PETALING JAYA: PMCK Bhd
’s solid first-quarter operational performance underscores a steady trajectory for the healthcare provider, underpinned by resilient demand in northern Malaysia’s underserved private healthcare market.
For the first quarter ended July 31, 2026 (1Q27), the group posted an adjusted core net profit of RM3.1mil, representing a 17.2% year-on-year (y-o-y) increase and accounting for roughly 22% of full-year consensus estimates.
According to Maybank Investment Bank (Maybank IB) Research, the group’s revenue rose 5.2% y-o-y, primarily bolstered by higher inpatient admissions and improved bed occupancy rates across its medical facilities.
Gross margins expanded by 0.7 percentage points to 35.2% from 34.5% in 1Q26, reflecting improved operational leverage as rising volume efficiency outpaced fixed overhead growth.
The research house said near-term earnings growth is expected to remain supported by the group’s renewed participation in the Health Ministry’s Hospital Services Outsourcing Programme (HSOP), which resumed in May 2026.
“We continue to see PMCK benefiting from the resumption of the HSOP programme while extended operating hours should support higher outpatient visits.
“Meanwhile, PMC Kulim remains on track to commence operations in 1Q28 and should support longer-term earnings growth,” said Maybank IB.
PMCK is currently upgrading its clinical infrastructure and extending operating hours to capture higher outpatient volume and accommodate a broader spectrum of public medical disciplines.
Additionally, the group’s long-term pipeline remains intact with the upcoming 90-bed PMC Kulim facility.
Scheduled to commence operations in 1Q28 near the Kulim Hi-Tech Park industrial corridor, the expansion will expand group capacity and capture burgeoning demand from industrial working populations in southern Kedah.
The research house maintains its “buy” stance on PMCK with a discounted cash flow -derived target price of 35 sen.
Valuation metrics remain compelling relative to broader industry peers; at an implied forward price-to-earnings multiple of 15.8 times FY27 core earnings per share, PMCK trades at a noticeable discount to the local healthcare sector average of 23 to 52 times.
PMCK operates across three segments, led by healthcare support services (approximately 69% of FY25 revenue), specialist consultant services (approximately 30%) and smaller ancillary services (1%).
