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Introduction & Market Context
Bumrungrad Hospital PCL (BH) presented its Q2 2025 financial results on August 4, 2025, revealing a mixed performance characterized by revenue challenges but improved profitability. The stock responded positively to the presentation, with shares rising 5.36% to 177 baht, continuing its recovery from the 52-week low of 130 baht while still remaining well below its 52-week high of 284 baht.
The presentation comes after a challenging Q1 2025, when the hospital reported a 5.6% year-over-year revenue decline and missed analyst expectations. The Q2 results show some signs of stabilization, particularly in profitability metrics and Middle East market recovery compared to the first quarter.
Quarterly Performance Highlights
Bumrungrad’s Q2 2025 financial performance showed revenue pressure but margin improvement. Total (EPA:TTEF) revenue decreased by 3.6% year-over-year to 6,104 million baht, while net profit declined by 3.8% to 1,858 million baht. However, the hospital achieved a record EBITDA margin of 41.6%, up from 40.7% in the same period last year, suggesting effective cost control measures.
As shown in the following financial highlights chart, the company maintained strong profitability despite revenue challenges:
The improved EBITDA margin represents a significant recovery from Q1 2025, when the margin stood at 37.7% according to previous earnings reports. This improvement in operational efficiency is visualized in the EBITDA chart:
Net profit margin remained relatively stable at 30.4% compared to 30.5% in Q2 2024, demonstrating the hospital’s ability to maintain bottom-line performance despite top-line pressure:
The hospital also announced an increased dividend payout of 2 baht per share for 1H 2025, representing 44% of EPS compared to 41% for 1H 2024, signaling management’s confidence in the company’s financial position.
Revenue Breakdown and Patient Mix
Bumrungrad’s revenue continues to be predominantly driven by international patients, though their contribution decreased slightly. Non-Thai patients accounted for 64% of net patient revenue in Q2 2025, down from 66% in Q2 2024. Within the non-Thai segment, Middle East patients contributed 23%, while other nationalities made up 41%.
The following chart illustrates the nationality breakdown of patient revenue:
While overall non-Thai revenue declined by 6.6% year-over-year in Q2 2025, the hospital highlighted a 23% increase in Middle East market share revenue compared to Q1 2025, with particularly strong growth in Saudi Arabia (+54%), UAE (+46%), and Oman (+28%). This suggests a recovery in the Middle East market, which had experienced a steeper 9.7% decline in Q1 2025.
The top 10 nationalities contributing to non-Thai revenue showed mixed performance, with some markets growing while others contracted:
The hospital’s revenue remains evenly split between inpatient and outpatient services at 50% each. Self-pay patients continue to be the largest payor group, accounting for 63% of revenue in 1H 2025, up from 62% in 1H 2024, while insurance payments increased to 22% from 19%.
Strategic Initiatives
Bumrungrad highlighted several strategic initiatives aimed at enhancing its competitive position and driving future growth. A key focus is the planned Bumrungrad Comprehensive Cancer Center, expected to be completed in 2027. The new facility will expand the hospital’s cancer treatment capabilities and capacity, addressing the growing global cancer burden.
The following image shows the facility overview of the planned cancer center:
The project timeline indicates the cancer center is currently in the schematic design stage:
The hospital is also expanding its robotic surgery capabilities, reporting 24 robotic-assisted surgeries from March to July 2025, primarily in urology. Currently, 23 surgeons have completed training on the da Vinci (EPA:SGEF) Xi robotic surgery system, with an additional 13 surgeons undergoing training.
Bumrungrad continues to receive recognition for its medical excellence. The hospital ranked in Newsweek’s Best Specialized Hospitals Asia Pacific 2025 across nine specialty fields, achieving #1 in Thailand for six specialties:
The hospital also received important certifications, including Joint Commission International certifications for its Heart Failure Program and Breast Cancer Program:
Forward-Looking Statements
Looking ahead, Bumrungrad remains focused on expanding its capabilities and enhancing its competitive position. The hospital highlighted its strong financial foundation, with a total cash and investment position of 14,907 million baht in 1H 2025, up from 12,262 million baht in 1H 2024. The company maintains a negative net debt to EBITDA ratio of -0.2x, indicating significant financial flexibility for future investments.
The hospital’s key strategic priorities include the development of the new cancer center, continued expansion of robotic surgery capabilities, and strengthening its position in the Middle East market. Management expressed optimism about further recovery in international patient volumes, particularly from the Middle East, though challenges remain in some markets like China, where revenue declined by 21.7% year-over-year in Q2 2025.
Bumrungrad’s Q2 2025 results demonstrate the hospital’s resilience and ability to maintain profitability despite revenue headwinds. The record EBITDA margin achievement, coupled with strategic investments in advanced medical technologies and facility expansion, positions the company to capitalize on the eventual recovery in international medical tourism and address the growing healthcare needs in Thailand and across the Asia-Pacific region.
Full presentation:
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