Fortis Healthcare Q3 results: Profit down 3.2%, revenue grows by 7.7%

Healthcare major Fortis Healthcare reported a 3.2 per cent year-on-year (Y-o-Y) dip in consolidated profit after tax (before exceptional items) for the December quarter to Rs 126.5 crore, while its revenue from operations grew by 7.7 per cent to Rs 1,679.7 crore.

Sequentially, the consolidated net profit was down by 29.8 per cent from Rs 180.2 crore, whereas revenue fell by 5.09 per cent from Rs 1,769.9 crore in Q2FY24.

Q3FY24 Hospital business revenues grew by 9.6 per cent YoY to Rs 1,389.41 crore. Sequentially, it was down by 4.35 per cent.

Fortis reported a 10.6 per cent increase in the average revenue per occupied bed (ARPOB). International Patient revenues remained flat at Rs 113 crore in the December quarter, contributing 7.7 per cent to overall hospital business revenues as against 8.6 per cent in the same quarter last fiscal.

The company reported a fall in bed occupancy to 64 per cent in Q3FY24, from 66.1 per cent in the same quarter last year. This has been attributed to the addition of 100 operation beds.

Specialties such as Gastroenterology (20.7 per cent increase), Neurology (13.9 per cent) and Oncology (12.9 per cent increase) witnessed revenue growth in Q3FY24. Fortis Healthcare’s operational Ebitda margin for the December quarter came in at 16.9 per cent, a fall from 17.7 per cent.

The company declared results post-market hours. Fortis Healthcare Limited stock was up by 0.71 per cent on the BSE to Rs 453.50 apiece.

Commenting on the results for the quarter, Dr Ashutosh Raghuvanshi, Managing Director and CEO, Fortis Healthcare, said that the healthy performance in the hospital business, which contributes approximately 88 per cent to overall consolidated Ebitda, has largely offset the muted performance of the diagnostics business.