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Healthcare major Aster DM Q1 profit slumps 81 pc to Rs 16 crore

Source: IANS - Business
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Healthcare major Aster DM Q1 profit slumps 81 pc to Rs 16 crore

Mumbai, Aug 5 — Aster DM Quality Care on Wednesday reported over 81 per cent decline in net profit for the quarter ended June 2026 (Q1 FY27).

The healthcare major posted a consolidated net profit of Rs 16.1 crore in the first quarter, down 81.2 per cent from Rs 85.5 crore recorded in the corresponding period last financial year (Q1 FY26), according to its stock exchange filing.

The decline in profitability came despite healthy growth in patient volumes and improved operational efficiency across its hospital network.

Revenue from operations rose 21.6 per cent year-on-year to Rs 1,311 crore during the quarter, compared with Rs 1,078 crore a year ago.

The growth was driven by higher patient footfalls and stronger performance across both mature and emerging hospitals.

At the operating level, earnings before interest, tax, depreciation and amortisation (EBITDA) increased 27.5 per cent to Rs 264.3 crore from Rs 207.4 crore in the year-ago period.

EBITDA margin improved to 20.2 per cent from 19.2 per cent, as per its filing. The company said total patient volumes grew 16 per cent year-on-year during the quarter.

Revenue from mature hospitals rose 19 per cent, while emerging hospitals recorded a sharp 95 per cent increase in revenue, supported by rising utilisation levels and expanding healthcare demand.

Commenting on the results, Managing Director and Group CEO Varun Khanna said the merger and formation of Aster DM Quality Care following the integration of Aster DM Healthcare and Quality Care India marked a significant milestone for the company.

On a combined proforma basis, the merged entity reported revenue of Rs 2,597 crore during the quarter, up 20 per cent year-on-year.

Operating EBITDA rose 30 per cent to Rs 576 crore, while EBITDA margin expanded by 170 basis points to 22.2 per cent.

Khanna said the combined platform served nearly 2 million outpatient and inpatient visits during the quarter, representing a 13 per cent increase from the year-ago period.

The company said its focus will remain on integrating operations, improving efficiencies and strengthening patient care delivery across its expanded healthcare network.

Shares of Aster DM Quality Care ended 0.2 per cent lower at Rs 833 ahead of the earnings announcement.