SINGAPORE (July 20): HC Surgical Specialists’ full year earnings hit a record high of $5.5 million for FY18, driven by revenue growth on contributions from acquired subsidies and new clinics, as well as higher revenue contribution from existing subsidiaries.

For the quarter ended May, the group’s earnings surged 60.6% y-o-y to $1.5 million on 48.8% higher revenue of $4.4 million.

Revenue for the full year grew 69.1% to $16 million compared to $9.4 million a year ago, mainly contributed by various subsidiaries acquired in late 2016 and early 2017 – namely CTK Tan Surgery, LAI Bec and Julian Ong Endoscopy & Surgery – along with subsidiaries acquired in FY18, Medical L & C Services and HMC Medical.

This was further bolstered by increased revenue contribution from existing subsidiaries, and new clinics which commenced operations in FY18 at D’Leedon condominium, Ghim Moh Gardens and Hillford condominium.

HC Surgical’s directors recommend a final dividend of 1 cent per share, which would bring the total dividend FY18 amount to 2.1 cents per share and represent a payout ratio of approximately 70% of net profit attributable to shareholders for the financial year under review.

In all, diluted earnings per share rose by 151.3% on-year to 2.99 cents in FY18, compared to 1.19 cents a year ago.

Going forward, HC Surgical says it will continue to recruit more doctors, specialists and medical clinics as part of the group, specifically concentrating towards the domestic market, which has been proven to secure a steady pool of patients.

“As a developing medical services group, we will continue to pursue opportunities to keep up with evolving markets... We will continue to persevere and heighten our presence into the heartlands of Singapore; to develop and grow a wider range of medical services, and to provide a consistent and reliable service for all our patients,” says group CEO Heah Sieu Min.

As at 11:55am, shares in HC Surgical are trading flat at 67 cents.