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Metropolis Health up 8% post Q4 nos; Ameera appointed Executive Chairperson

Metropolis Health stock update: Metropolis Healthcare stock price hit a fresh record high of Rs 2,049 on Wednesday. Ameera Shah takes charge as executive chairperson and whole-time director

Ameera Shah, Promoter and Managing Director, Metropolis HealthcareAmeera Shah, Promoter and Managing Director, Metropolis Healthcare

Ameera Shah, Promoter and Managing Director, Metropolis Healthcare

SI Reporter New Delhi

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Metropolis Healthcare Q4 results: Metropolis Healthcare stock price surged 7.5 per cent to hit a fresh 52-week high of Rs 2,049 apiece on the BSE in Wednesday's intraday deals. At 1:10 PM, the stock was up 5.26 per cent as against a 0.2-per cent rise in the benchmark S&P BSE Sensex.

The rally in the stock price may be attributed to the company's March quarter (Q4) results, which were in-line with Street estimates.

On Tuesday, May 21, Metropolis Healthcare reported an eight per cent year-on-year (Y-o-Y) rise in Q4FY24 net profit at Rs 36.1 crore, compared with a profit of Rs 33.5 crore reported in the same period last year.

Operationally, its revenue rose 11 per cent Y-o-Y to Rs 313 crore, while Ebitda (earnings before interest, tax, depreciation, and amortisation) (before CSR and ESOPs) improved 14 per cent Y-o-Y to Rs 82.4 crore.

Its core business revenue, meanwhile, was up 15 per cent to Rs 308 crore from Rs 267 crore Y-o-Y.

As for margins, Metropolis' Ebitda margin expanded 70 basis points to 26.4 per cent in Q4Fy24, but its profit margin fell 30 bps to 11.6 per cent.

"Despite significant network expansion over the last two years, we achieved Ebitda margins of 25.5 per cent in Q4FY24. Looking ahead, we expect additional revenue from both existing and new networks, coupled with improved operational efficiency, to sustain our current margin levels in FY25 and further enhance our margin profile beyond FY25," said Ameera Shah, managing director of Metropolis Healthcare.

Metropolis 3.0
While announcing the Q4FY24 results, Ameera Shah of Metropolis Healthcare said the Board has approved the appointment of Sushil Shah as the Chairman Emeritus w.e.f. May 22, 2024.

She also handed over the reins to Surendran Chemmenkotil, the current chief executive officer of Metropolis Healthcare.

"We believe this is an appropriate time for me to hand over the baton to Surendran and team to execute our strategies, while I will move to the position of Executive Chairperson & Whole Time Director with steady focus on driving the strategy, strengthening governance, strategising capital allocation, acquiring talent and foster the culture at Metropolis. As we progress with our Metropolis 3.0 strategy, M&A will be pivotal in elevating our position. Our goal is to enhance our technical testing capabilities and enter new markets, bolstering our strengths and ensuring sustainable growth," she said.

Ameera Shah will assume her new role from May 22, 2024 to March 17, 2026, subject to the approval of shareholders of the company.

Metropolis Healthcare Limited is a leading diagnostics company in India with a widespread presence in 23 states and 601 towns. Internationally, the company has presence in South Asia, Africa, and the Middle East.

Over the past one year, shares of Metropolis Healthcare have surged 53.3 per cent on the bourses as against a 20 per cent rise in the benchmark S&P BSE Sensex.

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First Published: May 22 2024 | 1:53 PM IST

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