HCG Q1 results: Consolidated net profit rises 58.7% to Rs 12.08 crore

Bengaluru-headquartered HealthCare Global Enterprise (HCG) reported a 58.7 per cent increase in consolidated net profit to Rs 12.08 crore during the first quarter of the financial year ending June 30, compared to Rs 76 lakh in the same period the previous year.

The company reported revenue from operations of Rs 525.6 crore in Q1 FY25, compared to Rs 460.7 crore in Q1 FY24. The performance was driven by volume increases across modalities and enhanced operational performance, supported by the strong results of HCG’s established centres and progress in emerging centres.

Profit before tax for Q1 stood at Rs 19 crore, compared to Rs 10.5 crore during the same period a year earlier.

“During the quarter, we expanded our footprint and portfolio by virtue of the acquisition of Vizag-based Mahatma Gandhi Cancer Hospital and Research Institute. Going forward, Vizag will undoubtedly play a key role in shaping our growth strides. As we move forward, our commitment to providing innovation-focused, technology-enabled, value-based cancer care will help us expand our reach to serve more communities across new geographies,” said B S Ajaikumar, Executive Chairman, HCG Enterprises.

HCG witnessed an Ebitda (earnings before interest, taxes, depreciation, and amortisation) of Rs 90.9 crore, compared to Rs 74.3 crore. The Ebitda margin stood at 17.3 per cent.

HCG reported an overall ARPOB (average revenue per occupied bed) of Rs 44,342, compared to Rs 39,686 in Q1 FY24, a growth of 12 per cent. The AOR (at own request) stood at 65.6 per cent, compared to 66.9 per cent in Q1 FY24.

HCG’s Kolkata portfolio grew by 73 per cent for the quarter on an annual basis. Furthermore, Nagpur, South Mumbai, Nashik, and Bhavnagar grew by 26 per cent, 22 per cent, 22 per cent, and 21 per cent annually, respectively.

“We are confident that the emerging centres will see revenue growth and margin expansion over the next 12 months, significantly contributing to overall margins. Our focus on delivering exceptional cancer care and expanding our network continues to drive our success. With the momentum from our recent acquisition and the ongoing support of our partners, we are well-positioned for sustained growth and innovation,” said Raj Gore, CEO, HCG Enterprises.