MIKA - Good 1H26 results, came in-line

KBVS Update
Friday, 31 July 2026

MIKA - Good 1H26 results, came in-line
(Maintain BUY, with TP IDR2,840)

* Mitra Keluarga Karyasehat' (MIKA) earnings reached IDR358 bn (+9.0% yoy/+10.0% qoq) in 2Q26 on higher tariffs (includes drugs) with better private patients’ traffic, case mix and cost management. As a result, MIKA’ 1H26 earnings grew by 6.9% yoy to IDR684 bn, which came in-line with ours’ (45.3%) and cons’ (45.5%).

* MIKA’ revenue reached IDR1.41 tn (+9.4% yoy/+4.1% qoq) in 2Q26, on higher tariffs (includes drugs) with better private patient traffic and case mix amidst unpredictable weather. All in all, MIKA’ revenue grew by 8.0% yoy to IDR2.77 tn in 1H26, which came in-line with ours’ (46.9%) and cons’ (46.4%).      

* MIKA’ gross, EBITDA and net margin improved qoq and reached 53.7% (-140bps yoy/+50bps qoq), 39.2% (-20bps yoy/+160bps qoq), and 25.4% (-10bps yoy/+140bps qoq), respectively in 2Q26.

* Our ‘26F revenue and earnings for MIKA, remained the same and expect them to grow by 9.9% yoy and 10.7% yoy, respectively, on higher tariffs (includes drugs) with better patients’ traffic, case mix, cost management and one new hospital in 4Q26F, amidst unpredictable weather.

* Maintain BUY on MIKA with TP of IDR 2,840/share, which implies 16x ‘26F EV/EBITDA. We think MIKA’ current share price (today’ closing price) at IDR1,635 (-31.6% ytd) or trading at 9.5x ‘26F EV/EBITDA or below -2stdev of its 5 years’ mean EV/EBITDA, offers a good entry point for investors.

Regards,
Andre Suntono - KBVS Research team