Primaya Hospital Group: Steady Growth Amidst Operational Shifts

Primaya Hospital Group (PRAY) delivered a resilient performance in the second quarter of 2025, sustaining revenue and volume growth while navigating continued patient mix transitions and margin pressures. Management remains committed to its full-year guidance, supported by disciplined execution and expanding capacity.

PRAY reported 2Q25 revenue of IDR 558.4 billion, representing a 3.0% increase QoQ and 8.1% growth YoY. EBITDA reached IDR 120.5 billion, up 6.3% QoQ and 1.6% YoY, while EBITDA margin stood at 21.6%, compared to 23.4% in 1Q25 and 22.9% in 2Q24. The modest margin compression reflects ongoing shifts in patient mix and preparatory costs for upcoming hospital launches.

Operationally, inpatient days rose 4.7% QoQ to 100,005, though they were down 2.4% YoY as the industry continues to absorb structural changes in treatment classification. Outpatient visits grew 0.4% QoQ and 6.7% YoY to 427,995, underscoring continued resilience in the outpatient segment. Bed occupancy improved to 49.3% from 46.4% in Q1, though remained below 58.2% in the prior year due to recent capacity additions.

On the expansion front, construction of new facilities is progressing, though timelines have shifted. Primaya Hospital Kelapa Gading is now expected to open in October 2025, while Primaya Hospital BSD is slated for launch in 1Q26. As of June 2025, PRAY has realized 60% of its IDR 900 billion capex budget, reflecting strong execution momentum in the second quarter.

From a regulatory and market perspective, PRAY continues to adapt to evolving BPJS referral and classification policies, while also strengthening partnerships with private insurers. Early signs indicate improving insurance contributions and stable patient acquisition despite macroeconomic headwinds.

Looking ahead, management remains optimistic on achieving its FY25 guidance of 15% revenue growth and 20% EBITDA growth, with the second half expected to benefit from stronger inpatient recovery, ongoing operational efficiencies, and contributions from new hospital capacity.