Q&M Dental Group Singapore Ltd Archives

Q&M Dental Group Advanced “Treatment Plan” AI-Module Released Today

Mainboard listed Q & M Dental Group (Singapore) Limited (“Q & M” or “the Group” and together with its subsidiaries, the “Group”) is proud to announce the release of the “Treatment Plan” on its Artificial Intelligence (AI)-module developed by its 49%-owned subsidiary, EM2AI, in collaboration with AI Singapore.

The “Treatment Plan” AI-Module leverages state-of-the-art technology including Large Language Models (LLM) to optimise treatment recommendations. It combines the strength of conventional clinical decision support systems, with the advanced processing capabilities of LLM to understand and interpret all data and input effectively.

The tangible benefits for patients are as follows:

Early detection of oral health issues with suggested treatment options based on conditions detected and analysed by AI;
An iterative platform that learns continuously;
Allows patients to be informed of all available treatment options for their individual condition, that is AI-based, resulting in more objective decision-making.

To ensure safety and accuracy, we have implemented thoughtful measures to mitigate potential issues such as inaccurate, over or under-diagnosis to maintain precise control over treatment outcomes. By integrating the latest advancements in LLM, this innovative approach not only enhances the accuracy of treatment options, but also instils confidence in dental professionals by providing reliable insights tailored specifically for each patient.

Furthermore, with the introduction of this “Treatment Plan” Module, the patient journey through advanced AI digital dentistry is now covered from start to end. Starting with the initial consultation and followed by x-ray imaging, the AI swiftly analyses the x-rays for pathologies, auto-generates treatment options and the journey ends with a dental health report that patients can bring back home. This complete and streamlined workflow not only enhances patient satisfaction but also empowers Q & M to deliver superior care to patients with confidence.

Dr Ng Chin Siau, Group Chief Executive Officer of Q & M, said, “This latest release of the AI-Treatment Plan module signifies a significant advancement in our dental clinics’ digital capabilities and enables the Group to offer this enhanced service to patients within its network. Most importantly, our dentists will be able to deliver superior care to our patients, enhancing both clinical outcomes and elevating the overall patient experience. All this, while greatly strengthening our overall value proposition as patients will be provided with holistic analysis with recommendations that will be unbiased and objective. “

“After successfully supporting EM2AI in developing their AI capabilities through the 100E programme in 2018, this new module marks a significant extension of our collaboration under the Short Industry Project (SIP) programme. I am thrilled to see our engineers partnering with EM2AI’s domain experts and AI team to harness large language models (LLMs) for cutting-edge dental treatment planning, ensuring precise, reliable, and patient-centered care. We are committed to continuing our support for local enterprises as they innovate with AI integration, striving to deliver tangible benefits, elevate consumer experiences, and make a positive societal impact,” said Laurence Liew, Director of AI Innovation, AI Singapore.

About Q & M Dental Group (Singapore) Limited (QC7.SI)

Q & M Dental Group (Singapore) Limited (QC7.SI) (“Q & M” or together with its subsidiaries, the “Group”) is a leading private dental healthcare group in Asia.

The Group owns the largest network of private dental outlets in Singapore, operating 105 dental outlets across the country. Underpinned by about 270 experienced dentists and over 350 supporting staff, the Group sees an average of 40,000 patient visits a month in Singapore. The Group also operates 5 medical clinics and a dental supplies and equipment distribution company.

Outside of Singapore, the Group has 44 dental clinics and a dental supplies and equipment distribution company in Malaysia. Q & M is also the substantial shareholder of Aoxin Q & M Dental Group Limited, a dental Group listed on the Catalist board of the Singapore Exchange that operates dental clinics and hospitals primarily in the north-eastern region of the PRC. The Group aims to expand its operations geographically and vertically through the value chain in Malaysia, the PRC and within the ASEAN region.

The Q & M College of Dentistry was established in 2019 to offer postgraduate dental education as part of its commitment to continual education and professional development of dentists. It offers Singapore’s first private postgraduate diploma programme in clinical dentistry.

In 2020, the Group expanded into the medical laboratories and research industry with the strategic investment into Acumen Diagnostics Pte. Ltd. (“Acumen”). Currently, Acumen focuses on developing its range of medical research, tests and solutions to secure viable patents and to achieve successful commercialisation of the medical products in the near future.

The Group was listed on the Mainboard of the Singapore Exchange Securities Trading Limited (“SGX- ST”) on 26 November 2009.

For more information on the Group, please visit www.QandMDental.com.sg

Investor and Media queries, please contact:

Waterbrooks Consultants Pte Ltd
Wayne Koo: wayne.koo@waterbrooks.com.sg (+65) 9338-8166
Derek Yeo: derek@waterbrooks.com.sg (+65) 9791-4707
General: query@waterbrooks.com.sg

Proud Investor Relations partner: https://www.waterbrooks.com.sg/ and https://www.alphainvestholdings.com/

Q&M Dental Group recorded growth in both Revenue and Net Profit after tax attributable to parent of S$182.7 million and S$11.5 million respectively for FY2023

Mainboard listed Q & M Dental Group Limited (“ the Group” or “the company” and together with its subsidiaries, the “Group”) reported total revenue of S$182.7 million and profit after tax attributable to parent of S$11.5 million for the 12 months ended 31 December 2023 (“FY2023”).

Dr Ng Chin Siau, Group Chief Executive Officer of Q & M, said, “We are heartened by the improvement in the numbers overall for FY2023 despite the macroenvironment impact of relatively high inflation rate, high interest rates and a generally challenging business environment. The resilience of Q&M’s Core Healthcare Business is once again being well-demonstrated and is a testament to strategies and processes we have put in place. We will continue to focus on organic growth within the Group’s strong network in Singapore and Malaysia and also optimising our existing clinics to obtain better outcomes in service and overall productivity.

FY2023 Financials

Core Healthcare Business Revenue increased from S$172.1 million for FY2022 to S$176.2 million for FY2023, mainly from higher revenue contribution from Singapore dental clinics that was offset by lower revenue contribution from Singapore medical clinics, deconsolidation of the Shanghai Chuangyi in June 2023 and the impact of the weakening Malaysian Ringgit for the Group’s operations in Malaysia. The Group’s medical laboratory business was also impacted by lower demand for Covid-19 testing now that the Covid-19 virus has entered the endemic stage.

Aoxin Q & M Dental Limited (“Aoxin Q &M”), a 32.8% owned associate’ company of Q & M reversed from a loss in second half of 2022 to a profit in second half financial year of 2023 (“2H2023”), resulting in Q & M recording a share of profit from equity-accounted associate of S$0.1 million in 2H2023. Comparing FY2023 with FY2022, share of loss in Aoxin Q & M, decreased by S$0.5 million for the same reason give above.

Net cash flow generated from operating activities was S$33.5 million for FY2023. This is mainly attributable to operating cash flow before changes in working capital offset by increase on working capital. Net cash used in investing activities in FY2023 amounted to S$7.2 million, mainly due to purchase of plant and equipment for the existing dental clinics and cost of developing the Artificial Intelligence (AI) guided clinical decision support system. Net cash used in financing activities in FY2023 was S$32.0 million, mainly due to repayment of lease liabilities arising from right-of-use assets, repayment of bank loans, dividend payment to shareholders.

As at 31 December 2023, Q & M has cash and cash equivalents of S$34.0 million and bank borrowings plus finance leases amounting to S$80.3 million.

Net Aset Value attributable to owners of parent is S$99.1 million as at 31 December 2023 compared to S$96.5 million a year ago, an increase of 3%. Net assets value per ordinary share increased to 10.5 Singapore cents as at 31 December 2023 from 10.2 cents a year ago.

Dividend

The Board of Directors of Q & M declared a second interim dividend of 0.53 Singapore cent per ordinary share for 2H2023. The Group paid a 0.16 Singapore cent dividend for 1H2023. The total dividend thus works out to 0.69 Singapore cents for FY2023, with a payout ratio of 57%. The dividend will be paid on 26 March 2024.

Recent Developments

Investment by EM2AI Professionals Holdco Pte. Ltd. Into EM2AI Pte. Ltd. as an Interested Person Transaction

On 25 January 2024, Q & M entered into a joint venture agreement with EM2AI Professional Holdco Pte. Ltd. and its wholly-owned subsidiary, EM2AI Pte Ltd., in which EM2AI Professional Holdco Pte. Ltd. has agreed to invest S$1.6 million of fresh funds into EM2AI for an effective shareholding interest of 51% in EM2AI. In additional, EM2AI Professional Holdco Pte. Ltd. has also agreed to provide an interest free loan of S$3.7 million to EM2AI Pte Ltd.

The investment was undertaken to derive the following benefits for the Group:

a) Strengthen the Group’s financial position and improve its cash flow as EM2AI is a loss-making company and its activities require significant capital investment, specifically in the area of research and development (R&D). With this investment, the primary responsibility for providing cash flow to EM2AI will be shifted to the EM2AI Professional HoldCo Pte Ltd. Funds saved by the Company in respect of further funding requirements of EM2AI can be deployed by the Group to its core activities;

b) By divesting majority control of EM2AI, the Group will effectively minimise its capital investment in EM2AI during its growth stage. The Group, with its minority stake, will benefit from the growth of EM2AI without having to invest substantially into EM2AI;

c) There are certain risks and uncertainties associated with AI-empowered solutions and businesses along with intensive working capital requirements. It is thus difficult to estimate when the business will become ultimately profitable. The investment will allow the Group to mitigate some of the associated risks and at the same time continue to participate in the growth of EM2AI.

Looking ahead

While we are focused on sustainable growth for the Group, we are also mindful of the values and philosophy by which the organisation abides by. Fundamental to this is a responsibility to be the very best in all we do when it comes to the care we offer and the smiles that we create because of our commitment to our stakeholders to the saying:

We strive to build a strong and holistic platform upon which our future growth can be firmly established with particular emphasis on the following strategic thrusts:

1. Strengthening the basics

The Group has always placed strong emphasis on conducting business based on the long term outlook that is ethical and sustainable for both our patients and the Group.

2. Improving efficiency- reducing costs and wastage

Starting in 2023, Q&M is now organised with area management teams that include dentists, nurses, operations and finance personnel to improve overall cost and operational efficiencies, reduce overlaps while also empowering Area Managers to make improvements on the ground. We believe this will improve staff motivation and morale throughout the organisation.

3. Q&M College

As of 4th quarter of 2023, the Group has made it mandatory to attend certain technical training courses for our dentists at the Q.& M College as part of our continuous effort to always maintain the highest standards of skill and expertise and at the same time, refresh the skills of our dentists to improve the overall standard of care throughout the organisation.

4. Artificial Intelligence and Dentistry 3.0

In the dynamic landscape of dentistry, embracing the ethos of a learning organization is paramount for continued growth and innovation. Q & M is a learning organisation made up of employees skilled at creating, acquiring, and transferring knowledge. This is very much part of our Company DNA since day one. With technological advances alongside a fast-changing world, any firm that remains stationary is doomed to oblivion.

Just as Dentistry 3.0 heralds a new era of patient-centric care and technological advancement, so too must our organisation evolve into a hub of continuous learning and adaptation. Imagine a collaborative ecosystem where dental professionals engage in interdisciplinary dialogues, harnessing the latest research and technological breakthroughs to refine their craft and elevate patient outcomes. In this vision, our company becomes not merely a provider of dental healthcare, but a catalyst for industry-wide transformation. By fostering a culture of curiosity, experimentation, and knowledge-sharing, we not only stay ahead of the curve but actively shape its trajectory.

Our investment in Artificial Intelligence is not merely paying lip-service to an emerging trend but yields real world benefits in terms of ethical dentistry that will ultimately result in positive outcomes and experiences both for the dentists and also our patients. Patients armed with more knowledge can also make better informed decisions in consultation with their dentists and dentists can leverage on the data-centric recommendations for the most appropriate treatment plans every time.

5. Expanding our brand- Singapore and Southeast Asia

Q & M is embarking on an intensive strategy for organic growth in our network of dental clinics, bolstering its team of dentists to support future operations in Singapore and Malaysia. Concurrently, we will enhance our digital clinical decision support system to deliver ethical and optimal treatment plans for patients.

With rising standards of living and increased expectations for dental healthcare, particularly in Singapore, the Group is poised to meet the growing demand for both primary and specialised dental services.

Expanding beyond Singapore, the Group seeks to establish a sustainable growth pillar through organic expansion within the burgeoning private dental healthcare market of Southeast Asia. We aim to extend the reach of the Q & M brand and expertise beyond current borders, leveraging our premium reputation and brand for quality products and services. This expansion will be executed with careful and decisive precision, positioning us to export our proficiency regionally.

6. Giving Back through serving the community- Free Dental Clinic @Chai Chee

The Free Dental Clinic which was launched in July 2023 has become a tremendous platform for Q & M to give back to the community, serving to cement the bond between dentists and nurses with the community from all over Singapore. The Group is heartened by the willingness of so many to step up to volunteer their time and expertise to help and benefit those who might otherwise have limited access to good quality dental healthcare.

Since its opening in July 2023 to 31 Dec 2023, the Free Dental Clinic has had the privilege of serving around 220 patients in the community. Of these, more than 90 patients were over 60 years old as well as young children under 12 years of age. We look forward with excitement to serving a larger number of our community in the year ahead.

This press release is read in conjunction with Q & M’s FY2023 results release on SGXNET.

Footnotes:

1. Core Healthcare Business excludes contributions from the Group’s medical laboratory, other gains, other losses and expenses incurred on the development of the Group’s digital Artificial Intelligence (AI) guided clinical decision support system as well as rental rebates received from the Singapore Government.

2. EBITDA refers to earnings before interest, taxes, depreciation and amortisation.

3. PATMI refers to profit after tax and minority interest (aka Profit attributable to parent).

About Q & M Dental Group (Singapore) Limited (QC7.SI)

Q & M Dental Group (Singapore) Limited (QC7.SI) (“Q & M” or together with its subsidiaries, the “Group”) is a leading private dental healthcare group in Asia.

The Group was listed on the Mainboard of the Singapore Exchange Securities Trading Limited (“SGX- ST”) on 26 November 2009.

For more information on the Group, please visit www.QandMDental.com.sg

Media queries, please contact:
Waterbrooks Consultants Pte Ltd
Wayne Koo: wayne.koo@waterbrooks.com.sg (+65) 9338-8166
Derek Yeo: derek@waterbrooks.com.sg (+65) 9791-4707
General: query@waterbrooks.com.sg

Proud Investor Relations partner: https://www.waterbrooks.com.sg/ and https://www.shareinvestorholdings.com

Q&M 1H2023 Core Healthcare Revenue stays resilient as the Group focuses on organic growth plans

Core Healthcare Business[1] revenue remains resilient and the Group has a healthy net cashflow from operating activities for 1H23 of $14.2 million, providing cash resources for sustainable growth.
Well-positioned to cater to the rising demand for primary and high value specialist dental healthcare services through network expansion and optimisation of the Group’s Artificial Intelligence system.
1st interim dividend of 0.16 cents per shares to be paid on 13 September 2023.

Mainboard-listed Q&M Dental Group (Singapore) Limited (Q&M, the Company, and together with its subsidiaries, the Group) today reported total revenue of S$87.1 million, and profit after tax attributable to parent of S$5.3 million for the first half ended 30 June 2023 (1H2023). The Group’s earnings before interest, tax, depreciation, amortisation (EBITDA) for 1H2023 was S$18.5 million.

Core Healthcare Business revenue decreased marginally from S$83.7 million for 1H2022 to S$83.3 million for 1H2023, mainly due to higher revenue contribution from Singapore dental clinics offset by lower revenue contribution from Singapore medical clinics and the impact of the weakening Malaysian Ringgit for the Group’s operations in Malaysia. The Group’s other business segment ie medical laboratory were impacted by lower demand for Covid-19 testing.

Dr Ng Chin Siau, Group Chief Executive Officer of Q&M, said, “The continual resilience of Q&M’s Core Healthcare Business is well appreciated by investors and reflects the Group’s well-established foundations. Further, we will focus on organic growth following significant expansion of our dental clinic network across Singapore and Malaysia in 2022. We will continue to invest in technology and implement strategies that will enable us to further optimise productivity across our clinic network.”

Recently, Q&M launched its dedicated mobile App on both the Apple Appstore and Google Play. With just the click of a few buttons, a patient can select their preferred date, time and clinic location to make appointments to see the dentist. Q&M’s patients can receive timely reminders before the appointment dates and view past and future appointments, reschedule or cancel appointments anytime, as well as manage their digital receipts through the App. Additionally, results of x-rays taken are uploaded into the App for quick reference. The patient will receive a 6-monthly reminder notification when it is time for them to attend their dental check-up, so as to ensure their dental and oral conditions are closely monitored.

Looking ahead
Q&M Group has devised a holistic strategy to foster sustainable growth focusing on organic growth by leveraging on our brand and expertise and capitalising on opportunities to expand our services and reach.

We are working hard to build a strong platform upon which our future growth can be firmly established based on the following 5 thrusts:
1. Building Strong Foundations- strengthening the basics
Our cluster management system is being enhanced with dentists and dental assistants working even more closely together with area managers to optimise both human and physical resource allocation throughout the network.
2. Improving efficiency – reducing costs and wastage
Our Group is mindful of keeping costs low and using central purchasing as much as possible to reduce wastage and ensure more just-in-time ordering so that we can also reduce storage costs correspondingly.
3. Medical Laboratory
Post-pandemic, the Group’s medical laboratory business, Acumen Diagnostic will continue to develop its range of tests and solutions to maximise its intellectual property and research capabilities for various medical purposes. These include the tests for sepsis, identification of bacteria pathogens and their associated antimicrobial resistance in hospitalised pneumonia.
4. Expanding our brand- locally and overseas
Beyond Singapore, the Group continues to explore good opportunities to develop a new sustainable growth pillar through organic growth and further expansion of its dental business in Southeast Asia growing private dental healthcare market. We are also exploring the expansion of the Q&M brand and knowhow beyond our current borders. As a premium dental group with a strong reputation for high-quality products and services, we are working towards exporting our expertise regionally and beyond in a deliberate and decisive manner.

Commitment to our Community
Anchored in the Company’s philosophy, Q&M Free Dental Clinic Limited, a registered charity under the Commission of Charities, opened its first free dental clinic on 10 July 2023 in Chai Chee, to provide essential dental treatment for the underprivileged individuals and families in need.

This press release is read in conjunction with Q&M’s 1H2023 results release on SGXNET.

For more information, please read the attached SGXNET announcement and media release.

https://links.sgx.com/1.0.0/corporate-announcements/N9238L5A9JUG97NG/ca70061aa798c196bcb9132653f9e01c12ad35d1d3327823f3a120d1949a5e95

[1] Core Healthcare Business excludes contributions from the Group?s medical laboratory and expenses incurred on the development of the Group?s digital Artificial Intelligence (AI) guided clinical decision support system as well as rental rebates received from the Singapore Government.

About Q&M Dental Group (Singapore) Limited (QC7.SI)
Q&M Dental Group (Singapore) Limited (QC7.SI) (“Q&M” or together with its subsidiaries, the “Group”) is a leading private dental healthcare group in Asia.

The Group owns the largest network of private dental outlets in Singapore, operating 108 dental outlets across the country. Underpinned by about 270 experienced dentists and over 350 supporting staff, the Group sees an average of 40,000 patient visits a month in Singapore. The Group also operates 5 medical clinics and a dental supplies and equipment distribution company.

Outside of Singapore, the Group has 44 dental clinics and a dental supplies and equipment distribution company in Malaysia, as well as a dental clinic in the People’s Republic of China (“PRC”). Q&M is also the substantial shareholder of Aoxin Q&M Dental Group Limited, a dental Group listed on the Catalist board of the Singapore Exchange that operates dental clinics and hospitals primarily in the north-eastern region of the PRC. The Group aims to expand its operations geographically and vertically through the value chain in Malaysia, the PRC and within the ASEAN region.

The Q&M College of Dentistry was established in 2019 to offer postgraduate dental education as part of its commitment to continual education and professional development of dentists. It offers Singapore’s first private postgraduate diploma programme in clinical dentistry.

In 2020, the Group expanded into the medical laboratories and research industry with the strategic investment into Acumen Diagnostics Pte. Ltd. (“Acumen”). Currently, Acumen focuses on developing its range of medical research, tests and solutions to secure viable patents and to achieve successful commercialisation of the medical products in the near future.

The Group was listed on the Mainboard of the Singapore Exchange Securities Trading Limited (“SGX- ST”) on 26 November 2009.

For more information on the Group, please visit www.QandMDental.com.sg

For more information, please contact:
Waterbrooks Consultants Pte Ltd
Wayne Koo: wayne.koo@waterbrooks.com.sg, +65 9338-8166
Derek Yeo: derek@waterbrooks.com.sg, +65 9791-4707
General: query@waterbrooks.com.sg, +65 9690-4959

Proud Investor Relations partner:
https://www.waterbrooks.com.sg/ and https://www.shareinvestorholdings.com/

Q&M Free Dental Clinic launched to provide free essential dental treatments for underprivileged individuals and families

Q&M Free Dental Clinic Limited, a registered charity under the Commission of Charities, has opened its first Q&M Free Dental Clinic in Chai Chee dedicated to delivering essential dental treatment for underprivileged individuals and families in need.

The opening ceremony at 26 Chai Chee Rd was witnessed by Guest-of-Honour Ong Ye Kung, Minister for Health; and Tan Chuan-Jin, Speaker of Parliament, and Adviser to Marine Parade GRC Grassroots Organisations (Kembangan-Chai Chee).

In its first phase of operations, the free clinic will be staffed by more than 50 volunteer dentists from Q&M Dental Group, on a rotational basis and is expected to serve up to 1,400 patients each year. Eligible patients will be initially referred by grassroots organisations within Kembangan-Chai Chee Division and will receive free dental consultation and treatments that are essential to oral health, such as scaling and polishing, fillings, and extractions.

Mr Tan Chuan-Jin, Speaker of Parliament, and Adviser to Marine Parade GRC Grassroots Organisations (Kembangan-Chai Chee), said, “In Kembangan-Chai Chee, preventive healthcare has been an essential pillar of our social initiatives, besides food security and education. While we have made inroads with health screening, vaccinations, and general health management, we realise that oral health has often been overlooked, especially for our underprivileged residents.

“Hence, the idea of a free dental clinic was mooted over lunch with Dr Ng and I in August 2021 and we are grateful to have Q&M Dental Group partnering with us in this meaningful journey. This initiative is also timely as it fits perfectly into our nationwide Preventive Healthcare Program – Healthier SG,” he added.

Dr Ng Chin Siau, Group CEO of Q&M Dental Group said, “With the continued support of our generous donors and volunteer staff, we aim to ramp up the current capacity to serve up to 5,000 patients per year in the free clinic’s next phase of operations, in line with our goal to make dental care accessible to all.”

Q&M Dental Group led the fundraising efforts to fully equip and set up the free dental clinic, donating S$500,000 to fund the initial costs of renovations and equipment. In total, close to S$1 million was raised together with the support of other key donors including Quan Min Holdings, Straumann, Belmont, Prof Hwang Yee Cheau, Madam Kong Siew Yin, Ng Kok Mee, Navi Corporate Advisory Pte Ltd and Dr Ng Chin Siau, in his personal capacity.

“The generosity of our donors will make a lasting impact on the lives of the underprivileged, providing essential dental care for them and creating a healthier community overall. We look forward to collaborating with other stakeholders to reach out to more patients in need and galvanise the medical community to contribute their expertise and resources to ensure everyone has access to essential healthcare services,” added Dr Ng.

Dr Mohanarajah s/o S. Senathirajah, Chairman of Q&M Free Dental Clinic Limited, said, “We are really excited to launch the Q&M Free Dental Clinic knowing that we will make a meaningful contribution in the lives of the underprivileged amongst us. This initiative marks the latest milestone in our longstanding commitment in giving back to society, and what better way than to contribute our professional expertise in a sustained manner to help those in need.”

Q&M Dental Group was recently awarded The President’s Certificate of Commendation (COVID-19) for its contributions during the pandemic which include Q&M Dental Group volunteers, comprising of dentists and nurses administering swabbing procedures to migrant workers at factory-converted dormitories and government quarantine facilities, donating 200,000 medical grade surgical masks to 51 migrant worker dormitories and setting-up satellite Covid-19 testing facilities throughout its island-wide clinic network.

Q&M Free Dental Clinic
To donate and find out more, please visit: www.qmfdc.sg

Media contacts:
Q&M Dental Group
Jess Chang, jess@qnm.sg, +65 8388 6240
Lloyd Chan, lloydchan@qnm.sg, +65 9385 5702

Waterbrooks Consultants
Wayne Koo, wayne.koo@waterbrooks.com.sg, +65 9338 8166
Elliot Siow, elliot@waterbrooks.com.sg, +65 8375 0417

Q&M Group awards 7 dentists with Performance Shares,12-year Service Agreements, and a Private Placement

Mainboard-listed Q&M Dental Group (Singapore) Limited [SGX: QC7] announced on 29 September 2022 the award of 2,014,245 shares to 7 promising next-generation dentists as part of the Q&M Performance Share Plan (PSP) 2018, as well as the proposed placement of an additional 4,985,755 treasury shares, totalling S$1.75 million, through placement to the same dentists.

These 7 Key Dentists are the recipients of awards under the PSP 2018 by Q&M in its announcement dated 29 September 2022. These Key Dentists have also expressed their interest to subscribe for further shares as an expression of their confidence in and their commitment to the continued success of the company. They intend to enter into an arrangement similar to that entered into between the founding dentists of the Group in respect of Q&M’s controlling shareholder, Quan Min Holdings Pte. Ltd., in order to hold their Shares in Q&M.

The placement of 4,985,755 treasury shares at a price of 35.1 Singapore cents is based on the volume weighted average price (VWAP) for trades done on the shares

of Q&M on the Singapore Exchange for the full market day on 29 September 2022, being the market day on which the Placement Letters were executed. This amounts to a gross consideration of S$1.75 million.

“The Board is heartened by the decision of these Key Dentists to cement their association with the Company in tying their long-term futures with the future success of Q&M Dental Group. These high-performing dentists represent some of the very best of the Company’s dentists and the quality of their work is demonstrated on a day-to-day basis. We are very pleased to see them take this next major step. The Company’s next generation management could even be among them!” said Dr Ng Chin Siau, CEO, Q&M Dental Group.

The Board is approached from time to time by its dentists who seek opportunities to participate in the growth of Q&M through equity investments. Share-based incentive schemes such as PSP 2018 Plan are somewhat limited in scope and do have a direct impact on Q &M’s bottom line.

Q&M’s Board is thus of the view that a placement exercise to its own dentists brings greater benefit to the Group in the following ways:

– Allows key dentists to participate in the equity of Q&M by investing their own funds, thereby aligning their interests with those of the Group. This alignment of interest promotes greater dedication, loyalty and higher standards of performance amongst dentists; and

– Strengthens the capital base of Q&M and increases Q&M’s public spread, which has the potential to improve the level of trading liquidity of its Shares.

Dr Karan Singh Ubhi (one of the 7 Key Dentists) said, “We are grateful for the opportunity given by the Board to participate in the success of the Company and appreciate also the recognition of the work and effort that we have put in. We are firmly committed to the continued success of Q&M Dental Group and hope to contribute positively to its growth going forward.”

The Board believes that the Proposed Placement provides an effective way of motivating the Key Dentists to maximise their performance by investing in the Group’s future, which will result in creating better value for Q&M and its shareholders.

Dr Tabitha Foo, another of the 7 dentists said: “Having worked at Q&M, I have witnessed first-hand, the commitment of the management in identifying and grooming the next generation of leaders and am extremely proud to be given the opportunity to participate in this share placement and having a personal stake in the success of Q&M.”

Q&M board of directors understands that the Key Dentists are in the process of incorporating a new company, “Quan Min Plus 2 Pte. Ltd.” to hold their Shares. The Board further notes that a similar voluntary arrangement was entered into previously by another 9 next-gen dentists on the Group through a company called Quan Min Plus Pte. Ltd., as announced by the Company on 23 October 2020.

Q&M intends to use all of the Net Proceeds of approximately S$1.70 million raised for its general working capital purposes, such as business expansions, acquisitions and/or paying off loans.

The Board and management of Q&M will continue to work hard in identifying the best talent within the Company, with the aim of mentoring their growth, grooming some of them to positions of leadership, while also giving them direct opportunities to participate in the growth of the Company in line with their corporate mission.

About Q&M Dental Group (Singapore) Limited [SGX QC7.SI] [BIC QNM:SP] [RIC QMDT:SI]

Q&M Dental Group (Singapore) Limited (QC7.SI) (“Q&M” or together with its subsidiaries, the “Group”) is a leading private dental healthcare group in Asia.

The Group owns the largest network of private dental outlets in Singapore, operating 106 dental outlets across the country. Underpinned by about 270 experienced dentists and over 350 supporting staff, the Group sees an average of 40,000 patient visits a month in Singapore. The Group also operates 5 medical clinics and a dental supplies and equipment distribution company.

Outside of Singapore, the Group has 45 dental clinics and a dental supplies and equipment distribution company in Malaysia, as well as a dental clinic in the People’s Republic of China (“PRC”). Q&M is also the substantial shareholder of Aoxin Q&M Dental Group Limited, a dental Group listed on the Catalist board of the Singapore Exchange that operates dental clinics and hospitals primarily in the north- eastern region of the PRC. The Group aims to expand its operations geographically and vertically through the value chain in Malaysia, the PRC and within the ASEAN region.

The Q&M College of Dentistry was established in 2019 to offer postgraduate dental education as part of its commitment to continual education and professional development of dentists. It offers Singapore’s first private postgraduate diploma programme in clinical dentistry.

In 2020, the Group expanded into the medical laboratories and research industry with the strategic investment into Acumen Diagnostics Pte. Ltd. (“Acumen”). Acumen currently focuses on the manufacture, sale and distribution of COVID-19 diagnostic test kits, as well as COVID-19 testing. It is also working to roll out a pipeline of new tests, including PCR assays for dengue, sepsis and, identification of bacterial pathogens and their associated antibiotics resistance in pneumonia and bloodstream infections.

EM2AI Pte Ltd, a wholly-owned subsidiary of the Group that focuses on developing AI-powered solutions to diagnosis and treatment planning has rolled out IDMS, enabling dentists within the Group’s network to administer ethical treatment plans for patients.

The Group was listed on the Mainboard of the Singapore Exchange Securities Trading Limited (“SGX- ST”) on 26 November 2009. For more information on the Group, please visit www.QandMDental.com.sg

SGX Links Reference:
– Press Release: https://tinyurl.com/sgx-qm-20220930-pr
– Treasury Shares: https://tinyurl.com/sgx-qm-20220930-tres
– Employee Stock Options: https://tinyurl.com/sgx-qm-20220930-eso

For more information, please contact:
Waterbrooks Consultants Pte Ltd
Wayne Koo
Tel: +65 9338-8166
Email: wayne.koo@waterbrooks.com.sg

Derek Yeo
Tel: +65 9791-4707
Email: derek@waterbrooks.com.sg

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Q&M Dental net profit, excluding other gains or losses, increased by 25% to S$7.2 million on S$46.8 million of revenue for quarter ended 31 March 2022

Q&M Dental Group (Singapore) Limited, a leading private dental healthcare group in Asia, reported net profit excluding other gains or losses attributable to shareholders of S$7.2 million for the quarter ended 31 March 2022 (1Q2022) compared to S$5.8 million in the corresponding period (1Q2021).

Dr Ng Chin Siau, Chief Executive Officer of Q&M Dental said, “We are heartened by our continuous strong performance in 1Q2022 following a record-setting year FY2021. Our core dental business will remain strong, and with the abolishing of most of the pandemic restrictions, a positive impact on the economy, we are looking forward to resuming our growth trajectory of expanding our network of clinics in the coming quarters.”

Growth & Expansion in Operations

As at 31 March 2022, the Group’s number of dental outlets in Singapore has grown to 99, from 85 as at 31 March 2021. Similarly in Malaysia, the number of dental outlets has increased to 41, as compared to 36 previously.

The Group also continues to focus on its expansion into medical diagnostics, with its associated Company, Aoxin Q&M Dental Group Limited and through its recent acquisition of 49% shareholding of Acumen Diagnostics Pte. Ltd., raising Q&M’s effective interest in Acumen Diagnostics from 51% to 67%. In the near term, Acumen Diagnostics’ clinical testing laboratory will roll out its pipeline of new tests, including PCR assays for dengue, sepsis and, identification of bacterial pathogens and their associated antibiotics resistance in pneumonia and bloodstream infections. Its longer-term plans include the development of new vaccines.

For 1Q2022, revenue contribution from dental and medical clinics was relatively unchanged with a marginal decrease of 2% to S$38.6 million, despite the challenges of the tightening of Safe Management Measures (SMM) due to the rapid spread of the Omicron variant. Revenue contribution from medical laboratory and dental equipment & supplies segment surged by 80% to S$8.2 million on the back of increased revenue from Covid-19 testing from Acumen Diagnostics, the Group’s medical laboratory business, which obtained its medical laboratory license in September 2020.

The Group’s net profit after tax excluding other gains or losses for 1Q2022 increased by 25% to S$7.2 million, from S$5.8 million in the corresponding period last year, translating to an earnings per share of 0.69 Singapore cent.

As at 31 March 2022, the Group had cash and cash equivalents of S$43.5 million with net assets of S$94.9 million. This translates to Net Asset Value per share of 10.10 cents per share.

Outlook & Further Expansion Plans

With the opening up of the Singapore economy gathering pace in 2022, the country expects to see businesses ramping up in most sectors with those that were most severely affected by the pandemic like F&B, tourism to especially benefit. The government is forecasting GDP growth of between 3.0 to 5.0% in 2022, Barring any major changes in the global macroeconomic and political situation or any new adverse developments in the evolving Covid-19 situation, the Group is cautiously optimistic on its business outlook.
The Group intends to continue executing the business plans outlined below:

– Expansion of network of dental clinics in Singapore and Malaysia

The Group currently operates 99 clinics in Singapore. With the economy opening up in 2022, the Group will also intensively increase its reach through organic growth of its dental clinic network in Singapore. This will be supported by an expansion of its team of dentists to undergird the future growth of its operations in Singapore. We will continue to develop, invest and optimise our digital Artificial Intelligence (AI) guided clinical decision support system to provide the most effective and suitable treatment plans for patients. The Group believes it is well-positioned to cater to the rising demand for primary and high-value specialist dental healthcare services of its patients.

Currently, the Group operates 41 clinics in Malaysia. The clinics are located in Johor (16 dental clinics), Kuala Lumpur (9 dental clinics), Selangor (11 dental clinics), Melaka (4 dental clinics) and 1 dental clinic in Negeri Sembilan.

The Group intends to open at least 30 dental clinics a year from 2021 onwards in Singapore and Malaysia for the next 10 years. The eventual number of dental outlets will depend on available opportunities, pertinent market conditions and the evolving Covid-19 situation.

– Expansion into private dental healthcare market in the People’s Republic of China (“PRC”)

The main thrust of the Group’s proposed expansion in PRC is through organic growth to develop a new and sustainable growth pillar that can yield long term value for the Group.

– Expansion in Southeast Asia

The Group is continuously looking out for strategic opportunities to expand its dental business and regional footprint to other Southeast Asian countries.

– Medical Laboratory

The Group will focus on rolling out its clinical testing laboratory pipeline of new tests including PCR assays for dengue sepsis and identification of bacterial pathogens and their associated antibiotics resistance in pneumonia and bloodstream infections.

Please see links for PDF documents from SGXNET.
Results: https://tinyurl.com/QnM-1Q2022-Result
Press Release: https://tinyurl.com/QnM-1Q-2022-Release

About Q&M Dental Group (Singapore) Limited (QC7.SI)

Q&M Dental Group (Singapore) Limited (QC7.SI) (“Q&M” or together with its subsidiaries, the “Group”) is a leading private dental healthcare group in Asia.

The Group owns the largest network of private dental outlets in Singapore, operating 99 dental outlets across the country. Underpinned by about 290 experienced dentists and over 350 supporting staff, the Group sees an average of 40,000 patient visits a month in Singapore. The Group also operates 5 medical clinics and a dental supplies and equipment distribution company.

Outside of Singapore, the Group has 41 dental clinics and a dental supplies and equipment distribution company in Malaysia, as well as a dental clinic in the People’s Republic of China (“PRC”). Q&M is also the substantial shareholder of Aoxin Q&M Dental Group Limited, a dental Group listed on the Catalist board of the Singapore Exchange that operates dental clinics and hospitals primarily in the north- eastern region of the PRC. The Group aims to expand its operations geographically and vertically through the value chain in Malaysia, the PRC and within the ASEAN region.

The Q&M College of Dentistry was established in 2019 to offer postgraduate dental education as part of its commitment to continual education and professional development of dentists. It offers Singapore’s first private postgraduate diploma programme in clinical dentistry.

The Group was listed on the Mainboard of the Singapore Exchange Securities Trading Limited (“SGX- ST”) on 26 November 2009. For more information on the Group, please visit www.QandMDental.com.sg

For more information, please contact:
Waterbrooks Consultants Pte Ltd
Wayne Koo
Tel: +65 9338-8166
Email: wayne.koo@waterbrooks.com.sg

Derek Yeo
Tel: +65 9791-4707
Email: derek@waterbrooks.com.sg

Q&M Dental net profit surges 154% to S$35.4M for nine months ended 30 September 2021

Revenue jumps 62% to S$152.3 million for 9M2021, and 48% to S$57.7 million for 3Q2021
Rewards shareholders with proposed interim dividend of 1.0 Singapore cent per ordinary share for 3Q2021; total dividends of 3.0 Singapore cents per ordinary share for 9M2021 with dividend yield of 5.4%[1]
Steady growth in core dental and medical clinics segment
Progress in Acumen Diagnostics with pipeline of new PCR tests for infectious diseases, sepsis and cancer in addition to Covid-19 testing

Q&M Dental Group (Singapore) Limited (Q&M or together with its subsidiaries, the Group), a leading private dental healthcare group in Asia, today reported net profit after tax attributable to shareholders of S$27.3 million for the nine months ended 30 September 2021 (“9M2021”), and net profit after tax attributable to shareholders S$9.5 million for the three months ended 30 September 2021 (“3Q2021”).

Quarterly Financial Performance since 4Q2019
The Group has grown stronger compared to the pre-Covid-19 period. The Group’s revenue rose by 58% from S$36.5 million in 4Q2019 to S$57.7 million in 3Q2021, or 6.78% quarterly compounded growth from 4Q2019 to 3Q2021. Profit before tax grew 112% from S$7.9 million in 4Q2019 to S$16.7 million in 3Q2021, or 11% quarterly compounded growth from 4Q2019 to 3Q2021.

Dr Ng Chin Siau, Chief Executive Officer of Q&M added, “The Group’s strong financial performance and accomplishments continue to be propelled by our corporate values and philosophy of “Improving Oneself & Unity”. We believe that every individual within Q&M strives for continual improvement, and seeks knowledge and excellence in all their endeavours, and this has enabled the Group to attain sustainable growth.”

For the 9M2021, revenue contribution from dental and medical clinics increased by 36% to S$116.6 million. Revenue contribution from medical laboratory and dental equipment & supplies segment surged by 334% to S$35.7 million. The Group’s EBITDA also increased 104% to S$52.9 million, from S$25.9 million in the previous period. Earnings per share increased to 2.89 Singapore cents, from 1.46 Singapore cents in the previous period.

The Group’s net profit after tax increased by 154% to S$35.4 million from S$13.9 million in the previous period. Profit after tax attributable to owners of the parent grew by 98% to S$27.3 million, from S$13.8 million in the previous period.

For 3Q2021, revenue contribution from dental and medical clinics increased to S$39.3 million and contribution from medical laboratory and dental equipment & supplies segment also soared 932% to S$18.4 million, due to the same reasons stated above. EBITDA also increased to S$21.4 million, up by 121% from the previous period. The Group’s net profit after tax increased by 175% to S$13.9 million, from S$5.1 million in the previous period. Profit after tax attributable to owners of the parent grew by 69% to S$9.5 million, from S$5.6 million in the previous period.
As at 30 September 2021, the Group financial position remains strong with net assets of S$121.5 million with cash and cash equivalents of S$49.6 million. Bank borrowings and finance leases amounted to S$83.8 million.

Dividend
The Group proposes an interim dividend of 1.0 Singapore cent per ordinary share for 3Q2021. Earlier in the year, the Group paid 1.0 Singapore cent in 1Q2021 and 1.0 Singapore cent in 2Q2021. The 3Q2021 dividends declared, will be paid to all shareholders on 3rd December 2021.

Growth & Expansion In Operations
As at 30 September 2021, the Group’s number of dental clinics in Singapore has grown to 90, from 81 as at 30 September 2020. Similarly in Malaysia, the number of dental clinics has increased to 38, as compared to 33 previously. In order to support this growth, the Group has also increased its total number of dentists to 270 as at 30 September 2021, as compared to 250 previously.

Most recently in 3Q2021, the Company opened 3 new clinics in Singapore, in Canberra, Bedok Reservoir and IMM shopping mall.

The Group also continues to focus on its investments in opportunities in allied sectors, with its Associated Company, Aoxin Q&M Dental Group Limited (“Aoxin”)’s recent acquisition of 49% shareholding of Acumen Diagnostics Pte. Ltd. (“Acumen Diagnostics”), which raised Q&M’s effective interest in Acumen Diagnostics from 51% to 67%. With 3 scientists and 21 technicians, Acumen Diagnostics’ technical capabilities and infrastructure in molecular diagnostics, spans research and development, manufacturing, and clinical laboratory testing.

Outlook & Further Expansion Plans
Barring any unforeseen circumstances and any worsening of the Covid-19 situation, which may necessitate reimposing curbs on economic activity, the Group is optimistic on its business outlook and prospects moving forward.

For Acumen Diagnostics, the Group will continue to offer Covid-19 testing by PCR for patients that require PCR test results and for travellers as Singapore opens its borders, as well as distribute Covid- 19 antigen rapid tests (ART). The Group will also develop a panel of new PCR tests in infectious diseases, sepsis and cancer.

[1] Based on closing share price of 55.5 cents as at 9 November 2021

About Q&M Dental Group (Singapore) Limited (QC7.SI) www.QandMDental.com.sg
Q&M Dental Group (Singapore) Limited (“Q&M” or together with its subsidiaries, the “Group”) is a leading private dental healthcare group in Asia. The Group owns the largest network of private dental outlets in Singapore, operating 90 dental outlets across the country. Underpinned by about 270 experienced dentists, 7 doctors and more than 350 supporting staff, the Group sees an average of 40,000 patient visits a month in Singapore. The Group also operates 5 medical clinics and a dental supplies and equipment distribution company.

Outside of Singapore, the Group has 38 dental clinics and a dental supplies and equipment distribution company in Malaysia, as well as a dental clinic in the People’s Republic of China (“PRC”). Q&M is also the substantial shareholder of Aoxin Q&M Dental Group Limited, a dental Group listed on the Catalist board of the Singapore Exchange, which operates dental clinics and hospitals primarily in the North- eastern region of the PRC. The Group aims to expand its operations geographically and vertically through the value chain in Malaysia, the PRC and within ASEAN.

In 2018, the Group made inroads into the development of advanced technology in healthcare with the establishment of EM2AI Pte. Ltd. (“EM2AI”, formerly known as Q&M Dental AI Pte. Ltd.). EM2AI focuses on developing an Artificial Intelligence (AI) ethical enhanced guided treatment plan.

In 2019, the Group expanded into dental postgraduate education with the establishment of the Q&M College of Dentistry. It offers Singapore’s first private postgraduate diploma programme in clinical dentistry.

In 2020, the Group also expanded into the medical laboratories and research industry with the incorporation of Acumen Diagnostics Pte. Ltd. (“Acumen Diagnostics”). Acumen Diagnostics currently focuses on the manufacture, sale and distribution of COVID-19 diagnostic test kits, as well as COVID- 19 testing.

The Group was listed on the Mainboard of the Singapore Exchange Securities Trading Limited (“SGX- ST”) on 26 November 2009.

This release can be found at https://bit.ly/3FlndVF

For more information, please contact:
Waterbrooks Consultants Pte Ltd
Tel: +65 6958 8008 M: +65 9690-4959 email: query@waterbrooks.com.sg
Wayne Koo – wayne.koo@waterbrooks.com.sg M +65 933 88166
Derek Yeo – derek@waterbrooks.com.sg