Financial Performance - The group recorded revenue of approximately SGD 10.4 million for the nine months ended September 30, 2021, an increase of about 7.9% compared to SGD 9.6 million for the same period last year[4]. - Gross profit for the period was approximately SGD 6.9 million, slightly down by about 0.9% from SGD 6.8 million in the previous year[4]. - The group reported a net loss after tax of approximately SGD 0.9 million, compared to a net profit of SGD 0.3 million in the same period last year[5]. - The group reported a basic loss per share of SGD (0.17) for the nine months ended September 30, 2021, compared to a profit of SGD 0.06 for the same period in 2020[22]. - The group’s total revenue for the three months ended September 30, 2021, was SGD 3.0 million, a decrease from SGD 4.1 million in the same period in 2020[17]. - The group’s medical examination service revenue for the three months ended September 30, 2021, was SGD 0.7 million, down from SGD 1.0 million in the same period in 2020[17]. Expenses and Costs - Employee benefits expenses increased by approximately SGD 0.6 million or 13.8% to SGD 4.6 million, attributed to efforts to retain and attract staff[5]. - Depreciation of property, plant, and equipment rose by approximately 94.6% to about SGD 1.4 million, driven by new treatment centers[5]. - Other operating expenses increased by approximately SGD 0.9 million or 60.1% to SGD 2.4 million, due to marketing and promotional activities[5]. - Gross profit rose to approximately SGD 6.9 million, while the gross profit margin decreased from about 70.7% to approximately 66.1% due to increased medical supplies and professional costs[32]. - Depreciation expenses rose by approximately SGD 0.7 million or 94.6% to about SGD 1.4 million, mainly due to the establishment of new treatment centers[34]. Equity and Capital - Total equity as of September 30, 2021, was approximately SGD 15.9 million, reflecting changes in retained earnings and currency translation reserves[10]. - Cash and cash equivalents amounted to approximately SGD 13.7 million as of September 30, 2021, an increase from SGD 13.0 million as of December 31, 2020[41]. - The capital debt ratio was approximately 13.4% as of September 30, 2021, down from 20.8% as of December 31, 2020[42]. - The group completed a placement of 104 million shares, raising approximately HKD 20 million, with 60% allocated for business expansion and 40% for working capital[45]. Corporate Governance - The company has adopted corporate governance standards in compliance with GEM listing rules, ensuring a minimum number of independent non-executive directors[53]. - The company has established a code of conduct for directors' securities transactions, ensuring compliance with GEM listing rules[55]. - The company is committed to enhancing corporate governance practices regularly[53]. - The audit committee, consisting of three independent non-executive directors, reviewed the unaudited consolidated financial statements and confirmed compliance with applicable accounting standards and regulations[69]. Business Operations - The group has nine DTAP clinics and one S Aesthetics clinic operational as of the report date, with plans to explore additional primary care business opportunities[28]. - The group aims to enhance its brand image and connect with existing and new customers through various marketing initiatives[5]. - The Singapore government has implemented community safety measures in response to the rising COVID-19 cases, which may impact the healthcare sector's operations[28]. - The group completed the acquisition of six clinics on April 1, 2020, as part of its internal restructuring[13]. Shareholder Information - As of September 30, 2021, Dr. Chen held 350,000,000 shares, representing 56.09% of the company's issued shares[60]. - Cher Sen Holdings Limited, controlled by Dr. Chen, holds all issued shares, making him the beneficial owner[61]. - Liu Hewen owns 52,630,000 shares, accounting for 8.43% of the total issued shares[64]. - The company has not granted or agreed to grant any options under the share option plan since its adoption[58]. - The share option plan allows for a maximum of 10% of the issued share capital to be granted as options[58]. Miscellaneous - The company has not disclosed any new product developments or market expansions in the report[68]. - There were no significant investments or acquisitions during the period[47]. - There were no significant events affecting the company after September 30, 2021, up to the report date[52]. - The company did not redeem any of its listed securities during the reporting period[67]. - The company has not purchased or sold any of its listed securities during the reporting period[67]. - The compliance advisor has no interests in the company's securities as of September 30, 2021[66]. - No directors or controlling shareholders have interests in any competing businesses during the reporting period[65]. - The company’s financial reporting process and internal controls are monitored by the audit committee[69].

Financial Performance - The group recorded revenue of approximately SGD 7.4 million for the six months ended June 30, 2021, representing an increase of about 32.6% compared to SGD 5.6 million for the same period in 2020[9]. - Gross profit for the period was approximately SGD 4.8 million, up about 20.9% from SGD 4.0 million in the previous year[9]. - Revenue from treatment services saw the highest growth, increasing from approximately SGD 3.6 million to about SGD 5.2 million, a rise of SGD 1.6 million[9]. - The group reported a net loss of approximately SGD 0.6 million for the period, consistent with the net loss of SGD 0.6 million in the same period last year[10]. - The company reported a profit of SGD 65,902 for the fiscal year, but a significant loss of SGD (564,640) was recorded during the six months ended June 30, 2021[15]. - Revenue for the three months ended June 30, 2021, was SGD 3,412,893, a 62.0% increase from SGD 2,107,833 in the same period of 2020[39]. - Revenue for the six months ended June 30, 2021, reached SGD 7,361,976, up 32.5% from SGD 5,553,010 in the same period of 2020[39]. - The company reported a basic loss per share of SGD (0.11) for both the three and six months ended June 30, 2021, compared to SGD (0.13) and SGD (0.11) respectively in 2020[45]. Expenses and Liabilities - Employee benefit expenses increased by SGD 0.3 million due to the rise in the number of treatment centers and efforts to retain and attract staff[10]. - Other operating expenses rose by approximately SGD 0.8 million, driven by increased marketing and treatment center-related costs[10]. - Marketing expenses increased by SGD 0.5 million compared to the previous year, reflecting enhanced promotional efforts[10]. - Total assets decreased from SGD 19,344,264 as of December 31, 2020, to SGD 17,346,366 as of June 30, 2021, representing a decline of approximately 10.3%[13]. - Current liabilities reduced significantly from SGD 4,142,918 as of December 31, 2020, to SGD 2,622,755 as of June 30, 2021, a decrease of about 36.6%[14]. - The company’s total liabilities decreased from SGD 6,087,760 as of December 31, 2020, to SGD 4,650,299 as of June 30, 2021, a decrease of approximately 23.6%[14]. Cash Flow and Assets - The net cash used in operating activities for the six months ended June 30, 2021, was SGD (122,019), an improvement compared to SGD (755,041) for the same period in 2020[16]. - Cash and cash equivalents decreased from SGD 13,068,056 at the beginning of the period to SGD 11,601,873 at the end of the period, a reduction of approximately 11.2%[16]. - The company’s inventory decreased from SGD 883,274 as of December 31, 2020, to SGD 616,164 as of June 30, 2021, a reduction of about 30.2%[13]. - The carrying amount of right-of-use assets as of June 30, 2021, was SGD 2,249,242, down from SGD 2,954,644 as of December 31, 2020[52]. - Cash and cash equivalents decreased to SGD 11.6 million as of June 30, 2021, down from SGD 13.1 million as of December 31, 2020[58]. Corporate Governance and Shareholder Information - The company has adopted and complied with all applicable corporate governance codes as per GEM listing rules during the reporting period[102]. - As of June 30, 2021, the total number of issued shares of the company was 520,000,000[109]. - Dr. Chen Zhi Xian holds 390,000,000 shares, representing 75% of the company's issued shares[109]. - Cher Sen Holdings Limited, wholly owned by Dr. Chen, is the direct shareholder of the company[110]. - The audit committee, consisting of three independent non-executive directors, reviewed the unaudited consolidated financial statements and found them compliant with applicable accounting standards[118]. Market Outlook and Strategic Initiatives - The group anticipates uncertainty in the recovery of the primary care market until Singapore reopens its borders[10]. - Management anticipates challenges in business operations due to ongoing COVID-19 restrictions and increased competition in the primary healthcare sector[69]. - The company plans to reshape its existing business model and seek collaborative opportunities to adapt to market changes[69]. - The company has decided not to declare an interim dividend for the current period, consistent with the previous year[64]. Investments and Capital Management - The net proceeds from the share issuance amounted to approximately SGD 9.1 million, with planned uses including expanding the DTAP treatment center network and enhancing IT infrastructure[94]. - The company has not recognized any overseas profits tax for entities registered in the British Virgin Islands or the Cayman Islands due to tax exemptions[41]. - The company has incurred about SGD 1,051,000 for renovations and fixed asset purchases for the new DTAP treatment center located in Jurong as of June 30, 2021[99]. - The company has spent approximately SGD 1,028,000 on renovations and fixed asset purchases for the new SA treatment center in Jurong as of June 30, 2021[99]. - The company has invested around SGD 383,000 to upgrade existing information technology infrastructure and systems as of June 30, 2021[100].

Financial Performance - The company recorded revenue of SGD 3.9 million for the three months ended March 31, 2021, an increase of approximately 14.6% compared to SGD 3.4 million for the same period in 2020[5] - Gross profit for the period was SGD 2.6 million, up about 6.8% from SGD 2.5 million in the same period last year[5] - The net profit after tax was approximately SGD 228,000, a significant increase from SGD 95,000 in the previous year, despite rising employee benefits and operating expenses[5] - The total comprehensive income for the period attributable to the owners of the company was SGD 228,000, compared to SGD 94,609 in the previous year[8] - Revenue for the first quarter of 2021 increased by approximately SGD 0.5 million or 14.6% to about SGD 3.9 million compared to the same period in 2020[29] - Treatment services generated revenue of SGD 2,823,280, accounting for 71.5% of total revenue, while medical examination services and consultation services contributed SGD 811,025 and SGD 314,777, respectively[19] - Basic earnings per share for the first quarter of 2021 were SGD 0.00, a decrease from SGD 0.02 in the same period last year[26] - The group recorded a profit of approximately SGD 228,000, a decrease of over 90% compared to SGD 940,000 in Q1 2020[40] Operating Expenses - Employee benefits expenses increased by approximately 8.1% to SGD 1.4 million due to efforts to attract and retain talent for expansion plans[5] - Other operating expenses rose by approximately 69.8% to SGD 0.9 million, attributed to increased promotional activities and the expansion of medical treatment centers from 7 to 10[5] - The increase in operating expenses is primarily due to the operation of more clinics, leading to higher marketing and rental costs[39] - Employee benefits expenses increased by approximately SGD 100,000 or 8.1% to about SGD 1.4 million due to efforts to retain and attract talent for expansion plans[40] - Other operating expenses rose by approximately SGD 400,000 or 69.8% to about SGD 900,000, attributed to increased investments in marketing and promotion activities[40] Dividends and Equity - The board has decided not to declare any dividends for the period, consistent with the previous year[6] - The company’s total equity as of March 31, 2021, was SGD 13.26 million, reflecting the retained earnings and comprehensive income for the period[9] Corporate Structure and Strategy - The company has undergone internal restructuring, acquiring six medical treatment centers, which has been accounted for as a common control transaction[13] - The company continues to focus on expanding its network of medical treatment centers in Singapore to enhance its market presence[11] - The company operates nine DTAP clinics and one S Aesthetic clinic, with plans to expand brand awareness and assess new potential locations[31] - The company has terminated the lease agreement for its Orchard location and is currently seeking alternative premises[31] Financial Position - As of March 31, 2021, the group's cash and cash equivalents were approximately SGD 12.2 million, down from SGD 13.1 million as of December 31, 2020[43] - The capital debt ratio as of March 31, 2021, was 19.0%, a decrease from 20.8% as of December 31, 2020[44] - The group maintained a strong liquidity position with sufficient financial resources to meet operational funding needs[44] Employment and Compliance - The group had 64 employees in Singapore as of March 31, 2021, down from 66 employees as of December 31, 2020[42] - The audit committee, consisting of three independent non-executive directors, reviewed the unaudited consolidated financial statements and found them compliant with applicable accounting standards and regulations[70] - There were no significant contingent liabilities as of March 31, 2021[48] Shareholding - As of March 31, 2021, Cher Sen holds 390,000,000 shares, representing 75% of the total issued shares of 520,000,000[64] - The company did not repurchase any of its listed securities during the reporting period[68]

Financial Performance - The group's revenue for the fiscal year ended December 31, 2020, was approximately SGD 13.7 million, a slight increase of about 1.9% compared to SGD 13.5 million for the fiscal year 2019[11]. - The group recorded a profit of approximately SGD 66,000 for the fiscal year 2020, compared to a profit of SGD 600,000 in fiscal year 2019, primarily due to the impact of COVID-19 on expected revenue and increased operating costs from three new treatment centers[11]. - The group's total revenue for the fiscal year 2020 was approximately SGD 13,724,000, an increase of SGD 262,000 or 1.9% compared to SGD 13,462,000 in fiscal year 2019[19]. - Total comprehensive income for the year was approximately SGD 44,000, a decrease from SGD 638,000 in the previous fiscal year, primarily due to the impact of Covid-19 and increased operating costs from the opening of three new treatment centers[36]. - The group reported a net cash inflow from operating activities of approximately SGD 0.8 million, compared to a net cash outflow of SGD 2.7 million in the previous fiscal year[38]. - The group’s total equity as of December 31, 2020, was approximately SGD 13.3 million, slightly up from SGD 13.2 million in the previous fiscal year[38]. - The group did not declare a final dividend for the year, consistent with the previous fiscal year[37]. - The company had no distributable reserves as of December 31, 2020, consistent with the previous year[99]. Revenue Breakdown - Revenue from consultation services decreased from approximately SGD 1,355,000 in 2019 to SGD 1,296,000 in 2020, a decline of about 4.4%[21]. - Revenue from medical examination services fell from approximately SGD 4,040,000 in 2019 to approximately SGD 3,382,000 in 2020, a decrease of about 16.3%[22]. - Revenue from treatment services increased from approximately SGD 8,067,000 in 2019 to approximately SGD 9,046,000 in 2020, a growth of about 12.1%[22]. - The group’s treatment services accounted for 65.9% of total revenue in 2020, up from 59.9% in 2019, indicating a shift in revenue contribution[22]. Operational Expansion - The group operates a network of ten DTAP treatment centers and one SA treatment center, with plans to establish at least two additional treatment centers in the fiscal year 2021[12]. - The group launched a treatment center in Tanjong Pagar in fiscal year 2020, providing rapid STD and HIV testing services[12]. - The group opened three new treatment centers (Kovan, Orchard, and Tanjong Pagar), contributing to improved revenue despite challenges from Covid-19[18]. - The group aims to expand its market share in primary care and seeks to explore business opportunities outside of Singapore to become a preferred healthcare provider in Asia[13]. - The group aims to expand its market share in the primary healthcare sector through its brand DTAP (Dr. Tan & Partners) as demand for healthcare services in Singapore is expected to grow[18]. Expense Management - Employee benefits expenses increased by SGD 1,759,000 or 38.6% to SGD 6,311,000 due to increased staffing for the new treatment centers[27]. - Other operating expenses rose by approximately SGD 458,000 or 18.2% to about SGD 3,000,000, largely driven by increased marketing expenditures[31]. - The group will continue to manage expenses effectively and streamline workflows to improve productivity and ensure financial sustainability[13]. Corporate Governance - The board of directors experienced changes, with Mr. Liu Wei Hung replacing Mr. Leung Ho Shan as the chairman of the audit committee[14]. - The company has a strong management team with extensive experience in finance and healthcare sectors[75]. - The board of directors consists of four members, with independent non-executive directors making up over 50% of the board[155]. - All independent non-executive directors confirmed their independence in accordance with GEM listing rules, ensuring compliance with the requirement for independent oversight[156]. - The company has implemented a fair disclosure policy to ensure compliance with GEM listing rules and has strict measures against unauthorized use of confidential information[200]. Shareholder Information - As of December 31, 2020, the total number of shares issued by the company was 520,000,000[129]. - Dr. Chen holds 390,000,000 shares, representing 75% of the company's issued shares[128]. - Cher Sen Holdings Limited, fully owned by Dr. Chen, is the direct shareholder of the company with 390,000,000 shares[131]. - The company maintains sufficient public float, with at least 25% of its issued shares held by the public as per GEM listing rules[134]. Risk Management - The company has established policies and procedures for risk management and internal controls, ensuring the effectiveness of these systems[195]. - The board of directors is responsible for overseeing the risk management and internal control systems, which are deemed adequate and effective for the review period[195]. - The company has a structured approach to managing risks associated with its daily operations, with management identifying risks for board review[195]. Audit and Compliance - The audit committee, consisting of three independent non-executive directors, reviewed the annual audited consolidated financial statements and deemed them to be properly prepared in accordance with applicable accounting standards and GEM listing rules[145]. - Baker Tilly TFW LLP was appointed as the independent auditor for the fiscal year ending December 31, 2018, and will be proposed for reappointment at the 2021 annual general meeting[147]. - The total remuneration for the independent auditor for the year ended December 31, 2020, was SGD 140,000 for audit services[191]. - The company has complied with all relevant laws and regulations without any major violations during the year[138].

[2020 Financial Highlights (Unaudited)](index=4&type=section&id=2020%E5%B9%B4%E8%B2%A1%E5%8B%99%E6%91%98%E8%A6%81%EF%BC%88%E6%9C%AA%E7%B6%93%E5%AF%A9%E6%A0%B8%EF%BC%89) The group's unaudited financial performance for the nine months ended September 30, 2020, shows a slight revenue decrease but a significant net profit decline due to increased employee benefits - Revenue for the nine months ended September 30, 2020, was approximately **SGD 9.6 million**, a decrease of approximately **1.7%** compared to the same period last year[6](index=6&type=chunk) - Gross profit was approximately **SGD 6.8 million**, remaining consistent with approximately **SGD 6.9 million** in the prior year period[7](index=7&type=chunk) - Net profit after tax was approximately **SGD 0.3 million**, a decrease of approximately **75.7%** from approximately **SGD 1.3 million** in the prior year period, primarily due to a **25.1%** increase in employee benefits expenses to **SGD 4.0 million**[7](index=7&type=chunk) - The Board of Directors resolved not to declare any dividend for the period (prior year period: nil)[8](index=8&type=chunk) [Unaudited Condensed Consolidated Statement of Profit or Loss and Other Comprehensive Income](index=5&type=section&id=%E6%9C%AA%E7%B6%93%E5%AF%A9%E6%A0%B8%E7%B0%A1%E6%98%8E%E7%B6%9C%E5%90%88%E6%90%8D%E7%9B%8A%E5%8F%8A%E5%85%B6%E4%BB%96%E5%85%A8%E9%9D%A2%E6%94%B6%E7%9B%8A%E8%A1%A8) This statement presents the unaudited consolidated financial performance, including revenue, expenses, and net profit, for the three and nine months ended September 30, 2020 and 2019 Condensed Consolidated Statement of Profit or Loss and Other Comprehensive Income (Unaudited) | Indicator | Three Months Ended Sep 30 (2020) (SGD) | Three Months Ended Sep 30 (2019) (SGD) | Nine Months Ended Sep 30 (2020) (SGD) | Nine Months Ended Sep 30 (2019) (SGD) | | :--- | :--- | :--- | :--- | :--- | | Revenue | 4,062,421 | 3,530,132 | 9,615,431 | 9,780,985 | | Other income | — | 38,351 | 196,057 | 58,730 | | Consumables and medical supplies used | (993,361) | (455,880) | (2,217,102) | (1,947,100) | | Medical professional costs | (261,298) | (106,660) | (603,039) | (931,960) | | Employee benefits expenses | (1,241,794) | (1,249,856) | (4,038,250) | (3,228,895) | | Depreciation of plant and equipment | (50,520) | (43,099) | (267,974) | (269,925) | | Depreciation of right-of-use assets | (28,193) | — | (462,739) | — | | Interest expense on lease liabilities | (23,963) | — | (81,858) | — | | Other operating expenses | (492,910) | (734,765) | (1,503,281) | (1,855,428) | | Profit before income tax | 970,382 | 978,223 | 637,245 | 1,606,407 | | Income tax expense | (75,000) | (263,547) | (318,607) | (334,847) | | Profit and total comprehensive income for the period attributable to owners of the Company | 895,382 | 714,676 | 309,442 | 1,271,560 | | Basic and diluted earnings per share (SGD Cents per share) | 0.17 | 0.14 | 0.06 | 0.24 | [Unaudited Condensed Consolidated Statement of Changes in Equity](index=6&type=section&id=%E6%9C%AA%E7%B6%93%E5%AF%A9%E6%A0%B8%E7%B0%A1%E6%98%8E%E7%B6%9C%E5%90%88%E6%AC%8A%E7%9B%8A%E8%AE%8A%E5%8B%95%E8%A1%A8) This statement details the changes in the group's equity components, including share capital, reserves, and retained earnings, for the periods ended September 30, 2019 and 2020 Condensed Consolidated Statement of Changes in Equity (Unaudited) | Item | Share Capital (SGD) | Share Premium (SGD) | Other Reserves (SGD) | Exchange Reserve (SGD) | Retained Earnings (SGD) | Total (SGD) | Non-controlling Interests (SGD) | Total Equity (SGD) | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Balance at January 1, 2019 | 896,552 | 10,710,421 | 420,000 | – | 547,801 | 12,574,774 | (160) | 12,574,614 | | Profit for the financial period | – | – | – | – | 1,271,560 | 1,271,560 | – | 1,271,560 | | Balance at September 30, 2019 | 896,552 | 10,710,421 | 420,000 | – | 1,819,361 | 13,846,334 | (160) | 13,846,174 | | Balance at January 1, 2020 | 896,552 | 10,710,421 | 420,000 | – | 1,185,208 | 13,212,181 | – | 13,212,181 | | Profit for the financial period | – | – | – | – | 318,638 | 318,638 | – | 318,638 | | Other comprehensive income | – | – | – | (9,196) | – | (9,196) | – | (9,196) | | Balance at September 30, 2020 | 896,552 | 10,710,421 | 420,000 | (9,196) | 1,503,846 | 13,521,623 | – | 13,521,623 | - Other reserves as of September 30, 2020, represent the difference between the consideration paid by the Company and the share capital of several subsidiaries[11](index=11&type=chunk) [Notes to the Unaudited Condensed Consolidated Financial Statements](index=7&type=section&id=%E6%9C%AA%E7%B6%93%E5%AF%A9%E6%A0%B8%E7%B0%A1%E6%98%8E%E7%B6%9C%E5%90%88%E8%B2%A1%E5%8B%99%E5%A0%B1%E8%A1%A8%E9%99%84%E8%A8%BB) This section provides detailed notes on the group's financial statements, covering general information, accounting policies, revenue breakdown, taxation, and earnings per share [1.1 General Information and Reorganization](index=7&type=section&id=1%20%E4%B8%80%E8%88%AC%E8%B3%87%E6%96%99%E5%8F%8A%E9%87%8D%E7%B5%84) The company, an investment holding company incorporated in the Cayman Islands, operates medical clinics in Singapore and provides management consulting services, listed on HKEX GEM in 2018, and underwent common control transactions involving clinic acquisitions during the period - The Company was incorporated in the Cayman Islands on January 3, 2018, primarily engaged in operating medical clinics and providing management consulting services in Singapore[13](index=13&type=chunk) - The Company's shares were listed on GEM of The Stock Exchange of Hong Kong Limited on June 15, 2018[13](index=13&type=chunk) - On January 1, 2019, and July 1, 2019, several entities within the Group engaged in common control transactions involving the acquisition of clinics[14](index=14&type=chunk) - On April 1, 2020, DCPL and SACPL acquired several clinics, which were also classified as common control transactions[15](index=15&type=chunk) [1.2 Basis of Presentation and Accounting Policies](index=8&type=section&id=2%20%E5%91%88%E5%88%97%E5%9F%BA%E6%BA%96%E5%8F%8A%E6%9C%83%E8%A8%88%E6%94%BF%E7%AD%96) The unaudited condensed consolidated financial statements are prepared in accordance with IFRS and GEM Listing Rules, using consistent accounting policies with 2019 audited statements, with no significant impact from new standards, and have been reviewed by the audit committee - The unaudited condensed consolidated financial statements have been prepared in accordance with all applicable International Financial Reporting Standards ("IFRS") issued by the International Accounting Standards Board and the applicable disclosure provisions of the GEM Listing Rules[16](index=16&type=chunk) - The accounting policies and methods of computation used in preparing these statements are the same as those adopted in the preparation of the 2019 audited consolidated financial statements[16](index=16&type=chunk) - The adoption of all IFRS effective for accounting periods beginning on January 1, 2020, did not result in changes to the Group's accounting policies and had no significant impact on the reported amounts[16](index=16&type=chunk) - These unaudited condensed consolidated financial statements have been reviewed by the Board's Audit Committee[18](index=18&type=chunk) [1.3 Revenue](index=9&type=section&id=3%20%E6%94%B6%E7%9B%8A) The group's revenue primarily derives from medical services, including treatment, medical examination, and consultation services, with treatment services contributing the largest share at 64.7% for the nine months ended September 30, 2020 Revenue Analysis (by Service Type) | Service Type | Three Months Ended Sep 30 (2020) (SGD) | Three Months Ended Sep 30 (2019) (SGD) | Nine Months Ended Sep 30 (2020) (SGD) | Nine Months Ended Sep 30 (2019) (SGD) | | :--- | :--- | :--- | :--- | :--- | | Treatment services | 2,645,176 | 2,139,711 | 6,221,498 | 5,753,490 | | Medical examination services | 1,049,615 | 1,019,514 | 2,466,083 | 3,040,290 | | Consultation services | 367,630 | 370,907 | 927,850 | 987,205 | | **Total Revenue** | **4,062,421** | **3,530,132** | **9,615,431** | **9,780,985** | [1.4 Income Tax Expense](index=9&type=section&id=4%20%E6%89%80%E5%BE%97%E7%A8%85%E9%96%8B%E6%94%AF) The group's Singapore corporate income tax is accrued at 17% of estimated taxable profit, while entities registered in the British Virgin Islands or Cayman Islands are tax-exempt - Singapore corporate income tax for the nine months ended September 30, 2020, was accrued at **17%** of estimated taxable profit (2019: **17%**)[21](index=21&type=chunk) - Entities incorporated in the British Virgin Islands or Cayman Islands are exempt from taxation[21](index=21&type=chunk) Income Tax Expense | Tax Type | Three Months Ended Sep 30 (2020) (SGD) | Three Months Ended Sep 30 (2019) (SGD) | Nine Months Ended Sep 30 (2020) (SGD) | Nine Months Ended Sep 30 (2019) (SGD) | | :--- | :--- | :--- | :--- | :--- | | Current tax: Singapore profit tax | 75,000 | 263,547 | 309,442 | 334,847 | [1.5 Earnings Per Share](index=10&type=section&id=5%20%E6%AF%8F%E8%82%A1%E7%9B%88%E5%88%A9) Basic earnings per share are calculated by dividing profit attributable to owners by the weighted average number of ordinary shares outstanding; diluted earnings per share are identical as no dilutive ordinary shares existed during the reporting period Earnings Per Share Calculation | Indicator | Three Months Ended Sep 30 (2020) (SGD) | Three Months Ended Sep 30 (2019) (SGD) | Nine Months Ended Sep 30 (2020) (SGD) | Nine Months Ended Sep 30 (2019) (SGD) | | :--- | :--- | :--- | :--- | :--- | | Profit attributable to owners of the Company | 895,382 | 714,676 | 318,638 | 1,271,650 | | Weighted average number of ordinary shares for basic and diluted EPS | 520,000,000 | 520,000,000 | 520,000,000 | 520,000,000 | | Earnings per share (SGD Cents per share) | 0.17 | 0.14 | 0.06 | 0.24 | - Diluted earnings per share are the same as basic earnings per share as there were no dilutive ordinary shares during the relevant period[27](index=27&type=chunk) [Management Discussion and Analysis](index=12&type=section&id=%E7%AE%A1%E7%90%86%E5%B1%A4%E8%A8%8E%E8%AB%96%E5%8F%8A%E5%88%86%E6%9E%90) This section provides an overview of the group's business, financial performance, and future outlook, including the impact of COVID-19 and strategic initiatives [2.1 Business Review](index=12&type=section&id=%E6%A5%AD%E5%8B%99%E5%9B%9E%E9%A1%A7) The group operates as a leading general practitioner network in Singapore under the 'Dr. Tan & Partners' (DTAP) brand, offering diverse medical and aesthetic services, with revenue decreasing by 1.7% to SGD 9.6 million for the nine months ended September 30, 2020 - The Group is a leading general practitioner ("GP") network in Singapore, accredited by the Ministry of Health Singapore, operating under the name "Dr. Tan & Partners" or "DTAP"[29](index=29&type=chunk) - Services include sexual health, men's health, women's health, and aesthetic services[29](index=29&type=chunk) - For the nine months ended September 30, 2020, the Group's revenue decreased by approximately **SGD 0.2 million** or **1.7%** to approximately **SGD 9.6 million** compared to the same period last year[29](index=29&type=chunk) - Revenue from consultation services, medical examination services, and treatment services accounted for approximately **9.7%**, **25.6%**, and **64.7%** of total revenue for the period, respectively[29](index=29&type=chunk) [2.2 Outlook and Prospects](index=12&type=section&id=%E5%B1%95%E6%9C%9B%E5%8F%8A%E5%89%8D%E6%99%AF) Despite COVID-19 uncertainties and increased competition, the group plans to expand market share, enhance the DTAP brand, and strengthen its competitive edge in niche markets, operating 11 clinics as of the reporting date - The COVID-19 pandemic and circuit breaker measures led to a reduction in patients seeking niche services and intensified competition among physical and online peers[30](index=30&type=chunk) - The Group will continue to seek to expand its market share, enhance the DTAP brand and business, and build its reputation, particularly in the medical aesthetics, sexual health, and infectious disease niche markets[30](index=30&type=chunk) - As of the date of this report, the Group operates eight DTAP clinics, one S Aesthetics clinic, one vitiligo, psoriasis, and dermatology clinic, and one self-testing clinic, Dtap Express, totaling **11 clinics**[31](index=31&type=chunk) [2.3 Financial Review](index=13&type=section&id=%E8%B2%A1%E5%8B%99%E5%9B%9E%E9%A1%A7) The group's revenue for the nine months ended September 30, 2020, slightly declined due to COVID-19, but Q3 revenue significantly grew quarter-on-quarter; gross profit remained stable, yet increased employee benefits expenses led to a substantial net profit reduction, though the group achieved profitability in Q3 [2.3.1 Revenue](index=13&type=section&id=%E6%94%B6%E7%9B%8A) The group's clinic count increased from 7 to 10, with revenue for the nine months ended September 30, 2020, decreasing by 1.7% to SGD 9.6 million due to COVID-19, but Q3 revenue grew 92.7% to SGD 4.1 million, indicating economic recovery, with stable consultation revenue, reduced medical examination revenue, and increased treatment revenue - At the end of the period, the Group had **ten clinics**, compared to **seven** in the prior year period[32](index=32&type=chunk) - The Group's revenue decreased by approximately **SGD 0.2 million** or **1.7%** from approximately **SGD 9.8 million** in the prior year period to approximately **SGD 9.6 million** in the current period, primarily due to the COVID-19 outbreak and circuit breaker measures[32](index=32&type=chunk) - For the three months ended September 30, 2020, the Group's revenue increased by **SGD 2.0 million** or **92.7%** to approximately **SGD 4.1 million** compared to the three months ended June 30, 2020[32](index=32&type=chunk) - Revenue from consultation services decreased by approximately **SGD 59,000** from approximately **SGD 987,000** in the prior year period to approximately **SGD 928,000** in the current period, showing no significant change due to a rapid shift to teleconsultations[32](index=32&type=chunk) - Revenue from medical examination services decreased by approximately **SGD 0.5 million** from **SGD 3.0 million** in the prior year period to approximately **SGD 2.5 million** in the current period, mainly due to restrictions on service types available during circuit breaker measures[33](index=33&type=chunk) - Revenue from treatment services increased by approximately **SGD 0.4 million** from approximately **SGD 5.8 million** in the prior year period to approximately **SGD 6.2 million** in the current period, attributed to the gradual resumption of economic and social activities in Singapore[34](index=34&type=chunk) [2.3.2 Gross Profit and Gross Profit Margin](index=14&type=section&id=%E6%AF%9B%E5%88%A9%E5%8F%8A%E6%AF%9B%E5%88%A9%E7%8E%87) The group's gross profit slightly decreased, but its gross profit margin remained consistent with the prior year period - The Group's gross profit decreased by approximately **SGD 0.1 million** from approximately **SGD 6.9 million** in the prior year period to approximately **SGD 6.8 million**[35](index=35&type=chunk) - The Group's gross profit margin remained the same as the prior year period[35](index=35&type=chunk) [2.3.3 Employee Benefits Expenses](index=14&type=section&id=%E5%83%B1%E5%93%A1%E7%A6%8F%E5%88%A9%E9%96%8B%E6%94%AF) Employee benefits expenses significantly increased, primarily due to the recruitment of new doctors, aestheticians, and clinic assistants - Employee benefits expenses increased by approximately **SGD 0.8 million** or **25.1%** from approximately **SGD 3.2 million** in the prior year period to approximately **SGD 4.0 million** in the current period[36](index=36&type=chunk) - This increase was primarily attributable to the recruitment of new doctors, aestheticians, and clinic assistants[36](index=36&type=chunk) [2.3.4 Other Operating Expenses](index=14&type=section&id=%E5%85%B6%E4%BB%96%E7%B6%93%E7%87%9F%E9%96%8B%E6%94%AF) Changes in other operating expenses primarily resulted from the adoption of IFRS 16 Leases, reclassifying operating lease rentals as depreciation - Due to the adoption of IFRS 16 Leases, operating lease rentals for the Group's offices and clinics (classified as other operating expenses) have been reclassified as depreciation compared to the prior year period[37](index=37&type=chunk) [2.3.5 Profit for the Period Attributable to Owners of the Company](index=14&type=section&id=%E6%9C%AC%E5%85%AC%E5%8F%B8%E6%93%81%E6%9C%89%E4%BA%BA%E6%87%89%E4%BD%B5%E6%9C%9F%E9%96%93%E6%BA%A2%E5%88%A9) The group recorded a profit of approximately SGD 0.3 million, a decrease of SGD 1.0 million from the prior year, mainly due to COVID-19 and increased employee benefits expenses; however, the group achieved profitability in Q3 FY2020 as Singapore's economic activities gradually resumed - The Group recorded a profit of approximately **SGD 0.3 million** for the period, a decrease of approximately **SGD 1.0 million** from the profit of approximately **SGD 1.3 million** in the prior year period[38](index=38&type=chunk) - The decrease in profit was primarily due to the COVID-19 outbreak, the implementation of circuit breaker measures, and increased employee benefits expenses[38](index=38&type=chunk) - The Group recorded a profit in the third quarter of FY2020 due to the gradual resumption of economic and social activities in Singapore[38](index=38&type=chunk) [2.4 Dividends](index=15&type=section&id=%E8%82%A1%E6%81%AF) The Board of Directors has resolved not to declare any dividend for the current period, consistent with the prior year period - The Board of Directors resolved not to declare any dividend for the period (prior year period: nil)[40](index=40&type=chunk) [2.5 Employees and Remuneration Policy](index=15&type=section&id=%E5%83%B1%E5%93%A1%E5%8F%8A%E8%96%AA%E9%85%AC%E6%94%BF%E7%AD%96) As of September 30, 2020, the group had 58 full-time employees in Singapore, with remuneration packages including basic salary, discretionary bonuses, and various benefits - As of September 30, 2020, the Group had **58 full-time employees** in Singapore (December 31, 2019: **51 employees**)[41](index=41&type=chunk) - Employee remuneration packages generally include basic salary, discretionary bonuses, and benefits such as annual leave, sick leave, maternity leave, and childcare leave[41](index=41&type=chunk) [2.6 Liquidity, Financial Resources and Fundraising](index=15&type=section&id=%E6%B5%81%E5%8B%95%E8%B3%87%E9%87%91%E3%80%81%E8%B2%A1%E5%8B%99%E8%B3%87%E6%BA%90%E5%8F%8A%E9%9B%86%E8%B3%87) The group primarily funds operations through internally generated cash flow and shareholder contributions; as of September 30, 2020, cash and cash equivalents significantly increased to SGD 12.1 million, with no bank borrowings - The Group primarily funds its operations through internally generated cash flow and contributions from the Company's shareholders[42](index=42&type=chunk) - As of September 30, 2020, cash and cash equivalents were approximately **SGD 12.1 million** (December 31, 2019: **SGD 5.9 million**)[42](index=42&type=chunk) - The Group had no bank borrowings (December 31, 2019: nil)[42](index=42&type=chunk) [2.7 Gearing Ratio](index=15&type=section&id=%E8%B3%87%E6%9C%AC%E8%B2%A0%E5%82%B5%E6%AF%94%E7%8E%87) As of September 30, 2020, the group's gearing ratio decreased to 13.2%, with a reduction in lease liabilities, and expects to further strengthen liquidity through operating cash flow and share offer proceeds - As of September 30, 2020, the Group's gearing ratio was approximately **13.2%** (December 31, 2019: **18.6%**)[43](index=43&type=chunk) - As of September 30, 2020, the Group's lease liabilities were approximately **SGD 1.7 million** (December 31, 2019: **SGD 2.5 million**)[43](index=43&type=chunk) - The Group believes its liquidity position will be further strengthened through cash generated from operating activities and the net proceeds from the share offer[43](index=43&type=chunk) [2.8 Capital Structure](index=16&type=section&id=%E8%B3%87%E6%9C%AC%E6%9E%B6%E6%A7%8B) The group's capital structure comprises share capital, retained earnings, share premium, and other reserves, remaining unchanged since its listing date - The Group's capital structure consists solely of share capital, retained earnings, share premium, and other reserves[44](index=44&type=chunk) - During the period, the Group's capital structure included equity attributable to owners of the Company of approximately **SGD 13.5 million**[44](index=44&type=chunk) - The Group's capital structure has remained unchanged since its listing date[44](index=44&type=chunk) [2.9 Future Material Investments and Plans for Capital Assets](index=16&type=section&id=%E6%9C%AA%E4%BE%86%E9%87%8D%E5%A4%A7%E6%8A%95%E8%B3%87%E5%8F%8A%E8%B3%87%E6%9C%AC%E8%B3%87%E7%94%A2%E8%A8%88%E5%8A%83) The group has no other material investments or plans for capital assets beyond those disclosed in this report - Save as disclosed in this report, the Group has no other material investments or plans for capital assets[45](index=45&type=chunk) [2.10 Material Investments or Material Acquisitions and Disposals](index=16&type=section&id=%E9%87%8D%E5%A4%A7%E6%8A%95%E8%B3%87%E6%88%96%E9%87%8D%E5%A4%A7%E6%94%B6%E8%B3%BC%E5%8F%8A%E5%87%BA%E5%94%AE) During the period, the group did not undertake any material investments, acquisitions, or disposals of subsidiaries, associates, or joint ventures - During the period, the Group did not have any material investments or material acquisitions and disposals of subsidiaries, associates, or joint ventures[46](index=46&type=chunk) [2.11 Commitments and Contingent Liabilities](index=16&type=section&id=%E6%89%BF%E6%93%94%E5%8F%8A%E6%88%96%E7%84%B6%E8%B2%A0%E5%82%B5) As of September 30, 2020, the group had no significant commitments or contingent liabilities - As of September 30, 2020, the Group had no significant commitments or contingent liabilities[47](index=47&type=chunk) [2.12 Treasury Policy](index=16&type=section&id=%E5%BA%AB%E5%8B%99%E6%94%BF%E7%AD%96) Management will continue to prudently manage the group's cash balances and maintain strong liquidity to capitalize on future growth opportunities - Management will continue to follow a prudent policy in managing the Group's cash balances and maintaining strong and healthy liquidity to ensure the Group is prepared to seize future growth opportunities[48](index=48&type=chunk) [2.13 Foreign Exchange Risk](index=17&type=section&id=%E5%A4%96%E5%8C%AF%E9%A2%A8%E9%9A%AA) The group primarily operates and transacts in Singapore Dollars but retains some Hong Kong Dollar-denominated proceeds from its share offer - The Group primarily operates and transacts in Singapore, with the Singapore Dollar being the main functional currency of the Group's operating subsidiaries[50](index=50&type=chunk) - The Group retains certain share offer proceeds denominated in Hong Kong Dollars for operational purposes[50](index=50&type=chunk) [2.14 Pledge of Assets](index=17&type=section&id=%E8%B3%87%E7%94%A2%E6%8A%BC%E8%A8%98) As of September 30, 2020, none of the group's assets were pledged - As of September 30, 2020, none of the Group's assets were pledged[51](index=51&type=chunk) [2.15 Material Events After the Period](index=17&type=section&id=%E6%9C%AC%E6%9C%9F%E9%96%93%E5%BE%8C%E9%87%8D%E5%A4%A7%E4%BA%8B%E4%BB%B6) As of the report date, there have been no material events affecting the group subsequent to the period end - Save as disclosed above, there have been no material events affecting the Group after September 30, 2020, and up to the date of this report[52](index=52&type=chunk) [Corporate Governance and Other Information](index=18&type=section&id=%E4%BC%81%E6%A5%AD%E7%AE%A1%E6%B2%BB%E5%8F%8A%E5%85%B6%E4%BB%96%E8%B3%87%E6%96%99) This section outlines the company's adherence to corporate governance standards, details directors' and major shareholders' interests, and confirms compliance with relevant regulations [3.1 Corporate Governance Practices](index=18&type=section&id=%E4%BC%81%E6%A5%AD%E7%AE%A1%E6%B2%BB%E5%B8%B8%E8%A6%8F) The company is committed to maintaining high corporate governance standards and has complied with all applicable code provisions of the Corporate Governance Code in Appendix 15 of the GEM Listing Rules - The Company has adopted and complied with all applicable code provisions of the Corporate Governance Code as set out in Appendix 15 to the GEM Listing Rules during the period[54](index=54&type=chunk) [3.2 Directors' Securities Transactions](index=18&type=section&id=%E8%91%A3%E4%BA%8B%E9%80%B2%E8%A1%8C%E8%AD%89%E5%88%B8%E4%BA%A4%E6%98%93) The company has adopted a code of conduct for directors' securities transactions no less exacting than the GEM Listing Rules, and all directors confirmed full compliance during the period - The Company has adopted terms no less exacting than the required standard of dealings set out in Rules 5.48 to 5.67 of the GEM Listing Rules as its code of conduct regarding directors' securities transactions[55](index=55&type=chunk) - All Directors have confirmed their full compliance with the required standards set out in the required standard of dealings and the adopted code of conduct during the period[55](index=55&type=chunk) [3.3 Share Option Scheme](index=18&type=section&id=%E8%B3%BC%E8%82%A1%E6%AC%8A%E8%A8%88%E5%8A%83) The company has a share option scheme to attract, retain, and reward eligible individuals; however, no options have been granted, exercised, or cancelled under the scheme since its adoption date up to the report date - The Share Option Scheme was approved and adopted by shareholders on May 18, 2018, to attract, retain, and reward eligible persons[56](index=56&type=chunk) - No share options have been granted or agreed to be granted by the Company under the Share Option Scheme since its adoption date and up to the date of this report[56](index=56&type=chunk) - As of September 30, 2020, there were no outstanding share options[56](index=56&type=chunk) [3.4 Directors' and Chief Executive's Interests and Short Positions in Shares, Underlying Shares and Debentures of the Company and its Associated Corporations](index=19&type=section&id=%E8%91%A3%E4%BA%8B%E5%8F%8A%E6%9C%80%E9%AB%98%E8%A1%8C%E6%94%BF%E4%BA%BA%E5%93%A1%E6%96%BC%E6%9C%AC%E5%85%AC%E5%8F%B8%E5%8F%8A%E5%85%B6%E7%9B%B8%E8%81%AF%E6%B3%95%E5%9C%98%E8%82%A1%E4%BB%BD%E3%80%81%E7%9B%B8%E9%97%9C%E8%82%A1%E4%BB%BD%E5%8F%8A%E5%82%B5%E6%AC%8A%E8%AD%89%E4%B8%AD%E7%9A%84%E6%AC%8A%E7%9B%8A%E5%8F%8A%E6%B7%A1%E5%80%89) As of September 30, 2020, Dr. Tan Cher Sen, Chairman and Executive Director, held 75% of the company's issued shares through Cher Sen Holdings Limited, with no other disclosable interests or short positions for directors or chief executives Directors' and Chief Executive's Long Positions in Shares | Name of Director/Chief Executive | Capacity/Nature of Interest | Number of Shares/Underlying Shares Interested | Percentage of the Company's Issued Shares | | :--- | :--- | :--- | :--- | | Dr. Tan Cher Sen | Interest in controlled corporation | 390,000,000(L) | 75% | - Dr. Tan Cher Sen (Chairman and Executive Director) legally and beneficially owns all issued shares of Cher Sen Holdings Limited and is therefore deemed to be interested in all shares held by Cher Sen[58](index=58&type=chunk) Directors' and Chief Executive's Long Positions in Shares of Associated Corporations | Name of Director/Chief Executive | Name of Associated Corporation | Capacity/Nature of Interest | Number of Shares Held | Percentage of Interest | | :--- | :--- | :--- | :--- | :--- | | Dr. Tan | Cher Sen | Beneficial owner | 50,000 | 100% | [3.5 Substantial Shareholders' and Other Persons' Interests and Short Positions in Shares and Underlying Shares](index=21&type=section&id=%E4%B8%BB%E8%A6%81%E8%82%A1%E6%9D%B1%E5%8F%8A%E5%85%B6%E4%BB%96%E4%BA%BA%E5%A3%AB%E6%96%BC%E8%82%A1%E4%BB%BD%E5%8F%8A%E7%9B%B8%E9%97%9C%E8%82%A1%E4%BB%BD%E4%B8%AD%E7%9A%84%E6%AC%8A%E7%9B%8A%E5%8F%8A%E6%B7%A1%E5%80%89) As of September 30, 2020, Cher Sen Holdings Limited, wholly and beneficially owned by Dr. Tan Cher Sen, was the company's substantial shareholder, holding 75% of the shares, excluding directors and chief executives Substantial Shareholders' Long Positions in Shares | Name of Shareholder | Capacity/Nature of Interest | Number of Shares Held | Percentage of Interest | | :--- | :--- | :--- | :--- | | Cher Sen | Beneficial owner | 390,000,000(L) | 75% | - Cher Sen is a direct shareholder of the Company, **100%** legally and beneficially owned by Dr. Tan[63](index=63&type=chunk) [3.6 Directors' and Controlling Shareholders' Interests in Competing Business](index=22&type=section&id=%E8%91%A3%E4%BA%8B%E5%8F%8A%E6%8E%A7%E8%82%A1%E8%82%A1%E6%9D%B1%E6%96%BC%E7%AB%B6%E7%88%AD%E6%A5%AD%E5%8B%99%E4%B8%AD%E7%9A%84%E6%AC%8A%E7%9B%8A) During the period, no directors, controlling shareholders, or their close associates held any direct or indirect interests in businesses competing with the group, nor were there any other conflicts of interest - During the period, no Directors or controlling shareholders or their respective close associates had any business or interest in any business, other than the Group's business, which competes or is likely to compete, directly or indirectly, with the Group's business[64](index=64&type=chunk) - No other conflicts of interest existed or might exist between any such persons or entities and the Group[64](index=64&type=chunk) [3.7 Compliance Adviser's Interests in the Company](index=22&type=section&id=%E5%90%88%E8%A6%8F%E9%A1%A7%E5%95%8F%E6%96%BC%E6%9C%AC%E5%85%AC%E5%8F%B8%E7%9A%84%E6%AC%8A%E7%9B%8A) As of September 30, 2020, the company's compliance adviser, Ascent Partners Financial Services Limited, and its directors, employees, or close associates had no notifiable interests in the company's or any group member's securities, other than the compliance agreement - As of September 30, 2020, the Company's compliance adviser, Ascent Partners Financial Services Limited, or its directors, employees, or close associates had no interests in the securities of the Company or any member of the Group that were required to be notified to the Company under Rule 6A.32 of the GEM Listing Rules, other than the compliance agreement[65](index=65&type=chunk) [3.8 Purchase, Sale or Redemption of the Company's Listed Securities](index=22&type=section&id=%E8%B3%BC%E8%B2%B7%E3%80%81%E5%87%BA%E5%94%AE%E6%88%96%E8%B4%96%E5%9B%9E%E6%9C%AC%E5%85%AC%E5%8F%B8%E4%B8%8A%E5%B8%82%E8%AD%89%E5%88%B8) During the period, neither the company nor any of its subsidiaries purchased, sold, or redeemed any of its listed securities - During the period, the Company did not redeem any of its listed securities, nor did the Company or any of its subsidiaries purchase or sell such securities[66](index=66&type=chunk) [3.9 Review by Audit Committee](index=23&type=section&id=%E5%AF%A9%E8%A8%88%E5%A7%94%E5%93%A1%E6%9C%83%E5%AF%A9%E9%96%B1) The Board's Audit Committee, comprising three independent non-executive directors, reviewed the unaudited condensed consolidated financial statements and this report, confirming their preparation in compliance with applicable accounting standards, GEM Listing Rules, and other legal requirements, with sufficient disclosures - The Audit Committee consists of **three independent non-executive Directors**, with Mr. Lau Wai Hung as Chairman[68](index=68&type=chunk) - The Audit Committee has reviewed the unaudited condensed consolidated financial statements and this report and is of the opinion that they have been prepared in accordance with applicable accounting standards, the GEM Listing Rules, and other legal requirements, and that adequate disclosures have been made[68](index=68&type=chunk)

[Company Information](index=4&type=section&id=Company%20Information) [Financial Statements and Summary](index=6&type=section&id=Financial%20Statements%20and%20Summary) [2020 Financial Highlights](index=6&type=section&id=2020%20Financial%20Highlights%20(Unaudited)) In H1 2020, the company's total revenue decreased by 11.2% to SGD 5.6 million due to COVID-19 and Singapore's 'circuit breaker' measures, primarily from reduced medical examination services, resulting in a net loss of approximately SGD 0.5 million despite a slight gross profit increase Key Financial Indicators for H1 2020 | Indicator | For the six months ended June 30 | Year-on-Year Change | | :--- | :--- | :--- | | **Revenue** | 5.6 SGD million | -11.2% | | **Gross Profit** | 4.0 SGD million | +1.4% | | **Net (Loss)/Profit After Tax** | (0.5) SGD million | Shift from profit to loss | | **Interim Dividend** | None | No change | - The decline in revenue was primarily due to the COVID-19 pandemic and Singapore's 'circuit breaker' measures, which reduced revenue from medical examination services from **SGD 2.0 million** in the prior period to **SGD 1.4 million**[10](index=10&type=chunk) - The net loss was mainly attributed to a **41.3% year-on-year increase** in employee benefits expenses (approximately **SGD 0.8 million**) for planned DTAP clinic expansion, alongside operational challenges posed by the pandemic[11](index=11&type=chunk) [Unaudited Condensed Consolidated Statement of Profit or Loss and Other Comprehensive Income](index=7&type=section&id=Unaudited%20Condensed%20Consolidated%20Statement%20of%20Profit%20or%20Loss%20and%20Other%20Comprehensive%20Income) For the six months ended June 30, 2020, the company reported a net loss of SGD 0.577 million, a shift from a net profit of SGD 0.557 million in the prior year, primarily due to decreased revenue and increased employee benefits expenses Condensed Consolidated Statement of Profit or Loss (For the six months ended June 30) | Item | 2020 (Unaudited) | 2019 (Unaudited) | | :--- | :--- | :--- | | Revenue | 5,553,010 SGD | 6,250,853 SGD | | Employee Benefits Expenses | (2,796,456) SGD | (1,979,039) SGD | | Loss/Profit Before Income Tax | (333,137) SGD | 628,184 SGD | | **Net Loss/Profit for the Period** | **(576,744) SGD** | **556,884 SGD** | | **Basic and Diluted Loss/Earnings Per Share** | **(0.11) Singapore cents** | **0.11 Singapore cents** | [Unaudited Condensed Consolidated Statement of Financial Position](index=8&type=section&id=Unaudited%20Condensed%20Consolidated%20Statement%20of%20Financial%20Position) As of June 30, 2020, total assets decreased to SGD 17.32 million from SGD 18.63 million at year-end 2019, with total liabilities decreasing to SGD 4.70 million and net assets at SGD 12.63 million Summary of Condensed Consolidated Statement of Financial Position | Item | June 30, 2020 (Unaudited) | December 31, 2019 (Audited) | | :--- | :--- | :--- | | Total Assets | 17,324,626 SGD | 18,634,142 SGD | | Total Liabilities | 4,698,385 SGD | 5,421,961 SGD | | **Net Assets** | **12,626,241 SGD** | **13,212,181 SGD** | | Cash and Cash Equivalents | 12,073,172 SGD | 5,910,074 SGD | [Unaudited Condensed Consolidated Statement of Changes in Equity](index=10&type=section&id=Unaudited%20Condensed%20Consolidated%20Statement%20of%20Changes%20in%20Equity) As of June 30, 2020, total equity decreased from SGD 13.21 million at the beginning of the year to SGD 12.63 million, primarily due to a SGD 0.577 million loss and SGD 0.009 million exchange loss during the period - Total equity attributable to owners of the company decreased from **SGD 13,212,181** at the beginning of 2020 to **SGD 12,626,241** at the end of the period[17](index=17&type=chunk) - The decrease in equity was primarily due to a loss of **SGD 576,744** and an other comprehensive income loss (exchange differences) of **SGD 9,196** recorded during the fiscal period[17](index=17&type=chunk) [Unaudited Condensed Consolidated Statement of Cash Flows](index=11&type=section&id=Unaudited%20Condensed%20Consolidated%20Statement%20of%20Cash%20Flows) In H1 2020, net cash outflow from operating activities was SGD 0.755 million, while investing activities generated SGD 7.77 million net cash inflow, primarily from maturing financial assets, increasing period-end cash and cash equivalents to SGD 12.07 million Summary of Condensed Consolidated Statement of Cash Flows (For the six months ended June 30) | Item | 2020 (Unaudited) | 2019 (Unaudited) | | :--- | :--- | :--- | | Net Cash (Used in)/From Operating Activities | (755,041) SGD | 1,436,291 SGD | | Net Cash From/(Used in) Investing Activities | 7,769,848 SGD | (280,609) SGD | | Net Cash Used in Financing Activities | (851,711) SGD | – | | **Cash and Cash Equivalents at End of Period** | **12,073,170 SGD** | **13,526,025 SGD** | [Notes to the Unaudited Condensed Consolidated Financial Statements](index=12&type=section&id=Notes%20to%20the%20Unaudited%20Condensed%20Consolidated%20Financial%20Statements) [1 General Information and Reorganization](index=12&type=section&id=1%20General%20Information%20and%20Reorganization) The company, an investment holding company registered in Cayman Islands, primarily operates medical clinics in Singapore and listed on HK GEM in 2018, undergoing internal business reorganization during the reporting period involving clinic acquisitions treated as common control business combinations - The Group primarily operates medical clinics and provides management consultancy services in Singapore[21](index=21&type=chunk) - On April 1, 2020, the Group completed several internal acquisitions of clinic businesses, which were accounted for as common control business combinations[23](index=23&type=chunk) [2 Basis of Presentation and Accounting Policies](index=13&type=section&id=2%20Basis%20of%20Presentation%20and%20Accounting%20Policies) These unaudited condensed consolidated financial statements are prepared in accordance with IFRS, applying consistent accounting policies as the 2019 audited statements, with no significant impact from new standards, and Singapore Dollars as the functional and presentation currency - The unaudited condensed consolidated financial statements have been prepared in accordance with all applicable International Financial Reporting Standards (IFRS) and the disclosure requirements of the GEM Listing Rules[24](index=24&type=chunk) - The Group's functional and presentation currency is the Singapore Dollar[26](index=26&type=chunk) [3 Revenue](index=19&type=section&id=3%20Revenue) Total revenue for H1 2020 was SGD 5.55 million, a 11.2% year-on-year decrease, primarily driven by a significant decline in medical examination services revenue from SGD 2.02 million to SGD 1.42 million Revenue Analysis by Business Activity (For the six months ended June 30) | Type of Medical Service | 2020 (Unaudited) | 2019 (Unaudited) | Year-on-Year Change | | :--- | :--- | :--- | :--- | | Treatment Services | 3,576,321 SGD | 3,613,779 SGD | -1.0% | | Medical Examination Services | 1,416,469 SGD | 2,020,776 SGD | -29.9% | | Consultation Services | 560,220 SGD | 616,298 SGD | -9.1% | | **Total** | **5,553,010 SGD** | **6,250,853 SGD** | **-11.2%** | [4 Income Tax Expense](index=20&type=section&id=4%20Income%20Tax%20Expense) For the six months ended June 30, 2020, the Group's current income tax expense was SGD 0.244 million, an increase from SGD 0.071 million in the prior year, with Singapore corporate income tax rate at 17% - Current Singapore income tax for the six months ended June 30, 2020, was **SGD 243,607**, compared to **SGD 71,300** for the same period in 2019[49](index=49&type=chunk) [5 Loss/Earnings Per Share](index=21&type=section&id=5%20Loss%2FEarnings%20Per%20Share) For the six months ended June 30, 2020, basic and diluted loss per share was 0.11 Singapore cents, a shift from earnings per share of 0.11 Singapore cents in the prior year, calculated based on 520 million weighted average ordinary shares Loss/Earnings Per Share Calculation | Item | For the six months ended June 30 (2020) | For the six months ended June 30 (2019) | | :--- | :--- | :--- | | (Loss)/Profit Attributable to Owners of the Company | (585,940) SGD | 556,884 SGD | | Weighted Average Number of Ordinary Shares | 520,000,000 | 520,000,000 | | **Loss/Earnings Per Share (Singapore cents)** | **(0.11)** | **0.11** | [Notes to Key Financial Statement Items](index=22&type=section&id=Notes%20to%20Key%20Financial%20Statement%20Items) This section details changes in key balance sheet items, including property, plant and equipment, right-of-use assets, receivables, payables, and cash [6 Property, Plant and Equipment](index=22&type=section&id=6%20Property%2C%20Plant%20and%20Equipment) As of June 30, 2020, the net book value of property, plant and equipment decreased to SGD 0.558 million from SGD 0.695 million at the beginning of the year, primarily due to SGD 0.217 million in depreciation during the period - As of June 30, 2020, the net book value of property, plant and equipment was **SGD 558,398**, lower than **SGD 694,504** at the beginning of 2020[55](index=55&type=chunk)[57](index=57&type=chunk) [7 Right-of-Use Assets and Lease Liabilities](index=24&type=section&id=7%20Right-of-Use%20Assets%20and%20Lease%20Liabilities) As of June 30, 2020, right-of-use assets had a book value of SGD 1.93 million and lease liabilities were SGD 1.77 million, primarily related to the Group's leased office and clinic units - As of June 30, 2020, the book value of right-of-use assets was **SGD 1,928,952**, and the book value of lease liabilities was **SGD 1,772,129**[59](index=59&type=chunk) [8 Trade and Other Receivables](index=26&type=section&id=8%20Trade%20and%20Other%20Receivables) Trade receivables increased from SGD 0.094 million at the beginning of the year to SGD 0.126 million, while current deposits, prepayments, and other receivables significantly rose from SGD 0.765 million to SGD 2.02 million - Trade receivables increased from **SGD 94,082** at the end of 2019 to **SGD 125,800** as of June 30, 2020[60](index=60&type=chunk) [12 Cash and Cash Equivalents](index=28&type=section&id=12%20Cash%20and%20Cash%20Equivalents) As of June 30, 2020, total cash and cash equivalents significantly increased to SGD 12.07 million from SGD 5.91 million at the end of 2019 - Cash and cash equivalents significantly increased from **SGD 5,910,074** at the end of 2019 to **SGD 12,073,172** as of June 30, 2020[65](index=65&type=chunk) [14 Trade and Other Payables](index=29&type=section&id=14%20Trade%20and%20Other%20Payables) Trade payables increased from SGD 0.795 million at the beginning of the year to SGD 0.857 million, while accrued expenses and other payables rose from SGD 0.706 million to SGD 0.861 million - Trade payables increased from **SGD 794,940** at the end of 2019 to **SGD 857,350** as of June 30, 2020[68](index=68&type=chunk) [Share Capital and Dividends](index=30&type=section&id=16%20Equity%20%26%2017%20Dividends) As of June 30, 2020, the company had 520 million issued ordinary shares with a share capital of SGD 0.897 million, and the Board resolved not to declare an interim dividend for the period - As of June 30, 2020, the company had **520,000,000** issued and fully paid ordinary shares[70](index=70&type=chunk) - The Board has resolved not to declare an interim dividend for the period, consistent with the prior year[71](index=71&type=chunk) [18 Related Party Transactions](index=30&type=section&id=18%20Related%20Party%20Transactions) During the reporting period, total remuneration paid to key management significantly increased to SGD 0.301 million from SGD 0.170 million in the prior year, primarily due to higher salaries, allowances, and benefits in kind Key Management Remuneration (For the six months ended June 30) | Item | 2020 (Unaudited) | 2019 (Unaudited) | | :--- | :--- | :--- | | Salaries, Allowances and Benefits in Kind | 217,609 SGD | 77,652 SGD | | Directors' Fees | 72,000 SGD | 82,033 SGD | | Contributions to Defined Contribution Plans | 11,278 SGD | 9,860 SGD | | **Total** | **300,887 SGD** | **169,545 SGD** | [Management Discussion and Analysis](index=32&type=section&id=Management%20Discussion%20and%20Analysis) [Business Review and Outlook](index=32&type=section&id=Business%20Review%20and%20Outlook) The company, a leading general medical network in Singapore operating under the 'DTAP' brand, experienced an 11.2% year-on-year revenue decline in H1 2020 due to COVID-19 'circuit breaker' measures, but plans to expand market share and strengthen its brand despite ongoing pandemic uncertainties - Revenue for H1 2020 decreased by **11.2%** year-on-year to approximately **SGD 5.6 million**, primarily impacted by the COVID-19 pandemic and 'circuit breaker' measures in Singapore[77](index=77&type=chunk) - Looking ahead, the pandemic outbreak presents uncertainties and operational challenges for clinics, but the Group will continue to seek market share expansion and enhance the DTAP brand and business[78](index=78&type=chunk) - As of the reporting date, the Group operates **9** clinics, with another one awaiting approval from the Ministry of Health[80](index=80&type=chunk) [Financial Review](index=33&type=section&id=Financial%20Review) H1 2020 revenue decreased by 11.2% to SGD 5.6 million due to reduced medical examination services, while gross profit margin improved from 62.9% to 71.8% as high-cost services declined, but a 41.3% increase in employee benefits expenses for planned expansion led to a net loss of approximately SGD 0.6 million - Revenue decreased by **11.2%** from **SGD 6.3 million** in the prior period to **SGD 5.6 million** in the current period, primarily due to the impact of COVID-19 and 'circuit breaker' measures[81](index=81&type=chunk) - Gross profit margin increased from **62.9%** in the prior period to **71.8%** in the current period, mainly due to a **58.6%** significant reduction in medical professional costs resulting from changes in service mix[83](index=83&type=chunk) - Employee benefits expenses increased by **41.3%** year-on-year (approximately **SGD 0.8 million**), primarily attributed to the recruitment of new staff for the planned expansion of DTAP clinics[84](index=84&type=chunk) - The period recorded a loss of approximately **SGD 0.6 million**, compared to a profit of approximately **SGD 0.6 million** in the prior period, mainly due to pandemic challenges and increased employee benefits expenses[87](index=87&type=chunk) [Liquidity and Capital Resources](index=35&type=section&id=Liquidity%2C%20Financial%20Resources%20and%20Fundraising) The company's working capital is primarily derived from internal cash flow, with cash and cash equivalents of approximately SGD 12.1 million and no bank borrowings as of June 30, 2020, resulting in a decrease in the capital gearing ratio from 18.6% to 14.0% Liquidity and Capital Gearing Ratio | Indicator | June 30, 2020 | December 31, 2019 | | :--- | :--- | :--- | | Cash and Cash Equivalents | 12.1 SGD million | 5.9 SGD million | | Bank Borrowings | None | None | | Capital Gearing Ratio | 14.0% | 18.6% | [Use of Proceeds](index=38&type=section&id=Use%20of%20Proceeds) Of the approximately SGD 9.1 million net proceeds from the company's listing, SGD 2.14 million had been utilized as of June 30, 2020, with some expansion plans, such as new 'DTAP' and 'SA' clinics, delayed due to the pandemic and market conditions Use of Net Proceeds from Listing (As of June 30, 2020) | Purpose | Net Proceeds from Listing (SGD thousands) | Amount Utilized (SGD thousands) | Balance (SGD thousands) | | :--- | :--- | :--- | :--- | | Expansion of DTAP Clinic Network | 2,600 | 572 | 2,028 | | Establishment of New SA Clinics | 1,400 | 173 | 1,227 | | Attracting and Retaining Talent | 4,300 | 1,091 | 3,209 | | Enhancing IT Infrastructure | 600 | 205 | 395 | | Establishing Central Pharmacy | 100 | – | 100 | | General Working Capital | 100 | 100 | – | | **Total** | **9,100** | **2,141** | **6,959** | - Plans to open new 'DTAP' clinics were postponed due to availability of leased space, while plans for new 'SA' clinics were delayed until H2 2022 due to market saturation in Singapore's aesthetic clinic sector[108](index=108&type=chunk) [Corporate Governance and Other Information](index=42&type=section&id=Corporate%20Governance%20and%20Other%20Information) [Corporate Governance Practices](index=42&type=section&id=Corporate%20Governance%20Practices) The company complied with all applicable provisions of the GEM Listing Rules' Corporate Governance Code during the reporting period, adopted a code of conduct for directors' securities transactions, and confirmed no share options have been granted since the adoption of the share option scheme - The company has adopted and complied with all applicable code provisions of the Corporate Governance Code in Appendix 15 to the GEM Listing Rules during the period[113](index=113&type=chunk) - No share options have been granted or agreed to be granted by the company since the adoption of the share option scheme up to the date of this report[115](index=115&type=chunk) [Directors' and Shareholders' Interests](index=43&type=section&id=Directors'%20and%20Chief%20Executive's%20Interests%20and%20Short%20Positions%20in%20Shares%2C%20Underlying%20Shares%20and%20Debentures%20of%20the%20Company%20and%20its%20Associated%20Corporations) As of June 30, 2020, Dr. Chan Cher Sen, Chairman and Executive Director, held 390 million shares, representing 75% of the issued share capital, through his wholly-owned company Cher Sen Holdings Limited, making him the controlling shareholder - Dr. Chan Cher Sen, Chairman and Executive Director, is deemed to have an interest in **390,000,000** shares held by his wholly-owned company, Cher Sen Holdings Limited, representing **75%** of the company's issued shares[117](index=117&type=chunk)[118](index=118&type=chunk) - Cher Sen Holdings Limited, as beneficial owner, holds a long position of **390,000,000** shares in the company, representing **75%**[122](index=122&type=chunk) [Audit Committee Review](index=46&type=section&id=Audit%20Committee%20Review) The Audit Committee, comprising three independent non-executive directors, has reviewed the Group's unaudited condensed consolidated financial statements and this interim report, confirming their preparation in compliance with applicable accounting standards and listing rules, with sufficient disclosures - The Audit Committee, composed of three independent non-executive directors, has reviewed the unaudited condensed consolidated financial statements and this report[129](index=129&type=chunk) - The Audit Committee believes that these statements and the report have been prepared in compliance with applicable accounting standards, GEM Listing Rules, and other legal requirements, with adequate disclosures[129](index=129&type=chunk)

Financial Performance - The company recorded revenue of approximately SGD 3.4 million for the three months ended March 31, 2020, an increase of about 21.1% compared to SGD 2.8 million for the same period in 2019[6]. - Gross profit for the period was approximately SGD 2.5 million, representing a 29.4% increase from SGD 1.9 million in the previous year[6]. - Net profit after tax was approximately SGD 95,000, a decrease from SGD 268,061 in the same period last year, primarily due to an increase in tax expenses of SGD 189,000[7]. - Basic earnings per share decreased from SGD 0.05 to SGD 0.02, with profit attributable to owners of the company falling from SGD 268,221 to SGD 94,609[23]. - The group recorded a profit of approximately SGD 95,000 for the period, a decrease of about SGD 200,000 compared to the profit of approximately SGD 300,000 in Q1 2019[36]. Employee Expenses - Employee benefits expenses increased by approximately 44.9% to about SGD 1.3 million, driven by an increase in the number of employees[6]. - Employee benefits expenses increased by approximately SGD 0.4 million or 44.9% to about SGD 1.3 million, primarily due to the hiring of new doctors and staff[32]. - The group had 53 employees in Singapore as of March 31, 2020, compared to 51 employees as of December 31, 2019[39]. Operating Expenses - Other operating expenses increased by approximately SGD 115,000, mainly due to increased marketing efforts and advertising to enhance market awareness[6]. - Other operating expenses increased by approximately SGD 115,000 due to increased marketing efforts and advertising campaigns to enhance brand awareness[35]. - The company’s operating lease expenses have been impacted by the adoption of IFRS 16, resulting in depreciation being recognized instead of rental expenses[6]. Equity and Cash Position - The total equity attributable to the company’s owners as of March 31, 2020, was SGD 13.3 million, an increase from SGD 12.8 million at the end of the previous year[11]. - As of March 31, 2020, the group's cash and cash equivalents were approximately SGD 12.9 million, up from SGD 5.9 million as of December 31, 2019[40]. - The capital debt ratio as of March 31, 2020, was 17.0%, a decrease from 18.6% as of December 31, 2019[41]. - The group has no bank borrowings as of March 31, 2020[40]. - The group maintains a prudent policy for managing cash reserves to ensure readiness for future growth opportunities[46]. Dividends - The company did not declare any dividends for the period, consistent with the previous year[8]. - The board has resolved not to declare any dividends for the period, consistent with the previous year[38]. Business Expansion - The company is actively expanding its network of medical treatment centers, with recent acquisitions planned for April 2020[15]. - The company operates seven DTAP treatment centers and plans to establish two additional centers post-lockdown[29]. - The company continues to focus on expanding market share and enhancing brand reputation in the healthcare sector despite challenges posed by COVID-19[28]. Compliance and Governance - The audit committee, consisting of three independent non-executive directors, reviewed the unaudited condensed consolidated financial statements and confirmed compliance with applicable accounting standards and GEM listing rules[65]. - The company has established an audit committee in accordance with corporate governance code provisions and GEM listing rules[65]. - The chairman and executive director is Dr. Chen Zhi Xian, with the financial director being Mr. Zhuo Han Wen[66]. - The company has disclosed that there are no conflicts of interest with any directors or controlling shareholders[61]. - The report was dated May 8, 2020, indicating the company's ongoing commitment to transparency and compliance[66]. Tax Expenses - The company reported a current tax expense of SGD 243,607 for the first quarter of 2020, compared to SGD 54,903 in the same period last year[21]. Revenue Composition - Treatment services accounted for approximately 64.5% of total revenue, while medical examination services and consultation services contributed 25.8% and 9.7%, respectively[27]. Accounting Policies - The company has maintained its accounting policies consistent with those used in the preparation of the audited financial statements for 2019[19]. - The company has not experienced significant changes in accounting policies due to the adoption of new or revised International Financial Reporting Standards[19]. Shareholding and Securities - As of March 31, 2020, Cher Sen holds 390,000,000 shares, representing 75% of the total issued shares of 520,000,000[63]. - The company did not redeem any of its listed securities during the period, nor did it or any of its subsidiaries purchase or sell such securities[64]. - There were no other entities, aside from those disclosed, that held interests in the company's shares as of March 31, 2020[60]. - The compliance advisor, Tian Tai Financial Services Limited, reported no interests in the company's securities as of March 31, 2020[62]. - The company has not reported any interests from directors or controlling shareholders in competing businesses during the period[61].

Financial Performance - The group recorded a revenue increase of 29.2%, rising from approximately SGD 10.4 million in the fiscal year 2018 to about SGD 13.5 million in the fiscal year 2019[9]. - The profit for the fiscal year 2019 was approximately SGD 0.6 million, compared to a loss of SGD 0.7 million in the fiscal year 2018[9]. - The total revenue for the year was approximately SGD 13,462,000, an increase of about SGD 3,041,000 or 29.2% compared to SGD 10,421,000 in the 2018 fiscal year[15]. - Revenue from consultation services, medical examination services, and treatment services were approximately SGD 1.355 million, SGD 4.040 million, and SGD 8.067 million, respectively, accounting for 10.1%, 30.0%, and 59.9% of total revenue[14]. - Revenue from diagnostic services increased from approximately SGD 1,057,000 in 2018 to SGD 1,356,000 in the current year, a rise of about SGD 299,000[17]. - Revenue from medical examination services rose from approximately SGD 3,017,000 in 2018 to SGD 4,040,000, an increase of about SGD 1,023,000, maintaining a contribution percentage of around 30.0%[17]. - Revenue from treatment services grew from approximately SGD 6,263,000 in 2018 to SGD 8,067,000, an increase of about SGD 1,804,000, with a stable contribution percentage of approximately 59.9%[17]. - The company recorded a profit of approximately SGD 638,000 for the year, an increase of about SGD 1.4 million compared to a loss of approximately SGD 731,000 in the 2018 fiscal year[31]. - The income tax expense for the year was approximately SGD 462,000, compared to SGD 87,000 in the 2018 fiscal year[29]. Operational Developments - The company plans to establish three new consultation centers in the fiscal year 2020, currently under renovation[10]. - The company operates a network of seven DTAP consultation centers and one SA consultation center as of the report date[10]. - The group expects a challenging and competitive business environment moving forward[10]. - The company aims to expand market share and enhance the Dr. Tan & Partners brand reputation in the healthcare services industry in Singapore[14]. - The group will continue to manage expenses, particularly labor costs, by upgrading and utilizing technology[10]. Employee and Labor Costs - Employee benefits expenses increased by SGD 893,000 or 24.4% to SGD 4,552,000 due to an increase in the number of employees[22]. - The total number of employees increased from 33 in 2018 to 51 in 2019[23]. - Employee costs for the year were approximately SGD 4.6 million, up from SGD 3.7 million in the fiscal year 2018, with a total of 51 employees as of December 31, 2019[43]. Financial Position - Total equity of the group as of December 31, 2019, was approximately SGD 13.2 million, an increase from SGD 12.6 million in the fiscal year 2018[34]. - Cash and bank balances as of December 31, 2019, were approximately SGD 5.9 million, down from SGD 12.4 million in the fiscal year 2018[34]. - Net cash generated from operating activities was approximately SGD 2.7 million, compared to a net cash outflow of SGD 0.3 million in the fiscal year 2018[34]. - The group's capital debt ratio as of December 31, 2019, was 18.6%, a significant increase from 0.0% in the fiscal year 2018[34]. Corporate Governance - The company is committed to maintaining high standards of accountability and ethical conduct in its operations[69]. - The board includes independent non-executive directors with extensive experience in finance and auditing, enhancing corporate governance[69][70]. - The company has adopted and complied with all applicable corporate governance code provisions as per the GEM listing rules for the year ending December 31, 2019[150]. - The company has established a strong internal control and risk management framework to ensure effective accountability[149]. - The company has confirmed that all directors have complied with the trading code as per GEM listing rules during the year[151]. Shareholder Information - The company did not declare a final dividend for the year[33]. - The group did not declare any dividends for the current year, consistent with the previous year[87]. - As of December 31, 2019, the group had no distributable reserves, unchanged from 2018[97]. - The next annual general meeting is scheduled for June 26, 2020, with a suspension of share transfer registration from June 22 to June 26, 2020[88]. Strategic Initiatives - The company aims to expand its market presence and enhance its operational efficiency through strategic initiatives[81]. - The company spent SGD 2.6 million to strategically expand and consolidate the DTAP treatment center network, with SGD 497,000 already utilized by the first half of 2021[54]. - A total of SGD 4.3 million was allocated for the continuous recruitment and retention of doctors and staff, with SGD 1.091 million utilized by the second half of 2021[54]. - The company invested SGD 600,000 to enhance and improve its IT infrastructure, with SGD 176,000 spent by the second half of 2020[54]. Compliance and Legal Matters - The company has confirmed compliance with non-competition agreements by all controlled persons during the year[118]. - The company has not disclosed any significant events that require disclosure after December 31, 2019, up to the date of the report[142]. - The company has complied with all relevant laws and regulations affecting its business operations during the year, with no significant violations reported[138]. Audit and Financial Reporting - The audit committee has reviewed the audited consolidated financial statements for the year and confirmed they were prepared in accordance with applicable accounting standards and GEM listing rules[146]. - Baker Tilly TFW LLP has been appointed as the independent auditor for the company, succeeding PwC, and will be proposed for reappointment at the 2020 annual general meeting[147]. - The external auditor's fees for the year ending December 31, 2019, amounted to SGD 120,000 for audit services, with no fees for non-audit services[191].

[Financial and Operating Highlights](index=4&type=section&id=Financial%20and%20Operating%20Highlights) [2019 Third Quarter Financial Highlights](index=4&type=section&id=2019%E5%B9%B4%E8%B2%A1%E5%8B%99%E6%91%98%E8%A6%81%EF%BC%88%E6%9C%AA%E7%B6%93%E5%AF%A9%E6%A0%B8%EF%BC%89) For the nine months ended September 30, 2019, the Group achieved significant growth in revenue and gross profit, successfully returning to profitability, primarily due to the absence of one-off non-recurring listing expenses incurred in the prior year period, with no interim dividend declared by the Board 2019 Nine-Month Financial Summary | Metric | Nine Months Ended Sep 30, 2019 | Nine Months Ended Sep 30, 2018 | Year-on-Year Change | | :--- | :--- | :--- | :--- | | Revenue | 9.8 million Singapore Dollars | 7.6 million Singapore Dollars | +28.9% | | Gross Profit | 6.9 million Singapore Dollars | 5.1 million Singapore Dollars | +35.3% | | Profit/(Loss) After Tax | 1.3 million Singapore Dollars | (0.9) million Singapore Dollars | Returned to Profitability | | Dividend | None | None | - | - Performance turned profitable from a loss in the prior year period, mainly due to approximately **2.4 million Singapore Dollars** in one-off non-recurring listing expenses incurred in the prior year period[8](index=8&type=chunk) [Management Discussion and Analysis](index=11&type=section&id=%E7%AE%A1%E7%90%86%E5%B1%A4%E8%A8%8E%E8%AB%96%E5%8F%8A%E5%88%86%E6%9E%90) Management reviewed the business and financial performance for the period, outlining future prospects, with the Group operating a clinic network in Singapore under "DTAP" and "SA" brands, planning further expansion using IPO funds, and achieving profitability despite increased staff and operating expenses due to expansion [Business Review and Outlook](index=11&type=section&id=%E6%A5%AD%E5%8B%99%E5%9B%9E%E9%A1%87%E8%88%87%E5%B1%95%E6%9C%9B) The Group operates medical and aesthetic clinic networks in Singapore under the "Dr. Tan & Partners (DTAP)" and "S Aesthetics (SA)" brands, with 9 clinics as of the reporting date, planning future expansion using approximately 9.1 million Singapore Dollars in net IPO proceeds, and focusing on cost control through technology while noting strong demand in niche markets like sexual health and infectious diseases - The Group operates **7 DTAP clinics** and **2 SA aesthetic clinics** in Singapore, with plans to open a new clinic in Bugis[29](index=29&type=chunk) - Approximately **9.1 million Singapore Dollars** in net IPO proceeds are planned for business expansion and growth in Singapore[29](index=29&type=chunk) - Future strategic focus is on managing expenses, particularly by enhancing and leveraging technology to reduce labor intensity and control staff costs[29](index=29&type=chunk) [Financial Review](index=12&type=section&id=%E8%B2%A1%E5%8B%99%E5%9B%9E%E9%A1%87) The period saw strong financial performance, with revenue increasing by **28.9%** year-on-year due to existing service sales growth and brand awareness, gross margin improving from **67.6% to 70.6%** due to effective drug cost control, and the company returning to profitability with a net profit of **1.3 million Singapore Dollars** despite increased staff welfare and other operating expenses - Revenue increased by **28.9%** from **7.6 million Singapore Dollars** to **9.8 million Singapore Dollars** year-on-year, primarily due to increased sales of existing services and market penetration[33](index=33&type=chunk) - Gross margin increased from **67.6% to 70.6%**, mainly due to efforts to reduce drug costs used in treatments[34](index=34&type=chunk) - Staff welfare expenses and other operating expenses increased by **33.3%** and **72.7%** respectively, due to the recruitment of new staff and an increase in the number of clinics[35](index=35&type=chunk)[36](index=36&type=chunk) - The company turned profitable with a net profit of **1.3 million Singapore Dollars** from a loss of **0.9 million Singapore Dollars** in the prior year period, mainly due to approximately **2.4 million Singapore Dollars** in one-off non-recurring listing expenses incurred in the prior year period[37](index=37&type=chunk) [Liquidity and Capital Position](index=13&type=section&id=%E6%B5%81%E5%8B%95%E8%B3%87%E9%87%91%E3%80%81%E8%B2%A1%E5%8B%99%E8%B3%87%E6%BA%90%E5%8F%8A%E9%9B%86%E8%B3%87) The Group primarily meets working capital needs through operating cash flow and shareholder contributions, holding approximately **11.9 million Singapore Dollars** in cash and cash equivalents with no bank borrowings as of September 30, 2019, while the debt-to-equity ratio increased from **12.2% to 19.1%**, and total employees grew from **36 to 53** Liquidity and Capital Position Summary | Metric | Sep 30, 2019 | Dec 31, 2018 | | :--- | :--- | :--- | | Cash and Cash Equivalents | 11.9 million Singapore Dollars | 12.4 million Singapore Dollars | | Bank Borrowings | None | None | | Debt-to-Equity Ratio | 19.1% | 12.2% | | Number of Employees | 53 | 36 | [Unaudited Condensed Consolidated Financial Statements](index=5&type=section&id=Unaudited%20Condensed%20Consolidated%20Financial%20Statements) [Consolidated Statement of Profit or Loss and Other Comprehensive Income](index=5&type=section&id=%E6%9C%AA%E7%B6%93%E5%AF%A9%E6%A0%B8%E7%B0%A1%E6%98%8E%E7%B6%9C%E5%90%88%E6%90%8D%E7%9B%8A%E5%8F%8A%E5%85%B6%E4%BB%96%E5%85%A8%E9%9D%A2%E6%94%B6%E7%9B%8A%E8%A1%A8) For the nine months ended September 30, 2019, the Group's total revenue reached **9.78 million Singapore Dollars**, a **28.6%** year-on-year increase, achieving a pre-tax profit of **1.61 million Singapore Dollars** and a net profit of **1.27 million Singapore Dollars**, reversing a prior year loss of **0.86 million Singapore Dollars** due to revenue growth and cost control in the absence of significant listing expenses Consolidated Statement of Profit or Loss and Other Comprehensive Income | Item (Singapore Dollars) | Nine Months Ended Sep 30, 2019 | Nine Months Ended Sep 30, 2018 | | :--- | :--- | :--- | | Revenue | 9,780,985 | 7,606,621 | | Profit/(Loss) Before Income Tax | 1,606,407 | (864,338) | | Profit/(Loss) for the Period | 1,271,560 | (867,565) | | Basic and Diluted Earnings/(Loss) Per Share | 0.28 cents | (0.19 cents) | [Consolidated Statement of Changes in Equity](index=6&type=section&id=%E6%9C%AA%E7%B6%93%E5%AF%A9%E6%A0%B8%E7%B0%A1%E6%98%8E%E7%B6%9C%E5%90%88%E6%AC%8A%E7%9B%8A%E8%AE%8A%E5%8B%95%E8%A1%A8) As of September 30, 2019, the Group's total equity increased to **13.85 million Singapore Dollars**, primarily driven by the **1.27 million Singapore Dollars** net profit recorded during the period, compared to **12.57 million Singapore Dollars** at the beginning of the year - Total equity increased from **12,574,614 Singapore Dollars** as of January 1, 2019, to **13,846,174 Singapore Dollars** as of September 30, 2019[13](index=13&type=chunk) - The increase in equity is primarily due to the profit of **1,271,560 Singapore Dollars** recorded during the period[13](index=13&type=chunk) [Notes to the Unaudited Condensed Consolidated Financial Statements](index=7&type=section&id=%E6%9C%AA%E7%B6%93%E5%AF%A9%E6%A0%B8%E7%B0%A1%E6%98%8E%E7%B6%9C%E5%90%88%E8%B2%A1%E5%8B%99%E5%A0%B1%E8%A1%A8%E9%99%84%E8%A8%BB) This section provides detailed explanations of the company's basic information, accounting policies, revenue composition, taxation, and earnings per share calculation, noting the company's GEM listing on June 15, 2018, its primary operation of medical centers in Singapore, adherence to International Financial Reporting Standards, and a Singapore income tax rate of **17%** [Revenue Composition](index=9&type=section&id=3%20%E6%94%B6%E7%9B%8A%E5%8F%8A%E5%88%86%E9%83%A8%E6%A5%AD%E7%B8%BE) The Group's total revenue of **9.78 million Singapore Dollars** was entirely derived from medical services, with treatment services being the largest contributor at **5.75 million Singapore Dollars**, followed by medical examination services at **3.04 million Singapore Dollars** and consultation services at **0.99 million Singapore Dollars** Revenue by Service Type | Revenue Source | Nine Months Ended Sep 30, 2019 (Singapore Dollars) | Nine Months Ended Sep 30, 2018 (Singapore Dollars) | | :--- | :--- | :--- | | Treatment Services | 5,753,490 | 4,899,188 | | Medical Examination Services | 3,040,290 | 1,848,500 | | Consultation Services | 987,205 | 790,145 | | **Total** | **9,780,985** | **7,537,833** | [Earnings Per Share](index=10&type=section&id=5%20%E6%AF%8F%E8%82%A1%E7%9B%88%E5%88%A9%E2%88%95%EF%BC%88%E虧%E6%90%8D%EF%BC%89) Basic and diluted earnings per share for the period were **0.28 Singapore cents**, a turnaround from a loss of **0.19 Singapore cents** per share in the prior year period, calculated based on a weighted average of **460,876,000** ordinary shares, with diluted EPS being identical to basic EPS due to the absence of potential dilutive ordinary shares Earnings Per Share Calculation | Item | Nine Months Ended Sep 30, 2019 | Nine Months Ended Sep 30, 2018 | | :--- | :--- | :--- | | Profit/(Loss) Attributable to Owners of the Company | 1,271,560 Singapore Dollars | (867,565) Singapore Dollars | | Weighted Average Number of Ordinary Shares | 460,876,000 | 460,876,000 | | Earnings/(Loss) Per Share | 0.28 Singapore cents | (0.19) Singapore cents | [Corporate Governance and Other Information](index=15&type=section&id=%E4%BC%81%E6%A5%AD%E7%AE%A1%E6%B2%BB%E5%8F%8A%E5%85%B6%E4%BB%96%E8%B3%87%E6%96%99) [Directors' and Major Shareholders' Interests](index=15&type=section&id=%E8%91%A3%E4%BA%8B%E5%8F%8A%E4%B8%BB%E8%82%A1%E6%9D%B1%E6%AC%8A%E7%9B%8A) As of September 30, 2019, Dr. Tan Chee Siang, Chairman and Executive Director, held **75%** of the issued shares through his wholly-owned Cher Sen Holdings Limited, making him the controlling shareholder, with no share options granted since the adoption of the share option scheme - Dr. Tan Chee Siang, Chairman and Executive Director, is deemed to have an interest in **390,000,000 shares**, representing **75%** of the company's issued shares[54](index=54&type=chunk)[57](index=57&type=chunk) - These shares are held by Cher Sen Holdings Limited, which is wholly owned by Dr. Tan[57](index=57&type=chunk)[61](index=61&type=chunk) - No share options have been granted by the company since the adoption of the share option scheme on May 18, 2018[53](index=53&type=chunk) [Compliance and Governance](index=18&type=section&id=%E5%90%88%E8%A6%8F%E8%88%87%E7%AE%A1%E6%B2%BB) The company complied with all applicable code provisions of the GEM Listing Rules' Corporate Governance Code during the reporting period, with an Audit Committee comprising three independent non-executive directors having reviewed the quarterly report, and directors adhering to prescribed standards for securities transactions, with no purchases, sales, or redemptions of the company's listed securities by the company or its subsidiaries during the period - The company complied with all applicable code provisions of the Corporate Governance Code during the period[65](index=65&type=chunk) - The Audit Committee, composed of three independent non-executive directors, has reviewed the unaudited condensed consolidated financial statements and this report[70](index=70&type=chunk) - During the period, neither the company nor any of its subsidiaries purchased, sold, or redeemed any of its listed securities[69](index=69&type=chunk)

Financial Performance - The group recorded revenue of approximately SGD 6.3 million for the six months ended June 30, 2019, an increase of about 13.1% compared to SGD 5.5 million for the same period in 2018[9] - Gross profit for the period remained stable at SGD 3.9 million, consistent with the previous year[10] - The group achieved a net profit after tax of approximately SGD 0.6 million, a significant turnaround from a net loss of SGD 1.5 million in the same period last year, primarily due to a one-time non-recurring listing expense of approximately SGD 2.5 million incurred in the prior year[10] - Total revenue for the six months ended June 30, 2019, was SGD 6,250,853, an increase of 14.5% from SGD 5,457,229 in the same period of 2018[42] - Treatment services revenue reached SGD 3,613,779, up 9.8% from SGD 3,292,098 in 2018[42] - Medical examination services revenue increased by 25.8% to SGD 2,020,776 from SGD 1,606,447 in 2018[42] - The company reported a profit attributable to owners of SGD 556,884 for the six months ended June 30, 2019, compared to a loss of SGD 1,515,956 in the same period of 2018[46] - Basic earnings per share for the period was SGD 0.12, compared to a loss per share in the previous year[46] Assets and Liabilities - Total assets increased to SGD 15.8 million as of June 30, 2019, compared to SGD 14.2 million as of December 31, 2018[15] - Cash and cash equivalents rose to SGD 13.5 million from SGD 12.4 million at the end of 2018[15] - Trade receivables increased significantly to SGD 127,773 from SGD 55,787 in the previous year[15] - Total equity increased to SGD 13.1 million as of June 30, 2019, compared to SGD 12.6 million at the end of 2018[16] - The group reported total liabilities of SGD 2.7 million, up from SGD 1.5 million at the end of 2018[16] - Trade payables rose significantly to SGD 1,002,955 as of June 30, 2019, compared to SGD 388,119 at the end of 2018[57] - The company reported accrued operating expenses of SGD 658,295 as of June 30, 2019, up from SGD 556,914 at the end of 2018[58] Cash Flow and Capital Management - The company reported a net cash inflow from operating activities of SGD 1,436,291 for the six months ended June 30, 2019, compared to a cash outflow of SGD 1,021,717 in the same period of 2018[21] - Cash and cash equivalents as of June 30, 2019, totaled SGD 13,526,026, an increase from SGD 12,370,343 at the end of 2018[54] - The company has no bank borrowings as of June 30, 2019, consistent with the previous year[81] - The company’s retained earnings as of June 30, 2019, stood at SGD 1,104,685, reflecting an increase from SGD 547,801 at the beginning of the year[18] - The company’s capital management objective is to ensure the group can continue as a going concern while providing returns to shareholders[36] Corporate Governance and Compliance - The audit committee, consisting of three independent non-executive directors, has reviewed the unaudited condensed consolidated financial statements and found them compliant with applicable accounting standards[121] - The company is committed to maintaining high standards of corporate governance and has adopted all applicable code provisions of the GEM Listing Rules[115] - The company has established an audit committee to oversee financial reporting and risk management processes[121] - No directors or controlling shareholders have interests in any competing businesses during the reporting period[114] - The company has complied with the GEM Listing Rules regarding securities trading by directors[116] Future Plans and Investments - The company is focused on maintaining operational efficiency and exploring new market opportunities to drive future growth[10] - The net proceeds from the IPO of approximately SGD 9.1 million will be used for future expansion and business growth in Singapore[69] - The company operates seven DTAP centers and two SA centers, with plans to open another center in Bukit Timah[68] - The company has plans to open a new DTAP treatment center in the northeastern part of Singapore, postponed to the first half of 2021 due to space availability[102] - The company spent SGD 241,000 on renovations for three new DTAP treatment centers during the period[95] - The company allocated SGD 63,000 for upgrading its information technology infrastructure and systems as of June 30, 2019[99] Risks and Contingencies - The company has not faced any major foreign exchange risks as all transactions are conducted in Singapore dollars[89] - The company has not utilized any hedging contracts for speculative activities during the period[90] - There are no significant contingent liabilities reported as of June 30, 2019[87] - There are no significant events affecting the company reported after June 30, 2019[93]