Apollo Hospitals Q3 net profit, revenue grow at rapid pace
Apollo Hospitals Enterprise Ltd, the country’s biggest healthcare service provider, reported robust numbers for the third quarter ended December 31, with high double-digit growth in both revenue and profit.
Apollo Hospitals said its consolidated net profit shot up 81% to Rs 243 crore from Rs 134 crore in the year-ago period. On a sequential basis, net profit declined around 10%. Some analysts had estimated over 100% growth in net profit for the company.
The company’s consolidated revenue rose 39% to Rs 3,639 crore from a year earlier. However, on a sequential basis revenue slid from Rs 3,717 crore in the second quarter.
The company’s share price has skid by a fourth from its peak. It declined 1.6% to close at Rs 4,523.65 apiece in a weak Mumbai market on Friday. The company declared its financials after trading stopped for the day.
Other Key Highlights
1) Overall revenue growth was powered by mainstay healthcare services business that rose 40% to Rs 2,024 crore.
2) Clinics business, which comprises under a tenth of revenue, rose over 50% to Rs 313 crore.
3) Pharmacy distribution segment, which represents the business of procurement and distribution of pharmaceutical, FMCG and private label products, grew by a modest 16% to Rs 1,307 crore.
4) Apollo had spun its retail pharmacy business into another firm where it owns a minority stake and is not part of the consolidated financials
5) Segment profit from clinics business rocketed fourfold to Rs 24.5 crore while the core healthcare services business drove profitability with segment earnings more than doubling to Rs 382 crore.
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