Apollo Hospitals Enterprise reports record high sales and profits in Q1 FY25

Apollo Hospitals Enterprise, a leading healthcare services company, has recently declared its financial results for the quarter ended June 2024. The company has shown a very positive performance in this quarter, with a score of 20 out of 25, an improvement from 14 in the last 3 months. This is a testament to the company’s strong financial management and growth strategies.

One of the key highlights of the quarter is the increase in net sales, which reached a record high of Rs 5,085.60 crore. This is a significant growth compared to the previous five quarters, indicating a strong and consistent sales trend. Additionally, the company’s operating profit to interest ratio has also improved, reaching 5.80 times, showcasing its ability to manage interest payments effectively.

The company’s profit after tax (PAT) has also seen a positive trend, with a growth in each of the last five quarters. In the current quarter, the PAT reached Rs 305.20 crore, indicating a very positive near-term trend. Furthermore, Apollo Hospitals has generated a high operating cash flow of Rs 1,920.20 crore in the last three years, showcasing its strong financial position.

The operating profit (PBDIT) for the quarter has also reached a record high of Rs 675.10 crore, indicating a positive trend in the near term. The company’s efficiency has also improved, with the operating profit margin reaching 13.27%, the highest in the last five quarters. This is a result of the company’s focus on cost management and operational efficiency.

The profit before tax (PBT) has also shown a positive trend, reaching Rs 392.80 crore in the current quarter, the highest in the last five quarters. This is a growth of 23.5% over the average PBT of the previous four quarters, indicating a positive near-term trend. Similarly, the PAT has also shown a growth of 36.0% over the average of the previous four quarters, reaching Rs 305.20 crore in the current quarter.

The company’s earnings per share (EPS) have also reached a record high of Rs 21.22 in the last five quarters, showcasing its increasing profitability and ability to generate higher earnings for shareholders.

However, there are some areas that need improvement, such as the debt-equity ratio, which has reached a high of 0.77 times in the last five half-yearly periods. This indicates that the company is borrowing more to fund its operations, which may lead to a stressed liquidity situation. Additionally, the non-operating income has also increased, reaching Rs 37.20 crore in the last five quarters. While this may seem positive, it is important to note that this income may not be sustainable in the long run.

Overall, Apollo Hospitals Enterprise has shown a strong and positive financial performance in the quarter ended June 2024. With a ‘Strong Buy’ stock call by MarketsMOJO, the company is well-positioned for future growth and success in the healthcare services industry.