Aster DM Quality Care (ASTERDM) Q4 23/24 earnings summary

Executive summary

• Completed the India-GCC separation; India operations reported FY24 revenue of INR 3,699 crore and adjusted PAT of INR 240 crore, up 24% and 63% YoY, respectively.

• Core hospital business delivered ~20% operating EBITDA margin; capacity increased by 550+ beds, with 286 beds added at Whitefield.

Financial highlights

• FY24 revenue was INR 3,699 crore, up 24% YoY; operating EBITDA was INR 620 crore, up 30%, and EBITDA post Ind AS was INR 588 crore, up 30%.

• FY24 PBT was INR 281 crore, up 34%; PAT post-NCI was INR 188 crore, up 28%, and adjusted PAT was INR 240 crore, up 63%.

• Q4 FY24 revenue was INR 978 crore, up 22% YoY; operating EBITDA was INR 167 crore, up 24%, and adjusted PAT was INR 87 crore, versus INR 48 crore.

• FY24 hospital revenue was INR 3,519 crore and operating EBITDA INR 688 crore; Labs and Pharmacies revenue was INR 286 crore, up 32%, with operating EBITDA of INR (13) crore.

Outlook and guidance

• Plans call for ~1,700 additional beds and total capacity of 6,500+ by FY27; Aster Medcity and Aster CMI are targeted to expand to 950+ and 850+ beds, respectively.

• Greenfield and brownfield expansion, specialty mix improvement, cost initiatives, asset-light growth, inorganic opportunities and virtual care are strategic priorities.