THOMSON Medical Group (TMG) on Wednesday (Feb 7) posted a 91.1 per cent year-on-year drop in net profit to S$2 million from S$22.8 million in the half-year ended Dec 31.
Revenue for the period fell 8.6 per cent to S$168.1 million from S$184 million the year earlier, the mainboard-listed group’s condensed interim financial statements showed.
In Singapore, revenue was down 18.2 per cent to S$113.7 million from S$139 million; in Malaysia, revenue grew 20.8 per cent to S$54.2 million from S$44.9 million.
The decrease in revenue from Singapore is largely due to the lower income received from project-related services, such as the management of vaccination centres and transitional-care facilities, said the group in a regulatory filing.
The drop was partially offset by “increasing revenue intensity” in Singapore.
The increase in revenue in Malaysia was mainly attributed to the increased operating capacity at Thomson Hospital Kota Damansara in Petaling Jaya, which built a new wing.
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Earnings per share (EPS) for the period stood at 0.008 Singapore cent, down 90.7 per cent from 0.086 cent in the corresponding year-ago period.
No dividend was declared for the period.
The group noted that the increase in other income to S$3 million from S$2.3 million came mainly from higher government grants under the Jobs Growth Incentive and sponsorship income in Singapore.
Other operating expenses for the period went up 10.9 per cent to S$42.8 million from S$38.6 million, which the group attributed to transaction costs and foreign-exchange losses incurred in the acquisition of Far East Medical Vietnam. The deal was completed in December 2023.
Said the group’s executive vice-chairman Kiat Lim: “We will deepen our reach within each market and also continue to look at the right high-value partnerships and acquisitions that align with our strategy across the region.”
He added that the group now “has a stronghold in each of South-east Asia’s most important healthcare markets”.
Shares of the group closed unchanged at S$0.051 on Wednesday (Feb 7), before the results were announced.
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