PETALING JAYA: ACE Market-bound DC Healthcare Holdings Bhd
is expected to post double-digit revenue growth for its financial year ending Dec 31, 2023 (FY23) and FY24, to be driven by its aggressive expansion plans post-initial public offering (IPO).
Apex Securities Research said it is forecasting DC Healthcare to post a revenue growth of 35% and 69% for FY23 and FY24, respectively, from the RM52mil reported in FY22.
“Our FY23 revenue forecast is based on an estimation of 20 branches, with each branch contributing an average revenue of RM3.5mil.
“This estimate is lower than the average RM4.7mil per branch contribution in FY22, as we anticipate that new branches will take some time to catch up and reach full operational efficiency,” the research outfit said in a report.
DC Healthcare is an aesthetic medical services provider operating under the brand name “Dr Chong Clinic”.
According to Apex Securities, the company is seeking to open eight new clinics within two years.
This expansion represents a 75% growth in the number of clinics compared to the current 12 in operation.
It wants to grow this to 31 branches in FY24 with average revenue per branch of RM3.8mil.
The research outfit has derived a target price of 57 sen per share, representing a 127% upside against the IPO price of 25 sen apiece.
