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    Metropolis Healthcare open to good opportunities when it comes to acquisitions, says MD

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    Metropolis Healthcare open to good opportunities when it comes to acquisitions, says MD

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    Metropolis Healthcare is open to good opportunities when it comes to acquisitions, Ameera Shah, promoter and managing director (MD) of the company told CNBC-TV18.

    Metropolis Healthcare is open to good opportunities when it comes to acquisitions, Ameera Shah, promoter and managing director (MD) of the company told CNBC-TV18.
    The chain of diagnostic companies reported strong set earnings for the June-ended quarter as expected by the low base and of course the second wave of COVID-19 across the country. The company clocked in its highest ever quarterly revenue and EBITDA. Profit and margin also looked healthy at over 30 percent.
    “We are open to good opportunities and there are many opportunities that keep coming our way. So, it is difficult to comment on anything specific at this point of time," Shah said.
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    “However, we are seeing a bit of a consolidation happening in the industry. There are, as I said, many opportunities but also there is a valuation gap between private and public, which is reducing. Therefore, we have to be picky, selective and prudent about where we invest our cash, while also keeping in mind return numbers. We are not in any hurry to go out and just acquire randomly. We want to be careful as we look at opportunities and they should be very strategically aligned with our overall vision,” she said.
    Shah further said that the acquisition of Ganesan Hitech is on hold for now.
    On COVID space, she said, “In Q1 (FY22) we were at about 19 percent during the peak of the wave and quarters earlier. When the wave had come down, we were between 10 percent and 15 percent.”
    According to her, full-year EBITDA for FY22 should be better than that of FY21.
    “Our entire year EBITDA for 2021-22 will be better than the entire year for 2020-21 and we stand by that. However, we are going on an aggressive expansion of 90 labs and 1,800 collection centers over the next three years and also we are investing a lot in our technology and digital capabilities. This will obviously erode some margin temporarily," she added.
    “On the other side, we are also working on a lot of cost-efficient products and we believe that the neutralising factor of this will bring us ahead in terms of margin. So, we are very much working towards that. I think topline is that if there would be a third wave and what impact that will have. Overall, it should be a reasonably positive year for healthcare services from a numbers perspective and obviously from a consumer perspective," she added.
    For the entire management interview, watch the video
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