Raffles Medical Group to get higher margins amidst China reopening

Elective surgery revival will benefit the hospital group.

With China easing its borders, Raffles Medical Group will gain higher margins due to the return of elective surgeries, which were suspended during the surge of infections.

UOBKayHian said the medical group’s Chinese operations were hit by restrictions, which disrupted operations and depressed patient load. 

This after the mainland removed most of its restrictions  in January to boost its economy.

As a result, the timeline for the medical group’s EBITDA breakeven level for Raffles Hospital Chongqing is expected in the third quarter of 2023, and for Raffles Hospital Shanghai is pushed back to 4Q25.