Raffles Medical's Q2 gains nearly flat at $16.9m

Raffles Medical Group recorded nearly flat growth in its net profit for its second quarter, while revenue stayed steady.

Net profit crept up 0.8 per cent to $16.9 million from the previous year.

For the three months ended June 30, revenue crept up 0.1 per cent to $120.2 million from the preceding year, as revenue for its healthcare services division increased by 5.4 per cent, offset by a decrease of 2.3 per cent in the hospital services division.

"The increase in revenue from (the) healthcare services division was contributed by the addition of new corporate clients and a new contract, awarded by the Ministry of Health and Civil Aviation Authority of Singapore, to provide Air Borders screening services," it said.

"The decrease in revenue from the hospital services division this quarter was the result of softer-than-expected demand from foreign patients, even though local patients registered a slight increase."

The group declared an unchanged interim dividend of 0.5 cent a share.

It said it has successfully implemented its e-commerce service, since the pilot last October, to allow patients to pay for their health screening, vaccination, health supplements and other medical services online before turning up at the medical centres.

It also began refurbishment works for its outpatient clinics and inpatient wards in the second quarter. These facilities will open in the third quarter.

A version of this article appeared in the print edition of The Straits Times on August 07, 2018, with the headline 'Raffles Medical's Q2 gains nearly flat at $16.9m'. Print Edition | Subscribe