Company Coverage
Bumrungrad Hospital (BH TB): Robust Growth Expected In 3Q26
BUY (Maintained)
Current price:
Target price:
Upside:
Previous TP :
Bt189.00
Bt240.00
+24.9%
Bt236.00
Analyst
Analyst
Nonpawit Vathanadachakul
Highlights
- We expect BH to report a robust net profit of Bt2.1b (+3.5% yoy, +11.5% qoq) in 3Q26.
- Middle East patient inflow is strong in 3Q26 despite the ongoing tension in the Middle East and the robust inflow is expected to continue in 4Q26
- We remain optimistic about BH and maintain it as one of our top picks due to the strong supporting factors in 3Q26 and onwards. Maintain BUY with a higher target price of Bt240.00 (previously Bt236.00).
Analysis
- Robust earnings growth expected in 3Q26. Bumrungrad Hospital (BH) should report a net profit of Bt2.1b (+3.5% yoy, +11.5% qoq) in 3Q26. We expect the top-line in 3Q26 to be at Bt6.8b (+4.2% yoy, +8.5% qoq), showing strong growth in the inflow of Middle Eastern patients during the peak season. Despite the ongoing war in the Middle East, we still expect the traffic of Middle East patients in 3Q26 to be strong and exceed the management’s guidance of around 3% yoy growth in top-line. We expect a slight expansion in gross margin yoy and qoq, proportionate to the growth in high-margin Middle East patient arrivals. Furthermore, we expect BH to remain disciplined with their cost-saving measures which should result in strong margins in 3Q26 on the reduction of SG&A expenses. As a result, we expect the margins to expand both yoy and qoq in 3Q26.
Highlights
- We expect BH to report a robust net profit of Bt2.1b (+3.5% yoy, +11.5% qoq) in 3Q26.
- Middle East patient inflow is strong in 3Q26 despite the ongoing tension in the Middle East and the robust inflow is expected to continue in 4Q26
- We remain optimistic about BH and maintain it as one of our top picks due to the strong supporting factors in 3Q26 and onwards. Maintain BUY with a higher target price of Bt240.00 (previously Bt236.00).
Analysis
- Robust earnings growth expected in 3Q26. Bumrungrad Hospital (BH) should report a net profit of Bt2.1b (+3.5% yoy, +11.5% qoq) in 3Q26. We expect the top-line in 3Q26 to be at Bt6.8b (+4.2% yoy, +8.5% qoq), showing strong growth in the inflow of Middle Eastern patients during the peak season. Despite the ongoing war in the Middle East, we still expect the traffic of Middle East patients in 3Q26 to be strong and exceed the management’s guidance of around 3% yoy growth in top-line. We expect a slight expansion in gross margin yoy and qoq, proportionate to the growth in high-margin Middle East patient arrivals. Furthermore, we expect BH to remain disciplined with their cost-saving measures which should result in strong margins in 3Q26 on the reduction of SG&A expenses. As a result, we expect the margins to expand both yoy and qoq in 3Q26.
BUY (Maintained)
Current price:
Target price:
Upside:
Previous TP :
Bt189.00
Bt240.00
+24.9%
Bt236.00
Analyst
Analyst
Nonpawit Vathanadachakul
IMPORTANT NOTICE - DISCLOSURES AND DISCLAIMERS
This report is provided subject to, and must be read together with, the full Disclosures / Disclaimers available at this link, which are incorporated by reference into this report. In particular, this report is intended for general circulation and informational purposes only and does not constitute personal investment advice or a recommendation to buy or sell any investment product or security. You should independently evaluate the information and, where necessary, seek advice from a qualified financial adviser regarding the suitability of any investment. Analyst certifications required under applicable regulations, including SEC Regulation AC (where relevant), are included in this report. By accessing, receiving or using this report, you acknowledge that you have read, understood and agreed to be bound by the Disclosures / Disclaimers, as may be amended, supplemented or updated from time to time.
