KUALA LUMPUR (Nov 25): KPJ Healthcare Bhd (KL:KPJ) reported a 6.24% dip in its third quarter net profit from a year ago, despite revenue breaching RM1 billion for the first time, as the previous year had included a gain from the disposal of its Indonesian operations.

The group's net profit for the third quarter ended Sept 30, 2024 (3QFY2024) fell to RM86.03 million from RM91.75 million in 3QFY2023, its Monday bourse filing showed. The group completed the divestment of its Indonesian operations in September 2023 to focus on its core Malaysian business.

Revenue rose RM125.94 million or 13.89% to a record high of RM1.03 billion from RM906.89 million — driven largely by an increase in patient visits and bed capacity. It also recorded a RM50.4 million rise in cost of sales to RM563.7 million, and a RM38.99 million increase in administrative expenses to RM305.9 million, while other income dropped RM41.16 million to RM7.03 million from RM48.19 million. At the same time, tax rose RM7.78 million to RM43.64 million.

The group said its earnings before interest, taxes, depreciation and amortisation (Ebitda) was RM253.7 million, down from RM257.51 million.

"Excluding a one-off gain of RM34.8 million from the disposal of Indonesian operations in 3QFY2023, Ebitda grew 14%, reflecting strong operational performance," the group said in a statement.

As at end-September, the group’s bed occupancy rate stood at 72%, with inpatient admissions rising 6% to 103,228 while it recorded 784,437 outpatient visits.

The group declared a fourth interim dividend of 1.15 sen per share, amounting to RM50.2 million, to be paid on Dec 27, 2024. This raised its total dividend for the first nine months of FY2024 (9MFY2024) to 4.15 sen per share, from 3.35 sen per share for the same period in FY2023.

For 9MFY2024, KPJ’s net profit grew 22.78% to RM233.3 million from RM190.02 million in 9MFY2023, as revenue rose 14.52% to RM2.87 billion from RM2.51 billion.

"Achieving RM1 billion in quarterly revenue for the first time is a testament to our ability to deliver high-quality, patient-centred healthcare while continually improving our operational performance," said KPJ president and managing director Chin Keat Chyuan.

While addressing challenges such as cost pressures and a competitive talent market, KPJ Healthcare is committed to prudent financial management and delivering value to all stakeholders, the group said, adding it remained confident on its prospects for the financial year ending Dec 31, 2024.

Shares of KPJ gained four sen or 1.75% to close at RM2.33 on Monday, giving the group a market capitalisation of RM10 billion.

*This article has been updated for clarity