- Raffles Medical Group (SGX:BSL)'s 3Q23 revenue and PAT collapsed 25% and 67% y-o-y, respectively. Results were below expectations. 9M23 revenue and PATMI were 70%/51% of our FY23 estimates.
- - Read this at SGinvestors.io -
- We cut our FY23e revenue and profit forecast for Raffles Medical by 6% and 34%, respectively. We downgrade our recommendation for Raffles Medical from BUY to NEUTRAL.
- Our DCF target price for Raffles Medical is cut to S$1.02 (previously S$1.76).
- - Read this at SGinvestors.io -
- Softer margins at the transitional care facilities (TCF) due to competition;
- Elevated start-up cost in the China hospital;
- Higher insurance claims as customer visits normalise.
The Positive
Healthy cash flow.
- Read more at SGinvestors.io.
