Dr Agarwals Health Care Ltd (AGARWALEYE) Q1 FY27 Results Analysis: PAT Surges 50.5%, Facility Additions Ahead of Schedule

Dr Agarwals Health Care Ltd reported Q1 FY27 numbers with revenue of Rs. 614.02 Cr (+26.00% YoY) and PAT growth of +44.60% YoY. Here's a quick read of what worked, what to watch, and what management said.

Quarter Snapshot

Revenue grew 26% YoY, beating management's ~21% guidance, and PAT-to-owners surged 50.5% YoY. The company added 18 new facilities in Q1, ahead of schedule, while maintaining stable EBITDA margins. Strong mature-facility growth and debt reduction from IPO proceeds support a positive outlook.

Key Investment Insights

Key Positives

• Revenue grew 26.0% YoY to Rs.614.02 Cr, exceeding management's ~21% growth guidance
• PAT attributable to owners grew 50.5% YoY to Rs.45.23 Cr
• Added 18 new facilities in Q1, including a record 16 surgical facilities, ahead of the FY27 target run-rate
• EBITDA margin remained stable at 28.5% (Total Income basis) despite aggressive greenfield expansion
• Surgery volumes grew 15.5% YoY to 91,082 procedures, with favorable surgical mix shift toward higher-ASP procedures
• Mature Facilities revenue grew 37.1% YoY to Rs.485 Cr, indicating strong same-store performance
• Finance costs declined 5.4% YoY due to debt repayment from IPO proceeds

Risk Factors

• Depreciation expense rose 24.4% YoY to Rs.78.31 Cr, reflecting the heavy capex of prior years, which will continue to weigh on net profit
• Other income fell 52.1% YoY to Rs.6.41 Cr as IPO proceeds were deployed, reducing interest income
• Standalone EBITDA margin compressed 60 bps to 25.9% (vs 26.5% in Q1FY26), indicating margin pressure at the standalone level
• GST show cause notice of Rs.20.50 Cr received, though management does not expect financial impact