Hospital and healthcare industry shows sequential improvement

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Hospital and healthcare industry shows sequential improvement

  • 1/5

Sales of the hospital & healthcare industry which had declined by a sharp 28.8% y-o-y in the June 2020 quarter fell by a slower 8.1% and 1.4% in the September 2020 quarter and the December 2020 quarter, respectively, showing sequential improvement.

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This momentum was also seen at the profit margin level. The industry profit margin which was negative 7.9% in the June 2020 quarter improved to positive 4.4% in the September 2020 quarter and further expanded to 7.4% in the December 2020 quarter.

  • 3/5

Improvement in ARPOB (Average Revenue Per Occupied Bed) level was seen on a y-o-y basis as well. The ARPOB per day for top 5 players which had declined by 4.2% to in Q1FY21 fell by a slower 0.8% in Q2FY21 and increased by 2.4% in Q3FY21.

  • 4/5

The average occupancy rate of top players had declined sequentially by 10.5% to 53% in Q4FY20 which further deteriorated by 37.1% to 34% in Q1FY21 due to Covid-19 induced lockdown restrictions.

  • 5/5

The Average Length of Stay (ALOS) which was in the range of 3.6-3.7 days during FY20 increased to 3.9 days, 4.6 days and 4.5 days in Q1FY21, Q2FY21 and Q3FY21, respectively. Shivani Sharma, Mohsin Shaikh