KPJ Healthcare Q2 earnings up 6.7%

PETALING JAYA: KPJ Healthcare Bhd’s net profit rose 6.7% to RM36 million in the second quarter ended June 30, 2015, from RM33.7 million a year ago, in line with the increase in revenue and contribution from its hospitals.
During the quarter, revenue increased 7.8% to RM714.3 million from RM662.8 million previously mainly due to the increase in revenue of the existing hospitals and newly opened hospitals in the group.
Its earnings per share rose to 3.59 sen from 3.38 sen.
“Consistent with our performance reported in Q1 2015, the activities at all KPJ hospitals in Q2’2015 continue to increase in tandem with the continued public awareness about the importance of healthcare,” KPJ told Bursa Malaysia yesterday.
The healthcare provider proposed a second interim dividend of 1.75 sen per share for the quarter in review.
For the six months of the year, KPJ’s net profit rose 9.3% to RM69.9 million from RM63.8 million previously.
Revenue grew 12.5% to RM1.4 billion from RM1.3 billion, thanks to higher income from the group’s existing hospitals as well as newly opened ones.
On its prospects for the financial year ending Dec 31 2015, KPJ said the group envisages new hospitals, which will have an average gestation period between three and five years, to continue contributing towards the revenue growth along with the existing hospitals.
“In line with the continuous demand, expansion of existing hospitals and building of new hospitals will remain to be the group’s core strategies,” it added.