Burjeel Holdings Reports Strong Financial Results for H1 2023, Driven by Revenue Growth and Expansion

Burjeel Holdings Reports Strong Financial Results for H1 2023, Driven by Revenue Growth and Expansion

Burjeel Holdings, a prominent Healthcare Services Provider listed on the Abu Dhabi Securities Exchange (ADX) and operating in the UAE and MENA region, announced its financial results for the first half of 2023 (H1 2023) and the second quarter of 2023 (Q2 2023), ending on June 30th.

The Group recorded a revenue of AED 2.2 billion in H1 2023, showing a significant year-on-year (YoY) increase of 13.9 percent. This growth was driven by higher inpatient footfall and an expansion in patient yield. Furthermore, the revenue growth in Q2 2023 accelerated to 16.3 percent YoY, reaching AED 1.1 billion.

Net profit for H1 2023 amounted to AED 225 million, indicating an impressive YoY increase of 47 percent. This growth was attributed to robust top-line growth and significantly lower finance costs. Similarly, Q2 2023 net profit rose by 51.4 percent YoY to AED 103 million.

Burjeel Holdings credited its clear growth strategy, which focuses on elevating utilization and patient yield while investing in expansion opportunities across the MENA region, for its strong performance. The company also adheres to its preferred capex-lite approach to network expansion.

As part of its expansion plan, Burjeel recently secured an agreement to operate and manage the largest healthcare facility of the Abu Dhabi National Oil Company (ADNOC), Al Dhannah Hospital, in the Al Dhafra region. This contract is expected to create additional opportunities for Burjeel’s broader network, especially Burjeel Medical City, for more complex treatments outside the scope of Al Dhannah’s services. The agreement will commence in early Q4.

In addition, Burjeel Holdings made significant progress in the establishment of its PhysioTherabia clinics in Saudi Arabia, in collaboration with KSA-listed Leejam Sports Company JSC. Over the next 24 months, PhysioTherabia plans to open more than 60 clinics, leveraging Leejam’s network of prime-location fitness centers and loyal member base.

John Sunil, CEO of Burjeel Holdings, expressed satisfaction with the company’s performance in H1 2023 and highlighted their expansion plan gaining traction, reinforcing their regional presence. He also mentioned adding world-class talent to their teams and securing an operations and maintenance contract with Al Dhannah Hospital, a significant infrastructure in the UAE’s industrial hub.

EBITDA for H1 2023 increased by 12.7 percent YoY to AED 467 million, while Burjeel Holdings maintained a steady EBITDA margin of 21.6 percent.

Burjeel Holdings remains committed to increasing the proportion of high-yielding complex care and complex surgeries in its service mix, aiming to have a significant impact on the Group’s top-line and medium-term margin expansion. The company is continuously broadening the mix of complex surgeries performed to support its future growth and strategic plans.

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