- Raffles Medical (SGX:BSL)'s 2023 earnings were below expectations at 89% of our estimates. 2H23 adjusted PATMI dropped 77% y-o-y, excluding fair value gains of S$7.4mil.
- The absence of high-margin pandemic-related services such as vaccination and testing was the major drag on earnings. Other activities pulling down margins were lower revenue per bed from transitional care facilities (TCF) and high loss ratios in their insurance business as patient claims normalised.
- - Read this at SGinvestors.io -
- We cut our FY24e PATMI forecast for Raffles Medical by 30% to S$59.2mil. Maintain NEUTRAL with lower target price of S$0.96 (previously S$1.02).
The Positive
Growth in China.
- - Read this at SGinvestors.io -
- Raffles Medical is gradually gaining traction with foreign corporations operating in China. EBITDA break-even will require 2 to 3 years, but patient load is building momentum as marketing efforts intensify.
The Negative
Revenue & margin collapse.
- Read more at SGinvestors.io.
Above is the excerpt from report by Phillip Securities Research.
Clients of Phillip Capital may be the first to access the full report in PDF @ https://www.stocksbnb.com/.
Paul Chew Phillip Securities Research | https://www.stocksbnb.com/ 2024-02-28
Read also Phillip's most recent report:
2024-08-01 Raffles Medical Group - Competition Will Cap Upside.
Price targets by 4 other brokers at Raffles Medical Target Prices.
Listing of research reports at Raffles Medical Analyst Reports.
Relevant links:
Raffles Medical Share Price History,
Raffles Medical Announcements,
Raffles Medical Dividends & Corporate Actions,
Raffles Medical News Articles
