According to an exchange filing, Fortis Healthcare's Board of Directors will meet on Thursday, August 6, 2026 to consider and approve the standalone and consolidated unaudited financial results for the quarter ended June 2026. The company has scheduled a conference call for Friday, August 7, 2026 at 11:00 AM IST to discuss the unaudited Q1FY27 financial results with investors.
Fortis Healthcare delivered strong Q1 FY27 results with consolidated profit rising 2.3% to ₹266.4 crore compared to ₹260.3 crore in the corresponding quarter last year. Revenue from operations surged 17.5% year-on-year to ₹2,545 crore, up from ₹2,166.7 crore in the same period last year. EBITDA rose 16% to ₹537.1 crore when adjusted for ESOP costs, compared with ₹490.7 crore in the year-ago quarter, though EBITDA margin stood at 21.1% compared with 22.6% in Q1 FY26. The hospital business reported revenue of ₹2,187 crore, up 19% year-on-year, with operating EBITDA margin at 21.5% compared with 22.1% in the corresponding quarter last year. The growth was driven by a 16.7% increase in occupied beds and moderate increase in average revenue per occupied bed (ARPOB). Segment EBITDA margin at 20.2% was down 192bp year-on-year, impacted by ESOP charges and low margins at new hospitals. However, hospital margins have improved by 530bps over FY23-FY26 to 22.2%, with further scope for improvement through better case and payor mix, cost rationalization initiatives, and ramp-up of Manesar and Greater Noida units.
Motilal Oswal has joined the bullish camp with a 'Buy' rating and target price of ₹1,130 in its research report dated August 08, 2026, valuing the stock on SOTP basis (30x EV/EBITDA for hospital business and 23x EV/EBITDA for diagnostics business). Prabhudas Lilladher maintains its 'Buy' rating with a target price of ₹1,120 in its research report dated August 08, 2026, expecting Fortis Healthcare to clock 20% EBITDA CAGR ex ESOP over FY26-28E. At current market price, the stock is trading at 25x EV/EBITDA on FY28E, adjusted for Agilus stake and ESOP. The hospital business (85% of revenue) has seen robust growth in revenue, driven by growth in the number of patients treated, with ARPOB growth (+2.6% YoY) partly supported revenue growth and profitability. The diagnostics business was driven by improved realization per patient/test. JP Morgan reaffirms its 'Overweight' rating and raises its target price to ₹1,180 from ₹1,120, and Citi maintains its 'Buy' call with a target price of ₹1,180.
During the quarter, Fortis Healthcare entered into an operations and management agreement for a 300-bed greenfield multi-specialty hospital to be constructed in Cuttack, marking the company's entry into Odisha. The company plans to pursue similar arrangements, including operations and management contracts, healthcare services agreements and direct lease arrangements. The company's ongoing brownfield expansion plans are expected to add around 1,800 beds over the next four to five years. The consolidated business, including hospital and diagnostics segments, is expected to achieve revenue growth in line with market growth over this period. An expanded bed base, higher operating leverage and a robust medical programme mix are expected to support gradual improvement in operating EBITDA margins to the mid-twenties over the next few years. Management has reiterated its target of achieving 25% EBITDA margins by FY28, even after absorbing ESOP costs that will add an estimated ₹1.3 billion annually. However, Nomura remains more conservative, expecting 24.1% EBITDA margin in FY28 compared to management's guidance.
Fortis Healthcare's net debt stood at ₹2,233 crore as of June 30, 2026, with net debt to EBITDA at 1.01 times compared with 0.92 times as of June 30, 2025. Net debt to equity stood at 0.21 times as of June 30, 2026, compared with 0.20 times a year earlier. Shares of Fortis Healthcare ended at ₹935.00, up by ₹9.40, or 1.02% on the BSE following the results announcement. Commenting on the performance, Fortis Healthcare MD & CEO Ashutosh Raghuvanshi stated, "Building on the momentum of the previous year, we have made a positive start to the financial year, delivering a steady Q1 performance across both our hospital and diagnostics businesses." He highlighted that the company's recent acquisitions in focus geographies are ramping up well, and emphasized continued investment in medical infrastructure by expanding robotic systems across key facilities to reinforce commitment to clinical excellence and technology-led care.
