Dr. Agarwal’s Healthcare Limited has announced its financial results for the first quarter of FY27, reporting a 24% year-on-year increase in total income, reaching ₹620 crore. Revenue from operations grew by 26% to ₹614 crore, driven by the commissioning of 18 new greenfield facilities. The company also saw a 25.2% rise in Ind AS EBITDA to ₹177 crore, with margins improving to 28.5%.
Strong Q1 FY27 Performance
Dr. Agarwal’s Healthcare Limited has commenced the new fiscal year with robust financial performance. For the first quarter of FY27, the company reported a 24% year-on-year increase in total income, reaching ₹620 crore. Revenue from operations witnessed a significant jump of 26%, totaling ₹614 crore. This growth was achieved alongside the commissioning of 16 new surgical facilities, the highest ever in a single quarter, contributing to sequential revenue growth of 8.8%.
EBITDA and Margin Expansion
The company delivered a strong Ind AS EBITDA of ₹177 crore, marking a 25.2% year-on-year growth. EBITDA margins improved to 28.5%, up by 30 basis points. PAT (Profit After Tax) margins expanded by 127 basis points to 8.9%, despite ongoing greenfield losses from 23 surgical new facilities launched in the previous six months.
Network Expansion
Dr. Agarwal’s Healthcare significantly expanded its footprint in Q1 FY27 by commissioning 18 new greenfield facilities. These included one large tertiary facility and 15 secondary facilities across various states. The company now operates a network of 285 facilities across 14 states and 5 union territories, serving over 8.8 lakh patients and performing over 90,000 surgeries during the quarter. The ‘greenfield engine’ has been a key driver of network growth, with 166 new facilities added since FY23.
Clinical Excellence and Innovation
The company highlighted advancements in clinical excellence, with high-end cataract surgeries accounting for 29.3% of total cataract surgeries. Robotic cataract surgeries (Femto Cataract) grew by 33.4% year-on-year, and SMILE surgeries for refractive procedures increased by 36.2%. Retinal surgeries crossed 3,861 procedures, up 30% year-on-year. A key innovation mentioned is Pinhole Pupilloplasty (PPP), a procedure developed to offer an alternative to corneal transplants, potentially transforming vision restoration.
Region-wise Performance and Future Outlook
The Southern region remains the largest market, contributing 63% of group revenue with a 22.8% year-on-year growth. The Western region contributed 15% of revenue, showing a 24% year-on-year increase. The North region, a fast-growing segment, contributed 9% of revenues with a 50.5% year-on-year increase. Looking ahead, the company plans to add 60 new facilities in FY27, including 40 surgical centers, and remains focused on operational efficiency and market penetration.
Financial Deep Dive
Surgical services constitute 66% of group revenue, with diagnostics and consultations at 12%, and optical products and pharmacy items at 22%. Approximately 91,000 surgeries were performed in Q1 FY27, a 15.5% year-on-year increase. Cataract surgeries remain the largest contributor at 74% of total surgeries. The group’s revenue from operations grew by 26% year-on-year to INR614 crore. Gross margins improved, and finance costs saw a reduction due to the repayment of deferred acquisition payables.
Source: BSE
