Medtecs International Corporation achieved a rare feat of making a clean sweep of all four awards categories for this sector. The Taiwan-based but Singapore-listed company specialises in providing personal protective equipment (PPE) for the healthcare industry. These ranged from masks to disposable gowns.
Demand for the company’s products has seen a supranormal surge when the pandemic hit and hospitals and clinics around the world requiring personal protective equipment (PPE) to keep their healthcare workers safe.
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In the three years taken into consideration for this year’s awards, Medtecs’ share price grew at a CAGR of 174.4%; its earnings surged by a CAGR of 430.3% and it delivered a weighted ROE of 52.09 times.
In its earnings commentary for the FY2020 ended last December, Medtecs notes that the pandemic has shown little signs of abating this year. This means PPE and healthcare products will continue to be in high demand. Citing unnamed studies, the company notes that the global PPE market is seen to grow at a CAGR of between 6% to 12% between 2020 and 2025.
To meet the sustained increase in demand, Medtecs expanded its production capacity in Cambodia and the Philippines for key products such as face masks and isolation gowns last year. It plans to take this opportunity to broaden its product offerings and expand its market share.
One way to achieve this regional drive is to make use of e-commerce platforms to buy from suppliers and sell directly to customers, including products to be sold under Medtecs’ own branding. By doing so, the company can reduce its reliance on contract manufacturing orders while growing its overall business.
