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Apollo Hospital: Growth hinges on maturing hospitals, occupancies

With major capacity expansions behind it, margins to improve gradually

Apollo Hospital: Growth hinges on maturing hospitals, occupancies
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Ujjval Jauhari Mumbai
Apollo Hospitals Enterprises’ trend of margin pressure over the past few years continued in the March quarter. While the company has been adding capacities for some time now, incurring higher costs, occupancy levels and thus revenues at new facilities have improved gradually. This has been one of the major reasons for margin pressure. 

The March quarter (Q4) saw some exceptional factors too, that took a toll on profitability. The continued impact of the note ban led to muted occupancy at mature hospitals while a VIP admission at the Chennai cluster extending into the March quarter, too, hit margins. 

The impact of lower