This Article is From Nov 13, 2013

Fortis Healthcare posts profit after tax of Rs 32 crore in Q2

Fortis Healthcare posts profit after tax of Rs 32 crore in Q2
New Delhi:

Fortis Healthcare n Tuesday posted a consolidated profit after tax of Rs 32 crore for the quarter ended September 30, 2013.

The company had posted a net loss of Rs 28 crore in the corresponding quarter a year ago, it said in a statement.

Net sales of the company during the quarter ended September, 2013 were down at Rs 1,281 crore, as against Rs 1,493 crore in the year-ago period, it said.

The company said results for Q2 FY14 are not comparable to the corresponding period of last fiscal year due its stake sale in Dental Corporation, Australia in May this year.

"Our results for the quarter strongly reflect the focus of the company on the India business... We will pursue both greenfield and brownfield capacity expansion to continue our growth trajectory and market leadership in India," Fortis Healthcare Ltd Group chief executive Vishal Bali said.

The company said its consolidated India business revenues stood at Rs 879 crore during the second quarter. Its international operation revenues stood at Rs 402 crore, contributing 31 per cent to the consolidated revenues.

The healthcare major said the company expects to commence operations in two greenfield facilities in Ludhiana and Chennai, in second half of FY14.

"These facilities will add close to 400 beds to the Fortis Network and along with FMRI and further additions in existing facilities, this would take the total number of bed additions to 1,000 beds in FY14," the company said.

During the quarter it completed divestiture of Fortis Hoan My, its business in Vietnam. The deal was completed in August for a value of $80 million.

Fortis also divested its entire stake in Quality Healthcare, its primary care business in Hong Kong, to BUPA, for a consideration of $355 million.

"The deal was completed in October 2013. With this, the India business is expected to contribute close to 95 per cent of the company's overall revenues going forward," it said.

Shares in Fortis Healthcare, on Tuesday, ended at Rs 97.90 apiece on the BSE, down 2.44 per cent from the previous close.