HealthCare Global Enterprises Limited (“HCG”), the leader in India in speciality healthcare services focused on oncology and fertility today announced its financial results for the quarter (“Q4”) and year ended FY23.
Highlights for quarter ended March 31st, 2023
- Consolidated Income from Operations (“Revenue”) was INR 4,417 mn as compared to INR 3,639 mn in the corresponding quarter of the previous year, reflecting a year-on-year growth of 21.0%
- Consolidated Profit Before Depreciation and Amortization, Finance Costs, Exceptional Items and Taxes (“EBITDA”) was INR 763 mn, as compared to INR 632 mn in the corresponding quarter of the previous year, a growth of 21% year-on-year
- Consolidated Profit Before Other Income, Depreciation and Amortization, Finance Costs, Exceptional Items and Taxes (“Adjusted EBITDA”), was INR 831 mn, as compared to INR 676 mn in the corresponding quarter of the previous year, a growth of 23% year-on-year
- EBITDA for Existing centers was INR 770 mn, a growth of 14% year-on-year
- EBITDA from New centers was INR 83 mn, as compared to INR 37 mn in the corresponding quarter of the previous year, a growth of 122%
- Consolidated Profit after Taxes and Minority Interest (“PAT”) was a profit of INR 84 mn, as compared to INR 60 mn in the corresponding quarter of the previous year, a growth of 40%
INR million except earnings per share
| Period ended Mar’23 | Q4-FY23 | Q4-FY22 | Growth (y-o-y) | |||||
| Income from Operations | 4,417 | 3,646 | 21% | |||||
| EBITDA(1) | 763 | 632 | 21% | |||||
| EBITDA margin (%) | 17.3% | 17.3% | ||||||
| Adjusted EBITDA (2) | 831 | 676 | 23% | |||||
| Ad. EBITDA margin (%) | 18.8% | 18.5% | ||||||
| PBT (3) | 131 | 9 | 1355% | |||||
| PBT margin % | 3.0% | 0.3% | ||||||
| PAT (4) | 84 | 60 | 40% | |||||
| PAT margin % | 1.9% | 1.6% | ||||||
| Earnings per share (EPS) | 0.60 | 0.54 | – | |||||
(1) Profit before depreciation and amortization, finance costs, exceptional items and taxes
(2) EBITDA excluding other income
(3) Profit / (Loss) before tax and after share of profit / (loss) of equity accounted investee, exceptional items
(4) Profit / (Loss) for the period after share of profit / (loss) of equity accounted investee, taxes and minority interests, exceptional items
Business Updates for Q4 FY24
- HCG Emerging centers continued their scale-up trajectory:
o Strong revenue growth of 32% y-o-y
o Recorded strong EBITDA growth of 122% y-o-y
- Several regions delivered double-digit revenue growth on sequential:
o Kolkata upsurge continued across all centers and delivered 142% revenue growth y-o-y
o Rajkot witnessed a continuance in its growth path with 58% revenue growth y-o-y
o Ranchi recorded a high growth of 51% y-o-y
- Other highlights
o Total AOR for Q4FY23 increased to 65.1% in Q4FY23 compared to 59.9% in Q4FY22
o Emerging centers AOR saw a growth from 65.7% AOR in Q4 FY23 from 52.9% in Q4 FY2
Commenting on the results, Dr. B.S. Ajaikumar, Executive Chairman, HealthCare Global Enterprises Ltd.
said, “HCG being a single specialty hospital network, we have clearly shown how high-quality cancer centres can be established in a country like India, and how well it can perform in terms of clinical outcome and quality of care, at the same time grow financially, in the right way. For me as an Oncologist, and as a founder, it has been satisfying to see how HCG has become a medical destination, today.
Given the quality of our innovation, research, and patient-centricity, HCG ensures access to world-class cancer treatments and services for our patients. At HCG, we actively participate in clinical trials and invest in groundbreaking research to advance the frontiers of cancer treatment. Our Tumor board initiative is a potent platform that brings together a multidisciplinary team of oncology experts to discuss complex cancer cases, share insights, and develop personalized treatment plans. Employing breakthrough technology including Advanced Adaptive AI, Robotics, and Genomics coupled with our pay-per use model for LINACs enables us to provide best-in-class treatment at cost effective prices.
Our relentless fight against cancer is founded on our continuous research and technological innovation towards exploring new therapeutic avenues to move up the value chain of clinical excellence and lasting outcomes.”
Mr. Raj Gore, CEO HealthCare Global Enterprises Ltd., added, “We are extremely happy to announce our stellar performance for FY23. We have been consistently outperforming the industry growth with revenues for FY23 growing by more than 21% on a Y-o-Y basis. Our efforts on operational efficiency coupled with operating leverage has resulted into adjusted EBITDA growth of 31% leading to 139 bps margin expansion which stands at 18.9% in FY23, compared to 17.6% in the previous year.
Our track record of consistent performance reflected in highest ever revenue and EBITDA for 9 and 8 quarters respectively, in a row, is a testimony of meticulous planning and rigor in execution, we have shown as a team.
In addition to driving higher utilization of existing capacity, we would continue to invest in superior clinical expertise, capacity creation and brand building, to fuel future growth, and further fortify our leadership in the industry.
HCG remains to be the trusted healthcare partner for every individual, battling cancer. We are honored to have earned the trust of our patients and the communities we serve, and are committed to upholding that trust every day. Through our relentless endeavor we assure our patients the best of the treatments available across the globe and live up to our promise “Adding Life to Years”