Healthcare Global Enterprises announced its Q3 FY26 results, delivering 13.4% YoY revenue growth to INR 633 crore. Adjusted EBITDA grew by 20% YoY to INR 111 crore, pushing margins to 17.5%. The management emphasized continued focus on strengthening the core oncology platform, clinical excellence in high-complexity cases, and successful monetization through digital channels, which saw a 26% YoY revenue increase.
Q3 FY26 Financial Highlights
Healthcare Global Enterprises (HCG) reported steady operational and financial execution for the quarter ended December 31, 2025 (Q3 FY26). Revenues reached INR 633 crore, marking a 13.4% year-on-year growth. Excluding the fertility business, oncology revenues stood at INR 618 crore, underpinned by 8% YoY patient volume growth.
The Adjusted EBITDA for Q3 FY26 was INR 111 crore, reflecting robust 20% YoY growth. Consequently, EBITDA margins expanded from 16.5% in Q3 FY’25 to 17.5% in Q3 FY’26, driven by improving hospital utilization and operating leverage.
For the 9-month period (9M FY’26), total revenue was INR 1,893 crore (16% YoY growth), with adjusted EBITDA at INR 346 crore (20% YoY growth), resulting in a YTD margin of 18.3%.
Operational Momentum and Strategic Execution
CEO Dr. Manish Mattoo highlighted the company’s focus on establishing the “most trusted outcome-led oncology platform in India”. This strategy involves optimizing the existing network, deepening clinical programs, and enhancing patient engagement.
Clinical Excellence Showcase
Clinical advancements demonstrated during the quarter included:
- Radiation Oncology: Successful treatment of a tumor encircling the optic nerve using the Cyberknife.
- Medical Oncology: Achieving a complete response in a rare BRCA2-positive, HER2-positive PIK3CA mutated breast cancer.
- Surgical Oncology: Performing robotic R0 resections in complex colon and prostate cancer cases.
Digital Engine Monetization
The digital engine demonstrated efficiency improvements. Digital revenue grew 26% YoY despite a reduction in paid media spend. The website contributed 67% of digital revenue, while the mobile app scaled 4.5x to account for 13% of the total. Campaign-led revenue saw a sharp improvement, growing 38% YoY.
Regional Performance Review
Performance remained healthy across clusters:
- The South: Delivered 9% YoY revenue growth, although volumes were temporarily impacted by disruptions in the Andhra Pradesh state-sponsored scheme. Excluding AP, South cluster volume growth was 11% YoY.
- The West: Showed strong revenue growth of 17% YoY, with volume growth at 11% YoY, driven by expanded capacity in Ahmedabad.
- The East: Reported 12% YoY revenue growth, supported by strong inflows in Cuttack and Ranchi. Volume growth was 16% YoY, though ARPP declined 3% YoY due to scheme transition. Management announced plans to add 60 beds to Cuttack Hospital by end of FY ’27.
Growth Outlook and Capital Allocation
HCG is progressing with planned expansions, including two major greenfield projects in Bangalore—North Bangalore (over 120 beds) expected by end of Q4 FY’26—and brownfield additions (e.g., 20 beds at the Centre of Excellence in Bangalore).
Management reiterated the overall growth guidance of 15%+ annually, breaking this down into approximately 10% volume growth and 5% ARPP growth over the next three to four years. They affirmed an aspiration to achieve higher growth and target 23%-24%+ EBITDA margins in the medium term.
The company is planning a Rights Issue to strengthen its balance sheet, though specific utilization details will follow the Board meeting.
Source: BSE
