HONG KONG: Union Medical Healthcare, the largest aesthetic medical service provider in Hong Kong, has reported a 14.8% fall in net profits for the full year to 30 March to HK$148.7 million (US$19.2 million). Adjusted net profits, however, which exclude listing expenses, were up 1.6% to HK$182.8 million. Revenues for the year were up 13.5% to HK$704.9 million.
Revenues from medical services were up 25.9% to HK$275.7 million, thanks to minimally invasive procedures and dental services. Revenue from quasi-medical services was up by 18.2% to HK$74.1 million for the year, on increased energy-based aesthetic medical devices provided to clients.
The revenue from traditional beauty services decreased by 2.8% to HK$65.0 million as the group turns its attention to focus on medical services, quasi-medical services and skincare and beauty products.
Union Medical is currently in the process of establishing several additional aesthetic medical clinics in China, including one in Shanghai, one in Guangzhou and one in Shenzhen, all of which are likely to open this year.
In a statement the group said: “We will continue to focus on growing our aesthetic medical services and intend to continue expanding the range of services that we offer in order to better serve our clients, as well as capture additional revenue streams. We anticipate that we will maintain a steady profit growth”.
In March, Union Medical priced its HK$742 million IPO with Credit Suisse as sole sponsor and as joint bookrunner along with CIMB and Haitong International. The company sold 245 million shares at HK$3.03 per share – the lower end of the HK$2.88-HK$3.88 price range – giving it a forward P/E ratio of 12.1.
Its shares are off their recent lows of HK$2.25, but they are still trading under water. Yesterday they closed down 0.74% at HK$2.68
