Sunway Healthcare (SUNMED) Q2 2026 earnings summary

Executive summary

• Q2 2026 delivered record revenue of RM673m (up 29.8–30% YoY) and EBITDA of RM159m (up 42.7–43% YoY), driven by higher patient volumes, improved bed occupancy (72.8–73%), and expanded licensed bed capacity (+12.6–13% YoY).

• Profit after tax nearly doubled YoY (+88.8–89%), with profit before tax up 66% YoY to RM93.2m.

• The group completed its IPO in March 2026, raising RM833.8m to fund expansion and strengthen its balance sheet.

• Leadership strengthened with new appointments, including Dr Seow Vei Ken as Group Chief Medical Director and Erica Lam as CEO of SMC Sunway City.

Financial highlights

• Q2 2026 revenue: RM672.9–673m (up 29.8–30% YoY, up 14.6% QoQ); H1 2026 revenue: RM1,259.9m (up 27% YoY).

• Q2 2026 EBITDA: RM158.8–159m (up 42.7–43% YoY); normalised EBITDA margin expanded to 24.0% (+2.4ppts YoY).

• Q2 2026 net profit: RM78.1–78.2m (up 89% YoY); H1 2026 net profit: RM111.5m (up 39% YoY).

• All service segments posted double-digit YoY growth: inpatient (+28.5–29%), outpatient (+29.4%), daycare (+31.7%), and others (+71.9%).

• Cash and bank balances at 30 June 2026: RM1,276.8m, up from RM543.3m at end-2025.

Outlook and guidance

• Entering H2 2026 with strong earnings momentum, supported by expanded bed capacity and balanced contributions across the hospital network.

• Bed capacity targeted to exceed 2,400 by FY2028 and over 3,400 by 2032 through brownfield and greenfield expansions.

• Policy transition to DRG-based reimbursement remains manageable, with pilot underway and full rollout targeted for Jan 2027.

• Private healthcare demand is supported by rising needs, insurance penetration, and medical tourism.