KUALA LUMPUR: Optimax Holdings Bhd is poised to capitalise on its established track record, the rapidly ageing population and rising medical insurance penetration, CGS-CIMB Research said.

The research firm expects cataract surgeries to form 32 per cent of Optimax's financial year 2022 (FY22) revenue (ex-vaccination services).

"We gather that the number of surgeries performed by Optimax in the first quarter (Q1) of 2022 was higher year-on-year (YoY).

"We attribute this to pent-up demand after the full Movement Control Order was lifted in the third quarter (Q3) 2021 and the closure of Malaysia's international travel borders, possibly causing the affluent segment to divert spending from travel to eye surgeries.

"Hence, we believe that Optimax may stage decent YoY core earnings per share (EPS) growth in Q1 2022, albeit potentially weaker quarter-on-quarter (QoQ) due to negative seasonality and tapering contribution from Covid-19 vaccination services.

"Forward surgery appointments are also at healthy levels, which bodes well for surgery count in Q2-Q4 2022," it said in a note.

Meanwhile, CGS-CIMB Research expects Optimax to open four new centres in FY23 and three centres in FY24, with the latter being enabled by its memorandum of understanding with Selgate Healthcare.

The company aims to establish a new ambulatory care centre (ACC) in Bahau, Negeri Sembilan, and a maiden satellite clinic in Taman Sutera Utama, Skudai, Johor, in the second quarter (Q2) of 2022.

The company also plans to set up an additional four to nine satellite clinics this year and is looking to expand to the East Coast of Peninsular Malaysia.

"Overall, we see Optimax adding 13 branches in FY22-FY24 from the current 13 branches," it added.

CGS-CIMB Research has reiterated its 'Add' call on Optimax with a lower target price of 77 sen from RM1.24 previously.