IHH Healthcare ‘On Track’ For Double-Digit ROE

INTEGRATED healthcare operator IHH Healthcare is “on track for double-digit return on equity (ROE)“ in the coming years, said its management on Friday (Feb 28).

While the group did not give a concrete timeline for achieving this goal, it has “set itself up for going towards double-digit ROE in 2025 as well”, said group chief financial officer Dilip Kadambi during an earnings call after the release of its FY2024 results.

ROE for FY2024 stood at 8.7 per cent, while ROE without exceptional items and the effects of Malaysian Financial Reporting Standard 129 – the financial reporting standard for hyperinflationary economies – was 9 per cent.

The group on Thursday reported net profit of RM732 million (S$221.2 million) for the quarter ended Dec 31, up 1 per cent from RM728 million in the corresponding year-ago period. For the full year, profit declined 10 per cent year on year to RM2.7 billion, from about RM3 billion the year before.

The fall was due to the absence of one-off gains from the sale of International Medical University and Gleneagles Hospital Chengdu in FY2023.