- Let’s start with the good. Singapore O&G reinstated their dividend (0.5 cents). The 1H 2020 dividend is 19% lower year on year but it should be sustainable because the payout ratio is 62%. This dividend works out to an annualized 4% dividend yield which is fairly decent in this low yield environment.
- Paediatrics was the star performer with revenue and operating profit growing 21% and 68% year on year.
- SOG is exploring tele-medicine initiatives which include medicine delivery to overseas patients. With most of their clinics located in hospitals and restrictions on medical tourism, I think this is a great move.
- SOG expects the company to remain profitable at the operational level in 2H 2020 and over the next 12 months.
Singapore O&G (SOG) reported a decent set of 1H 2020 results despite the COVID-19 pandemic in Singapore. Revenue fell 4% to SGD17.8 million while net profit fell 21% to SGD3.7 million
Here’s the good and the bad about Singapore O&G results.
Good
