Dr. Soliman Abdel Kader Fakeeh Hospital Co. announces its Interim Financial results for the Period Ending on 2026-06-30 ( Six Months )

Fakeeh Care Group reported a 38% year-on-year decline in attributable net profit to SAR 96 million for the first half of 2026, despite total revenue increasing slightly to SAR 1,523 million. Excluding a non-recurring Hajj contract from the prior year, underlying revenue grew by 6% YoY, reflecting a steady growth trajectory across the Group's core operating platform.
New Business revenue from DSFH Riyadh and DSFH Madinah nearly doubled to SAR 238 million, now representing 15.6% of consolidated revenue as these facilities ramp up utilization. This growth helped offset margin pressures in the mature business segment, where EBITDA fell 12% YoY to SAR 219 million due to M&A-related expenses, lower home healthcare contributions, and the repricing of O&M contracts in NEOM.
The Group significantly expanded its Riyadh footprint by completing the SAR 1.6 billion acquisition of the 350-bed Dr. Mohammed Bin Rashid Al Fagih & Partners Company in July 2026. This acquisition creates a 535-bed two-site cluster in the capital and diversifies the Group’s payor mix by adding exposure to Network 6 / Class B insurance providers.
Operational metrics showed a strategic shift toward higher-acuity

Element List	Current Quarter	Similar quarter for previous year	%Change	Previous Quarter	% Change
Sales/Revenue	798.91	811.84	-1.592	724.15	10.323
Gross Profit (Loss)	174.98	180.62	-3.122	139.9	25.075
Operational Profit (Loss)	69.71	81.61	-14.581	44.61	56.265
Net Profit (Loss) Attributable to Shareholders of the Issuer	57.93	82.12	-29.456	38.41	50.82
Total Comprehensive Income Attributable to Shareholders of the Issuer	57.93	82.12	-29.456	38.41	50.82
All figures are in (Millions) Saudi Arabia, Riyals

Element List	Current Period	Similar period for previous year	%Change
Sales/Revenue	1,523.06	1,512.86	0.674
Gross Profit (Loss)	314.87	356.75	-11.739
Operational Profit (Loss)	114.32	158.59	-27.914
Net Profit (Loss) Attributable to Shareholders of the Issuer	96.34	154.32	-37.571
Total Comprehensive Income Attributable to Shareholders of the Issuer	96.34	154.32	-37.571
Total Shareholders Equity (after Deducting Minority Equity)	3,194.81	3,034.45	5.284
Profit (Loss) per Share	0.42	0.67
All figures are in (Millions) Saudi Arabia, Riyals

Element List	Amount	Percentage of the capital (%)
Profit (Losses) Resulting From The Change In Investment Propertie’s Fair Value	-	-
All figures are in (Millions) Saudi Arabia, Riyals

Element List	Explanation
The reason of the increase (decrease) in the sales/ revenues during the current quarter compared to the same quarter of the last year is	Revenue in 2Q26 was 799M or 1.6% lower from prior year, however, excluding the non-recurring Hajj contract recognized in 2Q25, revenue grew 7.6% year on year, reflecting the underlying growth across the Group's operating platform. The Group served 4% more patients in 2Q26 compared with 2Q25, with surgical procedures up 26%, supporting continued growth in higher-acuity activity. The Group's New Business revenue, comprising DSFH Riyadh and DSFH Madinah, grew by 93% year on year, supported by the deepening of DSFH Riyadh's service-line offering and the full-quarter contribution of DSFH Madinah.
The reason of the increase (decrease) in the net profit during the current quarter compared to the same quarter of the last year is	Although the number of patients served grew since last year fueled by the growth in New Business, net profit decreased mainly due to: - Higher revenue from New Business - Lower revenue from Home Healthcare and Mature Business - Lower volumes in the Group's Operate and Manage agreements - Higher depreciation and amortization at DSFH Madinah - One-off transaction costs related to the acquisitions and new projects - Pre-operating expenses of Medical Center Al Awali in Makkah, which is now operational as of August 2026 - Higher net finance costs reflecting the higher average debt balances as well as the interest on DSFH Madinah borrowings previously treated as pre-operating and were accordingly capitalized. - Costs associated with the two new land leases for the planned medical college in Madinah and the Jizan Hospital project.
The reason of the increase (decrease) in the sales/ revenues during the current quarter compared to the previous one is	The increase in revenue in 2Q26 compared with 1Q26 was mainly attributable to the absence of holidays (Ramadan and Eid Al Fitr seasonality that affected 1Q26), which increased the effective number of operating days and patients served during the quarter, along with the continued ramp-up of New Business.
The reason of the increase (decrease) in the net profit (loss) during the current quarter compared to the previous one is	The increase in net profit in 2Q26 compared with 1Q26, was mainly driven by the increased revenues following the Ramadan and Eid Al Fitr holidays that affected 1Q26 patient volumes, which further supported the absorption of the Group's cost base. The net profit improvement was further supported by the narrowing of New Business losses as DSFH Riyadh and DSFH Madinah sustained their ramp-up.
The reason of the increase (decrease) in the sales/ revenues during the current period compared to the same period of the last year is	Revenue in 1H26 was 1,523M or 0.7% higher from prior year, however, excluding the non-recurring Hajj contract recognized in 2Q25, revenue grew 5.5% year on year, reflecting the underlying growth across the Group's operating platform. The Group served 3% more patients in 1H26 compared with 1H25, with surgical procedures up 22%, supporting continued growth in higher-acuity activity. The Group's New Business revenue, comprising DSFH Riyadh and DSFH Madinah, grew by 86% year on year, supported by the deepening of DSFH Riyadh's service-line offering and the full-quarter contribution of DSFH Madinah.
The reason of the increase (decrease) in the net profit during the current period compared to the same period of the last year is	Although the number of patients served grew since last year fueled by the growth in New Business, net profit decreased mainly due to: - Higher revenue from New Business - Lower revenue from Home Healthcare and Mature Business - Lower volumes in the Group's Operate and Manage agreements - Higher depreciation and amortization at DSFH Madinah - One-off transaction costs related to the acquisitions and new projects - Pre-operating expenses of Medical Center Al Awali in Makkah, which is now operational as of August 2026 - Higher net finance costs reflecting the higher average debt balances as well as the interest on DSFH Madinah borrowings previously treated as pre-operating and were accordingly capitalized. - Costs associated with the two new land leases for the planned medical college in Madinah and the Jizan Hospital project.
Statement of the type of external auditor's report	Unmodified conclusion
Comment mentioned in the external auditor’s report, mentioned in any of the following paragraphs (other matter, conservation, notice, disclaimer of opinion, or adverse opinion)	NA
Reclassification of Comparison Items	Certain comparative figures have been reclassified, wherever considered necessary, for the purpose of comparison and better presentation.
Additional Information	NA
Attached Documents	Attached Documents