Care’s Q2 2022 profit buoyed by higher operating rates at hospitals, talks ongoing with GOSI for contract renewal: CEO

National Medical Care Co. (Care) CEO Abdulaziz Al Obaid

National Medical Care Co. (Care) CEO Abdulaziz Al Obaid attributed the higher Q2 2022 profit to improved net revenues as a result of increased operations and business volumes of the healthcare provider’s hospitals.

Rising operations and business volumes came through referrals from the General Organization for Social Insurance (GOSI), as well as the insurance, cash and direct contracts sectors, Al Obaid told Argaam.

This positive performance indicates the efficiency and effectiveness that Care's hospitals have managed to achieve, despite the intermittent effects in the second quarter of the year due to Ramadan and Eid Al Fitr holidays.

Revenues of emergency rooms and outpatient clinics surged by 7% quarter-on-quarter (QoQ). Inpatients also rose 6% QoQ, with surgeries and patient visits jumping 11% and 7% QoQ, respectively.

Care, according to Al Obaid, always seeks to develop and implement a strategy aimed at expanding the provision of services in the healthcare field.

The CEO revealed that work is underway to obtain the necessary licenses from competent authorities for the purchase of a land plot in northern Riyadh, noting that any further developments will be disclosed in due course.

The aim is to keep pace with the capital city’s soaring population and serve a new segment of its people, while supporting Care’s strategic plans through expansion and boosting assets. Care is also in talks to renew its contract with GOSI, he added.

Care’s net profit rose to SAR 72 million by the end of the first half of 2022, an 8% leap from SAR 66.5 million in the year-ago period. Q2 2022 profit also advanced 37% YoY to SAR 42 million, according to Argaam’s data.