ETMarkets Management Talk | Growth will come organically as occupancy rises: Yatharth Hospitals

economictimes.indiatimes.com:

After Q2 EBITDA margin expanded by 40 bps to 26.6%, Yatharth Hospitals believes that the margins will be sustainable as growth will come organically as occupancy levels increase.

«Further, initiatives including induction of international business coming in, PET and radiation line becoming operational in the coming quarters, and more higher specialties coming in would support ARPOB improvement which in turn should give the impetus for profitability improvements,» Yatharth Tyagi, Director, Yatharth Hospitals, said. Edited excerpts from an interview:

After reporting the highest ever quarterly revenue in Q2 with a robust YoY growth of 34%, what is the guidance for the rest of the financial year?
Yatharth Hospitals reported stellar performance over the last few years.

In 2023, our revenue jumped by 30% to Rs 520 crore. Continuing on that, during the Q2FY24, profits after taxes went up by an impressive 70% compared to the same period last year and 45% compared to the immediately preceding quarter.

This was driven by remarkable 34% year-over-year growth in revenue to Rs 171 crore during the quarter, with growth across our specialties and improvement in occupancy levels across all our hospitals. We have seen a remarkable improvement in our utilization, with Noida and Greater Noida hospital reported highest occupancy levels of 96% and 73% respectively during the quarter; Noida Extension hospital has received an occupancy level of 45% during quarter compared to 28% in Q2FY23, while our Jhansi Orchha Hospital is now at 20% compared to 5% in Q2FY23.