Good morning, everyone. Welcome to the live analyst presentations and the Q&A sessions for the fourth quarter of 2025, Bumrungrad Hospital Public Company Limited. My name is Achariya Sanrattana, investor relation. I would like to thank you very much everyone for your time joining the session here. For today, we have the local analysts joining us in person at the hospital. Meanwhile, we also have our foreign analysts joining in online as well. We had uploaded the analyst presentation slide on our website IR page already this morning, so you can check that out before for the presentations for today's meeting. For the agenda today, we will start with the analyst presentations by our management. Today we have a few presenter who will give us an update on the BHPCL as well as the BIH Phuket and the VitalLife.
Then we will move on to the Q&A sessions later. For today, given the time that is two hour sessions, we will give the opportunity for the questions from the floor first. For the online attendees, you can send your questions through the chat box or through the email ir@bumrungrad.com, and then I will address those questions later. For the agenda, we will start with the presentations, and then we will move on to the Q&A sessions. Before we begin with the presentation, let me introduce our management that are here with us today. We have Niel Sorrentino, Corporate Chief Strategy Officer.
Good day.
We have Khun Artirat Charukitpipat, Chief Executive Officer. We have Khun Oraphan Buamuang, Chief Financial Officer. We have management on the floor to give presentation as well. We have Khun Rajeev Rajan, Chief Business Development Officer. We have Dr. Polakit Teekakirikul, Chief Executive Officer of VitalLife Scientific Wellness Center and Esperance, and also Chief Science Officer at BHPCL. We have Khun Henrik Andersson, Chief Innovation and Technology Officer. We have Khun Daniel Kastner, Chief Commercial Officer. Without further ado, please welcome Khun Niel to talk about the fourth quarter BHPCL performance summary.
Okay. We welcome you all to our Q4 and year-end 2025 presentation. For the year, it was a good year for us. It was a year where we divided our performance between 1H and 2H. 1H was a difficult period for us because of the earthquake, Ramadan, Songkran. It was for us, really a tale of two halves. The first half being weak because of really some systematic issues. Cambodia, China, Kuwait, those three countries impacted us for the year, a THB -500 million . You know about the Cambodia Thai issue, you know about the safety issue related to China, and you know about the Kuwait issue. For your information, during the quarter Q4, on the Kuwait issue, we were able to collect THB 376 million that the Kuwaiti government owed us over the last two years.
We were very, very pleased with that because that represented an important piece of AR that had been hanging there for a while. There was a large delegation that came to Thailand. They visited several hospitals, but we were the only hospital where the Minister of Public Health visited us here. We had a very cordial session with he and his delegation here, just in the room next door. We are not sure. Rajeev is going to talk a little bit more about that. He came back from Kuwait last night. He is going to talk a little bit more about the future of Kuwait and how it is that they intend on sending their citizenry around the world for healthcare or not. He will discuss that in depth because he just got back last night. Let us talk about the quarter and the year.
The quarter was a fine one for us for Q4. Very, very strong in Middle Eastern revenue. You see here that those four countries, Qatar, Myanmar, U.S.A., and U.A.E., there is a percentage of growth in the quarter, respectively, 20%, 25%, 16%, and 29%. The Middle East growth for Q4 was 16.6%. This is year-over-year for the quarter. It was 16.6% higher. I am not sure Rajeev can correct me on this, but I think the revenue for the year from Middle East was probably if not number one in our history, at least number one, two, or three, somewhere in there. Rajeev can talk about that in greater detail.
As I mentioned, those three countries, there was a shortfall of THB 500 million , which we made up and grew the EBITDA for the quarter of 5.9%, we will call it 6%, and we were very, very pleased with that. When we get to the point where I talk about margin, our margin was very, very high on EBITDA for the quarter also. I think you saw that in the MD&A and the write-up that we published right after our board meeting. The Q4 Middle East revenue intensity, which is the quality of the revenue. Not necessarily the quantity, but the quality of the revenue, meaning lots of resources burned by patients because they are quite ill, was 16.4%. We took care of a lot of Middle Eastern patients with a lot of cohort-related diseases during the quarter.
Thai revenue was down, but the intensity was up by 2.1%, mostly in oncology and cardiology. Again, we look at revenue intensity as opposed to just pure volume, pure revenue for the sake of talking about revenue. This is very, very much about what we are about, which is high revenue intensity, high resource consumption, and matching it, comparing it with good cost control allows us to drive the kind of EBITDA margins that we have been driving. One of the big issues in the year, which I am going to ask [Khun Nim] to talk about in a little bit, was this whole question of BOI benefit that we received in the year 2025 that was not matched by the government in the year 2025 versus the year 2024. It was a major difference between the benefit that we received in 2024 versus 2025.
[Khun Nim] will talk about that in just a bit. We have a slide that covers that. Cambodia and China, I talked about the negative revenue growth there and why. I talked about already the strong 2H recovery, and I will show you the numbers, the difference between 1H and 2H. In our MD&A that we published thereafter our board meeting on Thursday morning, there had been considerable discussion by the investor community, many of you here who represent companies, about the company's very, very large cash reserve. As you know, companies at times will do pruning or capital management, if you are familiar with those terms. Our board decided to take a hard look at that and ask that we give them some guidance about our sources and uses of funds. What are we going to spend money on over the next three years?
Phuket, Soi One, our annex building, we are adding 50 some odd beds here. What is the needs of the company from a cash standpoint? Because we have no debt, as you know. In our balance sheet, actually, we have negative debt. I presented to the board a number of options associated with capital management. That is, looking at our cash flow, looking at our cash, near cash, long-term investments, which amounted to, I think, at year-end, THB 16.2 billion? THB 16.6 billion. THB 16.6 billion in total. I have been hearing a lot of this from your side of the world about, "Hey, what are you going to do with all this money? Why do not you give it to us if you are not going to spend it or buy earnings?" The drum beats got louder and louder over the last six to nine months.
I went back to our board and our chairman and had multiple discussions, especially with our managing director. The decision was made by the board on Wednesday evening last that in addition to the THB 2 per share, which was the interim dividend for 2025, they also agreed to offer a THB 3 per share dividend for the year-end dividend. Then as a special dividend, or as some countries call it, extraordinary dividend, they awarded the shareholders THB 6 per share. When you look at the total spend for dividend payout for 2025, it is going to be that number up there, THB 8.753 billion on line three. Now, that is not to say that this will be something that will be business as usual as time goes on.
This is considered a special dividend, and all I ask you to take a look at is the trend line about how the board has behaved in representing to the shareholders. This has to be approved by the shareholders at our AGM in the third week in April. I suspect it will be favorably approved by the shareholders, but that will be up to them. This is an unusual thing that the company has done. It has never done anything like this before. Will they continue to do something like this? It is unknown.
We have made estimates, I and Oraphan have made estimates about what our cash balances, cash, near cash, long-term investments will be at the end of 2026, at the end of 2027, and we are very comfortable about where we will be because we have been very, very good at collecting cash given the fact that we are a 70% self-pay, cash-oriented company. To Khun Oraphan 's credit and Rajeev 's credit in how it is that we collect cash both from all others as well as the Middle East. Rajeev is very active in that force as well with the related embassies, as are the teams inside of accounting and finance. When you look at this pictorial, it tells you what I was referring to earlier, the 1H versus the 2H performance. In 1H, we were down 7.2% year-over-year, and in 2H, we were up 5.7%.
It was quite a comeback for us in the second half of the year. We were very close on the EBITDA, almost flat year-over-year. To be almost flat, minus 0.9%, when we were down 7.2%, was a pretty dramatic comeback. Next slide. The margin is an absolute representation of how it is that we take care of very, very sick patients, and we do it very, very cost-effectively. There is no one in the industry.
When I say no one, I mean no one, including the United States, in all the hospitals that I have ever worked in that had a 39.9% EBITDA margin. This is a record. This is a record for us that we have maintained. Beyond 39.6%, I did not think we would exceed that. We are just a bit shy of 40% EBITDA margin, which is remarkable. Next slide. You want to touch on this, [Khun Nim]?
Yes. For the net profit for both fourth quarter and full years decline compared to prior year, if you look at the amount including BOI tax benefit, the primary driver was a sharp reduction in BOI tax benefit year-over-year. In fourth quarter this year, BOI tax benefit total only THB 10 million , down from THB 131 million in the prior year. For the full year, benefit were THB 10 million versus THB 147 million in 2024. The decrease was mainly due to the lower applicable tax deduction rate on the BOI CSR program, which was reduced from 200% in 2024 to 120% in 2025. As a result, the BOI-related tax benefit recognized year-over-year dropped significantly.
But if you look at the excluding BOI tax benefit amount and margin, underlying net profit for both fourth quarter and full year 2025 move in line with the revenue trend and also reflect the better margin in fourth quarter 2025 and flat margin for the full year.
Everybody in here understands what the BOI program is, and how it works, and how it doesn't work, and why there was such a dramatic change year-over-year? All clear to you? You can see that the difference was 50% period over period. So we get the benefit in 2024. Although we expended the CapEx in 2024 to get that benefit, the government didn't offer it in 2025, or they offered it, but it was much, much less. It went down from 200%, I don't know, to 50%?
They're down to 120% in December 2024 and ongoing down to 50% in January 2025. So that's why we decide to stop in term of the investment in BOI CSR project in the 2025.
It didn't make sense to us to expend the CapEx for such little return. I guess the government decided that the poor hospitals in the northeast and in the north, they wouldn't get that benefit, and they weren't going to give them that benefit because there wasn't the incentive for us to do it. We'd have to expend a great deal more cash to be able to get the kind of benefit that we got in 2024. We made the decision not to do it. Next slide. If you look at our five-year trend line on the net profit margin, we maintained it in 2025 at 29.5%. More interestingly, forgetting about 2021, which was COVID, more interestingly, you can see the trend line, 23, 27, 30, 29, and then 29 and a half. Very, very steady performance.
This tells you about the contextual nature of our volume and how it is that we manage the costs associated with caring for these patients very, very cost efficiently and cost effectively. Next slide. This is our compound annual growth rate, almost 5% when you look at non-Thai revenue. Consistent. Next slide. The same thing here for Middle East, which is much, much bigger, 6.7%. If you look at fourth quarter 2025, as I mentioned earlier, was 16%+ percent. Very, very close to forgetting about fourth quarter 2022, because that's the uptake out of COVID. 16.6% is very, very close to our record of 17.1%. In the period that we've been in the Middle East, which is from 1997, we almost came close to our record high of fourth quarter 2023.
When you look at the mix of the Middle East business in the fourth quarter of 2025, it was much, much more broad and deep than in 2023. 2023 was more concentrated. 2025's Middle East business was much more broad, even though we didn't have Kuwaiti business to speak of. We did have. I don't know. What was the revenue for Kuwaiti business in 2025, Oraphan? Cannot hear you.
Yes. In term of the Kuwait total in year 2025 is about THB 244 million.
How much?
244.
Yes. Very light. THB 244 million . This is almost all private pay. Kuwaitis coming into Thailand, coming to Bumrungrad because they have been coming for years, but they are all out-of-pocket cash pay. But that number used to be, I do not know, THB 1 billion . Is that right, Rajeev? Right about THB 1 billion ? So versus THB 244 million, you can see the difference that we made up in other Middle Eastern countries, principally Qatar.
Next slide. The non-Thai was as high as it has been, 67% for the fourth quarter. That is as high as we have ever had it, at 67%. And that is attributable principally to Middle East, Bangladesh, U.S.A., U.A.E. Next slide. You will be able to get this when you access it online. But these are the highs and the lows by percentage in terms of growth for the quarter and for the year.
They are the obvious ones that I have already mentioned to you. Next slide. This is the switchover between the quarter and the year on EBITDA and EBITDA margin. You can see in the quarter up 6%, 5.9%. But the margin was at 38% for the quarter. And when you look at 2024 and 2025, you can see the numbers for yourself. Next slide. This is somewhat the same that [Khun Nim] was talking about. Anything different here, [Khun Nim], that we need to keep. I do not think there is anything here that we need to comment on beyond what you have already said. Does anyone have questions about this? It just shows the difference between BOI and non-BOI performance for the different varying periods, fourth quarters versus year. Next slide. And this we talked about. And I am to you.
Thank you, Khun Niel. [Non-English content] . I am pleased to report you all in terms of the fourth quarter 2025 and for the year 2025. Khun Niel already said some of that. I will go through in detail for you. In fourth quarter 2025, total revenue and EBITDA increased by 0.5% and 5.9% respectively. EBITDA margin was 38.8%. The growth was primarily driven by 5% increase in revenue from non-Thai, which offset by 6.3% decline in revenue from Thai patients. Net profit was slightly down by 0.9% due to less BOI CSR tax benefit in this quarter. When excluding BOI CSR tax benefit impact, net profit will be improved by 5.8%. In year 2025, total revenue and EBITDA declined by 1.6% and 0.9% respectively. EBITDA margin was 39.9%, which is the new high record of the company.
The decline in revenue was primarily driven by a 2% decrease in revenue from non-Thai patients and 1.8% decrease in revenue from Thai patients. Net profit was down by 3.4% due to less BOI CSR tax benefit in this year. When excluding BOI CSR tax benefit impact, net profit will be declined by 1.7%. Move on to see the total revenue. In terms of total revenue in fourth quarter 2025 was THB 6,559 million, slightly improved from fourth quarter 2024 by 0.5%. The total revenue improvement mainly came from the increase in revenue from hospital operation, which improved by 1% when compared to fourth quarter 2024. The growth was primarily driven by 5% increase in revenue from non-Thai patients, which offset with a 6.3% decline in revenue from Thai patients.
The growth in non-Thai patients revenue mainly due to higher contribution from Middle East, 16.6% increase, Myanmar 25.5%, and United States about 15.7%. For the year 2025, total revenue declined by 1.6%. Mainly came from revenue from hospital declined by 2%. The decrease was primarily driven by 2% decrease in revenue from non-Thai patients and 1.8% decrease in Thai patient revenue. The decline in non-Thai patient revenue was mainly driven by the Cambodia down by 47% and Middle East down slightly by 4.8%, offset with Myanmar increase by 19.5% and U.S.A. increase by 14%. In terms of revenue contribution by service. In fourth quarter this year, the revenue contribution from in-patient service increased to 52% from 49% in fourth quarter 2024 due to IPD revenue increase by 6.9%, while OPD revenue declined by 5%. IPD revenue increased mainly due to higher intensity and longer length of stay.
For the year 2025 and year 2024, the revenue contribution from outpatient service and inpatient service remained at 50%, respectively. In terms of revenue contribution by payer type. Insurance contribution in year 2025 increased to 21% from 19% in the same period last year due to insurance revenue for the year 2025 grow by 8.7%. The government third-party contribution in year 2025 was 17%, dropped from 18% in year 2024 due to lower Middle East revenue. For self-pay contribution slightly dropped to 61%, but still be the highest payer type. In terms of EBITDA and EBITDA margin. In fourth quarter 2025, EBITDA was THB 2,543 million, increased from same period last year by 5.9%. This represent a favorable change compared to 1% increase in revenue from hospital operation. EBITDA margin in this quarter was 38.8%.
For the year 2025, EBITDA was THB 10,149 million, slightly declined from same period last year by 0.9%, with EBITDA margin at 39.9%. This represents a favorable change compared to 2% decline in revenue from hospital operation. In term of net profit and net profit margin, in fourth quarter 2025, net profit was THB 1,885 million, slightly declined from same period last year by 0.9%, with net profit margin at 28.7%. This is due to lower BOI CSR tax incentive in this year. When exclude BOI CSR tax incentive, the net profit of fourth quarter 2025 will improve by 5.8%, with net profit margin at 29.5%. For the year 2025, net profit was THB 7,512 million, declined from same period last year by 3.4%, with net profit margin at 29.5%. This is due to lower BOI CSR tax incentive in this year.
When exclude BOI CSR tax incentive, the net profit amount of year 2025 will be declined by 1.7%, with net profit margin 29.5%. In term of leverage ratio, net debt to EBITDA for the year 2025 was negative 0.7 times, and net debt to equity was also negative at 0.2 times due to less net debt. In term of liability and asset, at the end of year 2025, the percent liability to asset was still in low level at 14.5%. This is due to the higher net asset continuously. The last of my slide. We are delighted to share that BH achieved an A rating of SET ESG rating in December 2025. BH is now included in the SET ESG universe, expanding its visibility among sustainability focused investor and mutual fund. Thank you.
[Non-English content] Firstly, on the net patient revenue by nationality. Overall, for the fourth quarter, we've seen a 1% growth across all segments. For the non-Thai segment, a 5% growth in the fourth quarter. For the Thai segment, we saw a drop in volumes, but an increase in intensity for the fourth quarter. Further adding more color to it by the segments. For Middle East, we've seen a 16.6% growth for the fourth quarter and overall negative of 4.8% for the year. Khun Niel mentioned a few of the factors which were one of the main reasons behind this. If you look at 2025, the starting, the first half of the year, immediately post Ramadan, early, just near the Eid period, we had the unfortunate incident of the earthquake which happened, which had further demotivated a lot of travelers coming into Thailand during that period.
Once that period was over, there was also in the GCC, a shutdown of air spaces, in most of the key countries like Doha, which had to shut down its air space during this period due to political tensions for a week or so, which affected international travel. Mostly these are the two factors during the first half post Ramadan period, which had affected the number of medical tourists coming into Thailand at that period. If not for that, I think we would have had a more stronger contribution from the Middle East market added for the whole year. Some of the other markets from Indochina, because of geopolitics, which were beyond our control, one of the markets which affected us is Cambodia. Towards the second half, we saw the tensions getting more stronger and resistance. People were not traveling, Cambodians were not traveling.
We saw a steep drop in terms of numbers for IPD and OPD patients who were visiting us from Cambodia. It continues to have the same kind of an effect until now. We have not seen a rebound of medical tourism from Cambodia yet. We are optimistic and positive that we might be able to build that back and everything would be in order sometime in the near future. Revenue by the top nationalities. For the top five nationalities, I think we have the record-breaking performance for our company. For Qatar, 2024 was the highest performance. Even with the factors which I mentioned, which affected us in the first half, we still managed to have a very strong performance out of Qatar, 1% short of the best performance. Myanmar, we had a historical performance. It is 19.5% growth year-over-year.
Also, the epicenter of the earthquake was in Myanmar and half of that Myanmar towards the Mandalay, the airport was shut down for more than 60 days. We almost had a huge drop of revenue and number of patients coming in from Myanmar in the first half. With that 60-day cold period, having this performance for the whole year, this is the record-breaking performance and the highest revenue that we have achieved from Myanmar in the history of our company. I think for our strategy and our team did a pretty good job to achieve those numbers. For Bangladesh, we had the record performance in 2024. We did better than that, and we achieved the all-time highest revenue in 2025 as well. For the fourth quarter, again, 2% growth. Than the last best performance, 5% higher than the last best performance from Bangladesh.
Bangladesh is also a market where a lot of political tensions were happening. We had an interim government last year. This year now the elections are over. Officially, there is the prime minister who has been sworn in. We were expecting a very strong growth out of this market for the near future, and we still aligned to that strategy. In alignment to that strategy, we have taken some strategic initiatives, which Khun Niel also mentioned. We are planning to have a concept clinic, which similarly we operate out of Yangon in Myanmar. We have made those strategic partnerships with local partners, and we have presented it to our board. We have it approved for the investment for the equipment, and we will be starting the clinic this year. We have the timelines ready.
We believe that once we have this clinic up and running locally in Bangladesh, in Dhaka, it will be in the heart of the We've not made the location official yet, but it will be in Dhaka. It will be in the heart of the city. We intend to provide a lot of services locally in Bangladesh to the market segment that we target. Through these localization and making these services available locally, we'll be able to reach out to more people. We'll be able to connect with them and through our official platforms, engage with lot of key strategies and corporates, and then further facilitate their travel out here to Bangkok. This initiative further will have a lot of more optimized referrals and a better connect with the community.
U.A.E is a market where we had experienced a negative trend and a softness in 2024, where we had mentioned a couple of times where we reengaging and recalibrating with them in terms of recontracting. 2025 was a very positive year for U.A.E, and we were successful in having those renegotiations and recontracting where they had decentralized different accounts, so we could recontract with them. In Q4, we saw close to around 30% growth year-over-year. For the whole year, we saw approximately 1.2% growth year-over-year. What is not on this list is one of the nationality which is missing is Kuwait. Kuwait used to be one of our top markets, and as Khun Niel also mentioned, we were a billion plus before what happened.
We were able to further diversify that volume that used to happen from Kuwait, from the other GCC countries, and grow our Middle Eastern revenue. The opportunity today, what we have is we have been back and forth trying and recalibrating and finding a way to settle our outstanding, which was the phase I of the expectation, where all the old AR could be settled. I think in Q4, we managed to achieve that, and that is something that has been done. Now we are aiming for the second part of it, which is the resumption of business. I came back from Kuwait yesterday night. We had very fruitful discussions. This is not something which will happen very short-term because there are a lot of things happening in Kuwait as well, a lot of changes in terms of the structural changes within the country at different levels.
Treatment abroad is something which has been paused for some time, and it has been in pause for last 18 months or so. But they are looking for possible partners where they can resume, and they can facilitate this under very strong governance. We have been assured that we would be one of the chosen service providers. At multiple locations, they have reassured this because of the quality that we have in terms of offerings. We got that assurances again. But going forward, they are trying to put guardrails in place, proper governance in place. They do want to resume because there is a need, there is a demand, and that demand requires the country to have that allocation for treatment abroad. So when it will happen, we do not know, but we know that it will happen at some point of time.
We are halfway through that because we mentioned earlier it will be in two phases, where phase I, all the old outstanding and the reconciliation takes place, and phase II, the restrategization and the alignment of how, when, and what type of patients would be sent would be discussed. So we are in that advanced discussions, and hopefully, we can have that. Kuwait is an opportunity for our Middle Eastern business today because the kind of base that we have able to stabilize today, absent Kuwait, and Kuwait is a market where we have our presence, we have our strength, and that would be an immediate short-term win for us whenever that happens. That is an addition that we look forward for the growth of our Middle Eastern business.
In addition to Kuwait, Middle East, Saudi Arabia is also something that we have been pursuing for some time. Saudi Arabia is a business that we feel that now with also the elections almost over in Thailand and hopefully with the new prime minister coming in, those kinds of initiatives would restart and dialogues would restart. With the restart of these dialogues, we can expect some kind of MOUs to be signed, might be sometime this year, which will further bring in a lot of new introduction of Middle Eastern business to Thailand. We have already made a lot of strategic collaborations in country, in KSA, in Riyadh, where we have local partners, private institutions who are our partners, who will further help us streamline and facilitate this once we have the official G2G in place and a government-to-government contract in place.
We expect that also as an opportunity for 2026. For the non-GCC countries or the non-Middle East accounts, Bangladesh, I already mentioned. One of the countries which also is an opportunity for us, which has shown a rebound is China. First half of 2025 was weak, but second half of 2025, because we intensified our strategies, we have more offices in Mainland today, and we will continue to do so. With these kinds of strategic missions, we have seen a good response in referrals and acceptance. We will continue our efforts in that direction, and we believe that it will yield us more results. So that is also a market that we are eyeing for 2026 as a strategic growth, where we can get back the business and also have more optimized referrals from Mainland. Overall, that summarizes from my part.
Before that, I will just make a quick highlight, which is there on the footnote of this slide. Excluding the Cambodia revenue, the non-Thai patient revenue increased by 10.5% in the fourth quarter year-over-year. If you absent the Cambodia revenue, the non-Thai revenue or the international revenue was up 1% year-over-year. So that is the effect that Cambodia had for last year's performance. As a growth opportunity, I think there are new markets, there are existing markets. We always try to diversify ourselves because with the kind of portfolio we have, we try to enter new markets, establish and create a seamless flow of transfer of patients from that country.
The opportunity today that we have for some of the markets that have already been established, like Cambodia, like China, like Kuwait, these three markets put together has a. If we get a partial or some part of it in 2026 as a win-back, I think that would be a great growth story for us in 2026 as well. Thank you. Thank you .
And we hope that the election doesn't get invalidated. [Non-English content] .
Next, good morning, everyone. Today I walk you through our fourth quarter operational highlights and also updates for Bumrungrad International Hospital Phuket. Let's start with the first slide. In Q4, we received five significant national and international awards. In November, we got four awards. Start with AMCHAM. Next slide. AMCHAM recognized us with the Platinum Level Corporate Impact Award for the 12th consecutive year. That reflects our sustained commitment to community engagement. Second, Deloitte named us as one of Thailand's Best Managed Companies for the third year in a row, specifically in the healthcare sector. This award validates our leadership, quality, governance structure, and long-term business sustainability. Another two awards in November are the Thailand Corporate Excellence Awards, honor us for product and service excellence, reflecting the quality of our clinical offerings at a national level. Last but not least is the SET Awards.
We received the Outstanding Company Performance Award and Best Company Performance Award for the third consecutive year. These awards are particularly meaningful as they reflect investor confidence and financial strength of Bumrungrad. In December, we received another award, is Innovation Leadership Award from Thansettakij. This recognize our commitment to advancing healthcare innovation in Thailand. Next one is moving to the MOU partnership. We have signed two important MOU in Q4. The first one is with Faculty of Nursing at Swinburne University, focused on developing high quality nursing talent, and we will continue to partner with them for other profession as well. The second one, Bumrungrad Phuket signed MOU with Prince of Songkla University, cover academic collaboration, research and talent development. This partnership is particularly strategic for our Phuket operations, giving us access to a regional talent pipeline and academic credibility in the South.
In October, our Horizon Cancer Center received accreditation from the European Society for Medical Oncology, or ESMO. This is a globally recognized standard in oncology. It validate our integrated approach to cancer treatment, including palliative care. Coming soon, we will open palliative care service. Now move to the Center of Excellence performance. In 2025, you can see that the high intensity Center of Excellence still have the strong performance, which are Cancer Center, followed by Heart Center, Ophthalmology and also Neuroscience Center. The rest are most flat, except Urology declined around 7% and Colorectal Surgery dropped around 5%, which we are closely monitor these two center, and we already have action plan. Now, let me walk you through the progression of the Bumrungrad International Hospital Phuket.
We position the hospital in Phuket as the luxurious secondary hospital with some specialized centers. For the first year, we will open 50 beds and expand to 120 beds by year five. This is phase I, and we plan to have the soft launch opening, Bumrungrad International Hospital Phuket, around second half of next year. phase II, we will add more 92 beds, and we will reach total 212 beds for Bumrungrad International Hospital Phuket. The business model in Bumrungrad International Hospital Phuket will focus on the three strategy. The first one is save life. If you can see the service, we will provide emergency, trauma, and acute care, for example. The second one we call rebuild life, which is by orthopedics, cardiology, women health, and rehabilitation. The third one is enhanced life with covered health screening center and, of course, longevity wellness center.
We will operate as hub and spoke, so we will transfer the complex and high-intensity patients to Bumrungrad International Hospital in Bangkok. On December 11th last year, we held the first press conference for update our progression of Bumrungrad International Hospital Phuket at Hyatt Regency Sukhumvit Hotel. Actually, in June last year, we already start our CSR activities by donating medicines and medical supplies to seven schools in Mae Khao. In November, we continue to support beds and equipment to these schools to build sustainability and community commitment. In February this year, just February 1st this year, we host a Phuket business forum with 32 key business leaders, which are hotel owners, tourism operators, and the businessmen in Phuket. The participants show very strong interest in partnership with Bumrungrad International Hospital Phuket and also VitalLife.
This is an opportunity to integrate Bumrungrad International Hospital Phuket and VitalLife with the tourism ecosystem. Last but not least, in this slide, you can see the construction. Next.
Go back one slide, please.
Okay. I already present this one, last slide. Khun Niel, you asked me to show the picture so you can see the real picture now in Phuket. We have now begun the foundation concrete works across several areas of our site. You can also see we have started installing multiple pipe sleeve embedded within the concrete walls, which is an important step to prepare for future MEP systems. That is all for my presentation.
Go back one slide.
Oh, the event, right? Yeah.
This fellow, bottom center, fellow in the blue jacket.
Okay.
His name is Andrew Giles. He is going to be. He is the new Executive Director for the hospital in Phuket. He comes to us from Kaiser Permanente. We hired him from the Kaiser Permanente hospital in Hawaii. He will be 40 years old in March. Knows hospitals cold. He has been involved for 11 years with Kaiser Permanente. He is spending six months with us here. We are going to teach him our way, and then we will send him to Phuket in July when his family and two children move there. His wife and two children. His wife is Thai. He is going to school to learn Thai. I do not know that it is going to help him all that much, but he is nonetheless, that is what he wants to do. He is a very bright guy. I think he will do very well there.
Many of you remember David Boucher. David Boucher still works for me as a consultant in the market, but he has retired as the CEO. He ran into some health problems, and he thought what was best for him was to leave it to younger men to open up a new hospital. David is still on the payroll as a consultant to me, and he will be advising Andrew in the market. He, David, is the one who recommended we talk to Andrew, and he is a very sharp guy. You will meet him in one of the upcoming meetings. Okay. Who are we to? You, our former Investor Relations person, Daniel Kastner, who now heads up insurance operations. Not a new face to you at all. Daniel.
Thank you, Niel. Also thank you for the opportunity to have a slide this time. I think last time I was given not much notice. I would just like to run through with you the development of the insurance segment. I think you have heard from Khun Oraphan that the insurance segment has contributed an increasing share of the revenue mix. This viewpoint is based on company specific, so it is not consolidated. What I mean by that is we are not lumping in VitalLife, which is essentially self-pay, or also our UB Songdo Hospital, which is again, mainly self-pay as well. You can see here, this is the revenue contribution direct payer, meaning it is a direct billing agreement with our insurance partners. Also including the co-pay component and deductibles that are related to the bills.
This number is significantly higher than what you would see in the usual presentations that we have. As you can see in 2025, we are almost at THB 6 billion revenue contribution. The growth rate year-on-years have been around 7.5% when we factor all of these in. Overseas insurance and medical assistance is still leading that growth with 12.6%, followed by local insurance. You can see that local insurance has slowed down slightly, and that is, I think, due to many different factors. You probably will notice for many in hospitals that insurance companies are trying to reduce utilization, reduce their loss ratios. You will notice that the volume has come down both from OPD side but also from simple disease admissions, et cetera as well. That is something that I fully expect insurers to continue to focus on.
The overall market spend, I believe, is weaker as a result. But we have been offsetting that volume growth with intensity, and we will show you some more information on that. Another factor to link to this is also the fact that there is also a pay and claim component, which we cannot detect. People who hold insurance may pay and then claim directly to the insurer. We would not know that. It would be factored under self-pay. But based on the company information that we have received from various insurers, that is another 10%-15%. Then we are looking potentially at over THB 6 billion contribution and around 25% when we factor that component in as well. Can you please go to the next slide? Revenue contribution, as you can see, this is based on company only.
Co-pay and deductible, we are at around 23.6%, so that is significantly higher than what was shown in the consolidated data in the previous slides. That continues to grow both from the local side and also from the overseas insurance side. On the local side, we have seen a pickup in demand towards the second half, and I think that is an encouraging sign as well. Most of that growth, again, coming in from revenue intensity, which is contributing approximately 10% to that growth. Please go to the next slide.
Daniel, can you comment about conversion and an impact on EBITDA margins?
We have not done an analysis of the full year impact to margin. But based on, let us say, first half numbers, the margin contribution of insurance is approximately 25%-26%. It has come down slightly, and that is mainly because of oncology. A big component of oncology is chemotherapy and also radiotherapy, where their margin is slightly lower. It is a big spend. In absolute terms, it contributing a lot, but in margin terms, because of the high cost of chemotherapy drugs, the margin for chemotherapy drugs is significantly lower than a normal drug segment. But based on this, you can see oncology has been driving a lot of that growth, which makes sense because people buy insurance for critical illness and oncology, stroke, and also things such as major surgical procedures like heart is a major driver of why people buy insurance, right? It is a major spend item.
Oncology has grown by 50%, and you can see orthopedics too has started to grow. If you look back in the past, you will see that orthopedics has slowed down somewhat. We have re-engaged with the physician team in the orthopedics department, especially sports medicine, to get more market share on that aspect. We have been working with them on making sure that costs are competitive, and we have started to see that flow through with the revenue growth. Cardiology, as you can see, is also another major growth contributing specialty, so 15%. Neuroscience, I talked about that last year. Neuroscience fell last year, but that was mainly due to the high base. I mentioned that I am more encouraged by the 2025 numbers, and that has borne fruit. A lot of that is also with medical assistance. We see a lot of stroke cases from medical assistance side.
Pediatrics is where you can really see the trend, right? A lot of insurers have started to discontinue child insurance, and therefore the spend for pediatrics has come down significantly. On top of that, they have started to make it increasingly difficult to claim for simple disease admissions for children as well. That has seen a pressure point, and you can see that reflected in the numbers. For the rest, largely healthy. I would say that our focus is on gastroenterology. I think that is an area that we are working with the clinical team on to see how we can make, for example, biopsies, et cetera, and also polyps clipping, et cetera, more competitive. I think we have an opportunity to do so. Spine has also grown. We see that also coming in from the tourist segment, so medical assistance, travel insurance, et cetera.
Spine has grown significantly as well. Can you go to the next slide, please? What is the strategy for 2026? If you look back, when I presented the 2025 strategy, most of this is the same, but I would like to just highlight a few things. Number one, we are becoming a lot more aggressive in targeting upcountry cases. We have visited Udon Thani, we have visited Khon Kaen. We are planning to visit the EEC region, and we plan to visit the South as well. We originally wanted to go to Hat Yai, but given the flooding, et cetera, we think we should delay that aspect. We will start to see a lot more cases, hopefully, coming in from upcountry, which is a challenge because the local incumbents in that area notice this, and of course, they try to prevent cases from leaking to Bangkok.
We think we have a very strong relationship with many agency partners and insurers to help drive that growth as well. Laos would be another potential opportunity for us because Udon Thani benefits from a lot of Laotian patients coming, and they also buy local insurance. So they buy AIA, they buy Krungthai-AXA products, and a lot of agencies operate in Laos as well. There is a lot of wealth in Laos that we can tap into, and they, of course, are seeking high-quality care because they can afford it. Furthermore, we are also working very closely with direct partners, for example, with corporates. We believe that going deeper, bypassing insurers, but going deeper among major international corporates is key to convince them of the value proposition that we have and to drive more referrals to Bumrungrad Hospital as well.
But that comes with certain diminishing returns because it requires a lot of effort, it requires a lot of manpower, time, and of course, investment. We would invest in traveling, hosting events, et cetera. That is something that we have to do in a careful fashion and in a cost-effective, ROI-driven fashion as well. Finally, I would just touch upon longevity because we have been working very closely with VitalLife in promoting longevity preventive care among local insurers, and we are starting to see interest increase. So we are working very closely with Dr. Boye and the VitalLife team, with many partners, including AIA, for example. Today we will have a press conference, with Chubb Life, and that would be also another potential opportunity for us.
Going further, other partners such as Prudential, et cetera, are increasingly looking interested in longevity and preventive care because high-net-worth individuals, high-spend customers are particularly interested in this area, and they have noticed that, and they want to engage further with these segments. So I hope this gives you a good overview about our focus and our performance. Happy to answer any questions you may have.
As long as you have empty beds and your labor costs are fixed in the short term, this is a nice complement. This business line is a nice complement to what we do at Bumrungrad. However, my real interest is to push Daniel on the pressures of the margins associated with perhaps future business from Kuwait, perhaps future business from Saudi Arabia, perhaps future business from Iraq. So we push him on challenge with respect to bed availability because the margins are greater in that area, and insurance can be a very, very tough game, in terms of declining margins with inclining volume. That is the insurance game, and to play that balance is not easy, which is Daniel's challenge. But Daniel, Rajeev is after you for those beds. Let me introduce this gentleman. Henrik Andersson comes to us as a senior partner at McKinsey & Company.
He is our Chief Innovation and Technology Officer. He has been with us as a high performer over the last, how long has it been, Henrik Andersson? Three years?
Almost three years. Yes.
Almost three years. A very, very high performer and the person that looks forward three years from now to see where we need to go, and he is in very, very close connection and contact with Khun Linda, who is also thinking about where we go in three to five years from now. He is challenged to try and keep up with her IQ, which is not easy to do. With that, I will turn it over to you, Henrik.
Thank you for the kind introduction, Niel. Good morning. I am Henrik Andersson. I am responsible for innovation and technology at Bumrungrad. This will not come as a surprise to you. Technology is an incredibly important element of healthcare because we see technology happening very quickly. It happens everywhere. We get AI everywhere. We get more and more imaging, more and more high-quality imaging. We get genomics, multi-omics, precision medicine. We get more wearable devices. We get digital patient twinning. The number of different areas where technology plays a role in healthcare is very, very large.
What might come as a slight surprise to you is that if you look at the last seven years, healthcare is actually the industry amongst all industries where the growth of data has been highest. There is no other industry where the amount of data generated is growing as fast as it does in healthcare.
This is a very, very important area for us at Bumrungrad. At Bumrungrad, if we can have the next slide, please, this has always been a very important differentiator for us, and this goes back into our mission. In our mission, we want to transform hospital operations with innovation and technology. This goes back 30 years plus. Back in 1999, we were very early on to build our own medical record system here, which we eventually, it was so good that Microsoft decided to buy it from us many years ago now. This history of being a first has continued. We started using AI in 2014. That was way before any of you were talking about AI, I am sure. That was in collaboration with IBM Watson for Oncology.
You may recall Watson was the self-standing computer that beat others in Jeopardy!, but it was also one of the big applications was how to use this in oncology treatments, and we were the first hospital worldwide to make good use of this. In 2022, we started using AI at scale in our imaging department, and at that point, we focused on two modalities. We focused on chest X-rays, and we focused on mammography together with a company called Lunit. Already about four years ago, we really started doing this for about a third of all of our imaging studies in this. Of course, with the rapid development during last year, we were doing a lot in AI along many different areas of the hospital. We were building several agentic implementations. We had over 10 plus different smaller implementations.
We have a long and proud history of technology, and what I want to talk to you about today is what we are doing in 2026 and beyond. In 2026, our plan is absolutely to continue this journey, and we are focused on two things, clinical outcomes and patient experience and trust. These are the two objectives that we have when we are looking at technology solutions that we are applying throughout our hospital. Clinical outcomes and patient experience. Four initiatives that I will go into a little bit more depth on today. One is to expand the use of AI in imaging. Second is related to the international business, which Rajeev spoke about before. Digitizing and automating something that has previously been rather manual.
Third element, which is very interesting, is to deploy AI to essentially all of our clinical users directly into our medical record system and hospital information management system. Fourth, it wouldn't be a technology presentation without this, is our focus on cybersecurity and improving governance around these areas. Incredibly important in today's time. Let me click through these four initiatives very quickly. As I mentioned, in 2022, we started using AI in imaging, and we focused on two modalities. We had the chest X-ray and mammography. This year, we are partnering with a platform provider that will give us access to over 225 different algorithms from 85 different vendors, which will allow us to deploy AI in all modalities and for all clinical use cases in imaging.
This will help us drive better patient outcomes because, of course, the AI can help us identify things that one might miss. It will also help our radiologists' and clinicians' workflow. Importantly, putting this platform in place would help us stay up to speed and up to date in this world where the number of new AI algorithms that are coming out is so high that we can't possibly keep up with them one by one. But having a platform, we will be able to tap into all of them and using this. This is a very important and exciting initiative for us this year. Second initiative relates to our international patient business. As I think it was Khun Niel that showed a slide earlier, it's been for many years, about 2/3 of our revenues come from the non-Thai business.
We are investing this year in supporting the teams that are dealing with this business, that are making these patients come to us, that are receiving the patients when they arrive at the airport, that are driving the patients to their hotels, that are taking them back and forth to the hotels and to the hospital, making sure that we collect their feedback, making sure that we respond to their feedback. So we're making a big investment in supporting these teams with a much better system to support them, to digitize something that was previously done in a rather manual way. Once we've digitized it will also allow us to automate it and apply more AI in this workflow. That's our second big initiative this year.
Third, and this is probably the one that our clinicians, our nurses, our pharmacists, everyone in the clinical side are quite excited about, is that together in partnership with our hospital information system provider, InterSystems, we are going to deploy AI throughout the hospital. This will be something that is made available to doctors, to nurses, to all of the users in a controlled fashion. What is this? This is not a separate system that we're putting on the side. This is actually updating the core system that all of these 5,500 users are using on an everyday basis to allow them to, when they work in a specific patient's record, use natural language search to navigate those records. Those records are very big, sometimes very complicated. They will allow them to create their own type of summaries.
If I am an anesthesiologist, for instance, I may not be interested in everything, but I am interested in what do I need to know about this patient that relates to anesthesiology. I can have that. I can create my own distinct way of getting a summary out of the system that will give me all of the relevant information. AI will help us draft orders and documentation. Of course, they need to be approved by the doctor, and they would be finalized by the doctor or physician before they are submitted. We will also use AI in ambient recording. This is the business of essentially putting a microphone between the doctor and patient, listening to the consultation, and having that consultation then automatically generate the clinical note, automatically proposing the orders, the things that are there to do next, and then approved by the physician.
This will help physicians, nurses, pharmacists, everyone in this area. Now, very important as we are doing this is an absolute of paramount importance is keeping patient privacy and confidentiality in mind, making sure that we have accurate records and that we are having a human in the loop for every step of the way. This is why we have chosen to do this as an integrated path of our core system that everyone is having. This, I think will be a very, very big step for us, and our doctors are quite excited about it. The fourth thing that I would like to mention is, and this is not a one-off initiative, this is something that we do every year, it is an evergreen initiative, is strengthening our cybersecurity and resilience.
As a policy, we do not talk about the specific solutions that we are using here, but I can tell you that we are looking globally for the very best solutions, the very best software, the very best tools that we can have. We have also migrated from a primarily people-based to an AI first with very specialized skills, to monitor and respond to all of the various events that are happening out in the world today. Cybersecurity for us is something that we will never negotiate. We will always put cybersecurity first, and I know that some of my colleagues find this frustrating that they want to take the latest and greatest tool, but we will not let them do that unless we have reviewed it in proper detail. These are four initiatives that will all happen during this year.
Besides that, we are doing more things also in 2026, and some of these will come beyond. We are putting more agentic AI into our patient correspondence and essentially responding to our patient's queries, helping our physical staff to respond more quickly and more accurately to these questions. Daniel mentioned on his slide in insurance, which is a big area for us, is that we are starting an initiative this year on intelligent processing of the full insurance process from verification of coverage all the way through payment and follow-up. We are looking at AI-driven clinical decision support systems. We have some very interesting ones that we are piloting that we will be putting in place.
We are also going to look at digital twins for patient participation. This is very important to get our patients to really understand their diagnosis, what could happen if they do not react to it, and get them to participate in their own medical care. These are some additional initiatives that I hopefully can get back to you on later as we progress on those. You may say, "Okay, look, you are doing a lot of things. What does that mean for you as an organization?" I think we have a leadership and an organization that has been very visionary. If we look at our vision and our mission together, there are two keywords that I like to highlight, and it is trust, and it is trust from our patients, trust from our practitioners, trust from everyone, and it is innovation.
We proceed with what we call trusted innovation in this technology space. For this, we are doing three things organizationally this year. We are working on stronger governance in both technology, cybersecurity, and putting this front and center for everyone. Second, we are strengthening our teams, this is actually one area where we are hiring more people and more skilled people, that know this technology and can stay up to speed with it. Thirdly, we are very focused on collaborating more closely with our various clinical and operational teams throughout the hospital to make sure that we are not just putting these technologies out there, but we are actually getting adoption because there is no value of any of these technologies unless we get people to adopt them. We are working very hard on this area, and happy to take any questions later. Thank you.
Thank you, Henrik. While Dr. Polakit needs no introduction, I will give him one anyway because he deserves it. Dr. Polakit comes to us from Harvard as a practicing cardiologist and geneticist. From there, he went to Pittsburgh, from there, he went to Hong Kong, and he has been with us for a few years now. He sees some patients, but he is involved a great deal in some of these titles that you will see that he will explain here. He is also our Chief Science Officer for the company. Dr. Polakit, please. The CEO for VitalLife.
I think you guys know me anyway. My name is Polakit. I am the CEO of VitalLife and Esperance , and also Chief Science Officer for the whole group. Before I bore you with all the science, let us talk about VitalLife a little bit. I would like to share with you our VitalLife highlights for 2025, and perhaps we can bleed into 2026. Our commitment for the organization is not just only building the medical center or the wellness center, but I think we would like to build a scalable longevity ecosystem. I know that we are in the middle of longevity tsunami. Everyone talks about longevity. The truth is truth, I think we are entering into what we call longevity economical transition.
For the past 25 years, we have received numerous awards, but last year we have won several awards, including Asia's Premier Longevity and Wellness Destination, Excellence in Longevity and Aesthetic Medicine, Asia Best Performing Companies 2025, and more importantly, Global Healthcare Accreditation. We have been certified with Distinction with 95.71%, which is amazing. More than that, we do not want to, again, not just only building the wellness or maintain the wellness, but we want to integrate or embed the wellness medicine, especially longevity-based medicine, into the lifestyle. We have 25 years for a track record and from strategic standpoint and our highlights for 2025. A couple of weeks ago, we have announced the partnership ecosystem through the press conference. Let me just go over a little bit with you.
We decided we have made a deliberate decision to partner with many people across industries, for example, hospitalities, travels, financial institutes, including insurance like Khun Niel mentioned. We also think that lifestyle is an entry point because nowadays you cannot be a standalone. Again, we not only do a standalone medical center, a wellness center, but I think the good way is to perform and also bring the longevity medicine is to bridge with Bumrungrad Hospital and even collaborative extramurally. Lifestyle partners also is very important. More than that, wearing the CSO, Chief Science Officer hat, we need to do the research because we believe that science is the backbone of the medical industry. Of course, we are not trying to be number one research powerhouse, but we need to do research and technology implementation to address the longevity-based medicine, including wellness.
Last but not least, as [Khun Henrik mentioned], we focus and we try to combine technology and science together, and that cannot be successful without technology/AI partners. We work together with many other partners. Let me talk to you a little bit more about corporate partnership events. Last year we have participated and organized more than 30 in-house events, and that is how we convert the prospects into the high-value, longevity-based clients. We wanted to deliver personalized longevity experience. Wellness is very different and it is very unique from sick care. Because sick care, when you are very sick, of course, you will come to the hospital, you can be admitted to medical ICU, and that is episodic. But wellness is not like that. You need to be longitudinal.
You need to perhaps part of the subscription, part of the membership, and that is how you integrate the longevity medicine and also wellness into the medical community. This is one of our strategies, so we can strengthen the trust. What really make us unique, as opposed to other wellness in the industry, is that we are physician-led consultation, we are physician-led wellness intervention, and we provide all these exclusive VIP healthcare journeys. Also, we participated and we organized the external events, more than 25 events. Again, we position VitalLife within the luxury lifestyle platform and ecosystem, and that is how we call conversion ecosystem. We provide and we promote preventive medicine and advanced diagnostic through this platform and generate high-quality leads and cross-acquisition opportunities together with many other parties, as you can see here on this slide. Okay.
I will give you some examples because all these things are more from the strategic standpoint, but something very concrete. Our project collaborations are numerous, but key collaboration projects that I would like to highlight today include InterContinental Residences, Phuket integration. We position wellness as part of luxury property ownership. Wellness from VitalLife will be bundled with residence purchase and support the wellness lifestyle that can position in the hospitality residences. We also work together with BBL and also BAY for the private banking and wealth management ecosystem. As for the output for the past year and also going into 2026, we invested very heavily into the new program and high intensity because we do not want to do price war when it comes to the wellness. So we prioritize the technology and science to support our wellness service offerings.
For example, SevenAge, which I am going to talk to you later toward the end of my talk. Also, we provide a state-of-the-art medical-grade hair transplantation. We also invested very heavily in innovation and upgrade all the service and the venues. We also invented the digital and AI power marketing through the mobile application and multilingual websites and formed a strategic partnership, as I mentioned before. The whole idea is to integrate and embed our service into the high-net worth individual society and vice versa. We have hired award-winning interior designer from Singapore and built VitalLife V Level, and we opened it a couple of months ago with very great response. I really hope that, if you have time, you are more than welcome to visit, where we provide the IV therapy, plasmapheresis, and also create a lifestyle community among peers.
On the right hand, and we are very proud, we have opened Longevity Fitness in Soi One, where we provide a lot of services ranging from functional assessment tools. We work together with Global Technogym, work together with many parties, including Technogym, to develop a CRM system, using state-of-the-art exercise machine, AI-driven exercise machine where you can train your muscle, at the same time train your brain, and also train your reflex and our other system within 30 to 45 minutes for one session. That machine is called ddrobotec, which is the only one machine in Thailand. I am going to skip this. I talked about this already, multilingual website, mobile application that can be connected with Bumrungrad Hospital and can even work together with some other partners if you are interested. Again, we prioritize high-intensity services such as Cognify program, Verasis, and even a long-term subscription membership.
Let me pause a little bit and talk to you more about the Cognify program. This is a non-invasive program, and we are one of the few centers in this region to provide this non-invasive, in a medical term called transcranial pulse stimulator. In a very easy and layman word, we use the repetitive ultrasound wave, shock wave, to increase the blood flow to the brain. Within 30 to 45-minute session and maybe six sessions, this can really help people who have brain fog, maybe early sign of cognitive impairment, or even Alzheimer of the mild and moderate degree. Last but not least, it can even help for people with Parkinsonism. The indication, it is very diversified, ranging from wellness all the way to the disease. Aesthetic and performance enhancement solution.
Again, we are not trying to do price war, we are not trying to compete. We have, again, made deliberate decision not to compete with aesthetic clinic out there. We don't think this is add-on therapy, but we believe that this is the entry point, so people can understand longevity service from something very easy to perceive, like aesthetics. That's why we focus on something that would give you a very quick win and also high intensity when it comes to the commercialization. Last but not least, let me talk about our scientific output a little bit, because this can reflect our organization identity and also DNA. Again, science is very critical here for Bumrungrad Hospital and VitalLife. We have conducted research. We work together collaboratively with people in the organization and with academic partners.
Each year, we publish tons of publications, and last year we published more than 50 publications. I would like to raise. I'm sorry. I would like to draw your attention to this paper, because this is in-house research work, and we publish in the top 25 journal in a quartile medical journal. It's called SevenAge. The whole idea is to make use of our longitudinal data at Bumrungrad Hospital and learn from it. So it basically track all the data, tons and tons of the data, and then come up with what we call biological age. Nowadays, if you look at your ID or passport, you can be 40, you can be 45. But in fact, we really want to track your biological age. We want to know your cell age, your molecular age, because that's how we can intervene, and we can provide you the continuous monitoring.
Not your age, not your chronological age on your passport. This is so-called SevenAge because we made use of a simple blood test, scalable, affordable, only six markers on the right-hand corner, like your kidney function, your liver function, your cholesterol, together with your gender, male or female. The AI algorithm will give you your biological age. We are very proud that we have launched it, and we have clinically implemented at this hospital and also VitalLife. Very soon, we are going to extend this service to our network hospitals or our potential partners. I think that would conclude my updates for 2025, and hopefully in 2026, it will be even more strengthened in terms of the strategic partnerships with the lifestyles, with all the financial institutions, and even hospitalities, which I'm sure you all know that wellness has been part of many industries.
If you stay tuned for a couple of months from now, we are going to even launch the new software, Wellness Intelligence, that can be the co-pilot for the wellness physicians and which is, again, our in-house AI software that can take all the information from the doctors from the laboratory and spit out the recommendations for the wellness. Thank you so much.
Yes. This biological age clock was invented by Bumrungrad, by our data scientists in Europe. It is patented, and it is published, and we are now using it in our checkup center. We invite you to come and have a look for those that are interested in knowing what their biological age is as compared to their chronological age. It is a very effective clock that tells you the differences between the two. If your biological age is advancing, that is a good thing. If your chronological age is advancing past your biological age, that is not a good thing. These six indicators that he showed earlier, which are called biomarkers, which are based upon 36 other biomarkers, will tell you whether or not you are advancing or not.
The object is for you to do things from a wellness and nutrition and exercise standpoint to have biological age advance past chronological age. It is an interesting thing. We built this ourselves in Europe. We also built two pieces of software that are part of VitalLife. One is called Nexa, one is called Nova. One is a rules-based piece of software that is going to be launched, I think March 10th in VitalLife. The Nova piece of software is going to be launched March 20th. We have opened up a health center in Zurich, where we have our other subsidiary called KEYONIQ, and we will let you know more about that. That biological age clock has received great reviews in Europe, and we are going to be expanding it into the health insurance market there, for which they are going to be paying up to CHF 200 per test.
Insurance companies are going to pay for it because there they value this kind of thing differently than, say, other parts of the world. This is another business line that we plan on it taking off as a complement to what Bumrungrad does here.