Thyrocare reported a weak set of numbers with revenue growth of 15 percent, below the estimate of 17.5 percent. Margins too dipped both on QoQ as well as on YoY Basis.
Talking about the numbers, A Velumani, CMD and CEO of the company, said, “FY19 is bound to have challenges because we have reduced the prices by 15 percent overall,” he said.
“Quarter fluctuations are always there. This was the coldest winter I have seen in the last five years. So that is always a quarter-to-quarter variation. However, if you look at year-to-date (YTD), we have done fairly well. But I am not saying that I will do a miracle in FY19, I am looking at FY20 because the minute I reduce the price, every number goes down and it takes another 2-3 quarters to build up,” said Velumani.
“Diagnostic business growth in FY19 will be poor, topline may not grow more than 15 percent .... only in 2020 (FY20), we will be back with growth,” he mentioned.