Apollo Hospitals (APOLLOHOSP) Q2 24/25 earnings summary

Executive summary

• Consolidated revenue grew 15% year-over-year to ₹55,893 million in Q2 FY25, with EBITDA up 30% to ₹8,155 million and PAT up 63% to ₹3,788 million, driven by strong growth across healthcare services, diagnostics, and digital health.

• H1 FY25 consolidated revenue reached ₹106,749 million, up 15% YoY, with EBITDA at ₹14,906 million (up 31%) and PAT at ₹6,840 million (up 71%).

• Apollo HealthCo reported its first-ever quarterly profit, contributing to improved consolidated PAT.

• Major expansion initiatives include agreements for a 500-bed hospital in Mumbai and expansion of the Lucknow facility.

Financial highlights

• Q2 FY25 consolidated revenue: ₹55,893 million (+15% YoY); EBITDA: ₹8,155 million (+30% YoY, margin 14.6%); PAT: ₹3,788 million (+63% YoY); Diluted EPS: ₹26.34.

• Healthcare services Q2 revenue: ₹29,032 million (+14% YoY, margin 24.9%); Apollo HealthCo revenue: ₹22,822 million (+17% YoY); AHLL revenue: ₹4,039 million (+14% YoY, margin 10.3%).

• Apollo HealthCo EBITDA (excluding 24/7 costs) at ₹1,870 million, up 18% YoY; reported EBITDA at ₹521 million, more than double sequentially.

• Group occupancy increased to 73% year-over-year and sequentially.

• ARPOB up 3% YoY to ₹59,011.

Outlook and guidance

• Targeting combined revenue of ₹250,000 million (including Keimed) in three years with 7%-8% EBITDA margin.

• Expansion plans include commissioning over 3,500 new beds across multiple regions by FY26 and over the next 3-4 years, with a total project cost of ₹61,000 million.

• Online segment expected to achieve break-even in five to six quarters.

• ARPOB growth of 6% anticipated in coming quarters, with a market-based approach to payer and case mix.