Second quarter result: Apollo Hospitals, which reported performance for the quarter ended September, also announced its expansion plans. Apollo Hospitals Enterprise has announced a new 250-bed hospital in Pune (expandable to 425 beds in 2 years) at a total ₹675 crowns. The hospital is expected to be commissioned by Ql FY25.
The startup’s performance in a few quarters is positive as it will start contributing to the business, analysts said. Apollo is already expanding around 2,200 hospital beds.
Chief Financial Officer Krishnan Akhileswaran expects 700-800 new beds each year.
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Meanwhile, Apollo reported 14% year-over-year growth in its net profit ₹233 crore in the September quarter of the current fiscal year. The profit in the September quarter was contributed by an increase in the number of patients suffering from seasonal flu infections. The increasing number of surgeries and interventions was another reason for this. Self-pay and insurance increased revenue by 14% compared to last quarter. Revenue from international patients increased by 20% in the second quarter of 2024.
New hospitals also contribute to this rise in net profit. The occupancy level of new hospitals such as Lucknow was 70% during the quarter, Akhileswaran pointed out. Rising overall occupancy is positive for Apollo Hospitals. ARPOB (Average Revenue Per Operating Bed) grew by 14% to ` ₹57,391 in Q2FY24.
Revenue from hospital services business increased by 12.7% to Rs 2,566 crore
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Overall, operating income was up 14% on ₹4847 crores. Apollo HealthCo Revenue Up 17% YoY ₹1,945 million; GMV Apollo 247 at ₹726 kroner (147% more than the previous year, 16% sequentially). In 2QFY24, EBITDA losses narrowed by 32% sequentially ₹38.7 million. This was due to a reduction in digital operating costs and an increase in pharmacy distribution operating income. CFO Akhileswaran said Apollo Heathco’s operations are expected to be completely break-even in 4QFY24 (post ESOP).
Breakthrough to Q4 will add significantly to overall earnings as Apollo Hospitals (offline/online pharmacy and Apollo 24/7) contribute 40% to sales
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