Middle East Healthcare Company (MEAHCO) (4009.SE) reported its preliminary 2Q16 results, showing a 16% decline in net income to SAR77mn, which the company attributed to higher selling and marketing expenses due to an increase in provisions for rejections, bad and doubtful debt as well as the occurrence of a higher portion of Ramadan in 2Q16 compared to 2Q15. Meanwhile, gross profit grew for the quarter grew at 4% Y-o-Y to SAR212mn, mainly due to the increase in outpatient traffic. Operating profit dropped c15% Y-o-Y to SAR78mn due to the higher SG&A.(Company disclosure)