Quantum Healthcare Limited: Q2 & H1 2025 Financial Results Analysis
Quantum Healthcare Limited, a Singapore-listed healthcare company, released its unaudited condensed interim financial statements for the second quarter and half year ended 30 June 2025. The company operates primarily in dental services and related healthcare consultancy, following its exit from the vascular business in FY2021.
Key Financial Metrics
| Metric |
Q2 2025
(3M ended Jun) |
Q1 2025
(Inferred) |
Q2 2024
(3M ended Jun) |
YoY Change |
QoQ Change |
| Revenue |
S\$3,200,000 |
S\$3,134,000
(H1 – Q2) |
S\$3,118,000 |
+2.6% |
+2.1% |
| Gross Profit |
S\$1,451,000 |
S\$1,444,000
(H1 – Q2) |
S\$1,389,000 |
+4.5% |
+0.5% |
| Loss Before Tax |
S\$265,000 |
S\$120,000
(H1 – Q2) |
S\$440,000 |
-39.8% |
-39.1% |
| EPS (Basic, cents/share) |
(0.0033) |
(0.0010)
(H1 – Q2) |
(0.0059) |
Improved |
Improved |
| Dividend per Share |
0 |
0 |
0 |
No Change |
No Change |
Historical Performance Trends
- Revenue for H1 2025 increased by 4.2% YoY to S\$6,334,000, driven by the opening of a new dental clinic (TDH Sengkang) in July 2024 and expansion in the healthcare segment.
- Gross profit rose 7.9% YoY to S\$2,895,000 due to efficient cost management and higher sales.
- Loss before taxation narrowed substantially, down 59.1% YoY to S\$385,000 for H1 2025, reflecting improved operating leverage and cost-cutting measures.
- EPS loss per share reduced both QoQ and YoY, indicating an improving bottom line despite continued losses.
- No dividend was declared for the period, with the company remaining in a loss-making position.
Balance Sheet Overview
- Current liabilities exceed current assets by S\$8,755,000, and shareholder equity is negative at S\$3,375,000 as at 30 June 2025.
- Cash and cash equivalents dropped to S\$199,000 from S\$386,000 at year-end.
- Non-current assets decreased mainly due to depreciation and amortization of plant, equipment, and intangibles.
- Management is relying on shareholder and director loans, extended payment terms, and ongoing positive operating cash flow to maintain going concern status.
Exceptional Items and Legal Proceedings
- Legal disputes with InnoRa GmbH and related arbitration over royalties and milestone payments for the Chocolate Touch® product resulted in provisions for payments and fees totaling over S\$800,000. The dispute concluded with minimal ongoing liability after 25 November 2024, when InnoRa filed for dismissal of the complaint.
- No asset revaluation or recognition of exceptional earnings was reported.
- No unusual fund flows or related-party transactions above S\$100,000 were disclosed for the period.
Corporate Actions and Fundraising
- No new shares were issued or buybacks conducted in Q2 2025; the company had previously raised funds but all proceeds have been fully utilized.
- The company maintains 8,014,501,108 ordinary shares in issue.
- Management continues to explore strategic business opportunities and fundraising to improve working capital and support growth.
Chairman’s Statement
“On behalf of the Board of Directors of the Company, we the undersigned, hereby confirm to the best of our knowledge that nothing has come to the attention of the Board of Directors of the Company which may render the unaudited condensed interim financial statements of the Company and the Group for the three months and six months ended 30 June 2025 to be false or misleading in any material aspect.”
The tone is factual and neutral, with no positive or negative outlook commentary. Management continues to stress cost-cutting and operational efficiency while acknowledging material uncertainty regarding going concern, but expresses confidence in the steps taken to maintain business operations.
Events and Outlook
- Industry conditions remain stable, with no major adverse macroeconomic or regulatory changes expected in the next 12 months.
- The company is actively exploring strategic options and further fundraising, with positive operating cash flow from the dental business highlighted as a stabilizing factor.
Conclusion & Investment Recommendations
Overall Financial Performance: The company continues to improve its operational results, with narrowing losses and increasing revenue driven by the healthcare segment. However, its balance sheet remains highly leveraged, with negative shareholder equity and material uncertainty over going concern status. The company is dependent on ongoing financial support from shareholders and directors, extended creditor terms, and successful implementation of strategic and fundraising initiatives.
- If you are currently holding this stock: Maintain a cautious stance. The improving operational trends are encouraging, but the company’s weak balance sheet and ongoing losses present significant risks. Consider holding only if you are comfortable with speculative turnaround plays and can tolerate potential volatility. Closely monitor further disclosures on fundraising, strategic initiatives, and resolution of outstanding liabilities.
- If you are not currently holding this stock: Exercise caution before initiating a new position. The risk profile remains high due to negative equity and reliance on external support. Wait for evidence of successful fundraising, tangible improvements in net profit, or a more robust balance sheet before considering entry.
Disclaimer: This analysis is based solely on the company’s published financial report for the period ended 30 June 2025. It does not constitute investment advice. Investors should consider their own risk tolerance and consult with a qualified financial advisor before making investment decisions.
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