HealthCare Global to sell diagnostic business Triesta for Rs 135 crore

One of India’s top healthcare providers, HealthCare Global Enterprises Ltd., provides advanced screening and diagnostic services, cancer treatment, tertiary care, and infertility treatment. HCG consists of four entities: Milann, the Fertility Center; Triesta Sciences, the Diagnostic Center; HCG hospitals, for multispecialty care; and HCG, the Specialist in Cancer Care. These organizations are positioned strategically across Africa and South Asia to offer medical care to people from all walks of life.

HCG is liquidating its diagnostic division

HealthCare Global (HCG), based in Bengaluru, has announced that it has sold its diagnostic division, Triesta, to HCG NCHRI (Nagpur Cancer Hospital and Research Institute) Oncology, which it owns entirely. Furthermore, the Chennai-based PET-CT and Cyclotron companies will be moved on an undertaking basis. It is anticipated that the Rs 135 crore deal will be finalized by December 1, 2024.

Through a more targeted approach, the sale aims to unlock the value of services and accelerate growth by leveraging opportunities outside the captive business’s purview.

Results for HCG Q2 FY25

In the second quarter of the fiscal year 2025, HCG reported a consolidated net profit of Rs. 20.68 crore, up from Rs. 10.78 crore in the same quarter the year before. In Q2, total revenue increased by 15.15% to Rs 567.47 crore. Additionally, the group’s consolidated adjusted EBITDA increased by 21% year over year to Rs 104.2 crore from Rs 86.4 crore in the same quarter last year.

HCG’s EBITDA from established centers increased by 20% year over year to Rs. 113.1 crores. The amount of EBITDA from emerging centers increased to Rs 3 crore from Rs 0.6 crore in the same quarter last year. Consolidated PAT increased 33% YoY to Rs 18 crore from Rs 13.6 crore in the same quarter last year. AOR (average occupancy rate) decreased marginally to 65.6%, while HCG’s ARPOB (average revenue per occupied bed) increased 7.4% annually to Rs 45,188.

HCG stock price is 2% up today

HCG stock is right now trading at Rs. 473.55 per share, which is 2% up today and the high traded price is Rs. 479.00.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. It is based on several secondary sources on the internet and is subject to changes. Please consult an expert before making related decisions.