KUALA LUMPUR (Nov 26): KPJ Healthcare Bhd reported a 31% increase in its net profit to RM38.16 million or 3.68 sen per share for the third quarter ended Sept 30 (3QFY15), as its revenue and contribution from hospitals rose.

Its net profit for the previous year's corresponding quarter was RM29.13 million or 2.86 sen per share, its filing to Bursa Malaysia today showed; it also announced an interim dividend of 1.75 sen per share for FY15, payable on Jan 15, 2016.

The latest quarterly revenue was at RM721.84 million, up 10% from RM657.08 million in 3QFY14.

"Higher revenue for the period is mainly due to the increase in revenue of the existing hospitals and newly opened hospitals in the group," said KPJ.

Its Malaysian segment saw an 8% year-on-year (y-o-y) increase in revenue to RM641.6 million from RM592 million, while its Indonesian segment registered a 1% y-o-y growth in revenue.

Meanwhile, revenue for its aged-care facility segment fell 19% y-o-y, due to higher recognition of lease income for the retirement village in 3QFY14 compared to 3QFY15.

As for its support services, its corporate and others segment posted a 4% y-o-y growth in revenue.

For the cumulative period ended Sept 30 (9MFY15), net profit rose 16% y-o-y to RM108.05 million from RM93.09 million a year ago, while revenue gained 12% y-o-y to RM2.15 billion from RM1.92 billion in 9MFY14.

Going forward, KPJ said its performance for the current financial year will improve in tandem with continued public awareness on the importance of healthcare.

"In line with the continuous demand, expansion of existing hospitals and building of new hospitals will remain to be the group's core strategies, as this will enhance the capacity and improve the service delivery for our patients.

"The group envisage that the new start up hospitals will contribute towards the revenue growth in 2015 along with the other existing hospitals," it said.

However, it noted that greenfield hospitals have an average gestation period of between three to five years, which will moderate its performance.

Shares in KPJ rose one sen or 0.24% to close at RM4.24 for a market capitalisation of RM4.39 billion.

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