Raffles Medical's Q3 profit up 1.2%

RAFFLES Medical Group marked a 1.2 per cent year-on-year rise in net profit to S$15.6 million in the third quarter ended Sept 30.

Group revenue registered a 7.4 per cent growth from a year ago to S$101.5 million, on the back of stronger revenue from hospitality services and healthcare services divisions, Raffles Medical said on Monday.

The continued strong operating cashflows generated from the group's business operations resulted in a healthy cash position of S$89.5 million as at Sept 30, after accounting for investment of S$54.4 million in capital expenditure and deposit pertaining to the property for the Shanghai New Bund International Hospital Project as well as distribution of interim dividends of S$8.6 million to shareholders during the quarter under review.

In its expansion pipeline, Raffles Holland V is currently on track to be completed in the first quarter of 2016, while three Raffles Medical clinics in Bishan-Toa Payoh cluster are being expanded and upgraded to meet increasing service demand.

The group is also expected to benefit from the acquisition of International SOS (MC Holdings) Pte Ltd through a joint venture, which was completed on Oct 16. The 10 clinics in this JV (six in China, three in Vietnam and one in Cambodia) will be operated and branded under Raffles Medical Group in the near future and will support the existing network in Singapore, Hong Kong and Shanghai and its planned expansion into the region.

"The group is closely monitoring market conditions, and will continue to be vigilant and responsive to new opportunities that may arise both regionally and globally," the group said.