The article outlines the performance, diversified business, and outlook of the company, which is an Indian multinational healthcare group headquartered in Chennai, operating as Asia’s foremost integrated healthcare services provider.
With a market capitalization of Rs 1,16,696 crore, Apollo Hospitals Enterprise Ltd’s share closed at Rs 8,116 per share, down by 0.28 percent from its previous close. The stock of the company gave a return of 8.59 percent over the last year.
About the Company
Apollo Hospitals Enterprise Limited is an Indian multinational healthcare group headquartered in Chennai. Founded in 1983, the company is recognised as India’s first corporate hospital and has played a key role in the growth of private healthcare in the country. Its operations span hospitals, pharmacies, primary care, diagnostics, digital healthcare and other healthcare services.
The company operates a large network of hospitals and healthcare facilities, supported by pharmacies, diagnostic and primary care centres, and its digital platform, Apollo 24/7. The platform provides services such as teleconsultations, online medicine delivery, and home diagnostics.
How much did the company make as of Q1 FY27?
QoQ View: Revenue increased to Rs 7,044 crore in Q1 FY27 from Rs 6,606 crore in Q4 FY26, registering a 7 percent growth QoQ. EBITDA rose to Rs 1,092 crore in Q1 FY27 from Rs 1,011 crore in Q4 FY26, up 8 percent QoQ. Net profit increased to Rs 610 crore in Q1 FY27 from Rs 551 crore in Q4 FY26, up 11 percent QoQ. EPS increased to Rs 40.39 in Q1 FY27 from Rs 36.81 in Q4 FY26, up 10 percent QoQ.
YoY View: Apollo Hospitals’ revenue increased to Rs 7,044 crore in Q1 FY27 from Rs 5,842 crore in Q1 FY26, registering a 21 percent growth YoY. EBITDA rose to Rs 1,092 crore in Q1 FY27 from Rs 852 crore in Q1 FY26, up 28 percent YoY. Net profit increased to Rs 610 crore in Q1 FY27 from Rs 441 crore in Q1 FY26, up 34 percent YoY. EPS increased to Rs 40.39 in Q1 FY27 from Rs 30.10 in Q1 FY26, up 34 percent YoY.
Segment Break-up: Apollo Hospitals’ business is divided into three major segments: Healthcare Services, HealthCo and AHLL (Apollo Health & Lifestyle Limited). Healthcare Services is the largest segment, generating Rs 3,567 crore revenue in Q1 FY27, up 22 percent YoY. It reported EBITDA of Rs 862 crore, with a 24.2 percent margin, while PAT stood at Rs 480 crore, up 25 percent YoY. This segment includes Apollo’s core hospital operations.
HealthCo is the second major revenue contributor and includes Apollo’s pharmacy and digital healthcare businesses. It generated Rs 2,977 crore in revenue, up 20 percent YoY. Within this, offline pharmacy revenue stood at Rs 2,629 crore, while online pharmacy and Apollo 24/7 contributed Rs 348 crore. HealthCo reported EBITDA of Rs 171 crore, with a margin of 5.8 percent, while PAT stood at Rs 101 crore, up 78 percent YoY.
AHLL, which covers Apollo’s diagnostics, primary care and other healthcare services, reported revenue of Rs 500 crore, up 15 percent YoY. EBITDA increased 46 percent to Rs 59 crore, with the margin improving to 11.8 percent, while the segment reported a PAT loss of Rs 11 crore. Overall, Apollo reported consolidated revenue of Rs 7,044 crore, up 21 percent, EBITDA of Rs 1,092 crore, up 28 percent, and PAT of Rs 581 crore, up 34 percent.
Future growth outlook
Apollo Hospitals is targeting around 20 percent YoY revenue growth in its hospital business in FY27. The company expects established hospitals to maintain EBITDA margins at around 26 percent, while losses from new hospitals are expected to remain capped at around Rs 150 crore during the year. This indicates that Apollo expects growth to continue without a major decline in the profitability of its established hospital network.
The company is also expanding its hospital capacity to support longer-term growth. The Gurgaon hospital is expected to be soft-launched in September 2026 and officially launched in October, with meaningful revenue contribution expected from Q4 FY27. Apollo plans to increase its census bed capacity to 14,100 beds by FY31, supported by its planned expansion capex across new and existing hospitals.
Beyond hospitals, Apollo expects its other businesses to improve their contribution. The digital business is targeting breakeven in Q2 FY27, while the health insurance vertical is expected to reach breakeven by Q3 FY27. Meanwhile, the diagnostics business is progressing towards its Rs 1,000 crore annualised revenue target, providing another potential growth driver for the broader healthcare platform.
What will support Apollo Hospitals FY27 growth?
Large hospital expansion capex: Apollo plans around Rs 11,152 crore of expansion capex up to FY31, with nearly Rs 7,500 crore still to be spent. This expansion is expected to take census bed capacity to 14,100 beds, creating a major future revenue pool.
Growth from established hospitals: Established hospitals are targeting around 13 to 14 percent revenue growth, supported by 7 to 8 percent volume growth, pricing, and improving case mix.
New hospitals ramping up: Facilities such as Sarjapur and Gurgaon, along with other planned hospitals, will gradually contribute more revenue as occupancy improves. Management expects new hospitals to add around 7 percent growth over the next 24 months.
Pharmacy and digital healthcare: Apollo HealthCo is already a large revenue contributor, with Q1 FY27 revenue of Rs 2,977 crore, up 20 percent YoY. Growth in the pharmacy network and Apollo 24/7 can further support the segment.
Diagnostics and high acuity care: High acuity specialties grew 24 percent in revenue, while diagnostics revenue increased 31 percent YoY. These businesses can support revenue growth through higher complexity, patient volumes, and expansion of the diagnostics network.
Conclusion
Apollo Hospitals enters FY27 with multiple growth drivers across its hospital, pharmacy, digital healthcare and diagnostics businesses. The hospital business remains the key growth engine, with management targeting around 20 percent revenue growth, supported by 13 to 14 percent growth from established hospitals and the ramp-up of new facilities. The planned Rs 11,152 crore expansion capex and target of 14,100 beds by FY31 also provide a longer-term growth runway.
At the same time, improving profitability across HealthCo, digital breakeven, the diagnostics expansion, and the upcoming Gurgaon hospital could add to the company’s growth over the coming quarters. With established hospital margins expected to remain around 26 percent, Apollo is looking to balance new capacity expansion with profitability, while its diversified healthcare ecosystem provides multiple avenues for future revenue growth