Dr. Amnaj Oerareemitr, Chief Executive Officer Director of Ekachai Medical Care Public Company Limited (SET: EKH), an operator of the hospital private sector in Samut Sakhon province, said the business tends to increase continually for the rest of this year due to the peak season of healthcare business and seasonal changes that causes a number of inpatient (IPD) and outpatient (OPD) to visit the hospital continually.
The return to the Fertility Center (IVF) by foreign customers, especially Chinese customers, has significantly contributed to its recovery from the reopening of the country. In the meantime, the newly opened KOON Palliative Care Specialized Hospital that specializes in elderly health care services made significant support to increase revenue and profit. However, as the Covid-19 pandemic lowers, the profit from Covid patients will decline, but EKH will continue to receive revenue from non-Covid patients.
Krungsri Securities (KSS) expected the profit of EKH in 2023 to be at 227 million baht, representing an increase by 9%, and a 18% growth in 2024 to 286 million baht, which would be higher than pre-Covid level, boosted by pent-up demand from the Fertility Center (IVF), an increase in revenue from non-Covid patients as well as price adjustment.
In addition, KSS recommended “BUY” on EKH with a target price at THB9.20 per share.