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Fortis Healthcare Q3 results: Profit down 3.2%, revenue grows by 7.7%
Fortis Healthcare has declared financial results for Q3 FY24. In Q3FY24, the company reported consolidated revenue of Rs 1,680 crore, which is a 7.7 percent increase from Rs 1,560 crore in Q3FY23.
In Q3FY24, the company reported a 5.6 percent year-on-year (YoY) drop in net profit at Rs 134 crore over Rs 142 crore in Q3FY23.
Operating EBITDA is Rs 284 crore in Q3FY24 over Rs 276 crore in Q3FY23.
Hospital business revenues are up 9.6 percent to Rs 1,389 crore. Hospital business ARPOB is at Rs 2.23 crore, up by 10.6%
Financial snapshot
|
Consolidated (INR Crs) |
Q3 FY24 |
Q3 FY23 |
% Change YoY |
9M FY24 |
9M FY23 |
% Change YoY |
| Revenue | 1,680 | 1,560 | 7.7% | 5,107 | 4,655 | 9.7% |
| Operating EBITDA | 284 | 276 | 2.7% | 887 | 830 | 6.8% |
| Operating EBITDA Margin | 16.9% | 17.7% | 17.4% | 17.8% |
| Profit Before Tax
(Before exceptional item) |
175 | 175 | 0.5% | 574 | 567 | 1.1% |
| Profit After Tax
(Before exceptional item) |
127 | 131 | (3.2%) | 429 | 432 | (0.6%) |
| Reported Profit After Tax* | 134 | 142 | (5.6%) | 442 | 495 | (10.6%) |
| Reported Profit After Tax after
Minority Interest and Share in Associates |
135 |
130 |
4.0% |
420 |
456 |
(7.9%) |
| Earnings per share (EPS) | 1.78 | 1.72 | 4.0% | 5.57 | 6.04 | (7.9%) |
“The quarter’s performance has been led by the hospital business which continues to show a YoY improvement in margins. Plans for incrementally adding to our existing bed capacity by almost 50% are progressing and when operationalized will eventually see some of our key facilities such as Shalimar Bagh, FMRI, Mohali, and BG Road becoming more than 450 beds each. We are also further augmenting our clinical talent and medical infrastructure. In addition, we continue to supplement our expansion plans inorganically with the acquisition of assets such as the 350-bed hospital in Manesar, NCR, and adjunct land parcels to our existing facilities such as the recent one in Kolkata. We have also successfully rationalized our portfolio having divested two of our loss-making facilities in Chennai; the Arcot Road Vadapalani facility in July 2023 and the Fortis Malar facility in February 2024; thereby improving the profitability of the company,” said Ravi Rajagopal, Chairman, Board of Directors, Fortis Healthcare.
Commenting on the results for the quarter, Dr Ashutosh Raghuvanshi, MD and CEO, Fortis Healthcare said the healthy performance in the hospital business which contributes approx. 88% to overall consolidated EBITDA has largely offset the muted performance of the diagnostics business.
“Our ARPOB continues to show robust growth touching INR 2.23 Crs, an increase of 10.6%. We have commissioned state-of-the-art medical equipment; the likes of AI-enabled cath labs, surgical robots, and advanced neuro-sciences labs in facilities such as Noida, Anandpur, and Faridabad. Our expansion strategy continues to focus on deepening our cluster presence with the launch of a new 70-bed facility in Ludhiana. This is the second facility in Ludhiana and the fourth in Punjab taking our total bed count in the state to approx. 800. Focus on retaining and attracting high-quality clinical talent remains a priority with the quarter witnessing clinicians from key specialties such as cardiology, oncology, and neurology joining the Fortis network. Our efforts on digital transformation are progressing well with the EMR (Electronic Medical Records) program implementation underway and revenues from digital channels witnessing robust growth over 30%,” he said.
MB Bureau
