Prof. Dr. Chalerm Harnphanich, Chief Executive Officer of Bangkok Chain Hospital Public Company Limited (SET: BCH), informed “Kaohoon” that the company’s performance in the third quarter would significantly improve from the previous quarter and the same period last year due to the consecutive improvement in July and August’s performances.
Furthermore, the performance in September could surpass the past two months due to the medical service’s high season and the large number of patients in the Outpatient Department (OPD) as many seek social security’s annual medical check up service. Moreover, the illness that came with the rainy season has increased the patients’ volume in the Inpatient Department (IPD). Since the third quarter faced heavy rain, both at the beginning and the end of the quarter, BCH estimated that the number of patients would continue to increase through the fourth quarter.
Currently, BCH received an approval from the Social Security Office to obtain a second half of the year’s reimbursement at the rate of THB 12,000 per AdjRW > 2, increased from THB 8,000 YoY. This could generate a positive impact to BCH’s performance since the company has more than one million patients from social security, highest among the private hospital industry. Additionally, it will also maintain the reimbursement rate at THB 12,000 throughout the year.
Regarding Kuwait patients, who have arrears payments of THB 240 million, most have stopped traveling to Thailand for treatment after their government canceled the medical service support in foreign nations. Nonetheless, BCH is confident to receive full reimbursement of the arrears within the fourth quarter as Kuwait’s government planned to visit Thailand to select a hospital to treat their patients. The company is confident that it will be selected and Kuwait patients would start returning to Thailand by the last quarter of the year.
Prof. Dr. Chalerm stated that although the number of Kuwait patients has not returned to normal, there are significant of those who travel to Thailand for treatment, using their own budget. As a result, the Kuwait patient’s ratio has surpassed the ratio of patients from other countries by 30%. Furthermore, there is also a strong growth in patients’ volume from Middle Eastern nations such as Saudi Arabia.
Phillip Securities recommends an “Accumulate Buy” on BCH, with a target price of THB 14.6 per share, and estimated that the company’s 3Q25 revenue would have a strong growth. Additionally, the securities company also forecasted a single-digit core revenue growth for the company this year due to stable growth in revenue from Thai patients, the economic slowdown and the copayment scheme.
