SINGAPORE (May 15): Singapore Medical Group, the healthcare services provider with an expanding regional network, reported 1Q18 earnings more than doubled to $3.4 million from $1.4 million.
SMG says following its transformation into one of the largest specialist practitioners dedicated towards women’s health and wellness, the group reported a 37% increase in revenue to $19.2 million for 1Q18.
Growth in the group’s top line was driven by the Healthcare segment which increased 47.7% to $14.3 million. Adding further to this was the group’s Diagnostic & Aesthetics segment which rose 14.2% to $4.9 million.
In line with the increase in revenue, gross profit surged 47.0% to $8.9 million. Correspondingly, gross profit margin improved 3.2 percentage points to 46.4% as a change in sales mix across both segments led to margin improvements.
Similarly, the group’s EBITDA more than doubled to $4.9 million while EBITDA margin expanded 9.1 percentage points to 25.7%, underpinned by continuous efforts to streamline operations while deriving cost synergies from recent acquisitions.
The group’s administrative expenses increased 16.1% to $4.2 million arising primarily from higher depreciation and an increase in maintenance expenses during the period. In addition, distribution and selling expenses increased 15.8% to $0.8 million for 1Q18, driven mainly by the increase in revenue.
SMG has opened a new O&G clinic in Paragon and a new paediatric clinic in Bedok. The group also officially opened its new 5,500 sf centre at Novena Medical Center in February. It also completed the acquisition of SW1 Clinic, one of the largest aesthetic, plastic surgery and medical spa clinics in Singapore, in April.
Shares in SMG closed 2 cents higher at 51 cents on Monday.
