Care H1 2023 profit up 45% to SAR 104.1 mln; Q2 at SAR 47.8 mln

National Medical Care Co. reported a net profit of SAR 104.1 million for H1 2023, up 45% compared to SAR 72 million in the prior-year period.

This was triggered by an 18% increase in revenue for the period due to higher business volume from the General Organization for Social Insurance (GOSI), Ministry of Health (MoH), and insurance segments, resulting in higher admissions, surgeries, and patient visits. Further, MoH billing had positive pricing impact as Care facilities achieved HIMSS accreditation.

Meanwhile, gross profit improved by 34% on lower cost of sale expenses as percentage of revenue and there was an increase in other income.

This came despite higher general and administrative costs and Zakat charge for the period.

The company’s Q2 2023 net profit rose 14% to SAR 47.80 million from SAR 42.01 million a year earlier, mainly due to higher revenue, lower cost of sales and improved gross profit margins.

On a sequential basis, Q2 net profit fell 15.1% from SAR 56.27 million, on lower revenue other income and gross profit as well as higher provisions for expected credit losses due to increased receivables and higher Zakat charge.

Total shareholders’ equity, no minority interest, stood at SAR 1.32 billion by the end of H1 2023, down from SAR 1.15 billion in the year-earlier period.

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