JAKARTA - PT Mitra Keluarga Karyasehat Tbk (MIKA) is setting up the capital expenditure budget to IDR 800 billion in order to expand the hospital network and for assets' periodic maintenance.

Joyce V Handajani, Chief Finance Officer (CFO) of MIKA, reveals that this year's capital expenditure (capex) is set to IDR 750-800 billion. "Our capex is highly related to [hospital] network expansion. There are some portions set aside for equipment maintenance, but the amount is less significant than the new hospital," she told IDNFinancials yesterday (17/7).

According to Handajani, the capex for the establishment of two new hospitals amounts to approximately IDR 500 billion, leaving the remaining for medical facility maintenance.

Handajani also said that the capital expenditure will be taken out of the company's internal cash. "Each year, we generate EBITDA of approximately IDR 1.5 trillion," she stated.

In November 2023, MIKA is projected to operate one hospital in Grand Wisata, Tambun, Bekasi. This issuer also has land banks in several locations in the Greater Jakarta Area, including Bogor, Cileungsi, Parung, and Bumi Serpong Damai (BSD), Tangerang, as well as in Sidoarjo, East Java.

The company will soon open two new hospitals in the Greater Jakarta Area and East Java. "The ones in Bogor and Sidoarjo are still under the permit procurement process," Handajani said.

MIKA is listed as a constituent if Indeks52 under three categories: Main Index, High Growth, and Big Market Capitalisation. This issuer is known as the most profitable healthcare company compared to its competitors in the hospital industry in Indonesia. (LK/ZH)