Fortis reports Rs 58 cr loss for Q2; CEO steps down

Fortis Healthcare today reported a consolidated loss of Rs 58.12 crore for the July-September quarter this year due to forex losses.
Besides, the company also said its CEO Aditya Vij has resigned and the board has accepted his resignation. Vij, who put in his papers after a stint of over three years, will leave the firm by the year-end.
Fortis Healthcare had posted a net profit after taxes, minority interest and share of profit of associates at Rs 32.06 crore for the same period of the previous fiscal.
Consolidated total income of the company fell to Rs 1,031.20 crore for the quarter under consideration, from Rs 1,282.46 crore for the same period a year ago, Fortis Healthcare said in a statement.

The company's board accepted the resignation of CEO Aditya Vij, who would be leaving the firm by year-end and Shivinder Mohan Singh, Executive Vice Chairman, will take interim charge, Fortis said in a filing to the BSE.
On his resignation, Vij said: "My personal commitments at this juncture require me to concentrate on my family business and investments, as I set a future professional agenda."

The company said that reported "results for Q2FY15 are not comparable to the corresponding previous period due to progressive divestments of the company's international businesses namely Fortis Hoan My, Vietnam and Quality Healthcare, Hong Kong during the course of FY14".

During the quarter, the company announced the divestiture of RadLink-Asia Pte Ltd, Singapore, to Medi-Rad Associates Ltd an indirect wholly-owned subsidiary of IHH Healthcare Berhad, for SGD 137 Million, Fortis Healthcare said.
"This is in line with the company's strategic decision to intensify its focus on its businesses in India," it added.
The significant value that has been created through the series of divestments of the various international businesses done in the past year is now being unlocked and will be ploughed back to strengthen the growth in India, Fortis said.
The net debt of the company as on 30 September 2014 was at Rs 1,205 crore, down from Rs 2,963 crore as on 30 September 2013, it added.

Shares of Fortis Healthcare closed sharply down by 4.39 per cent at Rs 116.40 on the BSE.