NASSAU, BAHAMAS- Doctors Hospital Health System Limited (DHHS), a BISX-listed healthcare provider, reported a net profit of $2.94 million for the nine months ended October 31, 2024 — a significant decline from the $7.3 million recorded in the same period in 2023. The drop in earnings was primarily attributed to a shift in patient volume from inpatient to outpatient services, coupled with rising operational costs.
Felix Stubbs, Chairman of the Board, told shareholders in the company’s financial results for the nine months ended October 31, 2024 that while profitability declined, the company is undergoing a strategic transformation to meet changing healthcare demands. He highlighted that investments in new outpatient locations and improvements in operational processes are expected to strengthen the organization in the long term.
Total net patient services revenue rose by $3.85 million, or 4.54 percent, compared to the third quarter of 2023. This growth was largely fueled by a 66.53 percent surge in revenue from outpatient facilities, reflecting the company’s expansion in New Providence and Grand Bahama. However, this was tempered by a decline in inpatient activity, with total inpatient days falling 25.91 percent year-over-year, from 10,794 to 7,997.
Operating expenses increased by $8.12 million, or 9.96 percent, over the prior-year period. Personnel costs rose by 19.11 percent, or $6.6 million, due to increased staffing and enhanced employee benefits. Medical supply expenses climbed 52.08 percent, or $3.83 million, resulting from higher patient volumes and prior-year inventory adjustments.
Other operating expenses rose by 24.22 percent, in line with the expanded number of service locations. Meanwhile, the company saw a notable improvement in its collections process, which led to a 61.14 percent decrease in bad debt expense — saving $3.55 million compared to the previous year.
Despite revenue growth, net income margin dropped to 3.18 percent, down from 8.23 percent in the same period last year — a result of shifting care patterns and cost pressures.
