• Resources
  • Blog
  • Journalists
  • Log In
  • Sign Up
  • Data Privacy
  • Send a Release
Cision PR Newswire: news distribution, targeting and monitoring home
  • News
  • Products
    • Overview
    • Distribution by PR Newswire
    • Cision Communications Cloud®
    • Cision IR
    • All Products
  • Contact
    • General Inquiries
    • Request a Demo
    • Editorial Bureaus
    • Partnerships
    • Media Inquiries
    • Worldwide Offices

 

When typing in this field, a list of search results will appear and be automatically updated as you type.

Searching for your content...

No results found. Please change your search terms and try again.
  • News in Focus
      • Browse News Releases
      • All News Releases
      • All Public Company
      • English-only


      • News Releases Overview
      • Multimedia Gallery
      • All Multimedia
      • All Photos
      • All Videos


      • Multimedia Gallery Overview
      • Trending Topics
      • All Trending Topics


  • Business & Money
      • Auto & Transportation
      • All Automotive & Transportation
      • Aerospace, Defense
      • Air Freight
      • Airlines & Aviation
      • Automotive
      • Maritime & Shipbuilding
      • Railroads and Intermodal Transportation
      • Supply Chain/Logistics
      • Transportation, Trucking & Railroad
      • Travel
      • Trucking and Road Transportation


      • Auto & Transportation Overview
      • Business Technology
      • All Business Technology
      • Blockchain
      • Broadcast Tech
      • Computer & Electronics
      • Computer Hardware
      • Computer Software
      • Data Analytics
      • Electronic Commerce
      • Electronic Components
      • Electronic Design Automation
      • Financial Technology
      • High Tech Security
      • Internet Technology
      • Nanotechnology
      • Networks
      • Peripherals
      • Semiconductors


      • Business Technology Overview
      • Entertain­ment & Media
      • All Entertain­ment & Media
      • Advertising
      • Art
      • Books
      • Entertainment
      • Film and Motion Picture
      • Magazines
      • Music
      • Publishing & Information Services
      • Radio & Podcast
      • Television


      • Entertain­ment & Media Overview
      • Financial Services & Investing
      • All Financial Services & Investing
      • Accounting News & Issues
      • Acquisitions, Mergers and Takeovers
      • Banking & Financial Services
      • Bankruptcy
      • Bond & Stock Ratings
      • Conference Call Announcements
      • Contracts
      • Cryptocurrency
      • Dividends
      • Earnings
      • Earnings Forecasts & Projections
      • Financing Agreements
      • Insurance
      • Investments Opinions
      • Joint Ventures
      • Mutual Funds
      • Private Placement
      • Real Estate
      • Restructuring & Recapitalization
      • Sales Reports
      • Shareholder Activism
      • Stock Offering
      • Stock Split
      • Venture Capital


      • Financial Services & Investing Overview
      • General Business
      • All General Business
      • Awards
      • Commercial Real Estate
      • Corporate Expansion
      • Earnings
      • Human Resource & Workforce Management
      • Licensing
      • New Products & Services
      • Obituaries
      • Outsourcing Businesses
      • Overseas Real Estate (non-US)
      • Personnel Announcements
      • Real Estate Transactions
      • Residential Real Estate
      • Small Business Services
      • Socially Responsible Investing
      • Surveys, Polls and Research
      • Trade Show News


      • General Business Overview
  • Science & Tech
      • Consumer Technology
      • All Consumer Technology
      • Artificial Intelligence
      • Blockchain
      • Cloud Computing/Internet of Things
      • Computer Electronics
      • Computer Hardware
      • Computer Software
      • Consumer Electronics
      • Cryptocurrency
      • Data Analytics
      • Electronic Commerce
      • Electronic Gaming
      • Financial Technology
      • Mobile Entertainment
      • Multimedia & Internet
      • Peripherals
      • Social Media
      • STEM (Science, Tech, Engineering, Math)
      • Supply Chain/Logistics
      • Wireless Communications


      • Consumer Technology Overview
      • Energy & Natural Resources
      • All Energy
      • Alternative Energies
      • Chemical
      • Electrical Utilities
      • Gas
      • General Manufacturing
      • Mining
      • Mining & Metals
      • Oil & Energy
      • Oil and Gas Discoveries
      • Utilities
      • Water Utilities


      • Energy & Natural Resources Overview
      • Environ­ment
      • All Environ­ment
      • Conservation & Recycling
      • Environmental Issues
      • Environmental Policy
      • Environmental Products & Services
      • Green Technology
      • Natural Disasters


      • Environ­ment Overview
      • Heavy Industry & Manufacturing
      • All Heavy Industry & Manufacturing
      • Aerospace & Defense
      • Agriculture
      • Chemical
      • Construction & Building
      • General Manufacturing
      • HVAC (Heating, Ventilation and Air-Conditioning)
      • Machinery
      • Machine Tools, Metalworking and Metallurgy
      • Mining
      • Mining & Metals
      • Paper, Forest Products & Containers
      • Precious Metals
      • Textiles
      • Tobacco


      • Heavy Industry & Manufacturing Overview
      • Telecomm­unications
      • All Telecomm­unications
      • Carriers and Services
      • Mobile Entertainment
      • Networks
      • Peripherals
      • Telecommunications Equipment
      • Telecommunications Industry
      • VoIP (Voice over Internet Protocol)
      • Wireless Communications


      • Telecomm­unications Overview
  • Lifestyle & Health
      • Consumer Products & Retail
      • All Consumer Products & Retail
      • Animals & Pets
      • Beers, Wines and Spirits
      • Beverages
      • Bridal Services
      • Cannabis
      • Cosmetics and Personal Care
      • Fashion
      • Food & Beverages
      • Furniture and Furnishings
      • Home Improvement
      • Household, Consumer & Cosmetics
      • Household Products
      • Jewelry
      • Non-Alcoholic Beverages
      • Office Products
      • Organic Food
      • Product Recalls
      • Restaurants
      • Retail
      • Supermarkets
      • Toys


      • Consumer Products & Retail Overview
      • Entertain­ment & Media
      • All Entertain­ment & Media
      • Advertising
      • Art
      • Books
      • Entertainment
      • Film and Motion Picture
      • Magazines
      • Music
      • Publishing & Information Services
      • Radio & Podcast
      • Television


      • Entertain­ment & Media Overview
      • Health
      • All Health
      • Biometrics
      • Biotechnology
      • Clinical Trials & Medical Discoveries
      • Dentistry
      • FDA Approval
      • Fitness/Wellness
      • Health Care & Hospitals
      • Health Insurance
      • Infection Control
      • International Medical Approval
      • Medical Equipment
      • Medical Pharmaceuticals
      • Mental Health
      • Pharmaceuticals
      • Supplementary Medicine


      • Health Overview
      • Sports
      • All Sports
      • General Sports
      • Outdoors, Camping & Hiking
      • Sporting Events
      • Sports Equipment & Accessories


      • Sports Overview
      • Travel
      • All Travel
      • Amusement Parks and Tourist Attractions
      • Gambling & Casinos
      • Hotels and Resorts
      • Leisure & Tourism
      • Outdoors, Camping & Hiking
      • Passenger Aviation
      • Travel Industry


      • Travel Overview
  • Policy & Public Interest
      • Policy & Public Interest
      • All Policy & Public Interest
      • Advocacy Group Opinion
      • Animal Welfare
      • Congressional & Presidential Campaigns
      • Corporate Social Responsibility
      • Domestic Policy
      • Economic News, Trends, Analysis
      • Education
      • Environmental
      • European Government
      • FDA Approval
      • Federal and State Legislation
      • Federal Executive Branch & Agency
      • Foreign Policy & International Affairs
      • Homeland Security
      • Labor & Union
      • Legal Issues
      • Natural Disasters
      • Not For Profit
      • Patent Law
      • Public Safety
      • Trade Policy
      • U.S. State Policy


      • Policy & Public Interest Overview
  • People & Culture
      • People & Culture
      • All People & Culture
      • Aboriginal, First Nations & Native American
      • African American
      • Asian American
      • Children
      • Hispanic
      • Lesbian, Gay & Bisexual
      • Men's Interest
      • People with Disabilities
      • Religion
      • Senior Citizens
      • Veterans
      • Women


      • People & Culture Overview
      • In-Language News

      • español
      • português
      • Česko
      • Danmark
      • Deutschland
      • España
      • France
      • Italia
      • Nederland
      • Norge
      • Polska
      • Portugal
      • Россия
      • Slovensko
      • Suomi
      • Sverige
  • Overview
  • Distribution by PR Newswire
  • Cision Communications Cloud®
  • Cision IR
  • All Products
  • General Inquiries
  • Request a Demo
  • Editorial Bureaus
  • Partnerships
  • Media Inquiries
  • Worldwide Offices
  • PR Newswire: news distribution, targeting and monitoring
  • Send a Release
    • ALL CONTACT INFO

      Contact Us

      888-776-0942
      from 8 AM - 10 PM ET

  • Send a Release
  • Sign Up
  • Log In
  • Resources
  • Blog
  • Journalists
  • RSS
  • GDPR
  • News in Focus
    • Browse All News
    • Multimedia Gallery
    • Trending Topics
    • Send a Release
    • Sign Up
    • Log In
    • Resources
    • Blog
    • Journalists
    • RSS
    • GDPR
  • Business & Money
    • Auto & Transportation
    • Business Technology
    • Entertain­ment & Media
    • Financial Services & Investing
    • General Business
    • Send a Release
    • Sign Up
    • Log In
    • Resources
    • Blog
    • Journalists
    • RSS
    • GDPR
  • Science & Tech
    • Consumer Technology
    • Energy & Natural Resources
    • Environ­ment
    • Heavy Industry & Manufacturing
    • Telecomm­unications
    • Send a Release
    • Sign Up
    • Log In
    • Resources
    • Blog
    • Journalists
    • RSS
    • GDPR
  • Lifestyle & Health
    • Consumer Products & Retail
    • Entertain­ment & Media
    • Health
    • Sports
    • Travel
    • Send a Release
    • Sign Up
    • Log In
    • Resources
    • Blog
    • Journalists
    • RSS
    • GDPR
  • Policy & Public Interest
    • Send a Release
    • Sign Up
    • Log In
    • Resources
    • Blog
    • Journalists
    • RSS
    • GDPR
  • People & Culture
    • People & Culture
    • Send a Release
    • Sign Up
    • Log In
    • Resources
    • Blog
    • Journalists
    • RSS
    • GDPR
  • Send a Release
  • Sign Up
  • Log In
  • Resources
  • Blog
  • Journalists
  • RSS
  • GDPR
  • Overview
  • Distribution by PR Newswire
  • Cision Communications Cloud®
  • Cision IR
  • All Products
  • Send a Release
  • Sign Up
  • Log In
  • Resources
  • Blog
  • Journalists
  • RSS
  • GDPR
  • General Inquiries
  • Request a Demo
  • Editorial Bureaus
  • Partnerships
  • Media Inquiries
  • Worldwide Offices
  • Send a Release
  • Sign Up
  • Log In
  • Resources
  • Blog
  • Journalists
  • RSS
  • GDPR

Golden Meditech Announces FY2017/2018 Interim Results


News provided by

Golden Meditech Holdings Limited

Nov 30, 2017, 03:20 ET

Share this article


Qinghe Hospital Achieves Revenue Contribution, Significant Growth in Healthcare Services Business
Strategic Roadmap in the Advanced Medical Fields to Diversify the Group's Business and Revenue Stream

HONG KONG, Nov. 30, 2017 /PRNewswire/ -- Golden Meditech Holdings Limited (SEHK stock code: 00801, TWSE stock code: 910801) ("Golden Meditech" or the "Company", together with its subsidiaries, the "Group"), a leading integrated healthcare enterprise in China, announces today its interim results for the six months ended 30 September 2017 (the "Reporting Period").


For the Six Months Ended 30 September


2017

(HK$'000)

2016

(HK$'000)

Change

(%)

Continuing Operations

Revenue

 

117,069

 

121,672

 

(3.8)

Healthcare services segment revenue

50,028

31,885

56.9

   Hospital management services income

47,865

29,901

60.1

   Medical insurance administration services income

2,163

1,984

9.0

Medical devices segment revenue

65,189

87,615

(25.6)

Strategic investments revenue

1,852

2,172

(14.7)

Gross profit

50,358

61,784

(18.5)

Loss from operations

(100,156)

(162,014)

(38.2)

Finance costs

(199,807)

(171,789)

16.3





(Loss)/profit attributable to the Company's equity shareholders

(63,092)

(394,437)

(84.0)

    -                Continuing operations

(287,444)

(317,154)

(9.4)

    -                Discontinuing operation 

224,352

(77,283)

N/M

Basic (loss)/earnings per share (in HK cents)

(2.13)

(13.30)

(84.0)

    -                Continuing operations

(9.69)

(10.69)

(9.4)

    -                Discontinuing operation

7.56

(2.61)

N/M

During the Reporting Period, the Group's total revenue from continuing operations was HK$117,069,000, decreased by 3.8% year-on-year. The decrease has slowed down as compared to the corresponding period last year, mainly attributable to further optmisation on the Group's revenue mix. Healthcare services revenue as a % of total revenue from continuing operations increased to 42.7% from 26.2% in the corresponding period last year. Nevertheless, medical devices revenue as a % of total revenue from continuing operations decreased to 55.7% from 72.0% in the corresponding period last year. The Group's new growth driver, healthcare services revenue achieved a significant year-on-year increase of 56.9%, mainly driven by the 60.1% year-on-year increase in hospital management services income.          

Loss attributable to equity shareholders of the Company from continuing operations was HK$287,444,000, decreased by 9.4% year-on-year. The decline was mainly attributable to: 1) an interest income of HK$57,758,000 earned from other receivable; and 2) the accumulated effect of the provision for director retirement benefit scheme of HK$33,855,000 in last year.

The Group recorded loss attributable to the Company's equity shareholders (including continuing operations and discontinuing operation) of HK$63,092,000, decreased by 84.0% year-on-year; basic loss per share was 2.13 HK cents, decreased by 84.0% year-on-year.

Mr. Kam Yuen, Chairman and Chief Executive Officer of the Group, said, "China's economy remains stable with good momentum for growth. There is strong underlying demand for healthcare services in the PRC, underpinned by the continuous medical reform and the accelerated ageing of population. The healthcare market in the People's Republic of China ("PRC") has seen sustainable growth in recent years. Benefiting from the growing demand for healthcare services as well as a favourable policy environment towards private hospitals, the Group manages to gradually improve and steadily develop its healthcare businesses."

In December 2016, Golden Meditech Stem Cells (BVI) Company Limited ("GMSC"), a wholly-owned subsidiary of the Company, entered into a sale and purchase agreement with Nanjing Yingpeng Huikang Medical Industry Investment Partnership (Limited Partnership)* ("Nanjing Yingpeng") regarding the disposal of the Company's entire 65.4% fully-diluted equity interest in China Cord Blood Corporation ("CCBC") for a total cash consideration of RMB5,764,000,000 (equivalent to approximately HK$6,398,000,000) (the "Disposal"). The Disposal was approved by the Company's shareholders on 22 March 2017. On 29 September 2017, the Company announced that all of the effectiveness conditions of the Disposal have been fulfilled. However, the applicable foreign exchange procedures in the PRC have yet to be completed. Subsequently on 14 November 2017, GMSC and Nanjing Yingpeng entered into a supplemental agreement (the "Supplemental Agreement") to extend the completion (the "Completion") of the Disposal, in order to facilitate Nanjing Yingpeng to continue, and complete, the applicable foreign exchange procedures in the PRC. Pursuant to the Supplemental Agreement, the first extension deadline is 31 December 2017 (the "First Extension"). In the event that the Completion does not take place on or before the First Extension, it will be extended to 31 January 2018, whereby Nanjing Yingpeng shall pay GMSC an extension fee of US$10,000,000 (equivalent to approximately HK$78,000,000). 

In June 2017, the Company and Australia-listed Life Corporation Limited ("LFC") entered into a debt capitalisation agreement. The debt capitalisation was completed in October 2017, consequently, the Group held 48.58% equity interest in LFC. LFC is principally engaged in the provision of multi-religion funeral services and other related ancillary services in Singapore. In November 2017, the Company granted a loan facility to LFC to facilitate the construction of an automated columbarium in Singapore. The management believes that once LFC's automated columbarium business commenced, it will bring better returns to the Group and its shareholders.

Between October and November 2017, the Company initiated an application for the voluntary delisting (the "Voluntary Delisting") of TDR on the Taiwan Stock Exchange Corporation in view of the Group's future business directions. The application was approved on 22 November 2017 and the Voluntary Delisting will become effective on 13 December 2017.

Mr. Kam Yuen continued, "We see further development in our business integration during the Reporting Period. The healthcare services segment becomes a growth driver in the Group's future development. Additionally, the Group continues to seek projects with high return potential in both domestic and international markets, aiming to diversify revenue stream and bring better returns to the Group and its shareholders."

Continuing Operations

Healthcare Services Segment

During the Reporting Period, healthcare services revenue increased significantly by 56.9% year-on-year to HK$50,028,000. Revenue generated from hospital management business and medical insurance administration business were HK$47,865,000 and HK$2,163,000, accounting for 95.7% and 4.3% of healthcare services revenue respectively.

Hospital Management Business. Beijing Qinghe Hospital ("Qinghe Hospital") entered into a lease agreement with Peking University People's Hospital in June 2017, whereby it leases out several floors of the hospital space and medical equipment in return for rental income. Beijing Sunbow Obstetrics & Gynecology Hospital has achieved steady development since it was officially opened in October 2016. Over the years, leveraging on its well-known brand and sound reputation, Shanghai East International Medical Center had achieved a steady development and provided premium healthcare services to the affluent people in Shanghai and the surrounding neighbourhoods.

Medical Insurance Administration Business. The Group provides tailor-made third-party administrator services such as claims, review process, bill settlement and data analysis that suit its customers' needs. It has invested notably in its hardware and software facilities as well as professional team, and this made it a preferred full service provider. Leveraging on its comprehensive domestic and international background in the healthcare sector as well as its extensive hospital network, the Group is well positioned to become a leading player in the medical insurance administration sector.

Medical Devices Segment

Medical devices revenue decreased by 25.6% year-on-year to HK$65,189,000, mainly attributable to the saturated Autologous Blood Recovery System market and intensified price competition. The Group implemented a two-pronged strategy to counter the decline in revenue, led by the intensified price competition. First, the Group continues to adopt a flexible pricing policy to stabilise its sales. On the other hand, the Group is actively exploring new project opportunities.

Strategic Investments

The Chinese herbal medicines business recorded an operating loss of HK$12,700,000 during the Reporting Period. The Group is constantly negotiating with the local government of Shanghai Qingpu District, regarding the possible land resumption plan of its production site, and expects to improve its cash position if the land resumption is successful. Losses attributable to the Group from Cellenkos Inc. ("Cellenkos") and Golden Meditech Javadi Precision Medicine Limited ("GM Javadi") were HK$585,000 and HK$2,874,000, respectively. Both Cellenkos and GM Javadi are the Group's strategic roadmap in the advanced medical treatment fields in the United State of America. The management believes that such investments will benefit the Group in future technically and financially.

Cord Blood Storage Business – Discontinuing Operation

During the Reporting Period, CCBC recorded 620,680 accumulated subscribers. Its revenue increased by 26.6% year-on-year to HK$531,588,000. Profit from discontinuing operation increased by 42.3% year-on-year to HK$192,785,000.

Discontinuing Operation

For the Six Months Ended 30 September

2017

(HK$'000)

2016

(HK$'000)

Revenue

531,588

419,785

Gross profit

446,720

349,952

Other income

14,911

11,241

Selling and administrative expenses

(233,140)

(194,731)

Profit from operations

228,491

166,462

Finance costs

-

(1,727)

Profit before tax

228,491

164,735

Income tax expense

(35,706)

(29,254)

Profit from discontinuing operation

192,785

135,481

Outlook

Looking ahead, Mr. Kam commented, "The Group will continue to implement its business integration and diversification strategy. Furthermore, leveraging on its pioneer status in the healthcare industry, we will strengthen our healthcare services sector and step up our business collaborations in medical fields, such as precision medical treatment and immunotherapy. This will help the Group in advancing into the high-end healthcare sector, thus, creating value for the Group and its shareholders."

* The English name is for identification purpose only.

About Golden Meditech Holdings Limited (SEHK stock code: 00801, TWSE stock code: 910801)

Golden Meditech (www.goldenmeditech.com) is a leading integrated-healthcare enterprise in China. It is a first-mover in China, having established its dominant positions in several markets including the medical devices market, the cord blood storage market and the hospital management market in the healthcare industry, thanks to its strengths in innovation and market expertise and the ability to capture emerging market opportunities. Going forward, Golden Meditech will continue to pursue a leading position in China's healthcare industry both through organic growth and strategic expansion.

SEGMENT RESULTS

Information regarding the Group's reportable segments for the periods ended 30 September 2017 and 2016 is set out below:

(HK$'000 )

Continuing

Operations

Discontinuing Operation

 

 

 

Total

Medical Devices

Hospital Management

Medical Insurance
Administration

Chinese Herbal
Medicines

Cord Blood

Storage

2017

2016

2017

2016

2017

2016

2017

2016

2017

2016

2017

2016

Revenue from External Customers

46,938

69,390

47,865

29,901

2,163

1,984

1,852

2,172

531,588

419,785

630,406

523,232

Inter-segment

Revenue

18,251

18,225

—

—

—

—

—

—

—

—

18,251

18,225

Reportable Segment
Revenue

65,189

87,615

47,865

29,901

2,163

1,984

1,852

2,172

531,588

419,785

648,657

541,457

Reportable Segment (Loss)/Profit

(3,537)

24,988

(81,773)

(62,883)

(12,244)

(19,214)

(12,700)

(11,620)

228,491

166,462

118,237

97,733

SOURCE Golden Meditech Holdings Limited

Related Links

http://www.goldenmeditech.com

Modal title

    Contact Cision

  • Cision Distribution 888-776-0942
    from 8 AM - 9 PM ET

  • Chat with an Expert
    • General Inquiries
    • Request a Demo
    • Editorial Bureaus
    • Partnerships
    • Media Inquiries
    • Worldwide Offices

    Products

  • Cision Communication Cloud®
  • For Marketers
  • For Public Relations
  • For IR & Compliance
  • For Agency
  • For Small Business
  • All Products

    About

  • About PR Newswire
  • About Cision
  • Become a Publishing Partner
  • Become a Channel Partner
  • Careers
  • COVID-19 Resources
  • Accessibility Statement

    • Asia
    • Brazil
    • Canada
    • Czech
    • Denmark
    • Finland
    • France
    • Germany
    • India
    • Israel
    • Italy
    • Mexico
    • Middle East
    • Netherlands
    • Norway
    • Poland
    • Portugal
    • Russia
    • Slovakia
    • Spain
    • Sweden
    • United Kingdom

    My Services

  • All New Releases
  • Online Member Center
  • ProfNet

Contact Cision


Products


About


My Services
  • All News Releases
  • Online Member Center
  • ProfNet℠
Cision Distribution Helpline
888-776-0942
  • Terms of Use
  • Privacy Policy
  • Information Security Policy
  • Site Map
  • RSS
  • Cookie Settings
Copyright © 2021 Cision US Inc.