Healthcare companies see Q1 combined profits rise 5% to SAR 172.5 mln

Healthcare companies listed on the Saudi Arabian Exchange  recorded a five percent rise year-on-year in combined profits to almost SAR 172.5 million in first quarter, according to a study conducted by Argaam Research.

During the same quarter in 2014, companies posted SAR 165 million in combined profits.

The figures included one-off gains of SAR 9.8 million in Q1, thanks to Al-Hammadi’s collection of overdue bad debts. Normalized to exclude non-recurring gains, the sector’s consolidated profits would have declined one percent year-on-year.

Revenues jumped 14 percent to SAR 860 million for the same period. Gross profit margins decreased to 39.2 percent from 41 percent in Q1-2014.

Mouwasat was the top performer by earnings, revenues, and gross margin, accounting for 31 percent of the sector’s total revenues and 32 percent of consolidated profits. 

Care was the only healthcare service provider that posted a low margin.

The hospital segment accounted for 85 percent and 90 percent of the companies’ revenues and total income, respectively. Meanwhile, the pharmacy segment represented nine percent of the total income.

The table below shows results of each company's operational sector, excluding Al-Hammadi.

Argaam Reports