Healthcare Equity Analyst - Emerging & Dev Markets, daaimon

Avien Pillay

Healthcare Equity Analyst - Emerging & Dev Markets

daaimon

daaimon is an independent research company focusing on healthcare and consumer sectors across developed and emerging markets. We produce insightful research which challenges conventional thinking. In particular, we look for new ideas by testing consensus forecasts and markets expectations.

Equity Bottom-Up

Apollo Hospitals Enterprise / Equity Bottom-Up

<ul>
<li>Recent results are disappointing and point to slower organic growth especially in the much higher margin Healthcare Services division.</li>
<li>The recent results also provide further evidence revealing the difficulty in expanding the network outside of management contracts.</li>
<li>Apollo is the cheapest of the three main listed hospital groups. At 48 forward PE &amp; 26 forward EV/EBITDA, we expect the core division to be growing faster (9%, Sept-25,Q2-results).</li>
</ul>


Recent results are disappointing and point to slower organic growth especially in the much higher margin Healthcare Services division.
The recent results also provide further evidence revealing the difficulty in expanding the network outside of management contracts.
Apollo is the cheapest of the three main listed hospital groups. At 48 forward PE &amp; 26 forward EV/EBITDA, we expect the core division to be growing faster (9%, Sept-25,Q2-results).


Apollo Hospitals Update (APOLLOHOSP ) – Retain Sell

Global Healthcare Analyst

Tina Banerjee

<ul>
<li>
<a href="https://www.smartkarma.com/entities/apollo-hospitals-enterprise" target="_blank" data-smartkarma-citation="entities:880:1" rel="noopener">Apollo Hospitals Enterprise (APHS IN)</a> delivered robust performance in Q1FY26, with double-digit revenue growth across all three business verticals and continuous margin expansion.</li>
<li>Hospital business revenue grew 11% YoY to INR29B, driven by inpatient volume (+3%) and favorable price and case mix (+8%). Margin improvement continued, with EBITDA margin expanding 88bps to 24.5%.</li>
<li>Apollo anticipates continued double digit revenue growth for FY26, underpinned by strong performance of the existing hospitals and new hospital openings.</li>
</ul>



Apollo Hospitals Enterprise (APHS IN) delivered robust performance in Q1FY26, with double-digit revenue growth across all three business verticals and continuous margin expansion.
Hospital business revenue grew 11% YoY to INR29B, driven by inpatient volume (+3%) and favorable price and case mix (+8%). Margin improvement continued, with EBITDA margin expanding 88bps to 24.5%.
Apollo anticipates continued double digit revenue growth for FY26, underpinned by strong performance of the existing hospitals and new hospital openings.


Apollo Hospitals (APHS IN): Starts FY26 on Strong Footing; Eyes Double-Digit Revenue Growth for FY26

External broker reports(aggregated public sources), HDFC Securities

HDFC Securities

External broker reports(aggregated public sources)

HDFC securities is the best online trading platform for stocks, IPOs, mutual fund in India. 

Content available is external broker reports authored by a third party outside the Smartkarma network and has been aggregated by an online aggregator through publicly available sources and is displayed by Smartkarma in this format for user's convenience and general informational purposes only. Content does not constitute investment or financial advice and Smartkarma makes no representation or warranty regarding its accuracy or contents. Original third party author retains all copyright and other proprietary rights in the content. Access or use of third party links not controlled by Smartkarma are at the user's own risk.

<ul><li>Apollo Hospitals (AHEL) and Apollo HealthCo have got in principle approval for the Composite Scheme of Arrangement, which includes the following: first, demerger of omni channel pharmacy distribution, Apollo 24|7 digital platform, and telehealth division of AHEL into the new entity, second, amalgamation of Apollo HealthCo into the new entity, third, amalgamation of Keimed into the new entity, and lastly, the resultant entity, “NewCo,” will apply for listing on the stock exchange, which is expected to happen in the next 18–21 months</li><li>AHEL share conversion ratios—100 shares of AHEL will get converted to 195.2 shares of NewCo, AHEL will retain ~15 % stake in NewCo</li><li>AHEL expects NewCo to become India’s largest omni channel pharmacy and digital health platform, generating substantial synergies</li></ul><p><em>Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.</em></p>

Apollo Hospitals (AHEL) and Apollo HealthCo have got in principle approval for the Composite Scheme of Arrangement, which includes the following: first, demerger of omni channel pharmacy distribution, Apollo 24|7 digital platform, and telehealth division of AHEL into the new entity, second, amalgamation of Apollo HealthCo into the new entity, third, amalgamation of Keimed into the new entity, and lastly, the resultant entity, “NewCo,” will apply for listing on the stock exchange, which is expected to happen in the next 18–21 monthsAHEL share conversion ratios—100 shares of AHEL will get converted to 195.2 shares of NewCo, AHEL will retain ~15 % stake in NewCoAHEL expects NewCo to become India’s largest omni channel pharmacy and digital health platform, generating substantial synergiesContent is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

Apollo Hospitals Enterprise: Omni-Channel Business Listing to Unlock Value. Maintain BUY

Market & Forensics Analyst, Beat the Street

Nimish Maheshwari

Market & Forensics Analyst

Beat the Street

Beat The Street was founded by Nimish Maheshwari and Sudarshan Bhandari, both of whom are Chartered Accountants by Profession, known for their expert analysis in the fields of Business, Sectoral analysis, and Corporate governance.

With a strong social media presence of 45,000+ Subscribers across various platforms, they are considered trusted voices in the industry. Their insights and analysis have been featured in some of India’s most prominent publications, including the Economic Times, Dalal Street Investment Journal, The Morning Context, and The Ken.

Their analysis on Bankrupt & Insolvent companies has been instrumental in saving investors from significant losses. They have a keen eye for identifying red flags and has identified exclusive redflags earlier in Vedanta, Nykaa, Dhani Services, Adani and many more.

Read Business Not Stock Prices

Event-Driven

Apollo Hospitals Enterprise / Event-Driven

<ul>
<li>
<a href="https://www.smartkarma.com/entities/apollo-hospitals-enterprise" target="_blank" data-smartkarma-citation="entities:880:1" rel="noopener">Apollo Hospitals Enterprise (APHS IN)</a> is demerging its omni-channel pharmacy and digital health business into a new entity, later merging with Keimed ltd, the wholesale pharmacy distribution arm.</li>
<li>The reorganisation aims to unlock shareholder value, enhance operational focus, and create a transparent, comprehensive pharmacy and digital healthcare platform.</li>
<li>The NewCo(AHL) targets INR 25,000 crore revenue(50%+) by FY27 from digital health and pharmacy scale-up, while core hospitals expand with new beds and high-value therapies.</li>
</ul>



Apollo Hospitals Enterprise (APHS IN) is demerging its omni-channel pharmacy and digital health business into a new entity, later merging with Keimed ltd, the wholesale pharmacy distribution arm.
The reorganisation aims to unlock shareholder value, enhance operational focus, and create a transparent, comprehensive pharmacy and digital healthcare platform.
The NewCo(AHL) targets INR 25,000 crore revenue(50%+) by FY27 from digital health and pharmacy scale-up, while core hospitals expand with new beds and high-value therapies.


Event Driven: Apollo’s Restructuring-Unlocking Value in India's Omni-Channel Healthcare Ecosystem

<ul>
<li>We are bullish on the long-term growth of the hospital sector in India.</li>
<li>We are, however, concerned that Apollo will face intense competition as it expands.</li>
<li>A 53 FPE does not factor in the high cost of expansion and potential challenges.</li>
</ul>


We are bullish on the long-term growth of the hospital sector in India.
We are, however, concerned that Apollo will face intense competition as it expands.
A 53 FPE does not factor in the high cost of expansion and potential challenges.


Apollo Hospitals (APHS IN): Sell – Priced for Perfection!

India

Apollo Hospitals Enterprise Limited owns and operates hospitals in India.  The Company also runs a 24-hour pharmacy network via over 120 outlets across India. Apollo Hospitals also runs clinics and offer managed care and family health plans. The Company has a variety of locations in Chennai, Hyderabad, Delhi, Dubai, Vizag, Bilaspur and Chengannur.

Price Gauge
52-week Range	0.00 - 0.00
Market Cap (USDm)	0.00
P/E	0.00
Dividend (Yield)	0.00

Apollo Hospitals Enterprise (APHS IN)

Apollo Hospitals Update (APOLLOHOSP ) – Retain Sell

Disappointing results, indicating slower organic growth in the higher margin Healthcare Services division. Results also demonstrate difficulty in...

daaimon

Apollo Hospitals (APHS IN): Starts FY26 on Strong Footing; Eyes Double-Digit Revenue Growth for FY26

Apollo Hospitals reported strong Q1FY26 performance with double-digit revenue growth across all three business verticals and continuous margin...

Tina Banerjee

Apollo Hospitals Enterprise: Omni-Channel Business Listing to Unlock Value. Maintain BUY

AHEL share conversion ratios—100 shares of AHEL will get converted to 195.2 shares of NewCo, AHEL will retain ~15 % stake in NewCo

HDFC Securities

Event Driven: Apollo’s Restructuring-Unlocking Value in India's Omni-Channel Healthcare Ecosystem

Apollo Hospitals Enterprise is demerging its pharmacy and digital health business to create a new entity, aiming to unlock shareholder value and...

Nimish Maheshwari

Apollo Hospitals (APHS IN): Sell – Priced for Perfection!

At a 53 forward PE, Apollo Hospitals is priced for perfection, and high real estate costs, complicated regulations, intense local and foreign...

daaimon

Price Gauge

52-week Range

Market Cap (USDm)

P/E

Dividend (Yield)

Apollo Hospitals Update (APOLLOHOSP ) – Retain Sell

Disappointing results, indicating slower organic growth in the higher margin Healthcare Services division. Results also demonstrate difficulty in...

daaimon

Apollo Hospitals (APHS IN): Starts FY26 on Strong Footing; Eyes Double-Digit Revenue Growth for FY26

​Apollo Hospitals reported strong Q1FY26 performance with double-digit revenue growth across all three business verticals and continuous margin...

Tina Banerjee

Apollo Hospitals Enterprise: Omni-Channel Business Listing to Unlock Value. Maintain BUY

AHEL share conversion ratios—100 shares of AHEL will get converted to 195.2 shares of NewCo, AHEL will retain ~15 % stake in NewCo

HDFC Securities

Event Driven: Apollo’s Restructuring-Unlocking Value in India's Omni-Channel Healthcare Ecosystem

​Apollo Hospitals Enterprise is demerging its pharmacy and digital health business to create a new entity, aiming to unlock shareholder value and...

Nimish Maheshwari

Apollo Hospitals (APHS IN): Sell – Priced for Perfection!

At a 53 forward PE, Apollo Hospitals is priced for perfection, and high real estate costs, complicated regulations, intense local and foreign...

daaimon

Apollo Hospitals reported strong Q1FY26 performance with double-digit revenue growth across all three business verticals and continuous margin...

AHEL share conversion ratios—100 shares of AHEL will get converted to 195.2 shares of NewCo, AHEL will retain ~15 % stake in NewCo

Apollo Hospitals Enterprise is demerging its pharmacy and digital health business to create a new entity, aiming to unlock shareholder value and...