Saudi German Health Q4 2022 profit growth boosted by improved hospital operations: CFO

Madani Hozaien, CFO of Middle East Healthcare Co.

Middle East Healthcare Co.’s (Saudi German Health) profit growth in the fourth quarter of 2022 compared with a year earlier was due to improved operations and efficiency of all hospitals, CFO Madani Hozaien told Argaam in a phone call.

He added that the improved prices were due to higher prices for most insurance companies and the Ministry of Health as a result of the increased licensing of hospitals.

The number of inpatients grew during the fourth quarter to reach 21,000, compared to 18,000 in the same period of the previous year, while the number of patients in outpatient clinics rose to 521,000, compared to 371,000 a year before.

Dammam Hospital began to record earnings in Q4 2022 after having improved its operational performance, the CFO said.

He added that SAR 54 million losses were incurred during the three-month period from the new hospital in Makkah, which began its operations in Q4 2022, as well as the two new branches of Al Jami`ah district in Jeddah and Abha, which is considered ‘normal’.

Hozaien expects the company to continue witnessing improved operations and better results in Q1 2023 compared with a year before.

The medical services provider reported a surge in 2022 net profit after Zakat and tax of SAR 75.2 million, compared to SAR 17.2 million in 2021, according to data compiled by Argaam.