TalkMed Group Ltd (SGX:5G3) is company that specialises in providing medical oncology and palliative healthcare services in Asia. The company also has a stem cell banking facility in Singapore that deals with the processing, cryptopreservation, and storage of adult stemcells. The company currently has a total of eight clinics and 14 doctors.
Earlier this month, TalkMed released its 2017 annual report. Here are the key takeaways.
For 2017, TalkMed’s total revenue declined by 11% to S$61.36 million. The drop was due to lower number of patient visits compared to 2016. Revenue from the Singapore segment of its business declined by 10.7% to S$61.1 million, while revenue from its Vietnam operations retreated 39.3% to S$0.24 million.
On a more positive note, revenue from its 57% stake in Stem-Med Pte Ltd, which deals with stem cells, surged 319.9% to S$1.69 million.
Overall profit after tax dropped S$5.68 million, or 15.4% to S$31.2 million. The board had recommended a final dividend of 1.37 Singapore cents per share, which brought the total dividend for 2017 to 2.131 cents per share. This represents 87.4% of TalkMed’s net profit attributable to shareholders.
Perhaps the most notable talking point (pun not intended) about TalkMed’s year was the eight-month suspension of the company’s CEO, Dr Ang Peng Tiam, which started on 25 July 2017. Ang was found guilty of misinforming his patient in 2010. He only resumed medical duties on 25 March this year.
TalkMed has also initiated plans for expansion in China by collaborating with Beijing New Hope Hospital Management Co Ltd. to offer oncology services in China.
What lies ahead
In his message to shareholders, TalkMed’s chairman, S Chandra Das, had this to say.
“Crossing into the year, the local and global economies are looking more upbeat. Economies of Singapore and neighbouring countries are expected to continue to expand. Ageing demographic trend will continue to support the demand for specialist medical oncology and haematology healthcare services. Given these trends, we are optimistic about the outlook for the Group’s prospects in relation to its core oncology services as well as other new services that the Group has ventured into.”
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The information provided is for general information purposes only and is not intended to be personalised investment or financial advice. Motley Fool Singapore contributor Jeremy Chia doesn’t own shares in any companies mentioned.