Saudi German Health says operating rates above 68%

Madani Hozaien, CFO of Middle East Healthcare Co. (Saudi German Health)

Middle East Healthcare Co. (Saudi German Health) maintains operating rates exceeding 68% at beds and outpatient clinics despite the increased operational capacity after expansions in the existing and new branches, CFO Madani Hozaien told Argaam in an interview.

The number of visits to outpatient clinics reached 538,960, an increase of 12.74% year-on-year, while the number of patients in the inpatient department reached 23,170, an increase of 7.52% YoY, according to the CFO.

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Although the Q2 2024 period coincided with part of the month of Ramadan as well as Eid Al-Fitr and Eid Al-Adha, revenues rose by 14.15% thanks to the increase in the number of inpatients and outpatients, in addition to the rise in operating efficiency in the new hospitals. The company also recorded capital gains as a result of the sale of an unused asset amounting to SAR 19.6 million, according to the CFO.

As for the subject of Zakat deductions included in the financial results, Hozaien indicated that according to the legal opinion of the company's lawyer and tax advisor, the company continues to believe in the strength of its position and that there is still hope to win the case in the coming stages.

He expected performance to pick up in Q3 2024 as usual in previous years, as the company's performance usually improves during the third quarter compared to the first half of the year.

According to data available to Argaam, the company's H1 2024 profit reached SAR 113.1 million, a rise from SAR 90.4 million in H1 2023. Q2 profit amounted to SAR 61.2 million.