According to its Q2 financial report, TNH Hospitals Group Joint Stock Company recorded revenue of over 122.8 billion VND, a 6% decrease compared to the same period last year. The company posted a post-tax loss of over 20.3 billion VND, compared to a profit of 38.7 billion VND in the same period of 2024. This marks the third consecutive quarter of losses for the company.

For the first half of the year, TNH's revenue reached nearly 216.3 billion VND, a slight decrease of 3%. However, compared to a profit of 53.4 billion VND in the first half of 2024, the company reported a loss of over 55.1 billion VND. This is the first time in 10 years of publicly reported financials that the company has announced a loss for the first half of the year.

The recent opening of TNH Viet Yen Hospital (Bac Ninh) is cited as a key factor impacting the group's financial performance. This new facility has not yet been integrated into the health insurance network for initial medical examinations and treatments, resulting in an unstable patient flow. Meanwhile, the cost of goods sold in the first six months increased by 50% due to the depreciation of newly acquired fixed assets. Interest expenses and personnel costs for the new hospital are also high compared to revenue.

Selling expenses increased 2.7 times, while business administration expenses also rose 2.3 times. This is due to additional expenses for administrative and management personnel, system operation, outsourced services, and general management costs for the new hospital. Additionally, in Q2, the company incurred costs related to the implementation of electronic medical records at TNH Pho Yen Hospital and TNH Viet Yen Hospital, as well as investments in AI-powered image diagnostic technology.

An ophthalmologist examines a patient. Photo: TNH

An ophthalmologist examines a patient. Photo: TNH

Originally Thai Nguyen International Hospital, TNH is headquartered in Thai Nguyen province. It is one of the most prominent private hospital systems in the Northern Midlands and Mountainous region. Founded in 2012, TNH has expanded to three hospitals with a total of 700 beds and over 800 staff, including more than 600 doctors, nurses, midwives, and technicians. The company is also constructing TNH Lang Son Hospital.

In March, Mekong Capital announced that its Mekong Enterprise Fund IV (MEF IV) had become a shareholder in TNH. This marks Mekong Capital's first investment in the hospital sector. The value of the deal remains undisclosed. By 2030, Mekong Capital and TNH envision building an international-standard hospital system with 10 general and specialized hospitals nationwide, 3,000 beds, serving 1.6 million patient visits annually.

TNH has also attracted foreign investment from Blooming Earth (Singapore) and Access S.A., SICAV-SIF - Asia Top Picks (Luxembourg). Combined with the ownership stakes of Endurance Capital and KWE Beteiligungen AG, foreign investors hold nearly 55% of TNH's capital.

Recently, Hoang Tuyen, Chairman of the Board of Directors, registered to sell 5 million shares for personal reasons. If successful, this transaction could yield him approximately 85 billion VND, but he would lose his position as a major shareholder in the company.

Tat Dat