Metropolis Healthcare reported stronger growth and profitability in the second quarter of FY 2027, with revenue reaching INR 497 crore, a 16% increase from a year earlier. EBITDA rose 24% to INR 135 crore, and profit after tax climbed 43% to INR 75 crore.
The EBITDA margin expanded by 180 basis points year over year to 27.2%. For the first half, revenue growth was 16.2% and the EBITDA margin was 26.2%, up 190 basis points. Chairperson and whole-time director Ameera Shah said the first-half margin improvement came without a price increase during the period.
Patient volumes increased 10% year over year and test volumes rose 11%. Specialty testing accounted for 40% of revenue and grew 20%. Revenue from the B2C channel increased 17% in both the quarter and the first half, while B2B revenue grew 15%. The company’s B2B partner network surpassed 9,000 partners.
Management attributed the performance to patient growth, a richer test mix and stronger realization. Shah said the company had moved from its historical organic growth rate of about 12% to 13% to growth of 15% to 16% over the past four to six quarters. She also said results held up despite uneven, below-normal monsoon rainfall and variable seasonal demand for infectious disease testing.
Metropolis plans to continue expanding its collection network, particularly in tier 2, tier 3 and tier 4 markets, while increasing the density of centers around existing laboratories. Management said it does not plan to add new labs. Annual capital expenditure is expected to remain at 4% to 5% of revenue, or approximately INR 65 crore to INR 70 crore.
The company reiterated its medium-term EBITDA margin target of 27% to 28%, citing potential gains from standardized lab platforms, operating leverage, network density and pricing measures. It expects a B2C price increase later in the year, tailored to individual micro-markets. Managing director Surendran Chemmenkotil said productivity was improving without the workforce growing at the same pace as the business.
In a discussion with analysts, management said its Insta60 home-visit service had gained traction in Mumbai and Chennai and was due to launch in Bangalore in early November. Executives also pointed to specialty testing and genomics as areas expected to take a larger share of the business over time.
Metropolis reported cash and liquid investments of INR 348 crore as of September 30, 2026, compared with INR 203 crore at the end of March. Its shares were described as nearly unchanged in early trading at $569.05, up 0.06% from the previous close of $568.70.
Sources: Investing.com News.