Fortis Healthcare , one of India's leading healthcare providers, has announced robust financial results for the first quarter of fiscal year 2026, along with significant expansion plans that aim to strengthen its market position.

Strong Financial Performance

The company reported impressive growth in its Q1 FY26 results:

• Consolidated revenue increased by 16.60% to INR 2,167.00 crore
• Operating EBITDA rose by 43.20% to INR 491.00 crore, with margins expanding to 22.60% from 18.40% in Q1 FY25
• Profit After Tax (PAT) grew by 56.80% to INR 260.00 crore

Hospital Business Highlights

Fortis Healthcare's hospital business showed remarkable progress:

• Revenue grew by 18.60% to INR 1,838.00 crore
• Operating EBITDA margin improved to 22.10% from 18.50% in the corresponding quarter last year
• Average Revenue Per Occupied Bed (ARPOB) increased by 10.20% to INR 2.65 crore per annum
• Occupancy rates improved to 69.00% compared to 67.00% in Q1 FY25

Diagnostics Business Performance

The diagnostics arm, Agilus, also demonstrated strong growth:

• Gross revenue increased by 7.40% to INR 368.80 crore
• Operating EBITDA margin expanded significantly to 23.00% from 16.10% in Q1 FY25
• Conducted 10.13 million tests, representing a 5.80% growth year-over-year

Expansion Strategies

Fortis Healthcare has outlined ambitious expansion plans to further solidify its market presence:

1. O&M Services Agreement with Gleneagles India: In July 2025, Fortis entered into an Operation and Maintenance Services agreement with Gleneagles India. This strategic move will allow Fortis to manage operations of approximately 700 beds across five hospitals and a clinic within the Gleneagles India network, expanding its footprint in key metro cities.

2. Acquisition of Shrimann Superspecialty Hospital: The company consummated the acquisition of Shrimann Superspecialty Hospital in Jalandhar, Punjab, adding 228 beds to its network. This acquisition has strengthened Fortis' presence in Punjab, increasing its bed capacity in the region from about 800 to 1,000 beds.

3. Long-term Growth Plans: Fortis Healthcare aims to add over 1,000 new beds through Gleneagles operations and maintenance activities and the Shrimann acquisition.

4. Focus on High-Profit Specialties: The company reported that 63.00% of its revenue comes from high-profit specialty services, including Oncology, Neurosciences, Cardiac Sciences, Gastroenterology, Orthopedics, and Renal Sciences.

5. International Patient Revenue: Fortis is working to increase its international patient revenue, which grew by 21.00% to INR 154.00 crore in Q1 FY26, contributing 7.90% to overall hospital business revenues.

6. Diagnostics Margin Improvement: The company is targeting a diagnostics margin improvement to 23.00%, which it has already achieved in Q1 FY26.

Dr. Ashutosh Raghuvanshi, MD and CEO of Fortis Healthcare, commented on the results, stating, "We have witnessed a healthy start to the financial year, as demonstrated in our Q1 earnings for both hospital and diagnostic businesses. The recently executed O&M services agreement with Gleneagles India expands our geographic footprint and provides an opportunity to leverage our combined strengths to optimize operations and enhance efficiencies."

With these strategic expansions and strong financial performance, Fortis Healthcare is positioning itself for sustained growth in the Indian healthcare sector. The company's focus on high-profit specialties, expansion of bed capacity, and improvement in diagnostics business efficiency are expected to drive its future performance.

Fortis Healthcare Limited, one of India's leading integrated healthcare delivery service providers, has announced strong financial results for the first quarter of fiscal year 2026, demonstrating significant growth across key metrics.

Financial Highlights

Fortis Healthcare reported consolidated revenues of INR 2,167.00 crore for Q1 FY26, marking a substantial 16.6% increase from INR 1,859.00 crore in the same quarter last year. The company's operating EBITDA saw an impressive surge of 43.2%, reaching INR 491.00 crore compared to INR 343.00 crore in Q1 FY25. The operating EBITDA margin expanded to 22.6% from 18.4% year-over-year, indicating improved operational efficiency.

The company's profit after tax (PAT) after minority interest and share in associates grew by 56.8% to INR 260.00 crore, up from INR 166.00 crore in the corresponding quarter of the previous year. Consequently, earnings per share (EPS) improved to INR 3.45 from INR 2.20.

Hospital Business Performance

The hospital business, a key driver of Fortis Healthcare's growth, reported revenues of INR 1,838.00 crore, an 18.6% increase from INR 1,549.00 crore in Q1 FY25. The segment's operating EBITDA stood at INR 406.00 crore, up 41.4% year-over-year, with the operating EBITDA margin improving to 22.1% from 18.5%.

Key performance indicators for the hospital business showed positive trends:

• Occupancy increased to 69% from 67% in Q1 FY25
• Average Revenue Per Occupied Bed (ARPOB) rose by 10.2% to INR 2.65 crore per annum
• International patient revenues grew by 21% to INR 154.00 crore, contributing 7.9% to overall hospital business revenues

Diagnostics Business Growth

Fortis Healthcare's diagnostics arm, Agilus, also demonstrated strong performance. The segment's gross revenues grew by 7.4% to INR 368.80 crore in Q1 FY26. Operating EBITDA margin (based on gross revenues) improved significantly to 23.0% from 16.1% in Q1 FY25.

During the quarter, Agilus conducted 10.13 million tests, representing a 5.8% increase from the 9.57 million tests in Q1 FY25. The company continued its network expansion, adding over 160 new customer touchpoints.

Strategic Developments

Fortis Healthcare announced two significant strategic moves during the quarter:

1. The company entered into an Operation and Maintenance Services agreement with Gleneagles India, expanding its footprint in key metro cities. Under this agreement, Fortis will manage operations of approximately 700 beds across five hospitals and a clinic within the Gleneagles India network.

2. Fortis consummated the acquisition of Shrimann Superspecialty Hospital in Jalandhar, Punjab, adding 228 beds to its network and strengthening its presence in the Punjab region to approximately 1,000 beds.

Management Commentary

Dr. Ashutosh Raghuvanshi, MD and CEO of Fortis Healthcare, commented on the results, stating, "We have witnessed a healthy start to the financial year, as demonstrated in our Q1 earnings for both hospital and diagnostic businesses. The recently executed O&M services agreement with Gleneagles India expands our geographic footprint and provides an opportunity to leverage our combined strengths to optimize operations and enhance efficiencies."

He further added, "In the diagnostics business, we have witnessed a strong recovery in both revenues and EBITDA margins, which is reflective of the brand building initiatives undertaken over the last few quarters. We expect this growth momentum to continue going forward."

The robust Q1 FY26 results underscore Fortis Healthcare's strong market position and effective growth strategies in both its hospital and diagnostics segments. With strategic expansions and operational improvements, the company appears well-positioned for continued growth in the Indian healthcare sector.