Apollo Hospitals share price jumps for second day straight

Apollo Hospitals share price jumps for second day straight

Apollo Hospitals share price jumped more than 8 per cent to ₹4,718 per share, gaining for the second consecutive day on Tuesday. This came days after Apollo Hospitals reported consolidated profit after tax (PAT) at ₹489 crore for the June quarter of the financial year 2021-22 on August 13.

The healthcare major’s share price jumped more than 5 per cent in the morning session on August 16. The stock was trading at ₹4,299.25, up to ₹239.05, or 5.89 per cent, and touched an intraday high of ₹4,319.90 and an intraday low of ₹4,139.45.

Apollo Hospitals also reported a net loss of ₹208 crore in the April-June quarter of 2020-21. Its consolidated revenues for the June 2021 quarter stood at ₹3,760 crore as compared with ₹2,171 crore in the Q1 of the previous fiscal, Apollo Hospitals Group said in a statement on August 13. “The first quarter of the new financial year saw Apollo Hospitals facing the Covid-19 challenge anew as the second wave swept across the country,” Apollo Hospitals Group chairperson Prathap C Reddy told news agency PTI.

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“Our experience over the last year and the dedication of our doctors, nurses and paramedical staff that we emerged through the second wave successfully saving lives and ensuring that no patient suffered for want of care,” he added. The hospital chain has treated over 150,000 coronavirus patients during the peak of the pandemic.

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Apollo Hospitals shares surge for second straight day, hit new high

Shares of Apollo Hospitals surged more than 8% to ₹4,718 per share, gaining for the second consecutive day. The stock has seen uptrend after reporting its quarterly earnings for the first quarter of the current fiscal in which the healthcare major reported profit as compared to loss in the year-ago quarter.

Apollo Hospitals Enterprise posted consolidated net profit at ₹489 crore for the first quarter ended June 30. The healthcare major had reported a net loss of ₹208 crore in the April-June quarter of 2020-21. Its consolidated revenues for the June 2021 quarter stood at ₹3,760 crore as compared with ₹2,171 crore in the Q1 of the previous fiscal.

Apollo Hospitals Group Chairman Prathap C Reddy said, “The first quarter of the new financial year saw Apollo Hospitals facing the COVID-19 challenge anew as the second wave swept across the country.”

He added that it was to the credit of “our experience over the last year and the dedication of our doctors, nurses and paramedical staff that we emerged through the second wave successfully saving lives and ensuring that no patient suffered for want of care”.

Apollo Hospitals stock has gained nearly 178% in a year and around 95% in 2021 (year-to-date). Apollo Hospitals Enterprises’ Q1FY22 performance was better than analysts' estimate led by strong recovery in occupancies, stock piling by pharmacy customers during 2nd covid-19 wave and incremental revenue from vaccination. However, margins were low due to lower margins in vaccination business and costs relating to 24x7 initiative.

Brokerage and research firm ICICI remains positive on Apollo Hospital’s long-term outlook considering its strong brand and pan-India presence in the hospital segment, margin expansion potential and aggressive focus on creating digital network for pharmacy, doctor consultation, clinics and diagnostics. It has maintained its ‘Add’ rating on the stock with target price of ₹4,312 per share (which has already been hit).

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Apollo Hospitals Rallies For 2nd Straight Day On Returning To Profit In June Quarter

Shares on Apollo Hospitals settled 13.19 per cent higher at Rs 4,920.40 apiece on the BSE.

Shares of Apollo Hospitals Enterprise surged more than 13 per cent on Tuesday, August 17, to touch a 52-week high of Rs 4,956.95 after the company announced its April-June quarter results for the financial year 2020-21. On Tuesday, Apollo Hospitals opened on the BSE at Rs 4,359, swinging to an intra day high of Rs 4,956.95 and an intra day low of Rs 4,333.20, throughout the trading session. The healthcare major reported a net profit of Rs 489 crore in the first quarter of the current fiscal, compared to a net loss of Rs 208 crore in the year-ago period.

The company’s revenue from operations in the June quarter stood at Rs 3,760 crore, compared to Rs 2,171 crore in the corresponding period last year, according to a regulatory filing by the firm to the stock exchanges.

The growth in revenue during the June quarter was mostly driven by the hospital segment, which increased 26.2 per cent quarter-on-quarter to Rs 1,941 crore. The company’s revenue from the pharmacy distribution segment grew 35 per cent sequentially to Rs 1,512 crore in the April-June quarter.

During the quarter, the occupancy across the group was at 5,108 beds (67 per cent), compared to 2,742 beds (38 per cent) in the corresponding quarter last year.

On the NSE, Apollo Hospitals Enterprise opened at Rs 4,345, registering an intra day high of Rs 4,974, and an intra day low of Rs 4,3332.25, in the session today. Its shares settled 12.81 per cent higher at Rs 4,901.75 apiece on the NSE.

Shares on Apollo Hospitals Enterprises settled 13.19 per cent higher at Rs 4,920.40 apiece on the BSE.