Apollo Hospitals Enterprise Ltd. share price target

Revenue decreased by 1.13% to Rs. 1661.64 Cr in Q4FY17 when compared to the previous quarter.

ICICI Securities Ltd | Retail Equity Research Revenues grew 15% YoY to | 1662 crore (I-direct estimate: | 1672 crore) on the back of 10% growth in the healthcare business to | 918 crore (I-direct estimate: | 913 crore) and 22% increase in pharmacy business to | 743 crore (I-direct estimate: | 759 crore) EBITDA margins declined 235 bps YoY to 10.2% (I-direct estimate: 13.2%) mainly due to higher other expenditure. EBITDA declined 6% YoY to | 170 crore (I-direct estimate: | 220 crore)...

Revenue increased by 2.85% to Rs. 1680.61 Cr in Q3FY17 when compared to the previous quarter. Also, it increased by 17.94% when compared with Q3FY16. The

ICICI Securities Ltd | Retail Equity Research Revenues grew ~22% YoY to | 1681 crore (I-direct estimate: | 1623 crore) on the back of 16% growth in the healthcare business to | 892 crore (I-direct estimate: | 885 crore) and 29% growth in the pharmacy business to | 789 crore (I-direct estimate: | 739 crore) EBITDA margins declined 119 bps YoY to 11.5% against I-direct estimates of 12.7% mainly due to higher contribution from low margin new hospitals as well as one-offs 1) cost related to VIP...

ICICI Securities Ltd | Retail Equity Research Revenues increased 16% YoY to | 1634 crore (I-direct estimate: | 1499 crore) on the back of 22% YoY increase in pharmacy business to | 710 crore (I-direct estimate: | 652 crore) and 12% YoY increase in healthcare business to | 924 crore (I-direct estimate: | 847 crore) EBITDA margins were at 13.6% (-34 bps YoY) vs. I-direct estimate of 12.8% due to higher-than-expected margins in new hospitals (9%) Adjusted net profit grew mere 2.7% to | 92 crore (I-direct estimate:...

Standalone revenues increased 12% YoY to | 1465 crore (I-direct estimate: | 1453 crore) on the back of a 22% increase in pharmacy business to | 633 crore (I-direct estimate: | 634 crore). Healthcare business grew 6% to | 833 crore (I-direct estimate: | 820 crore). EBITDA margins declined 85 bps to 12.8% (I-direct estimates: 13.6%) on the back of adverse product mix and Ind AS, which impacted EBITDA margins of healthcare services negatively by 130-140 bps. Adjusted net profit de-grew 18% to | 72 crore (I-direct estimate: | 93 crore) due to higher interest cost and lower EBITDA.

Valuation: On the pharmacy front, margins have showed a substantial improvement in the last few quarters. They continue to value the stock on an SOTP basis by valuing the healthcare business at 15x FY19E EV/EBITDA and pharmacy business at 1.5x FY19E EV/sales. They arrive at the target price of | 1460, will continue to monitor the progress on the margins as well as return ratios front.

 

ICICI Securities Ltd | Retail Equity Research Revenues increased 16% YoY to | 1396 crore (I-direct estimate: | 1494 crore) on the back of 8.5% YoY increase in healthcare business...

pharmacy EBITDA margin improves to 4.5% from 3.2% in Q3FY15 Despite a low operational performance, adjusted net profit increased Standalone Quarterly Performance...

The standalone pharmacy business sustained its momentum in Q2FY16 with 34% growth in revenues on a YoY basis. The EBITDA margin stood at 3.6% in H1FY16. This was after absorbing the cost of Hetero Pharmacy following the integration, as well as from the ongoing efforts to rationalize costs which have yielded results. Excluding Hetero network, the EBITDA margin is at 3.7% in H1FY16 as compared to 3.2% in H1FY15.