TNH Hospital Group Posts VND 116.9B Nine-Month Loss Despite 27% Revenue Growth

Overview

Tập đoàn Bệnh viện TNH (HOSE: TNH) reported a consolidated after-tax loss of nearly VND 116.9 billion for the first nine months of the year, roughly 57% wider than the same period last year, according to its Q3 consolidated financial statements. Revenue rose 27% to more than VND 460 billion, but faster cost growth and rising interest expense at newly opened facilities pushed the private hospital chain deeper into loss.

Key Facts

• 9M after-tax loss of nearly VND 116.9 billion, up about 57% year-on-year.
• 9M net revenue exceeded VND 460 billion, up 27%; cost of goods sold rose faster to more than VND 448 billion.
• Q3 after-tax loss of nearly VND 45.9 billion, more than double the prior-year quarter and a 123% widening.
• Q3 net revenue reached more than VND 184.5 billion, up 24%, while cost of goods sold rose 31%, cutting gross profit nearly 34% to about VND 9.3 billion.
• Q3 financial expenses rose 141% year-on-year to more than VND 30 billion, driven by loans for Bệnh viện TNH Việt Yên and phase 3 of the Bệnh viện Quốc tế Thái Nguyên project.
• Accumulated losses reached nearly VND 104 billion at end-September, versus positive retained earnings of more than VND 7 billion at the start of the year.
• Total assets were more than VND 3,032 billion, up about 5.5% from the start of the year; liabilities were nearly VND 1,394 billion, including more than VND 1,277 billion in borrowings and finance leases.

What Happened

In the Q3 consolidated financial statements, TNH said revenue growth came from its newer facilities. Bệnh viện TNH Việt Yên recorded revenue up 41%, with outpatient visits and inpatient numbers up 27% and 25% respectively year-on-year. Bệnh viện Quốc tế Thái Nguyên and Bệnh viện TNH Phổ Yên improved revenue by 6% and 4%. Bệnh viện TNH Lạng Sơn began operating in mid-July but has not yet met expectations, with input costs, depreciation on new assets and staffing adding pressure during its early operating phase.

Management said that once facilities begin operating, the company shifts to recognising interest expense in the income statement rather than capitalising it into assets, while long-term project loans also raise interest costs. Selling expenses rose 16% and general and administrative expenses rose 14% in the quarter. TNH said operating and interest costs incurred while bringing facilities online have not yet been matched by corresponding revenue, producing the eighth consecutive loss-making quarter.

Market Context

TNH trades on HOSE and closed at VND 7,180 on 2 November 2026. The stock sits in the healthcare sector, where private hospital operators are valued on bed occupancy, revenue per patient and the pace of new-facility break-even rather than near-term earnings. The company’s profile as a northern Vietnam private hospital chain with foreign ownership above 50% following Mekong Capital’s investment adds a governance and capital-flow dimension that domestic retail investors watch closely.

Strategic Significance

The core question for long-term holders is whether TNH’s new capacity is a timing problem or a structural one. Revenue growth of 27% shows underlying demand is real, and the Việt Yên ramp-up is the clearest evidence. But the shift from capitalising interest to expensing it, combined with depreciation at Lạng Sơn, means the cost base steps up before the revenue does. With accumulated losses now at nearly VND 104 billion and borrowings above VND 1,277 billion, the balance sheet has limited room to absorb a prolonged break-even period. The Mekong Capital stake and majority foreign ownership raise the bar on disclosure and on the credibility of the facility ramp-up timeline.

What to Watch

• Q4 2026 financial statements, particularly whether Bệnh viện TNH Lạng Sơn narrows its operating loss.
• Monthly or quarterly disclosure of patient volumes at Việt Yên, Phổ Yên and Lạng Sơn.
• Any capital raise, refinancing or shareholder support given borrowings above VND 1,277 billion.
• Interest expense treatment and whether further project loans are drawn for phase 3 of Bệnh viện Quốc tế Thái Nguyên.
• Foreign-ownership and Mekong Capital stake filings, given foreign holders control more than half of the shares.