HealthCare Global Enterprises Ltd. reports Q1 FY22 results
Revenue for Q1 FY22 of INR 3,231 Million, a growth of 67% (y-o-y) and 8.4% (q-o-q)
EBITDA for Q1 FY22 of INR 547 Million, a growth of 148% (y-o-y) and 25% (q-o-q)
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 (“Q1”) ended June 30, 2021.
Consolidated Income from Operations (“Revenue”) was INR 3,231 mn as compared to INR 1,935 mn in the corresponding quarter of the previous year, reflecting a year-on-year growth of 67%
Consolidated Profit Before Depreciation and Amortization, Finance Costs, Exceptional Items and Taxes (“EBITDA”) was INR 547 mn, as compared to INR 221 mn in the corresponding quarter of the previous year, a growth of 148% year-on-year and 25% quarter-on-quarter
Consolidated Profit Before Other Income, Depreciation and Amortization, Finance Costs, Exceptional Items and Taxes (“Operating EBITDA”), was INR 512 mn, as compared to INR 194 mn in the corresponding quarter of the previous year, a growth of 165% year-on-year and 30% quarter-on-quarter
Operating EBITDA for Existing centers was INR 531 mn, a growth of 109% year-on-year and 21% quarter-on-quarter, reflecting an Operating EBITDA margin of 21%
Operating EBITDA loss from New center was INR 19 mn, as compared to loss of INR 61 mn in the corresponding quarter of the previous year and INR 46 mn in the previous quarter, a reduction of 68% year-on-year and 58% quarter-on-quarter
Consolidated Profit after Taxes and Minority Interest (“PAT”) was a loss of INR 96 mn, as compared to loss of INR 398 mn in the corresponding quarter of the previous year, a reduction of 76% year-on-year
Profit before depreciation and amortization, finance costs, exceptional items and taxes
EBITDA excluding other income
Profit / (Loss) before tax and after share of profit / (loss) of equity accounted investee
Profit / (Loss) for the period after share of profit / (loss) of equity accounted investee, taxes and minority interests
Business Updates for Q1 FY22
Record performance with ‘all-time high’ operating financials delivered across the business:
Highest ever monthly and quarterly Revenue and EBITDA delivered during the quarter
Strong sequential & annual revenue growth, inspite of lower than industry impact in previous year
HCG New centers continued their scale-up trajectory:
Strong revenue growth of 124% y-o-y and 30% q-o-q
Reduced losses with several centers achieving operating EBITDA break-even (unit level)
Amidst COVID-led disruptions, several regions delivered double-digit revenue growth on sequential basis
Gujarat demonstrated growth across oncology and multi-specialty businesses, with revenue growth of 14.8% q-o-q
Maharashtra saw strong ramp-up across all centers delivering 15.2% revenue growth q-o-q
New oncology center in Jaipur delivered 18.8% q-o-q revenue growth
Continue to drive clinical excellence and patient care across businesses
Setup Mucormycosis ‘Black fungus’ treatment program with highest procedures & best outcomes
Actively drove vaccination programs across regions; contributed ~3% of revenues for the quarter
Milann maintained profitability in operations inspite of 2nd wave and strengthened clinical talent
Commenting on the results, Dr. B.S. Ajaikumar, Executive Chairman, HealthCare Global Enterprises Ltd. said, “We are pleased to report Q1 FY22 results having emerged with strong performance on all counts while weathering the 2nd wave of the pandemic. The quarter started with rising cases, travel restrictions and lockdowns, which threatened to disrupt operations substantially, but we are proud to say that we were not only able to maintain continuity of treatment for cancer patients through usage of technology systems, but also ensured the highest quality of care. HCG has institutionalised tumour boards, research and academics across its centers and continues to bring globally comparable outcomes to every patient, along with creating last mile access and better quality of life. With growing oncology disease burden, the inherent strengths and future outlook of the HCG model is best suited to provide superior outcomes for patients while sustainably achieving the desired objectives of all stakeholders, over the coming years.”
Mr. Raj Gore, CEO, HealthCare Global Enterprises Ltd. added, “We are satisfied with the performance in Q1-FY22, which was also during one of the most testing times we may have seen in our lives. The fact that we have not only emerged successfully, but also created new performance benchmarks as an organization, is a testament to the clinical expertise and overall value proposition that we offer. HCG’s large patient catchment of over 640mn population in states of presence and market position across these regions is a great platform helping us in redefining quality of care and outcomes at scale, thus driving clinical and geographic leadership. We continue to focus on disciplined capital allocation as we implement strategic initiatives across business development and digital health, while carrying strong momentum from Q1 into the current quarter. We are excited about the next few years as being truly transformative for HCG, to continue our dominant leadership in oncology, while delivering strong return on capital and meeting our responsibilities towards all stakeholders.”