Cordlife reports S$1.6m Q3 loss on lower contributions from Singapore
The embattled cord blood bank was allowed to resume limited services in Singapore only on Sep 15.
by Lee Chong Ming · CNA · JoinSINGAPORE: Embattled cord blood bank Cordlife reported a S$1.6 million (US$1.2 million) net loss in the third quarter, a reversal from a net profit of S$1.4 million in the same period last year.
This was mainly due to lower contributions from Singapore, the group’s main revenue contributor, which only recorded 15 days of operations during the quarter, said the company in a press release on Thursday (Nov 14).
Revenue for the third quarter which ended Sep 30 fell 31 per cent to S$10.1 million, down from S$14.7 million a year earlier.
Cordlife, Singapore's longest-running private cord blood bank, has remained in the red for the first half of the fiscal year.
The company posted a loss of S$12.35 million for the first half of the year, compared to a net profit of S$2.2 million in the same period a year ago.
On a nine-month basis, Cordlife recorded a net loss of S$13.9 million, a drop from the S$3.6 million profit last year. Revenue declined 55.1 per cent to S$19.3 million, down from S$43 million a year ago.
Cordlife was given the green light to resume cord blood banking services in a limited manner from Sep 15, after a months-long suspension over its mishandling of cord blood units.
The company may collect, test, process and store no more than 30 units of new cord blood per month, from Sep 15, 2024, to Jan 13, 2025.
These restrictions are to safeguard the interest of its customers, the Ministry of Health (MOH) said in August.
A probe into the company's actions has resulted in a total of nine arrests so far.
The company said on Thursday it remains focused on achieving full resumption of its Singapore operations.
Cordlife has also improved its processing and storage facility in Yishun by increasing laboratory and technical personnel and strengthening operational protocols, it added.
Group executive director Chen Xiaoling said Cordlife has emerged as a “stronger group with more robust capabilities and stronger operating procedures”, and the company will “continue to implement strict operating protocols while working to regain the full trust of all stakeholders”.
Group chief executive Ivan Yiu said: “Having met MOH’s criteria to resume our cord blood banking services in a controlled manner in Singapore, we are confident the group is on the path to rebuilding our business foundation to drive business recovery.”
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