Aster DM Healthcare surges 7.5% following strong Q1 earnings

Aster DM Healthcare shares: Aster DM Healthcare's shares surged by as much as 7.5 per cent to hit an intraday high of Rs 373, after the company reported strong financial results for the quarter ending June 30, 2024. The leading integrated healthcare service provider in the country announced strong year-on-year growth in revenue and profits, reflecting the company's robust performance.

Key financial highlights from Q1 FY25 include:

• Revenue: Increased by 20 per cent YoY to Rs 1,002 crore from Rs 838 crore in Q1 FY24.
• Operating EBITDA: Rose by 39 per cent YoY to Rs 177 crore, compared to Rs 128 crore in the previous year. Operating EBITDA margins improved to 17.7 per cent from 15.3 per cent.
• Profit Before Tax (PBT): Grew by 125 per cent YoY to Rs 123 crore from Rs 54 crore in Q1 FY24.
• Net Profit (post NCI): Increased by 80 per cent YoY to Rs 74 crore, up from Rs 41 crore.

Azad Moopen, Founder and Chairman of Aster DM Healthcare, highlighted the quarter's significance as a pivotal moment for the company, marking its transition to a pure-play India entity following the segregation of its GCC business. The India business achieved its highest-ever revenue performance, driven by increased bed capacity and growth in Average Revenue Per Occupied Bed (ARPOB).

Key highlights:

• Core Hospital & Clinics Business: Achieved an Operating EBITDA margin of approximately 21 per cent.
• Matured Hospitals (>6 years): Recorded Operating EBITDA margins of 23.2 per cent.
• Whitefield Hospital (Bangalore): Achieved 65 per cent occupancy levels with an ARPOB above Rs 70,000.
• Regional Growth: Karnataka and Maharashtra clusters saw revenue growth of 38 per cent YoY and operating EBITDA growth of 55 per cent.
• Aster Labs: Continued positive momentum with a 15 per cent YoY increase in revenue and a positive operating EBITDA margin.

As of 11:21 am, Aster DM Healthcare shares traded 6.73 per cent higher at Rs 370.30, outperforming the Sensex which was up 0.2 per cent.