SINGAPORE (Feb 20): TalkMed Group reported 4Q17 earnings fell 19.3% to $8.2 million from $10.2 million a year ago mainly due to a decrease in revenue.
For the full FY17 ended Dec, earnings came in 14.3% lower at $32 million from $37.4 million a year ago.
TalkMed provides healthcare services in the fields of medical oncology and palliative care to the oncology patients in the private sector in Singapore through Parkway Cancer Centre.
TalkMed says the group faces revenue pressure from competition arising from lower medical cost centres in neighbouring countries.
CEO Dr Ang Peng Tiam’s eight-month suspension from end July 2017 also had a material impact on the group’s revenue and earnings in 4Q17 and into 1Q18.
See: TalkMed CEO Ang Peng Tiam handed 8-month suspension for professional misconduct in 2010
Revenue in 4Q17 fell 17.6% to $15.1 million due to a decrease in the number of patient visits.
Operating lease expense increased by 8.3% to $0.43 million while other operating expenses increased by 41.4% to $1.13 million.
Employee benefits decreased by 19.1% to $3.53 million mainly due to a decrease in salaries incurred.
The group’s share of loss after tax from its associate, Hong Kong Integrated Oncology Centre Holdings was $0.48 million in 4Q17. This was an improvement of $0.36 million from 4Q16.
The board has recommended a final one-tier tax exempt dividend of 1.37 cents per share for FY17.
Shares in TalkMed closed at 68 cents on Tuesday.