Shares of Apollo Hospitals Enterprise Limited rallied sharply on Monday, driven by a strong 71% surge in first quarter net profit, evan as the broad market suffered its second successive setback amid mounting worries about the possible impact of Turkey's banking sector turmoil on the global economy.
The stock ended up 12.8% at Rs 1067.60 on BSE, after registering a high of Rs 1086.80 intraday. On the National Stock Exchange the stock ended at Rs 1065.05 (up 12.85%), off the day's high of Rs 1087.30.
On NSE, the counter clocked a volume of about 5.44 million shares today. On BSE, the counter clocked a volume of 3.32 lakh shares, over 11 times the average daily volume of about 29,000 shares.
Apollo Hospitals Enterprise Limited reported a net profit of Rs 60 crore for the quarter ended June 2018, as compared to net profit of Rs 35 crore in the year-ago quarter.
The company’s EBITDA was up 31% at Rs 227 crore in the first quarter.
Standalone revenue from operations was up 16% at Rs 1910 crore in the first quarter, from Rs 1650 crore a year ago, thanks to strong growth in standalone pharmacies and healthcare services.
New hospitals contributed about 23% to the growth seen in revenue from healthcare services. Existing hospitals did well too, with revenue showing a 10% jump year-on-year.
The company's MD Suneeta Reddy said the company expects to see the growth momentum increase this year. With occupancy of 62% in the new hospitals, she said there is head room for growth and that the company is looking at another 10% improvement in occupancy, which will go straight to the bottom line.
The Chairman of Apollo Hospitals Dr Pratap C Reddy said, “We continue to strengthen our healthcare portfolio to benefit our patients and arm our doctors with the latest in artificial intelligence and medical technology.”
In a filing to the stock exchanges, Apollo Hospitals said that it acquired a 50% stake in Medics International Lifesciences Limited in June 2018. Apollo acquired the stake in Medics International is a super-specialty hospital with 330 beds, for a consideration of Rs 91 crore.