Singapore-listed Malaysian healthcare group IHH Healthcare's Q1 profit falls 88%

[SINGAPORE] MALAYSIAN healthcare group IHH Healthcare Berhad saw its fiscal first-quarter profit shrink by 88 per cent to RM57.24 million (S$19.28 million) due to the absence of a one-off gain recorded a year ago from its RM313.4 million divestment of Apollo Hospitals.

Its profit after tax and minority interests (excluding exceptional items) was 40 per cent lower due to higher depreciation, amortisation and finance costs from the new hospitals opened in 2017, as well as the recognition of foreign exchange losses arising from the group's US dollar-denominated cash balances, IHH said.

The group's revenue crept up 6 per cent to RM2.85 billion from a year ago on sustained organic growth from existing operations and contribution from its two new hospitals - Gleneagles Hong Kong Hospital and Acibadem Altunizade Hospital in Turkey, which opened in 2017.