Abu Dhabi’s Burjeel Holdings reports 11% revenue growth on higher patient footfall

Burjeel Holdings

Abu Dhabi-based healthcare provider, Burjeel Holdings, has reported significant growth in revenue for the first quarter of 2024, marking an 11.1% increase to Dh1.2 billion compared to the same period last year. The surge in revenue was supported by a 16% rise in adjusted net profit to Dh141 million.

The company's performance was primarily driven by an 11% increase in inpatient footfall across its 17 hospitals and 42 medical centers located in the UAE, Oman, and recently expanded operations in Saudi Arabia. Notably, Burjeel Medical City (BMC), the flagship quaternary care hospital, recorded impressive growth of 21.8% at Dh283 million, contributing significantly to the overall revenue.

A key highlight was the substantial 31% jump in net profit from all hospitals, reaching Dh137 million. This growth underscores the effectiveness of Burjeel's strategic focus on expanding its super-specialty services, including the introduction of innovative treatment centers such as the thyroid parathyroid center and the OncoHelix-CoLab.

CEO John Sunil expressed confidence in meeting the company's 2024 guidance, projecting a mid-teen increase in revenue growth and improved EBITDA margins. He attributed this positive outlook to continued investments in complex care, resulting in higher yield inpatient footfall, enhanced operational efficiencies, and reduced finance costs.

In addition to its robust performance in the UAE and Oman, Burjeel's expansion plans in Saudi Arabia are progressing well. The company recently launched 13 new PhysioTherabia health and wellness centers in partnership with Leejam Sports Company, aiming to reach a total of 60 centers in Saudi Arabia by the end of next year. This expansion aligns with Burjeel's strategy to tap into high-potential growth areas and strengthen its position in the healthcare sector.

Looking ahead, Burjeel remains optimistic about its mid- and long-term growth prospects, fueled by favorable macroeconomic conditions in the UAE and Saudi Arabia. With anticipated mid-term GDP growth, rapid population expansion, and increasing demand for healthcare services, the company is poised for sustained revenue growth, particularly driven by BMC, which is expected to exceed 30%.