Health services receipts jump 9.2% to $8.9b in 2010

Western clinics accounted for a significant 59.3% of the health services industry in 2010.

The Singapore Department of Statistics’ latest survey was carried out in 2011 for reference year 2010. This year, the reports will focus on several services industries of importance to the Singapore economy. This report on Health Services is the Department’s first issue in the series. A final consolidated report on The Services Sector will provide a performance overview of the services sector.

In 2010, the health services industry comprised about 4,100 establishments. The industry employed about 66,100 workers, and had an average of about 16 workers per establishment.

I . ECONOMIC PERFORMANCE
Total operating receipts collected by the health services industry went up by 9.2 per cent, from $8,192 million in 2009 to $8,946 million in 2010. On a per establishment basis, operating receipts rose by 7.6 per cent to $2.2 million in 2010.

Total operating expenditure was $8,344 million in 2010, an increase of 10.2 per cent compared with 2009. On a per establishment basis, operating expenditure also increased by 8.6 per cent to $2.0 million in 2010.

Total operating surplus increased by 5.4 per cent from $955 million in 2009 to $1,007 million in 2010. Operating surplus per establishment grew by 3.9 per cent to $243,600 in 2010.

Total value added generated by the health services industry was $4,917 million in 2010, representing an increase of 13.2 per cent over 2009. On a per establishment basis, value added grew by 11.5 per cent to $1.2 million in 2010.

II . MAIN ACTIVITIES IN HEALTH SERVICES
Western clinics constituted a significant 59.3 per cent of the health services industry in 2010. They employed a total of 16,900 workers, which accounted for 25.5 per cent of overall health services industry’s employment. Hospitals, however, were the largest employer, engaging some 39,400 workers in 2010, or an average of 1,970 workers per establishment.

In terms of operating receipts and value added, hospitals were the largest contributor, accounting for 54.1 per cent and 55.3 per cent of the respective industry totals in 2010.

2). Western clinics constituted another major group in the health services industry, contributing 31.6 per cent and 32.2 per cent of total operating receipts and total value added respectively

III . KEY PERFORMANCE RATIOS
Profitability Ratio of overall health services was 11.3 per cent in 2010, slightly lower than the 11.6 per cent registered in 2009. The drop in profit ratio was mainly attributed to lower operating surplus recorded by non-western clinics, dental services and other medical services.

Within the industry, western clinics registered the highest profitability ratio of 21.9 per cent in 2010.

Earnings-Expenditure Ratio stood at 12.1 per cent for overall health services in 2010. Western clinics in 2010 were the most cost-effective with a ratio of 27.4 per cent, followed by non-western clinics (17.1 per cent).

Average Annual Remuneration per Employee was $60,100 for employees working in the health services industry in 2010. Except for non-western clinics, employees in hospitals, western clinics, dental services and other medical services received higher annual remuneration on average in 2010 compared with previous year’s remuneration.

Value Added per Worker for overall health services was $74,400 in 2010. Within the industry, western clinics continued to record the highest average value added of $93,800 per worker. On the other hand, non-western clinics’ value added per worker was the lowest at $25,200.