Press Releases
Fortis turns profitable Declares positive PAT for the first quarter Reports highest ever EBIDTA for any quarter of Rs 23.16 crore.
(All figures in Rs. Crore)
| Particulars |
Q1FY09 |
Q1FY08 |
Growth(%) |
| Total Income |
148.35 |
134.64 |
11% |
| EBIDTA
(Operating Profit) |
23.16 |
16.1 |
44% |
| Cash Profit |
11.94 Crore |
Cash Loss – 1.4crore |
|
| Net profit |
0.94 crore |
( 23.5) |
|
Operational Highlights (Q1FY09)
- Reports positive PAT of Rs 0.94 crore for the first quarter.
- Highest ever EBIDTA of Rs 23.16 crore for any quarter.
- Higher operating margins and lower interest costs led to better EBIDTA margins and cash
profits.
- All the hospitals in the network reported improved EBIDTA.
- Dismissal of Anil Nanda case against Escorts Heart Institute and Research Centre has infused
new energy and confidence into the team. The company is now free to execute its plans for
growing the Escorts network and brand.
- Furthering its commitment to provide quality medical services and patient care, its Jaipur,
Mohali and Escorts Heart hospital in Delhi received NABH accreditation from Quality Council of
India during the quarter. With Fortis Noida having received NABH accreditation in the previous
year, Fortis has become the largest chain of NABH accredited hospitals in India.
- Fortis Escorts Hospital, Jaipur has also attained the distinction of being the first hospital in India
to get NABH accreditation barely within 10 months of start of its operations. This is the fastest
for any hospital in India.
- Fortis Mohali becomes the first hospital to have received accreditations by both JCI and
NABH.
- Dr. Anoop Mishra, Director & Head of Deptt. of Diabetes and Metabolism received prestigious
DR. B.C. Roy National award from the Hon. President of India.
New Delhi, July 30, 2008; Fortis Healthcare Limited (FHL), one of India’s largest private healthcare
companies with network of 22 hospitals* and more than 2570 beds reports first time net profit of Rs
0.94 crore for the quarter ended June 30, 2008. The total income for the same period stood at Rs
148.35 crore. The company also reported highest ever EBIDTA in any quarter of Rs 23.16 crore
registering growth of 44% as compared to Rs 16.1 crore in the same period last fiscal.
The two projects PSM (central purchase and supply management) and FOS (Fortis operating systems),
implemented last year have resulted in improved operating margins of 16% as against 12% in the
corresponding quarter last fiscal. The concentrated efforts of the company in controlling costs and
improving efficiency also helped in reporting first ever net profit of Rs 0.94 crore for the group as
against adjusted net loss of Rs 23.5 crore in corresponding quarter last fiscal. For Q1FY09, FHL also
reported cash profit of Rs 11.94 Crore as against cash loss of Rs 1.4 crore in corresponding quarter
last fiscal.
The group has drawn a blue print for technology upgradation at its various hospitals, with an estimated
investment of Rs 40 Crore in the current financial year. This is designed to equip the hospitals with
cutting edge diagnostics capabilities and latest medical equipments for quality medical services.
Commenting on the first quarter results, Mr. Shivinder M Singh, MD, Fortis Healthcare, said “Higher occupancy and a lower length of stay have contributed to higher asset turnover which has led
to better operating margins. Our continued focus on bringing down costs and improving efficiency at our
hospitals has started to yield results and I am delighted that our efforts have resulted in reporting of first
ever net profit for the Q-1 of FY09 for the group”.
Mr. Singh further said “The coming quarters will be more robust as the new hospitals and new
medical specialties added in existing hospitals start to deliver results. Not only this, our ability to faster
ramp up the occupancies across hospitals and reducing average length of stay metrics at the same
time will also help us maintaining higher operating margins and improved net profits”.
“We would continue to be in a high growth phase over the next few years, driven by improved
efficiencies in existing hospitals and aggressive expansion plans through building, managing and
acquiring hospitals at the same time committed to bring in quality clinical care ,” added Mr. Singh.
In order to enhance the level of medical program offered in the State of Haryana, Fortis Escorts
Faridabad launched Day Care Angiography, minimally invasive procedure for Haemorrhoids (MIPH)
and joint replacement programs during the quarter. These are building blocks for repositioning the
hospital from being a general hospital to becoming a high end tertiary care hospital.
The quarter also witnessed commissioning of first fully functional Electro Physiology Lab in Rajasthan
at Fortis Escorts Hospital, Jaipur along with commissioning of Rajasthan’s first pace maker clinic. Fortis
Escorts Hospital, Jaipur also became first hospital in Rajasthan to commission Computer Navigation
System for Joint Replacement Surgery. The hospital is well on its way in redefining healthcare delivery
standards in the State of Rajasthan. It is also pertinent to note that Fortis Escorts Hospital Jaipur is the
first hospital in India to get NABH accredition in time span of just 10 months since start of operations..
This is the fastest for any hospital in India.
Forward Looking Statement
Certain statements in this document may be forward-looking statements. Such forward-looking statements are subject to
certain risks and uncertainties like regulatory changes, local political or economic developments, technological risks, and
many other factors that could cause our actual results to differ materially from those contemplated by the relevant forward
looking statements. Fortis Healthcare Limited will not be in any way responsible for any action taken based on such
statements and undertakes no obligation to publicly update these forward-looking statements to reflect subsequent events or
circumstances.
*About Fortis Healthcare Limited
Fortis Healthcare Ltd incorporated in 1996 and started operations in 2001, has a network of 14 hospitals and 8
satellite / heart command centers, including one heart command centre in Afghanistan. These hospitals include
multi specialty hospitals, as well as super-specialty centers providing tertiary and quaternary healthcare to patients
in areas such as cardiac care, orthopedics, neurosciences, oncology, renal care, gastroenterology and mother and
child care. For FY 08, FHL reported consolidated total income of Rs 548 Crore and consolidated EBITDA of Rs
61.54 Crore while net loss for FY08 stood at Rs 55.48 crore. Cash profit for FY08 stood at Rs 5.43 Crore.
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