SINGAPORE (Nov 7): Healthcare company TalkMed Group posts a 17.2% decline in earnings to $7.1 million in the 3Q ended September, from $8.6 million a year ago.
Revenue fell 17.7% to $14.0 million in 3Q17, from $17.1 million a year ago. This was due to a decline in the number of patient visits compared to 3Q16.
Employee benefits decreased by 10.9% to $3.7 million in 3Q17, mainly due to a decrease in salaries incurred.
Other operating expenses increased by 83.3% to $1.1 million during the quarter, mainly due to an increase in overhead expenses incurred by subsidiary Stem Med as well as cost of share-based payments.
As at end September, cash and cash equivalents stood at $65.3 million.
Looking ahead, the group says it is facing pressure on revenue due to the appreciation of the Singapore dollar as well as challenging economic conditions of neighbouring countries.
In addition, it adds that the eight-month suspension of Dr Ang Peng Tiam from end July is expected to have a material impact on its revenue and earnings.
Ang, the executive director and CEO of TalkMed, had been handed the suspension by the Court of Three Judges on grounds of professional misconduct.
Shares of TalkMed closed 1.5 cents higher at 70.5 cents on Tuesday.
