Raffles Medical Group posted a 13.4% increase in its FY2025 ended December earnings to $70.6 million from $62.2 million a year ago.
The higher earnings were driven by improved performance from the Hospital Services and Insurance businesses, as well as fair value gains on investment properties. Revenue on the other hand saw a 1.8% y-o-y increase to $765.3 million, underpinned by higher patient volumes, improved average bill sizes and operational efficiencies.
The strong results reflect disciplined operational execution across the group’s businesses and continued momentum in China.
The Hospital Services Division delivered strong growth, with revenue increasing 3.5% y-o-y to $357.8 million and profit rising 15.3% to $41.1 million. Performance was supported by steady patient volumes, higher bill sizes, and operational efficiencies across both Singapore and China.
The Healthcare Services Division generated revenue of $285.9 million, with profitability remaining broadly stable.
The Raffles Hospital brand continued to gain recognition among patients in China. Raffles China Healthcare contributed positively to the group’s performance, with revenue increasing 2.3% to CNY359.4 million ($65.4 million) in FY2025, from CNY351.3 million in FY2024.
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Earlier cost efficiency initiatives have improved bottomline, while strategic partnerships with Shanghai’s Renji Hospital and Chongqing’s First Affiliated Hospital continue to strengthen the integration of the group's international standards with local expertise to provide high quality patient care. The way Raffles Medical sees it, these initiatives position Raffles China Healthcare for sustainable growth and a growing contribution to the group’s overall results.
Raffles Health Insurance (RHI) recorded revenue growth of 4.1%, increasing from $178.0 million in FY2024 to $185.2 million in FY2025, driven by contract repricing and new contracts. Disciplined claims management and prudent expense control underpinned improved profitability, reflecting a 50.6% improvement compared to FY2024, despite a higher-cost insurance environment.
On a half year basis, 2HFY2025 earnings were 21.7% higher y-o-y at $38.5 million from $31.6 million, while revenue was 0.3% higher than the previous year at $386.9 million.
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As at end December 2025, the group continued its healthy cash position of $310.8 million, although less than $343.7 million last year. Nonetheless, this provides the group flexibility to support strategic growth initiatives while continuing to return value to shareholders.
During FY2025, the group undertook share buybacks and acquisitions of minority interests. For FY2025, the board has proposed a final core dividend of 3.0 cents per share, representing approximately 84% of sustainable group Patmi.
Based on the current conditions and barring unforeseen circumstances, the board is optimistic that the group will remain profitable in FY2026.
“This year, we celebrate 50 years of Raffles Medical Group, a milestone that, together with our strong performance in 2025, is a testament to the strength of our foundations, the trust earned through generations of patient care, and our pledge to give our patients our very best. We are ready to enter our next phase of growth, anchored in our strengths and our commitment to excellence and value creation,” says Dr Loo Choon Yong, executive chairman, Raffles Medical Group.
Shares in Raffles Medical opened 2.9% higher at $1.05 at 9.08am on Feb 23.
