Ra'es Medical Group posted a 6.8 per cent year'on'year increase in net pro't to $12.42 million for the second quarter to June 30 as revenue rose 14.9 per cent to $76.9 million. Second'quarter results were boosted by stronger contributions from both its hospital and healthcare services business segments. Earnings per share worked out to 2.31 cents in Q2FY12, up from 2.20 cents in Q2FY11.

The second quarter saw sta'  costs rising 19.1 per cent to $37.8 million as the group bumped up headcount by 13'14 per cent to meet expansion needs and also adjusted wages in line with the industry. For the six months ended June 30, net pro't came in 8.7 per cent higher at $24.04 million while revenue climbed 14 per cent to $149.85 million. The group declared an interim dividend of one cent, payable on Aug 31.

Growth at Ra'es Hospital is being driven by a number of factors, including a widening foreign patient base. A little over one third of patients are from overseas, executive chairman Dr Loo Choon Yong told BT. "It's still growing quite quickly. We're ge''ng more traction (from) places like Russia, Vietnam, Myanmar ... the Middle East," he said, adding, however, that Indonesia remains the predominant market for foreign patients.

Commenting on whether new hospitals such as Mount Elizabeth Novena will result in downward pressure on RMG's pricing, Dr Loo noted RMG's average rate per surgical day in a single'room is lower than those of competitors in the private sector such as Gleneagles and Mount Elizabeth Hospital.

"We will have to decide (if) we (should) let the gap stay wide or (if) we (should) increase? Probably there will be a closing of the gap," he went on to add.

United Envirotech Ltd (UEL) said its subsidiary, United Envirotech Water Co Ltd (Changyi Co), has acquired two industrial wastewater treatment plants in Changyi City, in Shandong province, China. The Phase I capacities of the plants are 40,000 cubic metres per day and 30,000 cubic metres per day respectively. Both plants will eventually have a total treatment capacity of 60,000 cubic metres per day each upon completion of Phase II. The total investment for Phase I is estimated at 220mil yuan (S$43.5mil). The project will be funded by the proceeds from the convertible bond issue to KKR in October 2011 and bank 'nancing.

DBS Group Holdings's US$7bil bid for Bank Danamon Indonesia will probably go through under the country's new bank ownership rules, according to Fitch Ratings. 

No distributions for FSL until June '13  

First Ship Lease Trust declared no distributions  '  the 'rst 'dry' quarter for unitholders that will last 12 months  till June 2013, when its lenders agreed to relax FSL Trust's loan covenants.   The shipping trust's 2Q revenue rose 1.9% year' on'year to US$29.2mil. But the industry'wide shipping downturn still hit the charterer's bottom line. FSL Trust widened its losses in the 2Q to US$2.5mil from US$500,000 in the same period last year, as it almost doubled higher voyage and vessel operating expenses to US$8.3mil from the year earlier. But CEO of FSL Trust Management Philip Clausius said: "Any surplus cash which is retained will go towards strengthening our balance sheet for future growth." The trust, for instance, repaid US$11mil of its outstanding loan balance this past quarter.

Shipyard gets $103m conversion deals  

Keppel Shipyard has won three conversion contracts worth a total of $103mil. The Keppel Corp subsidiary's 'rst contract was awarded by PTSC Asia Paci'c for the conversion of a tanker to a 'oating production storage and o'oading (FPSO) unit. The second contract, awarded by Perenco Group, is to convert a tanker to a 'oating storage and o'oading (FSO) unit. Keppel Shipyard's work scope includes the installation of new machinery, mooring structures and helideck as well as tank coating works. The last contract from BC Petroleum Sdn Bhd is for the modi'cation and upgrading of a tanker to an early production vessel, to be named EPV Balai Mutiara.  The contracts are not expected to have a material impact on Keppel Corporation's earnings this current 'nancial year.

Source: The Business Times  

Source: AmFraser