HealthCare Global Enterprises reports 14% revenue growth and 59% PAT increase in Q1 FY25

New Delhi: HealthCare Global Enterprises Limited (HCG) has achieved a significant revenue of INR 5,256 million for the first quarter of FY25, representing a robust 14% increase compared to the same period last year.

In addition to a substantial rise in revenue, HCG’s adjusted EBITDA for Q1 FY25 climbed to INR 929 million, reflecting a growth of 21% year-on-year. The reported EBITDA reached INR 909 million, an increase of 22% from the previous year, with EBITDA margins improving to 17.3% from 16.1%. Notably, EBITDA from established centers rose to INR 1,024 million, an 18% increase year-on-year, while EBITDA from emerging centers turned positive at INR 42 million, compared to a negative INR 12 million in the previous year. 

Profit After Tax (PAT) for the quarter surged to INR 121 million, marking a substantial 59% growth year-over-year, with PAT margins increasing to 2.3% from 1.7% in the same quarter last year. Earnings per Share (EPS) for the quarter stood at INR 0.9, up from INR 0.5 a year earlier.

Dr. B.S. Ajaikumar, Executive Chairman of HCG, expressed, “During the quarter, we expanded our footprint and portfolio by virtue of the acquisition of Vizag-based Mahatma Gandhi Cancer Hospital and Research Institute. Going forward, Vizag will undoubtedly play a key role in shaping our growth strides. Having already established a strong brand in the region, we will in good time consolidate our presence to become the single largest player in the region. As we move forward, our commitment to providing innovation-focused, technology-enabled, value-based cancer care will help us expand our reach to serve more communities across new geographies.”

CEO Raj Gore also highlighted, “We are pleased to announce that our revenue for the quarter has increased by 16.7% year-over-year excluding revenues from discontinued MSR operations. Our EBITDA grew by 22.3% year-over-year, demonstrating significant operational leverage in our business. The EBITDA margin for Q1 was 17.3%, a 120-bps increase year-over-year, continuing the upward trend we have observed in recent quarters and remain optimistic about further improvements.” 

“Our consistent revenue growth is driven by volume increases across modalities and enhanced operational performance, supported by the strong results of our established centers and the progress in our emerging centers. We have been diligently working to turn around operations at our emerging centers, and we are excited to report that our Kolkata center has shown promising growth and is now contributing to our overall EBITDA. We are confident that the emerging centers will see revenue growth and margin expansion over the next 12 months, significantly contributing to overall margins,” he added.

Gore expressed, “With the momentum from our recent acquisition and the ongoing support of our partners, we are well-positioned for sustained growth and innovation. We look forward to building on this strong foundation as we continue our mission to improve patient outcomes and set new standards in cancer treatment.”