Raffles Medical Q2 profit up 4.5% on higher revenue

Raffles Hospital in Singapore.
Raffles Hospital in Singapore.PHOTO: RAFFLES MEDICAL GROUP

SINGAPORE - Raffles Medical Group posted on Monday (July 25) a 4.5 per cent rise in net profit to S$16.67 million for the second quarter ended June 30, from S$15.95 million for the year ago quarter.

Revenue for the quarter swelled 19.8 per cent to S$118.95 million from S$99.25 million previously, thought this was somewhat offset by higher staff costs and operating expenses.

Raffles Medical said all divisions contributed positively to growth with revenue from healthcare services and hospital services increasing by 42.2 per cent and 7.9 per cent respectively.

The strong growth revenue was mainly due to higher patient load, an expanding Raffles Medical clinic network, higher revenue contributed by more specialist consultants as well as the newly acquired International SOS (MC Holdings) Pte Ltd and its subsidiaries (MCH). Excluding the revenue contribution from MCH, group revenue would have grown by 8.7 per cent.

Higher staff cost was the result of staff recruitment for the opening of the new medical centre at Raffles Holland V. On a comparable basis, excluding the performance of MCH, the group's operating profit growth would have been 6.5 per cent instead of 4.1 per cent.

Directors declared an interim dividend of 0.5 Singapore cent per share for the financial year ending Dec 31 to be paid on Aug 31.