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These 2 Companies Recently Announced Growth In Their Latest Results

We are reaching the tail-end of the earnings season.

Given that many companies have already reported their results, it might be useful to categorise them into three buckets of positive, negative and mixed.

In this article, I will look at two companies that have recently reported positive results.

Singapore O&G Ltd  (SGX: 41X) is the first company to be featured.

As a quick introduction, Singapore O&G is a healthcare company that was listed in June 2015. The company operates mainly in three segments, namely, Obstetrics and Gynaecology, Cancer-related and Dermatology.

For its 2017 fourth-quarter, revenue was up by 17.3% year-on-year to S$8.2 million, with all segments reporting growth. Similarly, profit from operations jumped 23.0% year-on-year to S$2.9 million, mainly driven by growth in revenue. As a result, net profit jumped 23.7% to S$ 2.5 million.

Singapore O&G had S$20.0 million in cash and cash equivalents and no debt, as of 31 March 2018, up from S$16.4 million in cash and cash equivalent and no debt, as at 31 December 2017.

Dr Beh Suan Tiong, Executive Chairman of the company, said:

“We are delighted with the Group’s performance for this quarter and we will continue to grow and strengthen our business in FY 2018. In addition, we would like to welcome our new Chief Executive Officer, Dr. Ivan Lau Eng Kien (“Dr. Lau”), who has joined SOG on 2 May 2018.

Dr. Lau has over 20 years of experience in the healthcare industry and has held several healthcare executive roles in the last seven (7) years. We are confident that Dr. Lau will contribute to the continued growth of the Group. Once again, we welcome Dr. Lau to our SOG family.”

Japan Foods Holding Ltd (SGX: 5OI) is another company that announced positive results recently.

As a quick background, Japan Foods is a Japanese restaurant chains in Singapore, operating a number of brands such as “Ajisen Ramen”, “Osaka Ohsho” and “Menya Musashi”. It has also expanded beyond Singapore to Malaysia, Vietnam, Hong Kong and Mainland China.

For the quarter ended 31 March 2018, Japan Foods reported that revenue grew by 6.5% year-on-year to S$16.2 million. Similarly, net profit for the quarter jumped 67.8% year-on-year to S$0.9 million. The higher revenue was driven by contribution from the restaurants operating under the “Ajisen Ramen” and “Menya Musashi” brands as well as new contribution from its “Shitamachi Tendon Akitmitsu” brand, which was launched in July 2017.

Japan Foods proposed a final dividend of 1.30 cents per share. Together with interim dividend of 0.80 cents, total dividend for the year would be 2.10 cents.

Mr Takahashi Kenichi, Executive Chairman and CEO of Japan Foods, said:

“I am very pleased that Japan Foods has set a new revenue record despite an increasingly challenging operational environment as it reflects the success of our ongoing restaurant portfolio management strategy in driving revenue. We will continue to monitor the sales of individual stores carefully in order to maintain a healthy topline and sustainable bottomline.”

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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 Lawrence Nga doesn’t own shares in any companies mentioned.