Apollo Hospitals gains over 4% after Q1 net profit surge 83% YoY to ₹305 crore

Shares of Apollo Hospitals Enterprise Ltd gained more than 4% in trade on Wednesday, August 14, after the healthcare company reported a sharp jump in its net profit for the quarter ended June 2024 (Q1FY25).

In a stock exchange notification issued after the market hours on Tuesday, Apollo Hospitals said that its consolidated profit-after-tax (PAT) surged 83% to ₹305.1 crore in the June quarter compared to the year-ago period.

Consolidated revenue, meanwhile, rose 15% year-on-year to ₹5,085.6 crore during Q1FY25. Operating profit, or earnings before interest, tax, depreciation and amortisation (EBITDA), grew by 33% to ₹675.1 crore compared to the year-ago period.

Among the specific segments, Apollo Hospitals’ healthcare services revenue grew by 15% in Q1FY25 on the back of an 11% jump in the inpatient volume and 4% rise in price and case mix. Occupancy for Q1FY25 stood at 68% versus 62% in Q1FY24.

The company’s diagnostics and retail health segment, too, performed better than the year-ago period. Apollo Health and Lifestyle Ltd’s revenue grew 15% year-on-year in the June quarter, while its losses narrowed to ₹14.8 crore compared to ₹21.4 crore a year ago.

The digital health and pharmacy distribution business turned Ebitda positive in Q1FY25, with an operating profit of ₹22.5 crore versus a loss of ₹56.6 crore in Q1FY24 on account of cost optimisation and 15% YoY growth in revenue. However, it still reported a net loss of ₹12.9 crore compared to a loss of ₹82.6 crore a year ago. However, it still reported a net loss of ₹12.9 crore compared to a loss of ₹82.6 crore a year ago.

Following the earnings announcement, Apollo Hospitals shares jumped as much as 4.1% on Wednesday to hit an intraday high of ₹6,865 apiece on the NSE.

The stock has rallied over 41% in the past one year. But the stock has proven to be a laggard of late, with its price remaining flat in the last six months.

Apollo Hospitals shares are trading 3.55% higher at ₹6,823 apiece on the NSE at 10:45 am.