Apollo Hospitals reported a 34% rise in net profit for Q1, driven by increased demand in its healthcare services, international patient influx, and strategic capacity expansion plans amid robust revenue growth and innovative surgical procedures.
Apollo Hospitals Enterprise reported a stronger first quarter as rising demand across its hospitals business, international patients and allied healthcare units lifted profit and revenue. The Indian healthcare group said consolidated net profit rose 34% to ₹581 crore for the three months to June 2026, while revenue increased 21% to ₹7,043 crore from a year earlier.
The main hospitals division remained the biggest contributor, with revenue rising 22% to ₹3,567 crore and profitability climbing 25% to ₹480 crore. Apollo said occupancy across its network, excluding AHLL and managed beds, stood at 70% at June 30, compared with 65% a year earlier, as the company operated 8,352 beds. Dr Madhu Shashidhar, president and chief executive of the hospital division, told businessline that soft tissue robotic surgeries grew about 85% year on year and transplant volumes also strengthened.
Apollo said growth was led by higher activity in cardiac, oncology, neurology, gastroenterology and orthopaedic treatments, along with other complex specialities. International Patient Services posted 26% revenue growth, its strongest performance in several quarters, while Apollo Health and Lifestyle, which runs clinics and diagnostics, increased revenue 15% to ₹499 crore and narrowed its net loss to ₹1 crore. The company’s omnichannel pharmacy and digital health arm, Apollo HealthCo, reported 20% growth in revenue to ₹2,977 crore, with EBITDA margins of about 6%.
The group also signalled more capacity expansion ahead. It has opened a 180-bed hospital in Sarjapur, Bengaluru, and said its Gurugram facility remains on track for commissioning in the third quarter of FY27. Apollo said it plans to add more than 5,800 beds over the next five years. That comes on top of earlier disclosures from the company about a broader expansion pipeline, which analysts have said could include roughly 4,444 beds over four years.
On corporate restructuring, group chief financial officer Krishnan Akhileshwaran said Apollo had secured shareholder approval for the demerger of Apollo HealthCo and expects to list it by the fourth quarter of FY27. He also said discussions on combining Apollo Cradle with Cloudnine remain under way. Separately, the board approved additional stock options and restricted stock units for new employees. Akhileshwaran said a recent parliamentary panel proposal to cap hospital room and surgery charges should be seen in context, arguing that rigid price controls could hurt clinical judgement and quality.
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