PureHealth net profit hits Dh1 billion in first half

Group’s earnings soar grew 15% y-o-y to Dh2.2 billion

A Staff Reporter

Published: Wed 31 Jul 2024, 3:07 PM

Last updated: Wed 31 Jul 2024, 3:08 PM

PureHealth Holding PJSC on Wednesday reported a strong revenue increase of 53 per cent y-o-y to Dh12.5 billion in H1

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2024 on the back of solid growth booked across the majority of its verticals, primarily from the hospitals, insurance and procurement segments.

The net profit for the Group for H1 2024 is Dh1.0 billion, reflecting a net profit margin of 8.0 per cent.

The Group’s yielded an earnings before interest, taxes, depreciation and amortisation (Ebitda) margin of 17.2 per cent during the period.

Revenue from hospitals grew 83 per cent y-o-y to Dh9.6 billion in H1 2024, primarily driven by the contributions generated from the Group’s acquisitions of Sheikh Shakhbout Medical City (SSMC) and Circle Health Group during the period. The segment’s revenue was also supported by higher patient volumes (outpatient up 17 per cent y-o-y, inpatient up 43 per cent y-o-y, and emergency department up 43 per cent y-o-y) along with an 11 per cent increase in overall bed occupancy to 72 per cent, as well as the addition of the National Rehabilitation Center (NRC) to PureHealth’s portfolio during the period.

The insurance segment’s revenues grew 15 per cent y-o-y to Dh3.3 billion in H1 2024 due to an overall increase in premiums, specifically from the enhanced insurance portfolio, as well as from the rise in the segment’s total number of active members to 3.1 million in H1 2024 compared to 2.9 million in H1 2023. Parallel to this, the procurement and supply of medical related services segment also supported the Group’s top-line growth for the period. The segment recorded revenue growth of 36 per cent y-o-y to Dh2.7 billion in H1 2024 as the Group onboarded new customers and executed strategic expansions in diagnostics and medical devices as well as across the pharmaceutical and diabetes divisions.

On the strategic front, the Group acquired a 100 per cent stake in Circle Health Group, the UK’s largest independent hospital operator, as well as SSMC, which stands as the UAE’s premier healthcare complex. Additionally, the Group has offloaded its investments in Yas Clinic Group and Abu Dhabi Stem Cell Centre (ADSCC) with effect from April 1, 2024. “These divestments enable PureHealth to focus on advancing the specialised healthcare services previously provided at ADSCC and Yas Clinic, now fully integrated into SSMC, which aligns with PureHealth’s overarching strategy to streamline operations and relocate resources towards synergies across the Group as it looks to enhance its focus on advancing specialized healthcare services,” the company said in a statement.

The Group’s Chairman, Hamad Al Hammadi, said: “PureHealth remains committed to its vision of transforming healthcare delivery in the UAE and beyond. I am pleased to report that the Group has closed out the first half of 2024 with strong performance, which reflects the continued trust our patients place in the quality and breadth of our services. We are committed to progressing our journey as a leading UAE-based healthcare provider with global aspirationswith unwavering focus and determination.”

Shaista Asif, group chief executive officer at PureHealth, said: “The first half of the year has seen us continue to deliver on our growth strategies as we are actively pursuing expansion across both the local and international stages and have delivered on those fronts through the acquisition of Circle Health Group and SSMC. Looking ahead, the strong foundation we have built in the first half of 2024 positions us perfectly to capitalise on exciting opportunities and maximise the value creation opportunities for our shareholders.”