Tuesday 23 Apr 2024
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KUALA LUMPUR (Oct 19): KPJ Healthcare Bhd said that it has surpassed the target it set for the health tourism segment this year.

The group told theedgemarkets.com that the current revenue from health tourism exceeded the RM90 million target that it had earlier set out to achieve by end-2015.

KPJ Healthcare president and managing director Datuk Amiruddin Abdul Satar, however, declined to disclose the year-to-date contribution amount of the health tourism segment to the group.

The group collected RM78 million in revenue from health tourism in 2014 and had upped its target for 2015 on the back of rising popularity of Malaysia as a medical tourism destination.

Amiruddin added that while the group is tapping into the aged care segment as part of its diversification plans into other areas within the healthcare sector, 97% of the group's revenue still comes from hospitals, at the moment.

"Moving forward, of course we have to look into new areas within healthcare. Those related to our services at the moment, such as rehab and lab services, are potential areas that we think we can explore and make bigger," Amiruddin told the edgemarkets.com after the launch of a month-long eye care campaign in conjunction with World Sight Day 2015 in Kuala Lumpur today.

When asked about the potential earnings contribution of these areas to the group, Amiruddin said that it is still too early to say.

"Because currently these services are servicing the hospitals, it is part of the internal business. What we are thinking is to offer it to other parties, directly," he said.

Deputy minister of Women, Family and Community Development Senator Datin Paduka Chew Mei Fun officiated the month-long eye care campaign at the KPJ Tawakkal Health Centre, along Jalan Pahang, Kuala Lumpur.

It was previously reported by theedgemarkets.com that the group will spend RM1.5 billion to build 10 new hospitals over the next five years, which will add an additional 2,000 beds to the group.

At 2.41pm, KPJ Healthcare traded 1 sen or 0.24% lower at RM4.24, with 825,400 shares traded.

(Note: The Edge Research's fundamental score reflects a company's profitability and balance sheet strength, calculated based on historical numbers. The valuation score determines if a stock is attractively valued or not, also based on historical numbers. A score of 3 suggests strong fundamentals and attractive valuations.)

 

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