Group CEO, IHH Healthcare
This strategy is not a series of standalone initiatives. It is the framework through which we strengthen performance, reshape care delivery and position IHH for long-term sustainable and profitable growth.
Dear Stakeholders,
FY2025 marked an important inflection point for IHH. Amid global medical inflation, talent constraints and geopolitical uncertainties, we stayed disciplined in execution while advancing a Group-wide transformation strategy to future-ready our organisation. This strategy is not a series of standalone initiatives. It is the framework through which we strengthen performance, reshape care delivery and position IHH for long-term sustainable and profitable growth
Our transformation is anchored on seven key focus areas spanning new care models, advancement of clinical excellence and acceleration of digital and technological capabilities. Together, these priorities guide how we allocate capital, build capabilities and enhance productivity across markets.
During the year, this clarity of direction was reflected in the refresh of IHH’s corporate identity. It marked a renewed articulation of who we are as One IHH and how we intend to lead the next phase of healthcare evolution.
Transformation, however, extends beyond our hospitals. Sustainable healthcare requires coordination and concerted efforts across the ecosystem. Through FutureHealth.Now and the 7th Forum Ilmuwan Malaysia MADANI, we convened policymakers, providers, payors and industry leaders to address affordability, sustainability and emerging care models.
These engagements reinforce our belief that long-term growth must be supported by system-wide solutions.
Importantly, this strategic direction translated into tangible operational and financial outcomes in FY2025, outlined below.
2025 in Review
Our strategic priorities translated into resilient core performance in FY2025.
On a constant currency basis, core revenue increased 18% to RM26.2 billion, while core PATMI excluding exceptional items rose 3% to RM2.3 billion. This reflected strong execution particularly in Malaysia and India, alongside continued operational discipline across our portfolio.
On a reported basis, revenue rose 6% to RM25.7 billion and EBITDA increased 3% to RM5.6 billion. Reported PATMI declined 21% to RM2.1 billion, primarily due to unrealised foreign exchange translation losses arising from a stronger Ringgit. Excluding exceptional items, PATMI grew 8% to RM1.8 billion, demonstrating the strength of our underlying operations.
Return on equity, excluding exceptional items and MFRS129 adjustments, was approximately 9% for FY2025. We remain firmly on track towards our target of achieving double-digit ROE by 2028.
In recognition of our performance and confidence in the Group’s outlook, the Board approved a higher dividend of 10.5 sen per share for FY2025, an increase from 10.0 sen per share in FY2024.
Our gearing levels remain healthy, with net debt to EBITDA at 2.5 times as at 31 December 2025, providing the flexibility to fund growth while maintaining prudent capital management.
Operationally, we recorded double-digit growth in medical tourism and daycare services in Malaysia, alongside higher inpatient admissions across several markets driven by more complex and acute cases. These trends reinforce our positioning in higheracuity care segments and support sustainable earnings quality.
Delivering on Our Priorities
Our growth strategy remains disciplined and anchored on longterm value creation. In FY2025, we made measurable progress across our key growth priorities.
Driving organic growth: We added more than 1,400 beds across all markets in FY2025, bringing us closer to our goal of adding 4,000 beds by 2030. Capacity expansion is aligned with demand trends and rising case complexity, strengthening our position in higher-acuity care.
Expanding across the healthcare continuum: We opened three new ambulatory care centres, Mount Elizabeth Royal Square in Singapore, Gleneagles MediCentre in Hong Kong, and Parkway MediCentre Xintiandi in Shanghai. These centres enable better patient access, optimise hospital capacity and support a more cost-effective care model by decanting lower-acuity cases.
Capturing inorganic opportunities: We remain selective in pursuing acquisitions that complement our portfolio and meet our financial and strategic criteria. In FY2025, we acquired the 228-bed Shrimann Superspecialty Hospital in Jalandhar, India, now called Fortis Hospital Jalandhar, strengthening our presence in a growing catchment and expanding our clinical capabilities in North India.
Developing new growth engines: In 2025, we marked our first foray into the step-down care segment with the opening of our new Transitional Care Facility @ Upper Changi Road, Singapore. The new 200-bedder facility cares for lower risk, chronic disease patients or for those waiting for nursing home places. This facility aims to ease the heavy workload in the public acute hospitals and also doubles up as a treatment facility for the next pandemic, if and when it arises.
Turning around underperforming assets: In Hong Kong, we continued to enhance service breadth and clinical capability at Gleneagles Hospital Hong Kong. With greater volumes of inpatient admissions and higher revenue intensity, Gleneagles Hospital Hong Kong has achieved PATMI breakeven in December 2025. Our Hong Kong operations continue to grow with the opening of our new ambulatory care centre in Admiralty and strategic partnerships to scale AI-enabled clinical services for patients. These initiatives strengthen access and enhance integration across our North Asia network.
In collaboration with payors, we progressed value-based care initiatives to address medical cost inflation and align incentives across stakeholders. As the first private healthcare provider in Asia to implement a structured value-driven outcomes framework, we are working to ensure that quality, efficiency and affordability remain central to care delivery.
Performance Across Our Markets
Across our markets, performance reflected local demand dynamics but was guided by a common emphasis on higher-acuity care, productivity and integration.
Malaysia
Efforts were focused on expanding capacity and strengthening specialist services across key hospitals. Medical tourism recorded strong double-digit growth, and Island Hospital Penang was recognised as Malaysia’s First Flagship Medical Tourism Hospital, reinforcing our leadership in cross-border care.
We also broke ground on Gleneagles Hospital Kuching, a 200- bed facility scheduled for completion in 2028, expanding access to high-quality care in East Malaysia and supporting long-term regional demand.
Singapore
The completion of Project Renaissance and the reopening of all 18 wards at Mount Elizabeth marked a significant milestone. The hospital now integrates enhanced digital systems and advanced technologies to improve operational efficiency and patient experience.
We also became the first private healthcare operator to fully participate in Singapore’s National Electronic Health Record system, strengthening care continuity and clinical safety.
Türkiye and Europe
Acibadem Kent Hospital doubled its indoor space and enhanced specialist capabilities. This strengthened our capacity to meet rising demand for complex care in an ageing population while reinforcing our clinical leadership in the region.
India
IHH advanced collaboration between Fortis Healthcare and Gleneagles Hospitals, creating a broader network across 11 states and unlocking operational synergies at scale. The completion of the Fortis mandatory tender offer further strengthens our position to expand the network and capture long-term growth opportunities in this key market.
We also launched the Fortis Institute of Genomic Medicine in Gurugram, expanding access to precision diagnostics in oncology, cardiology and neurology and strengthening our capabilities in complex care.
Brunei
Gleneagles JPMC enhanced its cardiac services with the introduction of an advanced image-guided therapy biplane system, enabling more precise and minimally invasive procedures.
Greater China
We continued advancing our out-of-hospital strategy with new ambulatory centres in Hong Kong and Shanghai, bringing care closer to patients while supporting better asset utilisation across the network.
Looking Ahead
The progress achieved in FY2025 reinforces the strength of our transformation agenda. While near-term conditions remain dynamic, structural demand for quality healthcare across our markets continues to support long-term growth.
Our IHH 2030 Strategy provides a clear roadmap to translate clinical leadership and innovation into sustainable returns. Through disciplined capital allocation, productivity gains enabled by technology, and a more integrated One IHH platform, we are positioning the Group to achieve double-digit ROE by 2028 while delivering lasting value for all our stakeholders, including patients, partners and shareholders.
We will continue to scale new care models, deepen clinical capabilities, advance digital and AI-enabled care, and expand our footprint across the healthcare continuum. At the same time, we will continue strengthening operational performance, enhancing patient and employee experience, and improving returns across our portfolio.
I would like to thank our colleagues and stakeholders for their continued trust and support as we build the next chapter of IHH’s growth and continue our aspiration to Care. For Good.
Dr Prem Kumar Nair
Group Chief Executive Officer
