Saudi's largest private healthcare provider's net profit up nearly 70%
Saudi’s largest private healthcare provider Dr Sulaiman Habib Medical Services Group (HMG) has cited increased patient volumes and occupancy as reasons for its surge in net profit by close to 70 percent in the second quarter of 2021.
HMG reported a profit of SAR 325.5 million ($86.8 million) in Q2 of 2021, compared with SAR 192.25 million for the same quarter in 2020, saying increased patient occupancy and the rollout of advanced specialities and services contributed to the increase.
The group saw its revenues increase to SAR 1.75 billion in Q2 2021 from SAR 1.2 billion in the same quarter in 2020, and highlighted growing inpatient occupancy, in addition to revenue growth from Al Khobar Hospital.
“Hospital segment growth was positively reflected in the increase in pharmacy segment revenue as well, in addition to the increase in revenue of HMG solutions segment compared to the corresponding quarter of the previous year,” the company said in a press release.
While year-on-year growth was marked, quarter-on-quarter growth from the first quarter of 2021 was 3.3 percent for revenue and two percent for net profit.
For H1 2021, revenues reached SAR 3.45 billion compared, up 35.3 percent on the same period in 2020, while net profits were SAR 644 billion, up 48.3 percent on 2020.
Dr Sulaiman Habib, chairman of HMG said the group had achieved milestones in expansion plans including the launch of its Medical Center in Riyadh’s Diplomatic Quarter, as well as announcing a SAR 458 million project in Al Kharj Governorate.
“During Q2-21, we saw an increase in demand from patients – both inpatients and outpatients – a result of advanced services and subspecialities being rolled out,” he said.
“Our investments in technology continue and we are encouraged by the take up for HMG’s mobile application which was used to facilitate nearly 910,000 appointments in the first half of the year.”
