Alliance Healthcare Group said Monday Singapore start-up Jaga-Me, a 55 percent owned subsidiary, has turned profitable, largely due to the city-state’s need for Covid-19 tests and home vaccinations.
“The onset of Covid-19 has sped up the growth of Jaga-Me, which turned profitable for FY2021 with the significant jump in revenue. The group is cautiously optimistic of Jaga-Me’s long-term growth prospects given the acceleration in mobile and digital healthcare business segment,” Alliance Healthcare said in responses to shareholder questions at the annual general meeting, which were filed to SGX.
Alliance Healthcare said its mobile and digital services segment — which includes its HeyAlly healthcare platform and Jaga-Me — generated S$4.4 million in sales in fiscal 2021, up 280 percent on-year. The company provides its Covid swab and home vaccination services via Jaga-Me.
“The positive performance also affirms our focus to expand our mobile and digital healthcare segment is in the right direction,” Alliance Healthcare said.
The audited financial statements for Jaga-Me show net operating profit after tax is less than S$1.5 million, but operating revenue was S$4 million or higher, Alliance Healthcare said, noting that made the listed healthcare provider’s put option to buy out Jaga-Me’s shareholders, excluding founders and employees.
Jaga-Me, which is Bahasa for “watch over,” provides home healthcare aides for nursing and caregiving and home medical services, including doctor house calls. It also provides at-home Covid testing and vaccinations.
Jaga-Me uses dispatching not unlike ride-hailing and food delivery services to send caregivers directly to clients. The company’s electronic medical record system allows employees to go directly to clients’ homes without stopping at medical offices to pick up records.
Alliance Healthcare acquired its 55 percent stake in Jaga-Me in late 2019 for around S$3.5 million.