MIKA – Better performance after 3 new hospitals' opening

MIKA – Better performance after 3 new hospitals' opening Mitra Keluarga Karyasehat (MIKA) estimates that this year performance will be better with more hospitals in Java and the addition of treatment rooms. Last year, MIKA opened 3 new hospitals. Currently, MIKA is building a hospital in Sidoarjo with a capacity of 200 beds and a Kasih hospital in West Java with a capacity of 100 beds. Both facilities are targeted to start to operate in 2025. MIKA plans to establish a new hospital in Jabodetabek with a capex of IDR800-1 tn. Note that, MIKA posted revenue of IDR1.2 tn (+21% yoy) and net profit of IDR289 bn (+25% yoy) in 1Q24. Meanwhile, EBITDA margin rose 210 bps to 37% on the back of improved pharmaceuticals margins. In 1Q24, MIKA also managed to get discounts from drug suppliers, which was reflected in the decrease in drug costs. The share of BPJS revenue to MIKA's total revenue also decreased to 15.7% in 1Q24. MIKA posted positive growth in inpatient income of 6.6% yoy due to private patient income growth of 24.7% yoy exceeding BPJS revenue growth of 4.4% yoy. (Source : Kontan)