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Healthcare major Manipal Health Enterprises Ltd on Friday (November 13) reported a 13.2% year-on-year decline in net profit to ₹270 crore for the second quarter of FY27, compared with ₹311 crore in the corresponding quarter last year.
Revenue from operations rose 37.3% year-on-year to ₹3,399 crore in the September quarter, compared with ₹2,475 crore a year ago.
Earnings before interest, taxes, depreciation and amortisation (EBITDA) increased 29.8% to ₹872 crore from ₹672 crore in the year-ago period. However, the EBITDA margin contracted to 26% in the second quarter, compared with 27% in the corresponding quarter of the previous financial year.
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First Half
For the first half of FY27, revenue increased 37.7% year-on-year to ₹6,490 crore, while EBITDA grew 28.2% to ₹1,631 crore. Excluding a one-off gain of ₹15 crore in H1 FY26, EBITDA growth stood at 29.8%. The current-period consolidated results include Sahyadri Hospitals, acquired on October 3, 2025, while the corresponding year-ago periods do not.
The company reported profit after tax (PAT) of ₹285 crore in Q2 FY27. PAT excluding exceptional items stood at ₹380 crore, marking a 21.6% year-on-year increase. Additionally, excluding ₹75 crore of post-tax interest on non-convertible debentures (NCDs) raised for the Sahyadri acquisition, PAT stood at ₹455 crore, up 45.6%.
Operating performance during the quarter was supported by growth in patient volumes and occupancy. Inpatient volumes increased 35% to approximately 1.69 lakh, while outpatient volumes rose 27.2% to approximately 17.4 lakh. Occupancy improved 160 basis points year-on-year to 70.1%, with average operational capacity of 7,331 beds and an average length of stay of 2.8 days.
The company opened its 300-licensed-bed Electronic City hospital in Bengaluru during the quarter, taking its total licensed bed capacity to 13,440 as of September 30, 2026.
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Consolidated average revenue per occupied bed (ARPOB) stood at ₹70,600 per day. Excluding Sahyadri, ARPOB was ₹76,600 per day, registering 8.5% year-on-year growth. Net debt, excluding lease liabilities, stood at ₹343 crore at the end of the quarter, with net debt to annualised EBITDA at 0.10 times.
Sahyadri Integration
Sahyadri Hospitals contributed ₹375 crore in revenue and ₹73 crore in EBITDA during Q2 FY27. For H1 FY27, its revenue stood at ₹707 crore, up 17.8%, while EBITDA increased 24.1% to ₹131 crore. Sahyadri's occupancy for the first half stood at 67%, improving 270 basis points year-on-year, while ARPOB increased 12.5% to ₹44,100 per day.
The integration process progressed with the rollout of centralised procurement rates and the addition and enhancement of clinical capabilities and programmes. Digital revenue contribution at Sahyadri reached 11%, supported by continued digital engagement and community outreach initiatives.
The phased brand transition has been initiated, with completion targeted for Q4 FY27. The nine-hospital Pune cluster is also being developed as an integrated network with shared leadership, referrals and clinical capabilities.
High-Acuity Specialties Drive Growth
The company's six CONGO-R Centres of Excellence — Cardiac Sciences, Oncology, Neurosciences, Gastroenterology, Orthopaedics and Renal Sciences — continued to support high-acuity care across the network.
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During H1 FY27, oncology revenue grew 51% year-on-year, while neurosciences revenue increased 47% and orthopaedics grew 44%. Cardiac sciences, gastroenterology and renal sciences recorded revenue growth of 39%, 36% and 38%, respectively. These consolidated growth rates include the expanded network as well as operating performance.
Dilip Jose, Managing Director and CEO, Manipal Hospitals, said, "We are pleased that our performance this quarter has been driven by volumes, with more patients accessing our care, and we believe this is the sustainable option for growth in care delivery.
Improved capacity utilisation, particularly in high-acuity specialties continued to be a key driver while maintaining focus on strengthening our clinical capabilities, improving operational performance and building a more integrated healthcare platform."
Shares of Manipal Health Enterprises Ltd ended at ₹680.00, up by ₹3.25, or 0.48%, on the BSE.
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