The stock price of Bumrungrad Hospital surged by 7% at the opening bell on Thursday, after the company announced better-than-expected earnings for the second quarter.
Bumrungrad Hospital Pcl. (SET: BH) saw its share price increase by THB16.0/share, or 6.99%, to THB245.0/share, with a trading value of THB1,462,000,000 as of 10:48 AM Bangkok time.
In 2Q23, BH reported a net profit of THB1,748 million, up 49.9% from THB1,166 million in 2Q22, net profit margin at 28.4%, compared to 23.5% in 2Q22.
Total revenues in 2Q23 was THB6,147 million, a 24.1% increase from THB4,954 million in 2Q22. Compared with 2Q19, in order to gauge the performance of the current quarter to pre-covid levels, 2Q23 total revenues and net profit increased by 42.7% and 141.1%, respectively, from 2Q19.
Despite the slow season, LH Securities reported that BH’s earnings came in above expectations due to an increase in revenue from overseas patients, which has been on an upward trend ever since Thailand reopened.
LH maintains its “Buy” rating on BH shares, calling the company a healthcare sector Top Pick and setting a price target of THB280, with an upside of 22.3%, predicting that the company’s net profit will increase by 29% this year thanks to its strong performance.
