PETALING JAYA: IHH Healthcare Bhd
remains confident in its growth trajectory underpinned by strong clinical capabilities amid rising demand.
For the second quarter ended June 30, 2026 (2Q26), the healthcare provider’s net profit surged by 29% year-on-year (y-o-y) to RM573mil or earnings per share of 6.48 sen. This was on the back of higher revenue, offset by higher staff cost and other operating expenses.
Revenue is up by 12% y-o-y to RM7.05bil. The group said the growth in revenue was driven by a sustained demand for quality healthcare services, a case mix of more acute patients and price adjustments to counter inflation. It added the consolidation of Bayindir Healthcare, TMI Healthcare and Biruni Labs, which were acquired after 2Q25, also contributed to the increase in revenue.
In a filing with Bursa Malaysia, IHH said Singapore hospital’s 2Q26 inpatient admissions decreased by 6% y-o-y, while revenue per inpatient admission increased by 1% y-o-y. The company said the decrease is attributed to structural shifts towards public healthcare utilisation and compounded by Middle East tensions which have dampened demand from certain medical travellers.
To this end, IHH said its operations in Singapore stayed on track for recovery in 2H26 as guided with occupancy picking up from 1Q lows to 51% in 2Q with strong margins of 29%.
For its Malaysia hospital, IHH said 2Q26 inpatient admissions increased by 3% y-o-y, while revenue per inpatient admission increased by 16% y-o-y. Meanwhile, India hospital’s 2Q26 inpatient admissions increased by 14% y-o-y, while revenue per inpatient admission increased by 5% y-o-y.
The group added that Turkiye and Europe hospital 2Q26 inpatient admissions increased by 15% y-o-y, while revenue per inpatient admission increased by 22% y-o-y with price adjustments, especially in Turkiye, to counter hyperinflation.
For the first half of the financial year ended Dec 31, 2026 (1H26), IHH’s net profit rose by 15% y-o-y to RM1.10bil or earnings per share of 12.46 sen. Revenue for the period expanded by 8% y-o-y to RM13.6bil.
In a release yesterday, IHH group chief executive officer Dr Prem Kumar Nair said the group accelerated its strong growth momentum in 2Q26 on higher patient volumes and more complex case mix.
“As a uniquely diversified, multinational network, IHH is able to navigate uncertainties through targeted strategies for each of our 10 countries, while ensuring group-level synergies on cost, systems and operational excellence. We remain confident on reaching double-digit return on equity (ROE) by 2028,” he said.
IHH said it is on a multi-year transformation journey to future-proof its business, accelerate growth and drive profitability, targeting double-digit ROE by 2028.
IHH noted its 2026 focus areas in Malaysia are to grow daycase and medical tourism segments, strengthen payor partnerships, and conduct brownfield expansion selectively. As for Singapore, the group said it intends to strengthen payor partnerships, grow medical tourism from nontraditional markets, sustain quaternary excellence and optimise and scale network effects from its presence across the continuum.
Further, IHH said Fortis and Gleneagles MSA in India will continue to drive growth and deliver greater scale and synergies through further integration, while strategic brownfield expansion will be accelerated to meet rising demand.
For its operations in Türkiye and Europe, the group said Acibadem will focus on maintaining market leadership while staying capital-light and driving operational resilience.
“IHH also remains prudent on its capital management while navigating through global volatilities and uncertainties,” IHH said.
IHH declared an interim single-tier cash dividend of 5.5 sen per ordinary share for FY26 to be paid on Oct 30, 2026, with the ex-date on Sep 29, 2026.
