Entero Healthcare Solutions (ENTERO) Q4 24/25 earnings summary

Executive summary

• FY25 revenue was ₹5,095.8 crore, up 30% YoY; EBITDA rose 53% to ₹171.5 crore and PAT rose 170% to ₹107.4 crore.

• FY25 growth exceeded IPM growth of 8%; 10 acquisitions completed during the year contributed ₹792 crore in annualized revenue.

• Positive H2 operating cash flow of ~₹50 crore contrasted with negative FY25 operating cash flow of ₹76.9 crore.

• Auditors issued unmodified opinions on standalone and consolidated audited results.

Financial highlights

• FY25 revenue was ₹5,095.8 crore vs ₹3,922.3 crore in FY24; organic growth was 16%, against 8% IPM growth.

• FY25 gross profit was ₹486.3 crore, up 38%; gross margin rose 57 bps to 9.5%.

• FY25 EBITDA was ₹171.5 crore, up 53%, with margin up 52 bps to 3.4%; PBT was ₹138.7 crore vs ₹35.6 crore.

• Q4 revenue was ₹1,339 crore, up 29% YoY, with 11% organic growth; gross margin was 9.8%, EBITDA rose 69% to ₹48.9 crore, and PAT increased 48% to ₹31 crore.

• FY25 consolidated EPS was ₹21.80 basic and ₹21.76 diluted, vs ₹10.81 for both measures in FY24.

Outlook and guidance

• FY26 revenue growth target is above 30%, supported by organic growth, full-year contributions from FY25 acquisitions and further acquisitions.

• FY26 organic growth assumption is 15%-16% against 8% IPM growth; organic growth is expected at 1.5x-2x industry growth.

• FY26 full-year EBITDA margin target is above 4%; quarterly margin guidance was not provided.

• Positive full-year operating cash flow is targeted for FY26 through margin expansion and working-capital improvement; near-term working-capital target is 60 days.

• Longer-term targets include EBITDA margin toward 5% beyond FY26 and ROE of 15%-20% after achieving margin and working-capital goals.