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Introduction & Market Context
Bumrungrad Hospital PCL (BH) presented its first quarter 2025 financial results on April 28, highlighting a challenging period marked by revenue declines primarily in its international segment. The hospital, which has maintained its position as Thailand’s top-ranked medical facility for five consecutive years according to Newsweek, faced headwinds particularly in Middle Eastern markets while seeing growth in other regions.
The hospital’s stock closed at 165 baht on May 2, 2025, up 0.61% on the day, but remains well below its 52-week high of 284 baht, reflecting ongoing investor concerns about international patient volumes.
Quarterly Performance Highlights
Bumrungrad reported total revenue of 6,208 million baht for Q1 2025, representing a 5.6% decrease compared to the same period last year. The decline was primarily driven by an 11.6% drop in international revenue, while Thai nationality revenue showed resilience with a modest 1.2% increase.
As shown in the following chart of revenue performance by market segment:
The most significant impact came from the Middle East region, which experienced a steep 30.6% revenue decline. This contrasted with positive performance in Indochina (+2.4%) and other regions (+6.3%). The company attributed the Middle East weakness to "significant Ramadan impact" and "safety concerns" among mainland Chinese nationals.
The following breakdown illustrates the regional revenue performance:
Looking at specific nationalities, the United Arab Emirates (-39.6%), Qatar (-24.4%), and Bangladesh (-16.8%) showed the largest declines, while Myanmar (+19.8%) and the United States (+17.1%) delivered the strongest growth among Bumrungrad’s top 10 international patient groups.
The detailed performance by nationality is shown here:
Detailed Financial Analysis
The revenue decline translated to more pronounced impacts on profitability. EBITDA fell 12.6% year-over-year to 2,338 million baht, with EBITDA margin contracting from 40.7% to 37.7%. Similarly, net profit decreased 12.6% to 1,734 million baht, with net profit margin declining from 30.2% to 27.9%.
The following chart illustrates the EBITDA and margin performance:
Bumrungrad’s revenue mix continued to evolve, with outpatient services increasing from 49% to 52% of total revenue, while inpatient services declined from 51% to 48%. This shift toward outpatient care was accompanied by "lower revenue intensity and average length of stay," according to the presentation.
The payor mix also shifted, with self-pay patients increasing from 61% to 64% of revenue and insurance from 18% to 22%, while government third-party payors decreased significantly from 20% to 13%.
Despite the challenging quarter, Bumrungrad maintained a strong financial position with total cash and investments of 16,022 million baht, up from 12,920 million baht a year earlier. The hospital continues to operate with negative net debt to EBITDA (-0.3x) and a healthy liabilities-to-assets ratio of 14.0%.
The cash flow statement reveals solid operating cash flow of 2,124 million baht for the quarter:
Strategic Initiatives
Bumrungrad highlighted several strategic initiatives aimed at maintaining its competitive edge and reputation for medical excellence. The hospital proudly announced its recognition as Thailand’s best hospital for five consecutive years (2021-2025) by Newsweek, while also ranking 100th among the World’s Best Hospitals globally.
As shown in this recognition highlight:
The hospital emphasized technological leadership with the introduction of photon-counting CT technology, described as "the first and only one in Thailand." This advanced imaging system offers higher resolution images with reduced noise and radiation dose, enabling earlier and more accurate detection of medical conditions.
The technology announcement is illustrated here:
Bumrungrad also highlighted its organ transplant capabilities through a February press conference, promoting heart, kidney, liver, and cornea transplant services under the slogan "Where Life Gets a Second Chance."
Performance across the hospital’s Centers of Excellence was mixed, with the Cancer Center (+3.3%), Spine & Pain Management (+4.7%), and Colorectal Surgery (+5.9%) showing growth, while Neuroscience (-17.9%), Breast (-11.7%), and Urology (-8.5%) experienced significant declines.
The detailed performance by specialty is shown in this chart:
Forward-Looking Statements
While the presentation did not provide specific guidance for upcoming quarters, Bumrungrad noted that Q1 2025 results showed "improvement on Q1 2025 guidance," suggesting the company had anticipated even weaker performance.
The hospital highlighted several positive developments expected to support future growth, including a new collaboration with Mass General Brigham Cancer Institute and continued strength in UAE and Qatar admission growth despite revenue declines from these markets.
The company’s VitalLife subsidiary, which focuses on preventive healthcare and wellness, showed stronger performance than the main hospital operations, with revenue growing to 291 million baht (+8.6%) and improved EBITDA margin of 43.6% compared to 39.1% in the prior year.
With its strong cash position, technological investments, and continued international recognition, Bumrungrad appears positioned to weather current challenges while maintaining its reputation as Thailand’s premier international hospital, though recovery in key Middle Eastern markets will be crucial for returning to growth in coming quarters.
Full presentation:
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