IHH Healthcare Q2 net profit surges 29pct to RM573mil

IHH Healthcare Bhd reported a significant surge in net profit for the second quarter of fiscal year 2026, increasing to RM573 million, up 29 percent year-on-year from RM443 million in the same period last year. The company's revenue also saw a 12 percent growth to RM7.05 billion, driven by robust performance in the hospital and healthcare segment.

The hospital and healthcare segment's revenue rose by seven percent to RM6.57 billion, fueled by a consistent demand for high-quality healthcare services, a shift towards more complex patient cases, and price adjustments to counter inflation.

The acquisition of Bayindir Healthcare, TMI Healthcare, and Biruni Labs after Q2 FY25 further contributed to the revenue growth. For the first half of 2026, IHH Healthcare's net profit expanded to RM1.10 billion, compared to RM957 million in the same period last year, while revenue increased by eight percent to RM13.60 billion from RM12.59 billion previously. These figures were largely boosted by the improved performance of the hospital and healthcare segment.

The company has declared an interim single-tier cash dividend of 5.5 sen per ordinary share for the financial year ending December 31, 2026, which will be paid on October 30, 2026. Looking ahead, IHH Healthcare remains committed to executing its long-term strategy for sustainable growth and value creation. Despite potential challenges, the group remains cautiously optimistic about its position, confident in leveraging its strong fundamentals, disciplined capital allocation, and diversified portfolio to deliver continued growth and generate value for its stakeholders.

IHH Healthcare's CEO, Dr. Prem Kumar Nair, expressed confidence in achieving double-digit return on equity by 2028. The company's diversified, multinational network allows it to navigate uncertainties through targeted strategies for each of its 10 countries while ensuring group-level synergies in cost, systems, and operational excellence.