Shot in the arm for Apollo: New hospitals to inject profits, revenue grows

Improving performance in pharmacy business will also enhance overall show of Apollo Hospitals.

A robust March quarter performance and expectations of a stronger 2019-20 (FY20) helped the Apollo Hospitals stock gain 13 per cent in two trading sessions. Pushed back by regulatory headwinds as well as ongoing expansion, the company has been struggling to improve its profitability and return ratios. With expansion nearing an end and new hospitals ramping up presence, the operating performance looks set for an overhaul. 

Improving profitability and reduction in losses at Apollo Health & Lifestyle (AHLL) helped Apollo Hospitals post 51.3 per cent growth in operating profits, even as revenues grew 19.4 per cent year-on-year (YoY). Margins improved