Manipal Health Enterprises Q1 net profit declines 8% despite 38% revenue growth

Hospital chain Manipal Health Enterprises Ltd on Thursday (August 20) reported a 7.7% year-on-year decline in net profit to ₹231 crore for the first quarter of FY27, compared with ₹250 crore in the year-ago quarter.

Revenue grew 38.1% year-on-year to ₹3,091 crore in Q1 FY27 from ₹2,238 crore in the corresponding quarter last year.

Earnings before interest, tax, depreciation and amortisation (EBITDA) increased 25.6% to ₹736.5 crore from ₹586.5 crore a year ago. The EBITDA margin stood at 23.8%, compared with 26.2% in the year-ago quarter.

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Manipal Health said patient-led growth and momentum in specialty care supported its performance across the network during the first quarter of FY27.

Inpatient and outpatient volumes grew 38.8% and 26%, respectively, during the quarter. Occupancy improved by 290 basis points year-on-year to 65%, as the network continued to absorb recently added capacity.

Average Revenue Per Occupied Bed (ARPOB), excluding Sahyadri, stood at ₹77,200 per day, up 8.7% year-on-year, reflecting improved revenue intensity across the existing network.

Sahyadri Hospitals continued to contribute to the network’s performance during the quarter, with integration progressing across clinical and operational functions.

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Sahyadri recorded 12.8% revenue growth and 18.7% EBITDA growth year-on-year, supported by higher ARPOB and improved operating efficiency. The integration is expected to unlock further benefits through greater clinical integration, shared capabilities and operating scale.

Gross inpatient revenue from CONGO-R specialties grew 45% year-on-year, with the specialty mix increasing to 65.4%. Oncology and Orthopedics were key growth drivers, with inpatient revenue increasing 62% and 49%, respectively, supported by broad-based momentum across the CONGO-R portfolio.

Manipal Health has proposed the re-appointment of Dr Hebri Sudarshan Ballal as Director, who is liable to retire by rotation, at the 16th Annual General Meeting, subject to approval from the company’s members.

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The company has also proposed the re-appointment of Puneet Bhatia as Director, who is liable to retire by rotation, at the 16th Annual General Meeting, subject to members’ approval.

Shares of Manipal Health Enterprises Ltd ended at ₹724.25, down by ₹20.30, or 2.73%, on the BSE.