A healthcare provider showed strong success in the most recent financial quarter (Q1FY25), with key financial indicators exhibiting notable growth when compared to the same period in the prior year (Q1FY24). According to the corporation, its Q1FY24 performance was consistent with its stated net profit of Rs 124 crore. Revenue increased by a robust 12.2% YoY to Rs 1,859 crore, which was driven by the company’s growing operations and client demand.
The hospital division of the corporation, which accounts for more than 83% of its overall sales, was a major contributor to this expansion. Hospital income was Rs 1,549 crore, up 14.4% YoY. This gain was driven by an increase in average revenue per occupied bed (ARPOB) of 4% QoQ and 10% YoY to Rs 65,924 per day. With the addition of 100 operational beds, the hospital’s occupancy rate increased to 67% from 64% in Q1FY24, demonstrating higher capacity use. 4.16 days was the average length of stay (ALOS) for patients, which is an important indicator of the effectiveness and efficiency of patient treatment.
The total firm showed a significant YoY growth in operating earnings before interest, tax, depreciation, and amortization (EBITDA) to Rs 343 crore, up 25.5%. Additionally, the EBITDA margins increased by 190 basis points to 18.4%. In particular, the hospital segment’s EBITDA increased by an astounding 39% year over year to Rs 287 crore, and its margins increased by 330 basis points to 18.5%. It is noteworthy, nevertheless, that hospital EBITDA margins fell 390 basis points on a QoQ basis from 22.4% in Q4FY24, which may be a sign of cost pressures or adjustments to the revenue mix.
The diagnostics industry also saw some increase, with revenues rising to Rs 309 crore from 2% YoY. In Q1FY25, sales from medical tourism increased 11% YoY to Rs 127 crore, accounting for roughly 8% of the hospital’s total revenue. This segment also fared well. This demonstrates the healthcare provider’s multiple sources of income and its deliberate efforts to draw in patients from abroad.
The healthcare provider’s Q1FY25 performance shows strong growth across all of its key businesses, with higher patient volumes, improved operational capacity, and a deliberate focus on high-margin services like medical tourism driving this growth. Although there are significant QoQ margin concerns, the company’s growth trajectory is still excellent.
SOURCE:
ECONOMIC TIMES
