Sunway Healthcare Holdings Bhd saw its net profit decline 14% to RM33.33 million in the first quarter ended March 31, 2026, down from RM38.75 million a year earlier [1, 2, 3, 4, 5]. The company's quarterly revenue increased 23.8% year-on-year to RM587.05 million from RM474.05 million during the same period [1, 2, 3, 4, 5]. Earnings per share fell to 0.29 sen from 0.34 sen previously [1].

The profit decline was mainly driven by higher operating costs associated with capacity expansion and expenses tied to its recent IPO process, according to company statements [1, 2, 3, 4, 5]. Hospital operations accounted for RM576.82 million of revenue and generated RM44.01 million in profit before tax for the quarter [1, 2]. Meanwhile, the group's other segments such as senior living, ambulatory care, traditional medicine, and healthcare support together posted RM10.23 million in revenue but recorded a slight loss before tax of RM100,000 [1, 2].

Sunway Healthcare's total licensed bed count rose 22% year-on-year to 1,805, with total bed capacity reaching 1,982 as of March 31, 2026 [1, 2]. Bed usage rate remained steady at 68% during the quarter [3, 4, 5]. Inpatient admissions increased 15% year-on-year to 28,936, while average revenue per inpatient admission climbed 10% to RM12,458 [1, 2, 3, 4, 5]. Revenue from foreign patients surged 47.3% to RM86.6 million, driven largely by visitors from Indonesia, China, and Cambodia [1, 2]. Outpatient visits rose 13%, and daycare patient numbers increased 19%, reflecting healthy patient growth [6, 7].

Tax expense before profit dropped 7% to RM43.9 million year-on-year [3, 4, 5]. On February 4, Sunway Healthcare declared and paid an interim single-tier dividend of 8.24 sen per share amounting to RM100 million. Earlier, on March 19, a dividend of 0.3 sen per share totaling RM5.24 million was paid to Greenwood Capital Pte Ltd ahead of the IPO listing [1, 2].

Following the earnings announcement, Sunway Healthcare’s stock price slipped as much as 2% before paring losses to close at RM1.82 per share on May 21, 2026 [6, 7]. Analysts from Maybank Investment Bank attributed the softer quarterly results to festive and holiday-related disruptions such as Chinese New Year, Hari Raya, and school holidays, which tend to cause patients to postpone non-urgent treatments [6].

Sunway Healthcare aims to add 461 beds by 2028 to increase total operating beds from 1,982 in 2025 to 2,443, representing a 7.2% compound annual growth rate over three years. Long-term expansion plans include new developments in Seremban Sentral, Iskandar, and Putrajaya that could add 985 beds beyond 2028 [6, 7]. The company said, "We remain cautiously optimistic for FY2026, supported by resilient demand for private healthcare services, ongoing capacity expansion and medical tourism growth, while remaining mindful of geopolitical-related cost pressures" [1].