Apollo Hospitals Enterprise Ltd
Apollo Hospitals Enterprise Ltd
Healthcare F&OApollo Hospitals was established in 1983 by Dr. Prathap C Reddy, renowned architect of modern healthcare in India. As the nation’s first corporate hospital, Apollo Hospitals is acclaimed for pioneering the private healthcare revolution in the country. Apollo Hospitals has emerged as Asia’s foremost integrated healthcare services provider and has a robust presence across the healthcare ecosystem, including Hospitals, Pharmacies, Primary Care & Diagnostic Clinics and several Retail Health models. [1]
Apollo Hospitals trades at a premium PE of 60.8x, but delivers exceptional profit growth of 78% CAGR over 5 years and consistent 21% stock CAGR over 10 years. With 84.6% analyst buy ratings and improving ROE of 22%, the structural healthcare growth story justifies a buy with a long-term horizon.
Key Fundamentals
LargecapHospitalsHealthcare ServicesTechnical Indicators
Key Insights
Strengths
2- Company has delivered good profit growth of 77.8% CAGR over last 5 years
- Company has been maintaining a healthy dividend payout of 17.7%
Weaknesses
2- Stock is trading at 13.0 times its book value
- Company might be capitalizing the interest cost
Growth Rate
AI Analysis — Bull vs Bear
Apollo Hospitals trades at a premium PE of 60.8x, but delivers exceptional profit growth of 78% CAGR over 5 years and consistent 21% stock CAGR over 10 years. With 84.6% analyst buy ratings and improving ROE of 22%, the structural healthcare growth story justifies a buy with a long-term horizon.
- Exceptional profit growth of 78% CAGR over 5 years, far outpacing the healthcare sector average
- Consistent stock price CAGR of 21% across 1-year, 5-year, and 10-year periods demonstrates sustained wealth creation
- Overwhelming analyst consensus with 84.62% buy ratings (22 out of 26 analysts recommend buy)
- ROE has improved from 13% (10-year average) to 22% last year, indicating strengthening capital efficiency
- TTM profit growth of 40% shows continued earnings momentum even on a higher base
- Revenue CAGR of 15-19% across multiple timeframes demonstrates durable topline growth
- Market cap of Rs 1,22,871 crore provides institutional-grade liquidity and index inclusion benefits
- Healthy dividend payout ratio of 17.7% signals management confidence in sustainable cash flows
- PE ratio of 60.8x is extremely expensive, leaving minimal margin of safety for execution misses
- Price-to-book of 12.86x suggests stock is pricing in years of future growth already
- Dividend yield of just 0.12% offers negligible income return for investors
- Potential capitalization of interest costs may be inflating reported profits and asset values
- Only 3.85% sell rating (1 analyst) suggests potential crowded consensus trade with limited contrarian scrutiny
- TTM sales growth of 16% is decelerating from 5-year CAGR of 19%, hinting at maturing growth curve
- At 60.8x PE, even a modest earnings miss could trigger 20-30% valuation de-rating given premium multiple
This is AI-generated analysis, not financial advice. Do your own due diligence.
AI News Digest
- Healthtech governance framework detailed Jun 19
Apollo Hospitals disclosed director nomination rights tied to shareholding thresholds (10% aggregate, 5% individual) for the proposed Apollo Healthtech listing, with half the board to be independent directors and Ms. Shobana Kamineni proposed as Executive Chairperson.
- Senior oncology executive resigns May 30
President of Group Oncology and International, Mr. Dinesh Madhavan, resigned effective May 30, 2026, potentially leaving a leadership gap in the oncology and international business verticals.
- ₹28.46 Cr institutional block trade May 26
Approximately 34,036 shares were traded at ₹8,361.50 per share in a privately negotiated block deal on NSE valued at ₹28.46 crores, indicating routine institutional activity with minimal market impact.
TL;DR: Recent news flow for Apollo Hospitals is procedural and governance-oriented with no material positive catalysts or significant risks emerging. The Healthtech listing preparations are progressing through regulatory steps, while a senior executive departure bears watching for continuity in the oncology segment. Overall, the near-term narrative is steady-state with no clear directional signal from these developments.
Quarterly Results
| Mar 2023 | Jun 2023 | Sep 2023 | Dec 2023 | Mar 2024 | Jun 2024 | Sep 2024 | Dec 2024 | Mar 2025 | Jun 2025 | Sep 2025 | Dec 2025 | Mar 2026 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Sales | 4,302 | 4,418 | 4,847 | 4,851 | 4,944 | 5,086 | 5,589 | 5,527 | 5,592 | 5,842 | 6,304 | 6,477 | 6,606 |
| Expenses | 3,814 | 3,909 | 4,219 | 4,237 | 4,303 | 4,410 | 4,774 | 4,765 | 4,822 | 4,990 | 5,362 | 5,512 | 5,594 |
| Operating Profit | 488 | 509 | 628 | 614 | 640 | 675 | 816 | 762 | 770 | 852 | 941 | 965 | 1,011 |
| OPM % | 11% | 12% | 13% | 13% | 13% | 13% | 15% | 14% | 14% | 15% | 15% | 15% | 15% |
| Other Income | 20 | 34 | 26 | 29 | 37 | 49 | 44 | 69 | 72 | 54 | 61 | 48 | 54 |
| Interest | 95 | 106 | 111 | 113 | 119 | 116 | 118 | 110 | 115 | 108 | 110 | 113 | 119 |
| Depreciation | 159 | 167 | 163 | 167 | 190 | 177 | 184 | 185 | 211 | 215 | 218 | 219 | 224 |
| PBT | 254 | 270 | 379 | 363 | 368 | 430 | 557 | 536 | 516 | 583 | 675 | 682 | 722 |
| Tax % | 43% | 36% | 34% | 30% | 30% | 27% | 29% | 29% | 20% | 24% | 27% | 24% | 24% |
| Net Profit | 146 | 173 | 249 | 254 | 258 | 316 | 396 | 379 | 414 | 441 | 494 | 516 | 551 |
| EPS in Rs | 10.05 | 11.59 | 16.2 | 17.06 | 17.65 | 21.23 | 26.34 | 25.89 | 27.1 | 30.1 | 33.19 | 34.93 | 36.81 |
Profit & Loss
| Mar 2015 | Mar 2016 | Mar 2017 | Mar 2018 | Mar 2019 | Mar 2020 | Mar 2021 | Mar 2022 | Mar 2023 | Mar 2024 | Mar 2025 | Mar 2026 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Sales | 5,129 | 6,150 | 7,256 | 8,243 | 9,617 | 11,247 | 10,560 | 14,663 | 16,612 | 19,059 | 21,794 | 25,228 |
| Expenses | 4,392 | 5,465 | 6,522 | 7,442 | 8,548 | 9,656 | 9,420 | 12,474 | 14,548 | 16,665 | 18,761 | 21,459 |
| Operating Profit | 737 | 684 | 734 | 801 | 1,070 | 1,591 | 1,140 | 2,189 | 2,065 | 2,394 | 3,033 | 3,769 |
| OPM % | 14% | 11% | 10% | 10% | 11% | 14% | 11% | 15% | 12% | 13% | 14% | 15% |
| Other Income | 47 | 92 | 60 | 24 | 26 | 222 | 103 | 368 | 75 | 123 | 222 | 217 |
| Interest | 118 | 180 | 257 | 295 | 327 | 533 | 449 | 379 | 381 | 449 | 458 | 450 |
| Depreciation | 212 | 264 | 314 | 359 | 396 | 620 | 573 | 601 | 615 | 687 | 758 | 876 |
| PBT | 455 | 332 | 222 | 171 | 373 | 660 | 221 | 1,578 | 1,144 | 1,380 | 2,039 | 2,661 |
| Tax % | 29% | 29% | 41% | 65% | 47% | 34% | 38% | 30% | 22% | 32% | 26% | 25% |
| Net Profit | 335 | 235 | 131 | 60 | 200 | 432 | 137 | 1,108 | 844 | 935 | 1,505 | 2,003 |
| EPS in Rs | 24.43 | 16.99 | 15.88 | 8.44 | 16.96 | 32.7 | 10.46 | 73.42 | 56.97 | 62.5 | 101 | 135 |
| Div. Payout % | 24% | 35% | 38% | 59% | 35% | 18% | 29% | 16% | 26% | 26% | 13% | 15% |
Balance Sheet
| Mar 2015 | Mar 2016 | Mar 2017 | Mar 2018 | Mar 2019 | Mar 2020 | Mar 2021 | Mar 2022 | Mar 2023 | Mar 2024 | Mar 2025 | Mar 2026 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Equity Capital | 70 | 70 | 70 | 70 | 70 | 70 | 72 | 72 | 72 | 72 | 72 | 72 |
| Reserves | 3,102 | 3,262 | 3,244 | 3,182 | 3,264 | 3,270 | 4,531 | 5,551 | 6,126 | 6,864 | 8,140 | 9,408 |
| Borrowings | 1,992 | 2,834 | 3,125 | 3,427 | 3,673 | 3,596 | 4,160 | 4,068 | 4,332 | 5,333 | 7,864 | 8,493 |
| Other Liabilities | 1,296 | 1,195 | 1,665 | 1,917 | 2,159 | 4,354 | 2,629 | 3,570 | 3,886 | 4,474 | 4,568 | 4,224 |
| Total Liabilities | 6,459 | 7,360 | 8,103 | 8,596 | 9,166 | 11,289 | 11,392 | 13,261 | 14,416 | 16,742 | 20,644 | 22,197 |
| Fixed Assets | 3,244 | 3,997 | 4,591 | 4,773 | 4,982 | 7,432 | 6,778 | 8,296 | 8,520 | 9,664 | 10,988 | 12,312 |
| CWIP | 533 | 562 | 347 | 712 | 822 | 236 | 234 | 46 | 610 | 873 | 921 | 992 |
| Investments | 311 | 352 | 406 | 352 | 462 | 434 | 1,343 | 816 | 574 | 986 | 2,487 | 2,179 |
| Other Assets | 2,372 | 2,448 | 2,759 | 2,759 | 2,901 | 3,187 | 3,037 | 4,104 | 4,712 | 5,219 | 6,248 | 6,714 |
| Total Assets | 6,459 | 7,360 | 8,103 | 8,596 | 9,166 | 11,289 | 11,392 | 13,261 | 14,416 | 16,742 | 20,644 | 22,197 |
Cash Flow
| Mar 2015 | Mar 2016 | Mar 2017 | Mar 2018 | Mar 2019 | Mar 2020 | Mar 2021 | Mar 2022 | Mar 2023 | Mar 2024 | Mar 2025 | Mar 2026 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating | 470 | 597 | 623 | 537 | 905 | 1,293 | 1,265 | 1,696 | 1,377 | 1,920 | 2,136 | 2,856 |
| Investing | -759 | -888 | -1,152 | -405 | -711 | -289 | -880 | -747 | -857 | -1,537 | -3,381 | -2,148 |
| Financing | 392 | 330 | 477 | -108 | -215 | -910 | -340 | -792 | -633 | -311 | 1,317 | -478 |
| Net Cash Flow | 103 | 39 | -52 | 24 | -20 | 94 | 44 | 158 | -113 | 72 | 73 | 230 |
| Free Cash Flow | -396 | -393 | -46 | -84 | 233 | 782 | 984 | 1,044 | 252 | 785 | 439 | 925 |
| CFO/OP | 77 | 108 | 103 | 83 | 103 | 100 | 108 | 87 | 85 | 100 | 86 | 92 |
Ratios
| Mar 2015 | Mar 2016 | Mar 2017 | Mar 2018 | Mar 2019 | Mar 2020 | Mar 2021 | Mar 2022 | Mar 2023 | Mar 2024 | Mar 2025 | Mar 2026 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Debtor Days | 43 | 36 | 38 | 37 | 39 | 33 | 46 | 44 | 49 | 48 | 51 | 50 |
| Inventory Days | 50 | 49 | 47 | 51 | 46 | 49 | 16 | 21 | 17 | 17 | 16 | 15 |
| Days Payable | 59 | 66 | 51 | 55 | 56 | 60 | 74 | 79 | 82 | 88 | 72 | 63 |
| Cash Conversion Cycle | 34 | 19 | 34 | 33 | 29 | 22 | -12 | -14 | -16 | -23 | -6 | 3 |
| Working Capital Days | 24 | 16 | 27 | 8 | -3 | -8 | -4 | 5 | -1 | -19 | -6 | -10 |
| ROCE % | 12% | 9% | 8% | 7% | 10% | 14% | 8% | 17% | 14% | 15% | 17% | 18% |
Documents
Frequently Asked Questions about Apollo Hospitals Enterprise Ltd
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Company Information
Apollo Hospitals was established in 1983 by Dr. Prathap C Reddy, renowned architect of modern healthcare in India. As the nation’s first corporate hospital, Apollo Hospitals is acclaimed for pioneering the private healthcare revolution in the country. Apollo Hospitals has emerged as Asia’s foremost integrated healthcare services provider and has a robust presence across the healthcare ecosystem, including Hospitals, Pharmacies, Primary Care & Diagnostic Clinics and several Retail Health models. [1]