SMG's first quarter revenue up by more than 28%

Establishment of new eye, aesthetics and critical illness clinics is the key to Singapore Medical Group's success.

Singapore Medical Group Limited on Wednesday announced that it has gained more than 28% in revenue to S$18.7 million for the 6 months ended 30 June 2010.

In its financial report, the group said the amount was approximately S$4.1 million higher than what was achieved in the same period of 2009.

Moreover, SMG said it has also registered a gross profit of S$10.5 million, up by S$2.4 million compared to first half of last year, representing a 30% growth.

Contributing to the growth were Eye Cluster sales which grew by 23%, the Aesthetics Cluster sales which grew by 43%, and the Critical Illness Cluster which grew by 72%.

CEO of SMG, Dr Cheryl Baumann, said, “SMG believes that there are strong opportunities for growth in healthcare, the improvement was largely contributed by the newer clinics under the Eye, the Aesthetics and the Critical Illness Clusters, which have begun to mature and started to operate at more optimised capacities this year.”

SMG’s profit before tax for in the first half was over S$2.0 million, an improvement of 101%. It has ended a cash position of S$7.1 million. The group’s net assets were S$6.2 million, an increase of S$1.4 million from S$4.8 million during this period in 2009.

To reward the shareholders, the SMG Board is recommending an interim, tax-exempt dividend of 0.82 SGD cents per ordinary share, equivalent to a dividend payout ratio of 70% and an annualised dividend yield of 9% for the first half of 2010, the SMG release said.