HMI profit dips 5% to $4.48m in 1Q2018

Foreign exchange losses pulled earnings down.

Health Management International (HMI) profits decrease by 5% YoY to $4.48m (RM13.79m) due to significant weakening of the Malaysian ringgit.

Despite the marginal decrease in profit, OCBC Research notes that HMI posted an overall healthy growth as revenue grew 6.9% YoY to $38.05m (RM117.1m) in 1Q2018 on the back of higher patient load and higher student headcount in the company’s education business.

Average inpatient and outpatient bill sizes both increased by 3.6% and 12.2% YoY to $2.5k (RM7.6k) and $70.5k (RM217k) respectively.

Last November, HMI announced the signing of an agreement adding Heliconia Capital Management as strategic shareholder with an $11m placement.

HMI owns a healthcare training centre in Singapore, two tertiary hospitals in Malaysia and representative offices in Indonesia, Malaysia and Singapore.