Metropolis Healthcare leads diagnostics pack on higher realisation

Expansion, raising share of B2C network to help improve margins

The diagnostics sector was re-rated last year on expectations of growth in the market share from unorganised players, as well as scope for expanding into smaller towns. 

While stocks, such as Dr Lal Pathlabs, have given handsome returns, at 73 per cent Metropolis Healthcare returns in 2019 was the best among the listed players in the segment. 

A key strength of the firm, which gets three quarters of its revenues from west and south India, is the range of specialised tests, which account for 16 per cent of test volumes but over 41 per cent of revenues. Analysts at Spark Capital say