Private hospitals to be largest beneficiary of growing healthcare spend

May garner 65-70% of spending pie; Indian healthcare growth momentum likely to continue in FY23 as occupancy improves and average revenue per occupied bed remains steady

As overall healthcare spending is expected to grow at 16-18 percent CAGR, driven by improving affordability and increasing incidence of non-communicable diseases, private hospital players are expected to be the largest beneficiary with 65-70 percent share of the healthcare spend. Analysts at Prabhudas Lilladher (PL) have pointed out in a recent report on the Indian healthcare industry that they expect that the growth momentum will continue in FY23 with improvement in occupancy and sustainability of the average revenue per occupied bed (ARPOB). The analysts said that for the listed hospitals under their coverage they expect 48 percent Ebitda CAGR over