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Aster DM Healthcare Q1 PAT rises 34% YoY

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Capital Market
Last Updated : Aug 12 2022 | 1:04 PM IST

Aster DM Healthcare's consolidated net profit rose 33.8% to Rs 79.77 crore on a 12.3% rise in revenue from operations to Rs 2,662.12 crore in Q1 FY23 over Q1 FY22.

Profit before tax increased by 20.9% to Rs 85.22 crore in Q1 FY23 as against Rs 70.49 crore in Q1 FY22.

Total expenses rose 13.14% year on year to Rs 2,613.78 crore in the quarter ended 30 June 2022. Medicines and consumables cost stood at Rs 917.75 (up 14% YoY) and employee benefits expense was at Rs 939.41 crore (up 24% YoY).

EBITDA (excluding other income) increased by 4% to Rs 292 crore in Q1 FY23 as against Rs 281 crore posted in Q1 FY22. Excluding losses due to new hospitals, EBITDA stands at Rs 312 crore, a growth of 11% YoY.

Among business segments, revenue from Hospitals jumped 10.9% to Rs 1,519.76 crore in Q1 FY23 from Rs 1,370.51 crore in Q1 FY22. Revenue from Clinics slipped 4.46% to Rs 536.88 crore in Q1 FY23 as against Rs 561.94 crore in Q1 FY22. Revenue from Retail Pharmacies (including opticals) soared 37.49% to Rs 600.08 crore in Q1 FY23 as against Rs 436.46 crore in Q1 FY22.

Commenting on the performance, Azad Moopen, founder, chairman and managing director of Aster DM Healthcare said, We have started Q1 on a positive note with revenue growth of 12% on a consolidated basis. Revenue in the GCC increased 10% over last year while strong growth momentum in India continued, with revenues growing 18% over Q1 FY 22. Adjusting for contribution from Covid testing last year, GCC revenues grew 18%. In India revenues grew 26% when adjusting for Covid related vaccinations. During Q1, we started operations management of the 140-bed Aster Mother Hospital in Areekode in Kerala, kick starting our planned brown field, low capex initiatives which give a much better ROI and improve our efficiencies. We are looking at more such opportunities in various parts of India.

He added, We have submitted plans for the proposed integrated advanced healthcare facility at Trivandrum, capital of Kerala named as Aster Capital Hospital. The hospital is planned to be a 550-bed facility with the first phase having a capacity of 350 beds expected to be operational by FY 26. Aster Labs entered four other states: Maharashtra, Tamil Nadu, Andhra Pradesh, and Telangana. As of 30 June 2022, there were 2 reference labs, 15 satellite labs and 109 patient experience centers. We expanded Aster Pharmacy branded retail stores in India, operated by Alfaone Retail Pharmacies Private Limited or ARPPL, to 176 pharmacies as of 30 June 2022. As part of its service proposition, Aster Pharmacy in India plans to launch its e-commerce operations, in the second half of FY23.

Alisha Moopen, deputy managing director of Aster DM Healthcare said, We have two of our new hospitals ready for operation Aster Sharjah, which has 101 beds the soft launch of which happened during Q1 and Aster Royal at Oman with 145 beds. We are excited to get them operational in Quarter 2 of this Year as we expand our footprint in GCC. Our new initiatives in Digital expansion continue along the planned lines. We did successful launch of our Digital App in GCC which shall be made available in India soon.

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Aster DM Healthcare operates in various segments of the healthcare industry, which include hospitals, clinics and retail pharmacies, and provides healthcare services to patients across economic segments in various gulf corporation council (GCC) states through its various brands, such as Aster, Medcare and Access.

Shares of Aster DM Healthcare declined 7.46% to Rs 219.50 on the BSE.

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First Published: Aug 12 2022 | 12:52 PM IST

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