthcare profits down 53% to $26.86m in Q3

No thanks to startup losses of its Gleneagles Hong Kong Hospital.

IHH Healthcare Berhad (IHH) suffers from startup losses as profits crashed 53% YoY to $26.86m (RM82.09m) in Q3.

According to its financial report, earnings were eroded by startup costs from the Gleneagles Hong Kong Hospital. Earnings also decreased as a result of higher operating costs and staff costs.

Meanwhile, revenue rose 15% YoY to $916.25m (RM2.8b), thanks to organic growth from its existing operations, and the continuous ramp-up of the hospitals opened in 2017.

The ramp up of operations of Tokuda and City Clinic Group in Bulgaria post-acquisition in June 2016 also contributed to the increase in revenue.

Parkway Pantai’s revenue was the result of the continuous ramp up of Mount Elizabeth Novena Hospital in Singapore, as well as Pantai Hospital Manjung, Gleneagles Kota Kinabalu Hospital and Gleneagles Medini Hospital in Malaysia.

Here's more from the company:

Parkway Pantai’s Singapore hospitals saw an overall 1.1% increase in inpatient admissions to 19,362 in Q3 2017, driven by an increase in both local and foreign patients.

Revenue per inpatient admission in Singapore increased 11.9% to $9,775.97 (RM29,884).

Parkway Pantai’s Malaysia Hospitals’ inpatient admissions decreased 2.2% to 48,408 inpatient admissions in Q3 2017, whilst its revenue per inpatient admission increased 13.9% to $2,129.76 (RM6,509) as a result of more complex cases undertaken in Q3 2017.