Parkway

[helios]

I happen to read the analysts report of MesoBlast Ltd Q1'09 (ASX: MSB) which stated that they'd a tieup for orthopaedics trial with Parkway Hospital in phase 2a ...

With only X no. of patients recruited?! unbelievable:!:

[winston]

Whi is this counter down 6.3% on no news ?

Hospital not stable business ?

Maybe people are selling defensives to buy cyclicals as recommended by the expert Analsysts ..

[millionairemind]

Aug 13, 2009
Parkway's net profit jumps 42%
By Michelle Tay

THE H1N1 flu may have infected many people around the world but it has also ensured that Parkway Holdings' second-quarter bottom line is hale and hearty.

The health-care group on Thursday reported a 42 per cent jump in net profit to $40.3 million for the period ended June 30. Revenue rose to $258.6 million, up 10 per cent year on year.

'The group's second-quarter results show that it is not adversely affected by the H1N1 pandemic,' said the group.

'While there is a decrease in patients visiting Singapore hospitals during this pandemic, Parkway Shenton treated more patients who requested flu vaccinations,' it added.

The group also received a shot in the arm by way of a contract awarded by the Ministry of Health to conduct border screening at all Singapore entry points.

Dr Lim Cheok Peng, chief executive of Parkway Holdings, said: 'Parkway has delivered an outstanding set of quarterly revenue and (profit) numbers. We have continued to focus our efforts on...the highest standards in patient care.

'The group's first-half results show the resilience of our integrated regional health-care platform that has performed very well despite the prolonged economic downturn.'

For the half year, net profit surged 29 per cent to $61.6 million on a 7 per cent rise in revenue to $496.3 million.

Earnings per share for the quarter were 2.66 cents, down from 3.06 cents in the same period last year.

Net asset value per share stood at $1.24 as of June 30, up from $1.19 as of Dec 31, 2008.

[winston]

PARKWAY HOLDINGS - Citigroup raised its target price on healthcare provider and private hospital operator Parkway Holdings to S$2.30 from S$1.90 previously, citing better than expected results.

- Deutsche Bank upgraded its recommendation on Parkway to Hold and raised its target price to S$1.75 from S$1.00 previously.

[winston]

PARKWAY HOLDINGS LTD - CLSA started coverage of the private healthcare provider with a "buy" call and a price target of S$2.54 a share due to its strong market share, robust growth outlook and plans to expand in in Malaysia.

Source: Reuters

[winston]

PARKWAY HOLDINGS J.P.Morgan lifted its recommendation on Singapore healthcare company Parkway Holdings to "overweight" from "neutral" and increased the target price to S$2.90 from S$1.30 previously.

Source: Reuters

[winston]

From Kim Eng:-

Parkway Holdings – Initiating Coverage (Anni Kum, DID: 64321470) Previous day closing price: $2.07
Recommendation: Buy
Target price: $3.24

Parkway is the leading private healthcare provider in Asia. It is embarking on an exciting growth trajectory through:-
a) the rapid expansion of its hospital operations in Asia;
b) and the establishment of its brand name through management contracts in new markets.

At 13x PER, Parkway still trades close to valuation at crisis-level and is in the early cycle of another coming peak. Parkway’s ability to sell the Novena medical suites coming 1Q10 will drive up sentiments greatly.

Revenue intensity is the key driver
Parkway is almost the “de facto” standard for highly complex procedures. As such, they attract the highest-yielding patients. With the upcoming state-of-the-art Novena hospital to complement its niche in high-value procedures, we are excited about the Group’s long-term growth strategy.

Join in the long-term party
At prospective PER of 24x (excluding exceptional items), we are currently at the entry level of strategic investor, TPG Capital that was convinced to enter at a premium valuation in 2005. It opted not to take profit despite seeing its returns double in 2007. We view Parkway as a long-term defensive play, with its organic growth initiatives returning profits over the long term.

Sale of medical suites poses as potentially strong catalysts
One-third of the medical suites at Novena hospital will be launched for sale in 1Q10. The management sees strong interest in the medical suites expressed by senior medical specialists, reflecting the pent-up demand for such facilities. Proceeds from the sale could reduce the company’s gross gearing to 0.4x from 0.8x by 2011 and will greatly improve sentiments.

Grab the opportunity!
Using sum-of-the-parts (SOTP), we value at Parkway at $3.24. An overhang still exists due to the execution risk of the Novena project. However, we believe that its earnings visibility has improved as Parkway has sorted out the project’s financing and its 20-year success in running the Mount Elizabeth and Gleneagles hospitals gives us confidence. We initiate coverage on Parkway with a Buy recommendation.

[winston]

PARKWAY HOLDINGS - Nomura raised its target price on Parkway Holdings to S$2.87 from S$2.32 and maintained its "buy" rating, citing potential recovery of the Singapore business and the impending sale of Novena medical suites next year.

[millionairemind]

Hope my neighbor who works for Parkway gets a big bonus

November 12, 2009, 7.20 pm (Singapore time)

Parkway sees Q3 profit climb 189%

By UMA SHANKARI
Parkway Holdings on Thursday said that Q3 net profit rose 189 per cent to S$32.5 million from S$11.2 million a year ago.

Group revenue climbed to S$259.0 million, an 8 per cent increase over Q3 2008's S$239.4 million.

Excluding exceptional items, net profit climbed to S$32.2 million in Q3 2009, a 103 per cent jump over the corresponding period of S$15.9 million.

The group's Singapore hospitals enjoyed an increase in inpatient admissions and net revenue per adjusted patient day, Parkway said.

'We have seen growth across all segments, from our hospitals to our healthcare services, both in Singapore and international,' said chief executive Lim Cheok Peng. 'We believe this is an indication of the recovery of the healthcare industry. However, we remain cautious and will continue to work hard to improve our service offerings and manage costs, to ensure consistent growth for the group.'

Development of Parkway's new hospital and medical centre in Novena continues to progress well, the company added.

Parkway is targeting to submit its building plans for the new hospital and medical centre to the Building Construction Authority (BCA) by November of 2009. Approval from BCA is expected by the first quarter of 2010. Parkway also aims to put out its tender for the main construction of the new hospital by the end of 2009.

[winston]

Not vested. From DBS:-

3Q09 results for Parkway were ahead of our expectations arising from revenue growth from international hospitals (+26% yoy).

Cost control and jobs credit helped improve margins.

Improving performance but positives priced in; valuations not cheap at 24x FY10F PE. Maintain Hold, TP: S$2.30 (Prev S$ 1.85).