Dr. Agarwal's Health Care Reports Strong H1 FY2026 Results with 88% PAT Growth

2 min read Updated on 30 Oct 2025, 07:52 PM

Reviewed by

Riya DScanX News Team

Overview

Dr. Agarwal's Health Care Limited, India's largest eye care service chain by revenue, reported robust financial performance for H1 FY2026. Total income reached ₹1,007.00 crores, up 20.20% YoY. EBITDA increased 24.90% to ₹285.00 crores with a 28.30% margin. PAT soared 88.40% to ₹75.00 crores. The company expanded its network to 258 eye care facilities, adding 24 new centers in H1. It performed 157,281 surgeries, up 14.60% YoY, and served over 14 lakh patients. The company now operates across 10 countries.

*this image is generated using AI for illustrative purposes only.

Dr. Agarwal's Health Care Limited , India's largest eye care service chain by revenue, has reported robust financial performance for the first half of fiscal year 2026, with significant growth in both revenue and profitability.

H1 FY2026 Highlights

Total Income crossed the ₹1,000 crore milestone, reaching ₹1,007.00 crores, a 20.20% year-on-year (YoY) growth
EBITDA stood at ₹285.00 crores, up 24.90% YoY with a margin of 28.30%
Profit After Tax (PAT) soared to ₹75.00 crores, an 88.40% YoY increase with a margin of 7.40%

Q2 FY2026 Performance

The company's second quarter results were equally impressive:

Total Income: ₹507.00 crores, up 18.20% YoY
EBITDA: ₹144.00 crores, growing 21.20% YoY with a margin of 28.40%
PAT: ₹36.00 crores, surging 71.00% YoY

Operational Highlights

Dr. Agarwal's Health Care continued its expansion strategy:

Network expanded to 258 eye care facilities as of September 30, 2025
Added 24 new centers during H1 FY2026
Performed 157,281 surgeries in H1 FY2026, a 14.60% YoY increase
Served over 14 lakh patients during the period
Revenue from operations in India grew 20.60% to ₹886.00 crores

Geographical Presence

The company now operates across 10 countries, reinforcing its international presence in the eye care sector.

Management Commentary

Dr. Adil Agarwal, CEO of Dr. Agarwal's Health Care Limited, commented on the results: "This marks the first time the company crossed the INR 1,000 crore total income milestone, representing a significant achievement in our growth journey."

Future Outlook

With its expanding network and strong financial performance, Dr. Agarwal's Health Care appears well-positioned to capitalize on the growing demand for quality eye care services in India and internationally. The company's continued focus on expansion and operational efficiency suggests potential for sustained growth in the coming quarters.

Merger Details

The merger terms stipulate that AHCL will issue 23 new equity shares for every two AEHL shares held by shareholders. Currently, AHCL holds a 71.9% stake in AEHL, which contributed 23% to the parent company's profit after tax in the first quarter.

Additional Capital Raise

In conjunction with the merger announcement, AHCL's board has approved a preferential share issue worth ₹70.00 crore at ₹5,270.00 per share. This move is likely aimed at strengthening the company's financial position as it undergoes this significant restructuring.

Market Reaction

Despite the positive merger news, both companies experienced a decline in their share prices on Thursday:

Company	Price Change
AEHL	-13.50%
AHCL	-4.60%

This market reaction suggests that investors may be cautious about the short-term implications of the merger.

Analyst Perspective

Morgan Stanley maintains an 'Overweight' rating on AHCL with a price target of ₹494.00. The brokerage firm cites the merger's potential for operational streamlining and enhanced shareholder value as key factors in their positive outlook.

Morgan Stanley also noted that the trailing acquisition EV/EBITDA multiple of 22x represents a 14% discount to the hospital sector average, potentially indicating an attractive valuation.

Upcoming Investor Events

According to recent company disclosures, AHCL's senior management will be participating in several investor conferences and roadshows in the coming days:

September 2: Motilal Oswal 21st Annual Global Investor Conference in Mumbai
September 8: Kotak Securities roadshow in Hong Kong
September 9: BofA Securities 2025 Asia Pacific Conference in Hong Kong

These events may provide further insights into the merger and the company's future plans.

Conclusion

The merger between Dr. Agarwal's Health Care and Dr. Agarwal's Eye Hospital represents a significant development in the Indian healthcare sector. While the market's initial reaction has been cautious, the long-term implications of this consolidation remain to be seen. Investors and industry observers will be closely watching how this merger unfolds and its impact on the company's operational efficiency and market position.