SINGAPORE - Earnings rocketed 500 per cent at IHH Healthcare in the second quarter on the back of Covid-19-related efforts in Singapore and Malaysia.
Net profit came in at RM483.3 million ($156 million) for the three months to June 30, while revenue jumped 66 per cent to RM4.3 billion, it reported on Thursday (Aug 26).
IHH is the latest medical firm to reap benefits from the pandemic. Raffles Medical, Healthway Medical and Q&M Dental all recently reported improved revenue from the provision of Covid-19 vaccination, laboratory and diagnostic services.
IHH Healthcare managing director and chief executive Kelvin Loh said the company's performance "rebounded beyond pre-Covid levels", with more patients returning to its hospitals and the provision of services related to Covid-19.
He added that costs came under better control after Gleneagles Hong Kong Hospital broke even in May. Disposal gains from Apollo Gleneagles Hospitals in Kolkata, India, also helped to offset a substantive write-down of Parkway Yangon Hospital in Myanmar and Gleneagles Chengdu Hospital in China.
The bulk of the company's second-quarter turnover came from its Singapore operations. Revenue improved 57 per cent to RM1.3 billion, buoyed by higher inpatient admissions at its Mount Elizabeth, Gleneagles and Parkway hospitals.
IHH Singapore also ramped up its lab and diagnostic capabilities to support the Government's Covid-19 efforts. It now operates four vaccination centres via its primary care arm Parkway Shenton.
IHH Healthcare shares closed up 1.08 per cent at $1.88 yesterday. The company is also listed in Malaysia.
Earlier this month, Q&M Dental and Healthway Medical reported results from supporting Singapore's Covid-19 testing efforts.
Q&M obtained a licence to open its Covid-19 medical laboratory last September, while Healthway Medical was commissioned by the Government to operate four vaccination centres.
Raffles Medical has expanded its operations beyond air-border screening and pre-event testing to include vaccination centres, pre-departure swabbing of cruise passengers, and operating dedicated polymerase chain reaction testing centres.
The moves helped to boost the company's earnings and propelled executive chairman Loo Choon Yong onto the Bloomberg Billionaires Index.