Fortis Health. Q4 FY26 Earnings Call — Analysis (NSE: FORTIS)
Fortis Q4 FY26 consolidated revenue rises 17.8% YoY to ₹2,365 Cr, PAT up 44.2%; management guides 15%+ hospital revenue growth and 150 bps margin expansion in FY27.
The take
Consolidated Revenue FY26 ₹9,128 Cr ( +17.3% YoY ) .
Results
Revenue ₹2,365 Cr (+17.8% YoY); consolidated EBITDA margin 22.5% (+80 bps); PAT ₹271 Cr (+44.2% YoY).
Financial highlights
| Metric | Value | Change | Basis |
|---|---|---|---|
| Consolidated Revenue | ₹2,365 Cr | +17.8% | yoy · Q4FY26 · Q4FY25 |
| Hospital Revenue | ₹2,023 Cr | +19% | yoy · Q4FY26 · Q4FY25 |
| Diagnostics Gross Revenue | ₹387 Cr | +11.1% | yoy · Q4FY26 · Q4FY25 |
| Hospital Operating EBITDA | ₹446 Cr | +₹74 Cr | yoy · Q4FY26 · Q4FY25: ₹372 Cr |
| Consolidated Operating EBITDA Margin | 22.5% | +80bps | yoy · Q4FY26 · Q4FY25: 21.7% |
| Consolidated PAT | ₹271 Cr | +44.2% | yoy · Q4FY26 · Q4FY25 |
| Consolidated Revenue FY26 | ₹9,128 Cr | +17.3% | yoy · FY26 · FY25 |
| Hospital Revenue FY26 | ₹7,773 Cr | +19.1% | yoy · FY26 · FY25 |
| Diagnostics Net Revenue FY26 | ₹1,355 Cr | +8% | yoy · FY26 · FY25 |
| Consolidated Operating EBITDA Margin FY26 | 22.8% | +2.4 ppts | yoy · FY26 · FY25: 20.4% |
| Consolidated PAT FY26 | ₹1,064 Cr | +31.5% | yoy · FY26 · FY25 |
| Net Debt | ₹2,334 Cr | point_in_time · Mar-26 · As on Mar 31, 2026 | |
| Net Debt/EBITDA | 1.09x | point_in_time · Mar-26 · As on Mar 31, 2026 |
Guidance
FY27 hospital revenue growth 15%+ with 150 bps EBITDA margin improvement; diagnostics double-digit revenue growth and EBITDA margins of 23-24%.
Key themes
Brownfield expansion, margin progression, and operational leverage.
Operational commentary
- Added ~800 beds via brownfield expansion and acquisitions: People Tree Hospital (125 beds) in Bengaluru with land for future 300+ beds; long-term lease of 200-bed hospital in Greater Noida; acquisition of 228-bed Shrimann Superspecialty Hospital Jalandhar with expansion potential to 450+ beds.
- Launched Adayu, a 36-bed specialized mental healthcare facility in Gurugram.
- Brownfield expansion pipeline: targeting addition of ~1,800 beds over next 4 years; in FY27, >400 beds to be added, including new tower at FMRI operational within weeks, plus beds at Noida, Manesar, Amritsar, FHKI Kolkata.
- Capex ₹700 Cr in FY26; FY27 annual capex guided at ₹900 Cr (60% maintenance, 40% growth).
- Hospital occupancy 68% in FY26 (vs 69%), but occupied beds up 15% YoY; ARPOB rose 3.4% to ₹2.51 Cr per annum.
- Focus specialties (Oncology, Neuro, Cardiac, Gastro, Ortho, Renal) grew 18.9% and contributed 62% of hospital revenue; international patient revenue grew 18.5% to ₹639 Cr (7.8% share).
- 13 facilities achieved >20% EBITDA margin, contributing 76% of hospital revenue (up from 10 facilities, 73% in FY25).
- Diagnostics: added 675+ customer touchpoints and 20+ labs; Illumina NovaSeq X operationalized for genomic testing; preventive health revenue share rose to 13% (vs 11%).
- Key procedure volumes: Radiation Therapy up 19%, Robotic Surgeries up 66%.
Analyst Q&A
Q. Why occupancy dropped in several large hospitals like FMRI, BG Road, Faridabad?
Drop attributed to international business dip and CGHS/ECHS onco drug capping in Punjab; margins not impacted materially.
Research and educational content only. Not investment advice.