Message from the Board of Directors

Development of Technology for Treatment and Expansion of Service

In 2024, there is a growing trend among the public toward taking better care of health management and focusing on preventive healthcare particularly through comprehensive annual health check-ups and adopting lifestyle changes that promote longevity. Additionally, the continuous development of new medical technologies will significantly assist doctors and healthcare professionals in diagnosing and planning patient treatments with greater precision. This will also enhance the effectiveness of medical care. In line with this, BCH has commenced operations at Kasemrad Ari Radiation Oncology Clinic, which has been certified with the ISO 9001:2015 standard for radiation therapy services. The clinic is equipped with state-of-the-art equipment designed to improve treatment outcomes together with minimize side effects for cancer patients. Initially, BCH will provide services to patients under the social security scheme to reduce the cost of referring patients to hospitals outside the network, with plans to expand services to other patient groups in the near future. Furthermore, BCH has partnered with various companies and government sectors to launch mobile annual health check-up units. These units aim to detect early-stage health risks or abnormalities, allowing for timely interventions that can prevent the progression of diseases and enable prompt treatments. To complement the mobile health check-up services, BCH has also launched mobile dental units that will serve in five provinces: Bangkok, Nonthaburi, Pathum Thani, Nakhon Ratchasima and Rayong. This initiative is designed to expand proactive dental services to patients at all levels.

Enhancement of Service Quality and Standards

For the hospitals under Kasemrad network, Kasemrad International network, World Medical Hospital and Karunvej Hospital, across its 15 branches and 2 polyclinics, we are dedicated to continuously enhancing the quality and standards of our services. This is achieved through the expansion of specialized medical centers such as WMC New Frontier Cancer Center providing alternative cancer treatment, comprehensive heart center offering services for referral patients in Chachoengsao and surrounding provinces and Kasemrad Plastic Surgery (KPS) for aesthetic surgeries. Additionally, we have made significant improvements to hospital facilities to optimize service areas and attract new patient groups, particularly at Kasemrad Hospital Prachachuen, Kasemrad Hospital Pathumthani and Kasemrad Hospital Bangkae. In 2024, BCH provides 684 examination rooms, an increase of 12.9 percent as well as 2,323 licensed beds, an increase of 3.1 percent compared to the previous year.

Stable and Sustainable Business Growth

Despite the adverse impact on revenue from international patients, particularly from Kuwaiti patients who have deferred seeking treatment in other countries, as well as the reduction in revenue from complex treatments (RW>2) under social security scheme. BCH has reported total revenue of 11,832.4 million Baht, which is similar to the previous year. The increase in revenue mainly comes from outpatient services for both Thai and foreign patients, particularly from CLMV1 patients, which rose by 9.9 percent. This growth is partially attributed to newly opened hospitals, including Kasemrad International Hospital Aranyaprathet, Kasemrad International Hospital Vientiane, Kasemrad Hospital Sriburin, and Kasemrad Hospital Maesai, which is strategically located near the Maesai and Tachileik area, adjacent to the Thai-Myanmar border. The company reported earnings before interest, taxes, depreciation and amortization (EBITDA) of 2,708.7 million Baht, a decrease of 6.7 percent compared to the previous year, with an EBITDA margin of 22.9 percent. The net profit attributable to the company amounted to 1,282.4 million Baht, reflecting an 8.8 percent decline from the previous year. The company achieved a net profit margin of 10.8 percent. Excluding the non-recurring items, the company’s normal operations would have reported a net profit of 1,411.3 million Baht, with a net profit margin of 11.7 percent, which is similar to the previous year’s performance.

Operating with Transparency to Create Lasting Value

In addition to conducting business, the Company be aware of the importance of sustainability activities aiming to create positive impacts on the community, society and the environment. This includes employee engagement and collaboration with business partners in the supply chain. BCH is dedicated to strengthening in all aspects such as promoting the use of renewable energy, effective waste management, community healthcare and the enhancement of medical personnel and staff to strengthen the organization internally. The company has been recognized by several leading organizations for its sustainability measure and corporate governance, receiving an "AA" in SET ESG Rating from the Stock Exchange of Thailand. BCH is also a member of the Thai Private Sector Collective Action Coalition Against Corruption (Thai CAC), has been certified with an "Excellent" corporate governance rating from the Thai Institute of Directors (IOD) and has achieved a 100 percent rating for six consecutive years in the shareholder meeting quality assessment program. The company has also been ranked for its outstanding ESG performance by the Thaipat Institute. Furthermore, BCH has been assigned an "A" credit rating with a "Stable" outlook by TRIS Rating, reflecting the company's strong financial statement.

In conclusion, on behalf of Bangkok Chain Hospital Public Company Limited, the Board of Director would like to share my gratitude to shareholders, customers, financial institutions, government and private agencies, including all business partners for your trust and support as always. The Company will be dedicated to conducting business based on building long-term value with fairness under the principles of good corporate governance.

Note: ¹ CLMV patients is the patients from Cambodia, Laos, Myanmar, and Vietnam.