Max Healthcare shares dropped as much as 6.61% to hit an intraday low of ₹1,018.95 on the National Stock Exchange on Friday, May 22, following the release of its March quarter earnings. According to reports from The Economic Times, the stock traded 6.1% lower at ₹1,25 as of 9:45 am, underperforming the NIFTY50 index which was up 0.5%. The market reaction suggests investor disappointment despite the company's financial performance improvements.
As reported by The Economic Times, Max Healthcare's net profit for Q4 FY26 increased 7.2% to ₹342 crore compared to ₹319 crore in the same period last year. The company's revenue from operations advanced 12% to ₹2,143 crore at the end of March quarter, up from ₹1,910 crore in the year-ago period. EBITDA jumped 19% to ₹607 crore from ₹512 crore, with EBITDA margin improving by 150 basis points to 28.3%. The company's EBITDA per bed was ₹73.4 lakhs compared to ₹73.9 lakhs in Q4FY25 and ₹71.3 lakhs in Q3 FY26.
According to the company's press release, bed occupancy for the quarter was at 75%, with Occupied Bed Days (OBDs) up by 8% year on year. Max Healthcare reported that phased commissioning of nearly 20% additional brownfield capacity has been rolled out over the last six months, with another 10% addition expected with the upcoming Gurugram facility later this year. As reported by The Economic Times, the company has requisite talent already been onboarded, with significant operating leverage expected to kick in as operations ramp up.
During the quarter, Max Healthcare acquired a controlling stake of 58.28% in Kalinga Hospital, making it a subsidiary of the Company. According to The Economic Times, Kalinga Hospital operates a 250-bed hospital on a prime 10-acre land parcel in the heart of Bhubaneswar. The company's board approved an investment of ₹1,400 crore for construction of a 712-bed greenfield hospital at Shaheed Path, Lucknow. Spread across 5 acres, the facility will be the company's second hospital in the city and is expected to be commissioned in FY30 to cater to growing demand for quality healthcare services in Uttar Pradesh.
