Hygeia Healthcare (6078) H2 2024 earnings summary

Executive summary

• Revenue rose 9.1% year-over-year to RMB4,446.1 million, driven by hospital business growth and increased patient visits.

• Net profit declined 12.6% to RMB598.3 million, impacted by higher costs and lower other gains.

• Hospital network expanded to 16 hospitals, with new facilities and enhanced clinical specialties.

• Patient satisfaction improved to 97.03%, and operational efficiency measures reduced administrative expense ratio.

• No final dividend declared for 2024; share repurchases totaled 11.1 million shares.

Financial highlights

• Gross profit increased 3.4% to RMB1,329.5 million; gross margin at 29.9%.

• EBITDA up 2.0% to RMB1,105.8 million; non-IFRS adjusted net profit down 15.6% to RMB602.3 million.

• Net cash to net profit ratio (excluding certain items) rose to 137.2% from 114.3%.

• Total assets grew 1.8% to RMB10,929.3 million; total liabilities fell 5.0% to RMB4,254.9 million.

• Debt to asset ratio stable at 25.4%; gearing ratio at 36.3%.

Outlook and guidance

• Focus remains on expanding oncology services, hospital network, and AI-driven healthcare innovation.

• Plans to continue hospital construction, pursue M&A, and enhance commercial insurance partnerships.

• Anticipates ongoing growth in oncology demand due to aging population and supportive national policies.