GPT Healthcare , the Kolkata-based healthcare services provider, saw its shares tumble over 11% following the release of its first-quarter results. The stock closed at ₹159.11, trading below its initial public offering (IPO) price of ₹186 for the third consecutive day.

Q1 Financial Performance

The company reported a mixed bag of results for the quarter ended June 30:

• Revenue from operations grew by 9.5% year-over-year to ₹107.10 crore
• Total income increased by 8.6% to ₹108.70 crore
• EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) stood at ₹18.90 crore
• EBITDA margin compressed to 17.4% from 20.2% in the same quarter last year
• Net profit declined by 23% to ₹7.70 crore
• Earnings per share (EPS) decreased to ₹0.94 from ₹1.21 in the corresponding quarter

Operational Metrics

GPT Healthcare's operational performance showed some positive trends:

• Average Revenue Per Occupied Bed (ARPOB) increased to ₹38,913
• Average Length of Stay (ALOS) improved to 3.48 days
• The company now operates 719 beds across five multi-specialty hospitals

Expansion Plans

Despite the profit decline, GPT Healthcare continues to focus on growth:

• The company aims to become a 1,000-bed hospital chain within the next 2-3 years
• A new 158-bed multi-specialty hospital was commissioned in Raipur on May 2
• An MoU has been signed for a 150-bed facility in Jamshedpur, with an estimated cost of ₹74 crore
• The Jamshedpur hospital is expected to be operational by the end of the financial year 2027

Management Commentary

Dwarika Prasad Tantia, Chairman of GPT Healthcare, commented on the results: "We have always focused on strong operational and financial parameters, and this is reflective in our results for the quarter despite the changing case mix across all hospitals. The existing four hospitals in Salt Lake, Agartala, Dum Dum, and Howrah continue to perform well and are improving on all financial and operational metrics and reducing ALOS."

He further added, "Our long-term vision at GPT Healthcare is deeply rooted in our commitment to bringing advanced medical care to under-served markets in cities across eastern India. We aim to establish a chain of 150 to 200-bedded hospitals in these burgeoning markets, thereby fulfilling the pressing need for modern healthcare facilities in these areas."

Market Response

The market's negative reaction to GPT Healthcare's Q1 results reflects concerns over the company's profitability and margin compression. However, the management's focus on expansion and improving operational metrics may provide a foundation for future growth. Investors will likely keep a close eye on how the company manages its expansion plans while working to improve its bottom line in the coming quarters.

GPT Healthcare , a prominent healthcare provider in Eastern India, has unveiled ambitious expansion plans alongside its Q1 FY26 financial results. The company aims to significantly increase its hospital bed capacity and enhance its medical services offerings.

Expansion Strategy

GPT Healthcare has announced plans to reach a 1,000-bed capacity within the next two years. This expansion will primarily focus on East India, with the company adopting an asset-light approach for developing new hospitals. The strategy includes:

• Implementing robotic surgery capabilities
• Enhancing oncology services
• Targeting occupancy rates above 70%
• Aiming for Return on Equity (ROE) and Return on Capital Employed (ROCE) above 25%

Recent Developments

As part of its growth strategy, GPT Healthcare has already made significant strides:

• Commissioned a 158-bed multi-specialty hospital in Raipur on May 2, 2025
• Signed an MoU for a 150-bed hospital in Jamshedpur, expected to be operational by the end of FY27
• Commenced robotic knee surgeries at the Howrah hospital, performing 12 such procedures in Q4 FY25

Q1 FY26 Financial Highlights

For the quarter ended June 30, 2025, GPT Healthcare reported:

The company attributed the decrease in EBITDA to initial losses incurred at the new Raipur hospital.

Operational Metrics

• Total bed capacity: 719 beds across five multi-specialty hospitals
• Bed occupancy rate: 42% in Q1 FY26
• Average Revenue Per Occupied Bed (ARPOB): Rs 38,913
• Average Length of Stay (ALOS): 3.46 days

GPT Healthcare's Chairman, Mr. Dwarika Prasad Tantia, commented on the company's performance: "We have always focused on strong operational and financial parameters, and this is reflective in our results for the quarter despite the changing case mix across all hospitals."

The company's long-term vision involves establishing a chain of 150 to 200-bedded hospitals in underserved markets across eastern India, aiming to fulfill the pressing need for modern healthcare facilities in these areas.

GPT Healthcare continues to diversify its revenue mix, with internal medicine and diabetology, nephrology, and general surgery being the top three specialties contributing to its revenue in Q1 FY26.

As the company progresses with its expansion plans, it remains committed to bringing advanced medical care to under-served markets in eastern India, potentially reshaping the healthcare landscape in the region.