Max Healthcare posted its fiscal first quarter profit at Rs 240.08 crore, up 38.9 per cent in comparison to Rs 172.83 crore during the same period last year, aided by increased bed additions. It posted revenue from operations at Rs 1284.99 crore, up 20.4 per cent as against Rs 1066.90 crore during the first quarter of FY23. The company EBITDA stood at Rs 337.4 crore, up 27.3 per cent on-year. While Max Healthcare posted a total income of Rs 1326.31 crore, total expenses during the quarter ended June 2023 stood at Rs 1022.82 crore.
“I am happy that despite the traditionally weak Q1, we could deliver our highest ever quarterly revenue and improve profitability at bed level. While our installed capacity increased by 4 per cent on YoY basis, we maintained our occupancy levels with higher occupied beds across the network,” said Abhay Soi, Chairman and Managing Director, Max Healthcare Institute Ltd.
The network operating EBITDA during the quarter was Rs 436 crore, up +18 per cent YoY. EBITDA per bed improved to Rs 70.4 lakh in Q1FY24, from Rs 62 lakh in Q1FY23. “Compared to Q4, the operating EBITDA and EBITDA per bed were flat as traditionally Q1 profitability is impacted due to annual merit increase and summer vacations,” it said.
Cash from Operations, meanwhile, was Rs 261 crore in Q1FY24, out of which Rs 38 crore was spent towards ongoing capacity expansion projects. The cash generation was impacted by increase in accounts receivables and expediting of routine capex for the year. Max Healthcare’s net cash as on June 30, 2023 stood at Rs 957 crore. Further, bed capacity in the first quarter stood at 74 per cent and Occupied Bed Days (OBD) grew by +3 per cent YoY. Network bed capacity, meanwhile, stood at 3,550 beds after addition of 30 new beds at Max Shalimar Bagh, over and above the 92 bed Oncology Block commissioned in March 2023. Max Shalimar Bagh saw a capacity addition of 122 beds in recent months and reported a YoY revenue and EBITDA growth of +37 per cent and +43 per cent respectively, with an average occupancy of 77 per cent.
Max Healthcare’s international patient revenue increased by over 31 per cent on-year and the share of international patient revenues stood at 9 per cent of the hospital revenue during the quarter. The healthcare company provided free treatment to 37,516 patients in OPD and 1,260 patients in IPD from the economically weaker sections.
Meanwhile, Max Lab (non-captive pathology vertical) reported gross revenue of Rs 34 crore during the quarter, recording a growth of +39 per cent YoY on a like to like basis (excluding Covid-19 related tests). Max@Home gross revenue during Q1FY24 was Rs 40 crore, up +24 per cent. “In the past year, we have significantly strengthened our projects and digital teams to reinforce our thrust in both these areas, which is intrinsic to our growth going forward. I am proud of the success and positive feedback received for our Max MyHealth app which has now been fully rolled out,” said Abhay Soi.
ARPOB improved to Rs 74.8 thousand in Q1FY24 as against Rs 66.0 thousand in Q1FY23. “Price revisions (including increase in CGHS tariff by Union Health Ministry) along with disparate growth in key specialty revenue including Oncology, Orthopaedics and Cardiology contributed to YoY growth in ARPOB,” it said.