Apollo Hospitals Reports 36% Increase in Q4 Profit to Rs 529 Crore

Apollo Hospitals Sees 36 Percent Jump in Q4FY26 Net Profit

Apollo Hospitals reported a significant year-on-year jump in its net profit for the fourth quarter of fiscal year 2026, driven by strong operating leverage, higher realisations from complex care, and improving margins across its digital and pharmacy businesses. The company's net profit for the quarter stood at Rs 529 crore, a 36 percent increase from the Rs 390 crore reported in the same quarter last year.

The improvement in profitability was underpinned by broad-based growth across Apollo's three engines - hospitals, retail health, and digital/pharmacy - alongside lower losses from Apollo 24/7, which helped lift overall EBITDA margins. The company's revenue for the quarter increased by 18 percent to Rs 6,605 crore, while EBITDA rose by 31 percent to Rs 1,011 crore, resulting in meaningful margin expansion at the consolidated level.

Apollo's Hospital Business Continues to Strengthen

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At the core of the company's performance remained the hospital business, where operating metrics continued to strengthen. The average revenue per occupied bed (ARPOB) rose by 9 percent year-on-year to Rs 1,87,208, while inpatient volumes grew by 7 percent. Occupancy improved to about 68 percent, reflecting robust demand and better case mix. The average length of stay (ALOS) declined modestly to 3.19 days, signalling operational efficiencies and faster patient turnaround.

Healthcare services, the largest segment, reported 16 percent revenue growth to Rs 3,268 crore, with EBITDA margins at 23.9 percent. Growth was driven by higher volumes, improved pricing, and a continued shift toward complex procedures such as oncology, transplants, and complex surgeries, which also lifted margins.

Newer Growth Engines Contribute Significantly

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The company's newer growth engines also contributed significantly to its performance. Apollo HealthCo (digital and pharmacy) delivered strong revenue growth and a sharp improvement in profitability, supported by operating leverage and reduced cash burn in the digital business. The health and lifestyle segment (diagnostics and clinics) also turned profitable at the bottom line in the quarter, further boosting consolidated earnings.

For the full year FY26, Apollo reported revenue of Rs 25,229 crore, up 16 percent year-on-year, while EBITDA rose by 25 percent to Rs 3,769 crore, implying continued margin expansion. Net profit for the year grew by 34 percent to Rs 1,942 crore, reflecting both operating strength and improving contribution from newer businesses.

Capacity Expansion and Strategic Moves

Capacity expansion remains a key lever for Apollo, with four new hospitals operationalised in FY26 and several more under development. At the same time, the company is sharpening its portfolio through strategic moves such as the combination of its maternity business with Cloudnine and the planned demerger and potential listing of its pharmacy and digital business by FY27.