Earnings Report /
Thailand

Bumrungrad Hospital PCL: 2Q22 beat! Target price upsized to Bt215

  • Beat us and the consensus

  • BH posted a 2Q22 net profit of Bt1,166m

  • BH announced a DPS for 1H22 of Bt1.15

Bualuang Securities
15 August 2022

The positive 2Q22 surprise will probably trigger a stock price rally. BH should post another strong quarter for 3Q22, reflecting its recovery from COVID-19 effects and its lean management structure. Our BUY call stands to a new YE22 DCF-derived target price of Bt215 (upsized from Bt190 to factor in our profit forecast upgrades).

Beat us and the consensus

BH posted a 2Q22 net profit of Bt1,166m, up by 439% YoY and 61% QoQ. Stripping out a Bt4m FX gain, core earnings would be Bt1,162m, up by 449% YoY and 60% QoQ. The core result was 52% above our estimate and 64% clear of the consensus (higher hospital revenue and a fatter GM, driven by fly-in patients). BH announced a DPS for 1H22 of Bt1.15, a 0.6% simple yield (XD Aug 25, payment Sep 8).