Max Healthcare to Invest in New Hospital in Mohali

Max Healthcare Institute Ltd. has announced plans to establish a new hospital in Mohali’s Zirakpur, Punjab. The project involves an investment of Rs.230 crore and aims to expand the company’s healthcare network.

New Hospital Project Details

The new facility will be a build-to-suit hospital with over 250 beds. Max Healthcare will enter into a long-term lease agreement with Silicon Constructions Pvt. Ltd. for the construction of the hospital. The project is expected to be completed within 48 months, boosting the company’s capacity to cater to the healthcare needs of the region.

Financial Investments & Partnerships

In addition to the new hospital, Max Healthcare has also approved financial assistance to Muthoot Hospitals Pvt. Ltd which  will support operational and capital expenditure needs for Max Super Speciality Hospital Dwarka. Furthermore, the company plans to acquire an additional stake in Starlit Medical Centre for up to Rs.150 crore, reinforcing its  growth and expansion.

Financial Performance

Max Healthcare reported gross revenue of Rs.2,028 crore for Q1FY25 marking an 18% y-o-y increase. Revenue from existing units rose by over 12% y-o-y to Rs.1,929 crore. The network’s operating EBITDA stood at Rs.499 crore, showing a growth of more than 14% y-o-y. Despite these positive figures, the company reported a slight decline in consolidated net profit for Q1FY25, at Rs.236 crore compared to Rs 240 crore in Q1FY24. However, revenue from operations rose to Rs.1,543 crore, a 20% increase from Q1FY24. Sequentially, the company experienced a 6.3% drop in net profit and a 5.1% rise in revenue from Q4FY24.

Capacity Expansion

Max Healthcare’s network currently boasts around 4,300 beds. The addition of the new hospital in Mohali, along with ongoing projects, aims to boost this capacity further. The recent launch of Max Super Specialty Hospital in Dwarka added over 900 beds to the company’s capacity, supporting its growth in revenue and profitability.

Conclusion: In conclusion, Max Healthcare’s investments and expansions, including the new hospital in Mohali, highlight the company’s commitment to growing further in the healthcare services industry. With consistent performance in existing facilities and new ventures, Max Healthcare seems poised for continued growth  in the healthcare sector.
Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. It is based on several secondary sources on the internet and is subject to changes. Please consult an expert before making related decisions.