IHH Healthcare (IHH) Q2 2026 earnings summary

Executive summary

• Revenue and EBITDA grew by up to 19% and 25% year-over-year on a constant currency basis in Q2 2026, with PATMI (ex EI) up as much as 36%, reflecting strong performance in Malaysia, India, and Turkey, and a recovering Singapore segment.

• Margins remained within guidance, with EBITDA at 23% and PATMI at 10% in Q2 2026.

• Interim dividend increased to 5.5 sen per share for H1/FY2026, a 10% year-over-year rise, with a payout ratio near 40% of PATMI.

• Transformation initiatives advanced, including EMR and ERP rollouts, Oracle harmonization, and productivity drives.

Financial highlights

• Q2 2026 revenue reached up to RM7,046 million (+12% YoY), EBITDA up to RM1,607 million (+19% YoY), and PATMI (ex EI) up to RM675 million (+30% YoY).

• Year-to-date 2026 revenue up to RM13,599 million (+8% YoY), EBITDA up to RM3,042 million (+13% YoY), and PATMI (ex EI) up to RM1,200 million (+17% YoY).

• Core EBITDA margin was 23% and PATMI margin 10% in Q2; Singapore margin at 29%.

• Interest expense reduced by 8% and interest income up 24% year-to-date.

• Basic EPS for Q2 2026: 6.48 sen (+29% YoY); YTD 2026: 12.46 sen (+15% YoY).

Outlook and guidance

• Cautiously optimistic for the remainder of 2026, maintaining EBITDA margin guidance of 22%-24%.

• On track to deliver double-digit ROE by 2028, supported by ongoing transformation and capital discipline.

• CapEx guidance unchanged at RM2 billion for 2026, with focus on projects with high capital efficiency.

• Diversified portfolio limits single-country risks and mitigates volatility.

• Demand for quality healthcare remains resilient, supported by demographic trends and rising awareness.