Singapore Medical Group returns to black with $2.4m full year net profit

Dr Beng Teck Liang, chief executive officer of Singapore Medical Group, said that over the past year, the group showcased its track record of turning around businesses and making them successful.
Dr Beng Teck Liang, chief executive officer of Singapore Medical Group, said that over the past year, the group showcased its track record of turning around businesses and making them successful. PHOTO: THE BUSINESS TIMES

SINGAPORE - Singapore Medical Group returned to the black with a net profit of S$2.4 million for the full year ended Dec 31, 2016, after a net loss of S$148,000 a year ago.

The specialist healthcare provider with 29 clinics in Singapore said on Monday (Feb 27) the earnings were the highest since its initial public offering in 2009.

Revenue surged 34.3 per cent year on year to a record S$41.58 million from S$30.97 million a year ago.

This was driven by robust turnover growth in the group's healthcare segment which increased 35 per cent yoy to S$29.9 million. Similarly, the group's newly formed diagnostic & aesthetics segment saw revenue rise 31.9 per cent yoy to S$11.2 million. This new segment was established following the acquisition of Novena Radiology Pte Ltd and Lifescan Imaging Pte Ltd in 2016.

Said executive director and CEO Dr Beng Teck Liang: "Over the past year, we have showcased our track record of turning around businesses and making them successful. Heading into 2017, we intend to aggressively explore inorganic growth opportunities that are value-driven and synergistic to the group's existing specialties in Singapore and the Southeast Asian region.

"Our overarching growth strategy is to achieve market leadership positions in our key verticals. These include our developed specialisations in oncology; opthalmology, obstetrics & gynaecology; and, diagnostic imaging."

Earnings per share stood at 0.84 Singapore cent versus a loss per share of 0.05 Singapore cent a year ago.

No dividend was recommended for FY2016, the same as the previous year.