Fortis Healthcare (FORTIS) Q3 25/26 earnings summary

Executive summary

• Q3 FY26 consolidated revenue reached INR 2,265 crore, up 17.5% year-over-year; nine-month revenue was INR 6,763 crore, up 17.1% year-over-year.

• Q3 FY26 consolidated PAT (excluding exceptional items) was INR 243 crore, up 15.6% year-over-year; net profit declined to INR 197 crore due to a one-off INR 55 crore labor code expense, partially offset by impairment reversal.

• Hospital and diagnostics segments showed strong growth, with margin expansion despite seasonal and regulatory impacts.

• Acquisition of People Tree Hospital in Bengaluru and launch of Adayu, a 36-bed mental health facility, expanded the network and service offerings.

• Board approved unaudited financial results and ESOP 2026, subject to approvals.

Financial highlights

• Q3 FY26 operating EBITDA was INR 505 crore (22.3% margin), up 34.8% year-over-year; nine-month operating EBITDA was INR 1,553 crore (23% margin), up 34.7%.

• Hospital business Q3 revenue grew 19.4% to INR 1,938 crore; diagnostics net revenue rose 7.3% to INR 327 crore.

• Net debt stood at INR 2,547 crore as of December 31, 2025; net debt/EBITDA at 1.24x.

• Operating profit margin (consolidated) improved to 22.53% from 19.62% year-over-year.

• Q3 FY26 PBT (excluding exceptional items) was INR 312 crore, up 21.9% year-over-year.

Outlook and guidance

• Management expects continued growth, with brownfield expansion, margin improvement, and bed additions targeted for FY27.

• ARPOB is expected to grow 4-5% annually, driven by price and case mix.

• Ongoing operational consolidation and brand transitions to strengthen business.