Abu Dhabi-based NMC Health said it expects the removal of Thiqa co-payments for Emirati patients in Abu Dhabi to positively affect its operating profit for the year ahead, with earnings for 2017 to come in around the top of its guidance for the year.
The company’s shares, listed on the London Stock Exchange, on Tuesday rose in early trading to their highest level since their listing in 2012.
Sheikh Mohammed bin Zayed, Crown Prince of Abu Dhabi and Deputy Supreme Commander of the Armed Forces, last week said that Emiratis in Abu Dhabi holding Thiqa health insurance cards will be exempt from paying 20 per cent of private treatment costs, reversing a policy introduced in July of last year.
“NMC expects these changes to positively impact its entire healthcare portfolio,” the company said in a statement on the London Stock Exchange.
“In particular, NMC Royal Hospital, Al Zahra Hospital and Fakih IVF are anticipated to be key beneficiaries of the revised regulations.”
NMC now expects full-year earnings before income tax, depreciation and amortization to be towards the top end of the current guidance range of US$335 million to $350m.
The company’s shares rose as much as 2.6 per cent in early trading on Tuesday.
HSBC last week revised its target price for the stock to £20.23 from £19.80 previously.
NMC, which operates 12 healthcare facilities in the UAE, said that the 50 per cent co-payment requirement for Thiqa cardholders in non-Abu Dhabi hospitals had been cut to 10 per cent.
jeverington@thenational.ae
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