Dallah Healthcare Achieves 31.2% Profit Growth, Reaching SAR 360 Million by End of 2023

Dallah Healthcare Company reported a significant increase in net profit for the year ending December 31, 2023, reaching 360 million riyals compared to 274.4 million riyals in the preceding year, marking a growth of 31.2%. This announcement follows the release of the annual financial results for the same period.

Operating profit also saw a notable rise, reaching 506.3 million riyals by the end of December 2023, compared to 422.4 million riyals in the previous year, reflecting a 19.8% increase.

Total ownership rights (after excluding non-controlling interests) stood at 3.20 billion riyals last year, a substantial increase from 1.98 billion riyals in the preceding year, marking a growth of 60.9%.

Earnings per share for the year 2023 were reported at 3.7 riyals, compared to 3.05 riyals in the previous year.

The company’s revenues experienced a notable upsurge in 2023, climbing by 18.3% to reach SR 2,943 million, as opposed to SR 2,488 million in 2022. This increase was attributed to a rise in the number of visitors to the Group’s hospitals and an increase in occupancy rates in both inpatient and outpatient clinic departments, driven by expanded operational capacity.

The net profit for 2023 saw a substantial 31.2% increase, totaling SR 360.1 million compared to SR 274.5 million in 2022. This boost in profitability led to an increase in earnings per share, reaching 3.70 SR/share in 2023, up from 3.05 SR/share in 2022. Key factors contributing to this growth include:

1- A significant improvement in gross profit for 2023, reaching SR 1,079 million compared to SR 895 million in 2022, reflecting a 21% increase, driven by revenue growth.

2- Enhanced performance of associate companies, resulting in a decrease in the Company’s share of losses from SR 23 million in 2022 to SR 2 million in 2023, alongside the Company’s acquisition of additional interest in an associated company in 2023.

3- In 2022, a special provision for zakat amounted to SR 18.5 million due to initial Zakat assessments received by the group. In 2023, amended zakat assessments were received in favor of the Company, contributing to the improved financial performance.