IHH Healthcare delivers double digit growth

IHH Healthcare delivered double digit growth across its key core financial metrics in the second quarter of 2026, supported by higher patient volumes, a more complex case mix and continued operational strength across its diversified multinational portfolio.

For the three months ended 30 June 2026, IHH’s core revenue rose 19% year on year on a constant currency basis to RM6.9 billion, while core profit after tax and minority interests (PATMI), excluding exceptional items, increased 30% to RM675 million.

On a reported basis, revenue grew 12% to RM7.0 billion, while EBITDA increased 19% to RM1.6 billion. Reported PATMI rose 29% to RM573 million.

Dr Prem Kumar Nair, Group Chief Executive Officer of IHH Healthcare, said the company accelerated its growth momentum during the quarter as patient volumes increased alongside greater case complexity.

“As a uniquely diversified, multinational network, IHH is able to navigate uncertainties through targeted strategies for each of our 10 countries, while ensuring Group-level synergies on cost, systems and operational excellence. We remain confident on reaching double-digit ROE by 2028,” he said.

The group said Malaysia, Türkiye & Europe and India were key contributors to the quarter’s performance.

In Malaysia, higher revenue intensity and inpatient admissions supported growth, while daycase volumes and revenue also increased at double digit rates.

Türkiye & Europe continued to record broad based growth, supported by strong local and foreign demand despite additional beds coming on stream at Kartal, Kent and Bayindir hospitals.

India also continued to benefit from the integration of Fortis Healthcare and Gleneagles India through their maintenance services agreement, alongside organic growth.

Singapore, meanwhile, remained on track for recovery in the second half of 2026, in line with the group’s earlier guidance.

Occupancy at IHH’s Singapore operations improved from first quarter lows to 51% in the second quarter, while margins remained strong at 29%. The group is focusing on increasing volumes through new packages launched with leading insurers, with further price competitive packages expected in the coming months.

The performance came despite the translation impact of a stronger Malaysian ringgit, with IHH saying the strength of its diversified portfolio helped mitigate global volatility.

For the first half of 2026, IHH’s core revenue increased 17% year on year on a constant currency basis to RM13.4 billion, while core PATMI excluding exceptional items also rose 17% to RM1.2 billion.

Reported revenue for the six month period increased 8% to RM13.6 billion, while reported PATMI grew 15% to RM1.1 billion.

IHH also maintained a strong financial position, with cash of RM1.3 billion as at 30 June 2026 and net gearing of 0.4 times. The group attributed the position to continued operational strength, active cost discipline and prudent capital management.

The healthcare group said it remains on a multi year transformation journey aimed at future proofing the business, accelerating growth and improving profitability, with a target of achieving a double digit return on equity by 2028.

Its strategy for 2026 is being tailored to the conditions and opportunities in each of its key markets.

In Malaysia, IHH plans to continue expanding its daycase and medical tourism segments, strengthen relationships with payors and pursue selective brownfield expansion.

In Singapore, the focus will be on strengthening payor partnerships, growing medical tourism from non traditional markets, maintaining quaternary care capabilities and optimising network benefits across the healthcare continuum.

In India, the Fortis and Gleneagles maintenance services agreement is expected to continue supporting scale and integration, while the group plans to accelerate strategic brownfield expansion to meet demand.

Türkiye & Europe will focus on maintaining Acibadem’s market leadership while remaining capital light and strengthening operational resilience.

IHH said it will continue to take a prudent approach to capital management as it navigates global volatility and uncertainty.

The group operates across 10 countries, including Malaysia, Singapore, Türkiye, India and Greater China, with a workforce of around 76,000 people. Its network comprises more than 190 healthcare facilities, including 89 hospitals, spanning primary and ambulatory care through to quaternary services, alongside diagnostics, imaging, rehabilitation, telehealth and home care.

Its healthcare brands include Acibadem, Gleneagles, Fortis, Island, Mount Elizabeth, Pantai, Parkway and Prince Court.

IHH’s stated ambition is to become the world’s most trusted healthcare services network, supported by its focus on value based care, innovation and the development of a sustainable healthcare ecosystem.