Burjeel Holdings Initiates 10% Share Buyback Programme Amidst Robust Financial Performance

Burjeel Holdings, a prominent super-specialty healthcare provider in the MENA region, has announced that its Board of Directors has authorised management to explore a share buyback programme of up to 10% of the group’s share capital. This initiative is pending approval from shareholders and the Securities and Commodities Authority.

The company plans to execute the buyback through open market purchases, fully funded by its operating cash flow. Following the repurchase, management is evaluating various options for the acquired shares, including potential resale based on market conditions, allocation to long-term incentive plans, or other regulator-approved strategies that support broader capital management objectives.

This move reflects the Board’s confidence in Burjeel Holdings’ significant growth potential over the mid and long term. The company’s financial performance has been robust, with a notable acceleration in revenue growth. In the third quarter of 2024, Burjeel Holdings reported a 14% increase in revenue, driven by a 12% rise in patient footfall and improved yield. This growth is attributed to enhanced super-specialty capabilities and strategic investments aimed at propelling future profitability.

The Hospital segment experienced a 10.5% increase in revenue during the first nine months of 2024, with EBITDA rising by 8.2%. The Medical Centers segment also demonstrated strong performance, achieving a 14.3% revenue growth in the third quarter and 13.7% over the nine-month period. Key contributors to this growth included specialty care departments such as orthopedics, pediatrics, obstetrics and gynecology, and ENT.

Burjeel Medical City , the group’s flagship facility, reported sustainable revenue growth of 16.5% in the third quarter and 19.3% over the nine months of 2024. This was supported by a 30.9% increase in patient footfall, particularly in medical oncology, which saw a 45% year-on-year growth and accounted for 40% of the total incremental revenue. Bed occupancy at BMC rose to 60% during this period, an increase of 15 percentage points.

The company’s strategic expansion efforts have been evident, with the launch of new centers in the UAE and Saudi Arabia. These initiatives are aligned with the UAE’s healthcare strategy and are expected to drive significant margin growth as capacity utilization and patient conversion continue to improve.

In addition to organic growth, Burjeel Holdings has been active in strategic acquisitions. The company recently acquired an 80% stake in Advanced Care Oncology Center for AED 92 million, further strengthening its position in the oncology sector.