HCG Q1 FY27: consolidated PAT up 175% YoY to ₹16.5 Cr as NPM more than doubles to 2.4%

HealthCare Global's consolidated (primary basis) Q1 FY27 print shows revenue from operations of ₹693.39 Cr, up 13.1% YoY (₹613.16 Cr in Q1 FY26) and 6.3% QoQ (₹652.33 Cr in Q4 FY26), while PAT for the period (pre-minority split, same basis as prior-quarter comparisons) rose 175% YoY to ₹16.46 Cr from ₹5.98 Cr, and 307% QoQ from ₹4.04 Cr. Net profit margin nearly two-and-a-half times over, from 0.96% a year ago to 2.37% this quarter. Reported PAT includes a ₹2.96 Cr one-off net gain on the completed divestment of BACC Healthcare (the Milann fertility business) recognised in other income; stripping that out, adjusted PAT is roughly ₹14.5 Cr, still up ~143% YoY — confirming the growth is substantially operational, not just the one-off. Standalone PAT of ₹5.58 Cr was up a comparatively modest 62% YoY (₹3.45 Cr in Q1 FY25), a materially slower pace than the consolidated 175% — the gap reflects subsidiary/JV contribution and the BACC gain landing more visibly in the group other-income line, so readers comparing the two bases should expect the divergence rather than read it as inconsistency.

Margin expansion was driven by operating leverage: consolidated total income grew 14.1% YoY while total expenses grew only 12.2%, letting the operating line outrun the top line even as employee costs (₹104.52 Cr, +6.9% YoY), finance costs (₹39.87 Cr, -12.3% YoY) and D&A (₹70.42 Cr, +21.6% YoY, reflecting the VHCRPL capacity add) all moved. This is directionally consistent with management's Q4 FY26 concall guidance of margin expansion via operating leverage, better utilisation and cost discipline, though the filing does not disclose a standalone EBITDA line, so the guided ~100bps margin-expansion target cannot be independently verified from this statement alone. Revenue growth of 13.1% YoY trails the ~15% FY27 full-year growth target management set out — it is only the first quarter of the year, so this reads as on-track rather than a miss, but the pace bears watching into Q2.

The stock went into the print at ₹674, up 6.7% over the past month of trading.

For context: this is the second-highest quarterly PAT of the last 6 quarters; PAT has now risen for 2 consecutive quarters; revenue is at a 6-quarter high.

Diluted EPS ₹0.92 vs ₹0.33 YoY (consolidated) — standalone diluted EPS ₹0.37 vs ₹0.24 YoY

The quarter's corporate actions tie directly into the numbers: the BACC Healthcare divestment (₹37.64 Cr consideration, ₹28.23 Cr received upfront, ₹9.41 Cr receivable within 18 months) closed 29 June 2026, deconsolidating that business and contributing the one-off gain noted above; the Company also completed acquisition of the remaining 34% stake in Vizag Hospital & Cancer Research Centre (VHCRPL) for ₹154.50 Cr on 13 April 2026, taking its holding to 85% and adding to D&A and finance costs. The Board separately approved a further ₹16 Cr investment in HCG Rajkot Hospitals LLP at this same meeting, and the CFO transition (Sanjeev Kumar succeeding interim CFO Dr. Manish Mattoo, effective 25 May 2026) falls within the quarter. No formal street consensus estimates for this specific quarter's revenue/PAT could be located via search, so the comparison against analyst expectations is marked unknown rather than assumed; commentary found was limited to general price-target notes, not quarter-specific previews. Management's own framing is not available in this context — no press release commentary was supplied — so the read here rests on the filing and the Q4 FY26 concall guidance alone.