Apollo Hospitals shares in focus today ahead of Q2 results. Here's what to expect

Shares of Apollo Hospitals will be in focus today as the company will announce its quarterly numbers for the July-September 2024 period.

The company is expected to report strong numbers in the second quarter, led by growth across all segments. Revenues are likely to rise up to 14% year-on-year, and profit for the quarter is seen jumping 54% year-on-year, according to Kotak Equities.

"We bake in 13% YoY sales growth in the hospitals segment in 2QFY25, led by volume pick-up and better occupancies. We expect ARPOB growth to remain moderated due to higher secondary procedures," the brokerage said.


HealthCo sales are likely to grow 15% YoY, driven by growth in pharmacy distribution sales on account of the store expansion as well as traction in 24/7.

EBITDA for the September quarter is seen rising 14% YoY to Rs 720 crore due to higher volumes, growth in specialty segment in Apollo Health, and reduced opex in Apollo 24/7.

EBITDA margin may improve by 63 bps QoQ to 24.2%, but decline 71 bps YoY impacted by higher clinical talent and marketing cost. Offline pharmacy will likely continue its high YoY growth of 17-18%.

"With enhanced footfalls in primary care, lower customer acquisition costs, and focus on omni-channel, Apollo Health is expected to register 7.8% YoY revenue growth and 40% YoY EBITDA growth," Motilal Oswal said.

In the preceding June quarter, the company reported 83% growth in its consolidated net profit at Rs 305 crore and revenue from operations in the reporting period increased 15% year-on-year to Rs 5,086 crore.

Investors will closely monitor GMV outlook in Apollo 24/7 and also look for updates on capacity expansion at Gurugram, Hyderabad,
Kolkata, Pune and Mysore.

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