Raffles Medical

Raffles Medical: Raffles Medical 4Q14 net profit surged 43% y/y to 22m, while revenue grew 5.8% to $100m, bringing FY14 earnings to $67.6m (-20.3%), on revenue of $374.6m (+9.9%), in line with street estimates.

Top line was contributed by all divisions, driven by higher patient load from an expanding clinic network and the addition of more specialist consultants.

Meanwhile, earnings got dragged by the absence of a one-time disposal gain in 2013 ($20.4m). Otherwise, profit before tax would have grown 10.3% on operating leverage.

Management declared a final DPS of 4¢, bringing FY14 DPS to 5.5¢ (FY13: 5¢).

At $4.10, Raffles Medical is valued at 34.3x P/E and 4.3x P/B.