National Medical Care Co. (Care) CEO Abdulaziz Alobaid
Abdulaziz Alobai, CEO of National Medical Care Co., said that Q3 2023 profit was buoyed by the higher number of visits, a positive price adjustment for the Ministry of Health and a disciplined cost management approach.
The strong results were also backed by the continued participation and support of key partners, which will help Care maintain such outstanding results, Alobaid added in a phone call with Argaam.
Hospitals witnessed growth in business with government entities during the third quarter. In addition, the company raised its rates for the Ministry of Health as Care’s facilities achieved HIMSS accreditation in Q1 2023.
Growth in the ministry’s rates and revenue improvement was encouraging, though the company sealed an agreement with the Ministry of National Guard for long-term care services during Q2 2023, Alobaid added.
As for the revenue growth in the third quarter, the company's focus was on strengthening relationships with partners and meeting their specific needs. The company's hospitals obtained the Commission on Accreditation of Rehabilitation Facilities (CARF) accreditation, which contributes to providing the best services and enables facilities for rehabilitation services.
Care’s hospitals experienced an upsurge in the number of inpatient and outpatient visits during the third quarter. These hospitals continue to enhance patient experience and attract highly qualified doctors.
Additionally, he underscored that the growth in business serves as a direct indicator of increased economic activity in Riyadh, aligning with the objectives of Vision 2030.
He pointed out that the company is working to collect receivables from customers and invoices from the National Guard related to past-due receivables, adding that Care seeks to maintain current insurance balances with partners and keep the settlement periods updated.
The company books provisions against unpaid receivables in line with the IFRS requirements, and writes off the provisions carried forward against these receivables once the amount is collected.
Al-Obaid revealed that Jiwar Medical Services will be officially launched during Q4 2023, noting that since its acquisition, the company has recorded the costs of employees and facilities.
Care’s Q3 2023 net profit reached SAR 73.4 million, driving the nine-month bottom line 55% year-on-year higher to SAR 177.5 million, Argaam reported.
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