Lippo Village, Tangerang, Indonesia
Monday, April 30, 2018
PT Siloam International Hospitals Tbk (“Siloam”) today announced financial results for the three months ended March 31, 2018, where Siloam recorded Gross Operating Revenue (“GOR”) of Rp 1.4 trillion, up 12.4% yoy.
The GOR of 8 mature hospitals were up by 7.8% yoy to Rp 742.1 billion from Rp 688.1 billion, contributing 35.4% to the GOR growth. The 9 developing hospitals’ GOR were up by 4.9% yoy to Rp 444.9 billion from Rp 424.3 billion, representing 13.5% of the GOR growth. The 8 new hospitals opened in 2017 booked Rp 61.5 billion GOR, up 548.9% yoy from Rp 9.5 billion, contributing 34.1% to the GOR growth.
Net Operating Revenue (“NOR”) grew to Rp 1.1 trillion, up by 11.0% yoy, while Gross Profit amounted to Rp 643.5 billion, up by 10.3% yoy. Earnings Before Interest, Tax, Depreciation and Amortization (“EBITDA”) down by 1.9% yoy to Rp 182.5 billion due to increase in operating expenses and rental charges. Net Profit were recorded at Rp 0.5 billion, down 98.8% yoy due to the 21% increase in depreciation as a result of asset acquisition that was done in Q4 2017. On volume, Siloam continues to record modest growth in Q1 2018. Out-patient (“OPD”) visits grew by 13.7% yoy, while In-patient (“IPD”) admissions grew by 13.1% yoy. Bed Occupancy Rate (”BOR”) was recorded at 54.6%.
Siloam Hospitals Silampari (“SHLL”) in Lubuk Linggau which was opened in mid-January 2018 has served over 730 OPD visits and 60 IPD admissions with 69 operational beds. The 175-bed capacity hospital is in the process of registering the hospital to accept BPJS Kesehatan patients.
Aside from announcing Q1 2018 financial results, Siloam also announced the opening of Siloam’s 33rd hospital, Siloam Hospitals Jember (“SHJR”) in the province of East Java. SHJR is a 323-bed capacity hospital located in Jember Regency, ±200 km south east of Surabaya city, where Siloam Hospitals Surabaya is situated. Jember Regency is populated with over 2.4 million people, where its administrative capital, urban area of Jember, is the third biggest urban area in East Java (after Surabaya and Malang) with over 330 thousand residents. Jember is well known as the venue of one of the biggest annual carnival in Indonesia, Jember Fashion Carnaval (“JFC”). Every year, JFC attracts hundreds of domestic and foreign tourists, who come to see the unique carnival costumes showcasing culture from various regions in Indonesia on a 3.6 km long catwalk across the town. SHJR operates in a ±21,259 sqm thirteen storey building on ±12,092 sqm integrated land with Lippo Plaza Jember, Aryaduta Hotel and Dian Harapan School. The hospital is equipped with state-of-the-art medical equipment such as 1.5T MRI, 64-slice CT-Scan & mammography and supported by 24 specialists, 9 general practitioners as well as 58 nurses. In the future, the hospital will be registered to serve BPJS Kesehatan patients.
Ketut Budi Wijaya, President Director of Siloam stated, "Regardless of the challenging market, we recorded modest growth of 12.4% in GOR and double-digit growth in volume. The implementation of our expansion plan has been encouraging and I am happy to announce that we have open another hospital located in Jember. With only 12 existing hospitals in Jember, the opening of SHJR will increase the accessibility to healthcare for not only people in Jember but also people in surrounding regencies such as Lumajang, Banyuwangi, Bondowoso and Situbondo. Often the residence of these regencies must travel all the way to Surabaya for their healthcare treatment. We believe with the opening of SHJR, these people will have high quality and affordable healthcare closer to home.”
Siloam is a subsidiary of PT Lippo Karawaci Tbk (“LPKR”), the largest listed property company in Indonesia by total assets and revenues, anchored by a large land bank and solid recurring income base. LPKR's businesses comprises of Residential/Township, Retail Malls, Hospitals, Hotels and Asset Management.
Siloam now operates 33 hospitals in 24 cities and 16 clinics in 8 cities throughout the country receiving more than 2 million visits & admissions and carrying out more than 55,300 surgeries every year. The 6,800 beds capacities are supported by about 2,700 specialists and general practitioners as well as over 10,000 nurses and support staff. It also manages the first JCI accredited hospital in Indonesia and a repeat winner of “Frost & Sullivan, Indonesia’s Healthcare Service Provider of the Year”. Siloam is listed on the Indonesian Stock Exchange under the ticker name “SILO” and a market capitalization of Rp 11.7 trillion or USD 843.4 million as of April 27, 2018.
For more information, please contact:
Anastasia Trivena Haliem
Investor Relations Manager
Siloam Hospitals Group
This press release has been prepared by PT Siloam International Hospitals Tbk (“Siloam”) and is circulated for the purpose of general information only. It is not intended for any specific person or purpose and does not constitute a recommendation regarding the securities of Siloam. No warranty (expressed or implied) is made to the accuracy or completeness of the information. All opinions and estimations included in this release constitute our judgment as of this date and are subject to change without prior notice. Siloam disclaims any responsibility or liability whatsoever arising which may be brought against or suffered by any person as a result of reliance upon the whole or any part of the contents of this press release and neither Siloam nor any of its affiliated companies and their respective employees and agents accepts liability for any errors, omissions, negligent or 3 otherwise, in this press release and any inaccuracy herein or omission here from which might otherwise arise.
Forward-Looking Statements. Certain statements in this release are or may be forward- looking statements. These statements typically contain words such as "will", "expects" and "anticipates" and words of similar import. By their nature, forward looking statements involve a number of risks and uncertainties that could cause actual events or results to differ materially from those described in this release. Factors that could cause actual results to differ include, but are not limited to, economic, social and political conditions in Indonesia; the state of the healthcare industry in Indonesia; prevailing market conditions; increases in regulatory burdens in Indonesia, including environmental regulations and compliance costs; fluctuations in foreign currency exchange rates; interest rate trends, cost of capital and capital availability; the anticipated demand and selling prices for our healthcare and related capital expenditures and investments; the cost of construction; availability of healthcare; competition from other companies and venues; shifts in customer demands; changes in operation expenses, including employee wages, benefits and training, governmental and public policy changes; our ability to be and remain competitive; our financial condition, business strategy as well as the plans and objectives of our management for future operations; generation of future receivables; and environmental compliance and remediation. Should one or more of these uncertainties or risks, among others, materialize, actual results may vary materially from those estimated, anticipated or projected. Specifically, but without limitation, capital costs could increase, projects could be delayed and anticipated improvements in production, capacity or performance might not be fully realized. Although we believe that the expectations of our management as reflected by such forward-looking statements are reasonable based on information currently available to us, no assurances can be given that such expectations will prove to have been correct. You should not unduly rely on such statements. In any event, these statements speak only as of the date hereof, and we undertake no obligation to update or revise any of them, whether as a result of new information, future events or otherwise.