Trending Stock: iKang Healthcare Group, Inc. (NASDAQ: KANG)

On Wednesday, Shares of iKang Healthcare Group, Inc. (NASDAQ: KANG) declined -1.05% to $16.97. The stock opened its trade at $17.28 and after floating in a price range of $16.30 to $17.52; the stock grabbed the investor’s attention and traded 78,684 shares as compared to its average daily volume of 205.46K shares. The stock’s institutional ownership stands at 54.30%.

iKang Healthcare Group, Inc.  (KANG) recently declared its unaudited financial results for the fiscal first quarter ended June 30, 2018.

FISCAL FIRST QUARTER ENDED JUNE 30, 2018 UNAUDITED FINANCIAL RESULTS

Net Revenues:

Net revenues for the fiscal first quarter were US$150.20M, representing a 30.0% increase from US$115.60M in the same period of the last fiscal year. On a RMB basis, the revenue growth was 20.8% contrast to the fiscal first quarter of 2017. As of June 30, 2018, the number of self-owned medical centers totaled 113 contrasts to 104 as of June 30, 2017. In this quarter, the Company served about a total of 1.680M customer visits under both corporate and individual programs, representing a boost of 19.1% contrast to the fiscal first quarter of 2017.

Cost of Revenues:

Cost of revenues for the quarter was US$90.10M, representing a 34.0% increase from US$67.20M in the same period of the last fiscal year.

Gross Profit and Gross Margin:

Gross profit for the quarter was US$60.10M, representing a 24.3% increase from US$48.40M in the same period of the last fiscal year. Gross margin for the quarter was 40.0%, as contrast to 41.8% in the first quarter of the last fiscal year.

Operating Expenses:

Total operating expenses for the quarter was US$46.10M, representing a 17.0% increase from US$39.50M in the same period of the last fiscal year.

Selling and marketing expenses

Selling and marketing expenses for the quarter were US$24.30M, accounting for 16.2% of total net revenues as contrast to 16.7% in the same period of the last fiscal year.

General and administrative expenses

General and administrative expenses for the quarter were US$21.00M, accounting for 14.0% of total net revenues as contrast to 16.9% in the same period of the last fiscal year.  Excluding share-based compensation expenses of US$292.0K for this quarter and US$384.0K for the same quarter last year, the general and administrative expenses for the quarter was US$20.70M, accounting for 13.8% of total net revenue as contrast to 16.5% in the same period of the last fiscal year.

Research and development expenses

Research and development expenses for the quarter were US$0.80M, accounting for 0.5% of total net revenues as contrast to 0.6% in the same period of the last fiscal year.

Income from Operations:

Income from operations for the quarter was US$14.00M, representing a 56.8% increase from US$8.90M in the same period of the last fiscal year. Excluding share-based compensation expenses of US$292.0K for this quarter and US$384.0K for the same quarter last year, non-GAAP income from operations for the quarter was US$14.30M as contrast to US$9.30M, which reflected a boost of 53.4%.

Non-GAAP EBITDA:

Non-GAAP EBITDA for the quarter was US$25.60M, representing a 31.2% increase from US$19.50M in the same period of the last fiscal year.

Net Income:

Net income attributable to the Company for the quarter was US$6.30M, representing a boost of 75.0% from US$3.60M in the same period of the last fiscal year.

Non-GAAP net income attributable to the Company for the quarter was US$6.50M, representing a boost of 65.4% from US$4.00M in the same period of the last fiscal year.

Cash and Cash Equivalents:

As of June 30, 2018, the Company’s cash and cash equivalents, restricted cash and term deposit totaled US$46.40M, as contrast to US$62.90M as of March 31, 2018.

KANG has a market value of $1.19B while its EPS was booked as $-0.25 in the last 12 months. The stock has 70.18M shares outstanding. In the profitability analysis, the company has gross profit margin of 42.30% while net profit margin was -3.10%. Beta value of the company was 0.11; beta is used to measure riskiness of the security.

Alfred Jensen

Alfred Jensen focuses on breaking news stories and ensuring we offer timely reporting on some of the most recent stories released through market wires about Healthcare Sector companies. He has formerly spent over 5 years as a trader in U.S. Stock Market and is now semi-stepped down. He works on a full time basis for nasdaqjournal.com specializing in quicker moving active shares with a short term view on investment opportunities and trends.