Fortis Healthcare Q3 profit falls despite strong revenue growth; Hospital biz up 14%

Fortis Healthcare reported a 21.9% decline in net profit to ₹193.7 crore for the quarter ended December 31, 2025, even as revenue grew 17.5% to ₹2,265 crore compared to the year-ago period. The results were announced after market hours on Friday.

EBITDA surged 35% to ₹506 crore, with margins improving to 22.3% from 19.4% in the corresponding quarter last year. However, the company's net debt rose significantly to ₹2,547 crore, pushing the net debt-to-EBITDA ratio to 1.24 times from 0.41 times a year earlier.

The increase in debt was primarily attributed to funds raised for acquiring a private equity stake in Agilus Diagnostics and the purchase of Shrimann Hospital in Jalandhar, Punjab.

Fortis shares closed 1.03% lower at ₹919 on the NSE ahead of the earnings announcement.

The hospital business drove growth with a 14% increase in occupied beds. In January 2026, Fortis acquired the 125-bed People Tree Hospital in Bengaluru for ₹430 crore, which can be expanded to over 300 beds. The company also launched Adayu, a 36-bed mental health facility in Gurugram in November 2025.

MD and CEO Ashutosh Raghuvanshi highlighted healthy growth in key specialities, with Renal Sciences and Orthopaedics growing 27% and 20% respectively. "Our acquisition in Bengaluru enables us to strengthen our presence in this market from approximately 900 beds across seven facilities with a potential to scale up to over 1,500 beds in the future," he stated.

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The diagnostics business showed sustained recovery, with Agilus conducting 9.94 million tests compared to 9.59 million in the year-ago quarter. The preventive portfolio's revenue contribution increased to 12% from 10%, while specialised services rose to 35% from 33%.