HealthCare Global Enterprises Limited (HCG) has announced its Q1 FY27 financial results, reporting a 13% year-on-year increase in revenue to INR 6,951 million. This growth was driven by an 11% rise in patient volumes and a 2% increase in Average Realisation Per Occupied Bed (ARPOB). Adjusted EBITDA saw a significant 20% jump to INR 1,339 million, with margins improving to 19.4%. The company also highlighted progress in its expansion plans and clinical capabilities.
HealthCare Global Enterprises Limited Reports Strong Q1 FY27 Performance
HealthCare Global Enterprises Limited (HCG) has commenced the fiscal year 2027 on a strong note, reporting robust financial results for the first quarter ended June 30, 2026. The company’s revenue for the quarter stood at INR 6,951 million, marking a significant 13% year-on-year growth. This performance reflects sustained patient demand and improved operational execution across its network.
Key Financial Highlights
The revenue growth was primarily fueled by an 11% increase in patient volumes and a 2% rise in Average Realisation Per Occupied Bed (ARPOB). While ARPOB was influenced by a favourable payor mix, it was partly offset by changes in case mix. The newly operational North Bangalore hospital contributed INR 67 million in its first quarter of operations.
On the profitability front, reported EBITDA, excluding losses from the North Bangalore hospital and one-off costs, was INR 1,223 million. Adjusted EBITDA surged by 20% year-on-year to INR 1,339 million. This led to an improvement in EBITDA margins to 19.4% from 18.2% in the same quarter last year, underscoring the strengthening operational performance.
Operational and Expansion Updates
HCG’s strategic initiatives are translating into visible outcomes, with non-institutional business revenue growing by 17% year-on-year. The non-institutional contribution to revenue increased from 67% in Q1 FY26 to 69% in Q1 FY27, a key driver for sustainable profitability.
The company reported strong performance across its operating clusters. The South cluster saw revenue growth of approximately 16% year-on-year, while the West cluster reported a 9% growth, led by the Maharashtra region. The East cluster delivered a robust 22% revenue growth, driven by volume expansion.
Capacity expansion remains a priority, with 121 operational beds added across the network during the quarter. HCG has plans to add further capacity with 65 beds in FY27, 520 beds in FY28 and FY29, and 230 beds in FY30. Nearly 60% of this expansion will come from brownfield projects.
Clinical capabilities are being enhanced with investments in advanced technologies, including the commissioning of a new LINAC in Rajkot and the addition of two surgical robotic systems. HCG successfully managed complex oncology cases, reinforcing its position as a referral destination for advanced cancer care.
Outlook
HCG is confident in delivering mid-teens revenue growth from existing and new centers. The company’s focus remains on margin improvement through better payor mix, higher complexity of clinical work, and operational leverage. The long-term aspiration is to achieve 24%-25% EBITDA margins in the next few years.
Source: BSE
