By: IPP Bureau
Last updated : August 07, 2026 8:59 am
Operating EBITDA increased 30 per cent to Rs. 576 crore, while the operating EBITDA margin expanded by 170 basis points to 22.2%
Aster DM Quality Care Limited, one of India's leading integrated healthcare service providers, reported a strong financial performance for the first quarter of FY27, with combined proforma revenue rising 20 per cent year-on-year to Rs. 2,597 crore.
Operating EBITDA increased 30 per cent to Rs. 576 crore, while the operating EBITDA margin expanded by 170 basis points to 22.2%
The company said the merger between Aster DM Healthcare and Quality Care became effective on July 1, 2026, creating one of India's largest integrated hospital networks. The combined entity now operates more than 10,800 beds across 28 cities, with plans to expand capacity to over 15,000 beds in the coming years.
Kasargod Hospital achieved monthly EBITDA break-even within nine months of commencing operations, while the combined entity reported a return on capital employed (ROCE) of 22.9 per cent, an improvement of 246 basis points over the previous year.
Dr. Azad Moopen, Executive Chairman, said, “The coming together of Aster DM Quality Care marks a defining milestone in our nearly four-decade journey of building world-class healthcare institutions. We aspire to create one of India’s leading integrated healthcare platforms, bringing together Aster, CARE, KIMS India, and Evercare into a unified network with over 10,800 beds across 28 cities, positioning Aster Quality Care among the top three hospital chains in India. Over the coming years, we expect to expand this network to more than 15,000 beds.”
Commenting on the quarterly performance, Varun Khanna, Managing Director & Group CEO, said, “The recent merger and formation of Aster DM Quality Care, marks a significant moment for the companies, our patients, our doctors and clinical staff, and for the industry overall. In this new chapter we are committed to keeping our core and value system unchanged, with continued focus on patient care, enabling doctors and hospital operations through technology, and best-in-class clinical outcomes.”
On a standalone basis, Aster DM Healthcare reported a 22 per cent increase in revenue to Rs. 1,311 crore during the quarter. Operating EBITDA, excluding the Kasargod hospital, grew 30 per cent to Rs. 279 crore, with margins improving to 21.7 per cent.
Normalised profit after tax rose 46 per cent year-on-year to Rs. 131 crore. The business also recorded a 16 per cent increase in patient volumes, while average revenue per inpatient (ARPP) increased 10 per cent to Rs. 1,30,352.
Quality Care contributed revenue of Rs. 1,287 crore, up 19 per cent year-on-year, while operating EBITDA grew 32 per cent to Rs. 299 crore. EBITDA margin improved to 23.2 per cent from 21.1 per cent in the corresponding quarter last year.
The segment also reported a 10 per cent increase in patient volumes and a 9 per cent rise in ARPP to Rs. 1,44,064. Mature hospitals registered revenue growth of 18 per cent, while emerging units grew 47 per cent during the quarter.