Apollo Hospitals Q3: Profit Jumps To ₹502 Cr., Dividend ₹10 Per Share Announced

In a press statement released recently, Apollo Hospitals Enterprise Ltd, which is a major chain of private hospitals in India, announced a strong financial performance in the third quarter of fiscal year 2026 (Q3FY26), owing to increased patient demand and subsequent better performance.

On 11 February 2026, the Apollo Hospitals shares surged over 5-6%, following the Q3 results, reaching a three-month high of approximately ₹7,640.

The Board of Directors declared an interim dividend of ₹10 per equity share for FY26. The record date for dividend eligibility has been set as 16 February 2026, with payouts expected on or before 27 February 2026.

What Drove Profit And Revenue Growth?

Apollo Hospitals Enterprise Ltd's performance during Q3 was as follows:

• Consolidated net profit (PAT) rose 35% year-on-year to ₹502 crore in Q3FY26, up from ₹372 crore in the year-ago period, reflecting solid bottom-line expansion.

• Revenue from operations increased by 17% YoY to ₹6,447 crore, compared with ₹5,527 crore in Q3FY25, indicating broad-based demand across hospital businesses.

• Earnings before interest, tax, depreciation, and amortisation (EBITDA) grew from ₹762 crore to ₹965 crore.

Do Healthcare Services Remain A Core Growth Driver?

Apollo’s healthcare services business remained the backbone of performance. In Q3FY26, segment revenue increased to ₹3,183 crore compared to ₹2,785 crore last year, and it is growing at 14% per annum.

EBITDA for the segment increased 18% YoY to ₹790 crore, while margins improved to 24.8%.

Healthcare services segment profit after tax increased to ₹422 crore, an increase of 21% compared to ₹348 crore due to higher utilisation and operating efficiencies.

Is Apollo Health & Lifestyle Moving Closer To Profitability?

The Apollo Health and Lifestyle, which incorporates clinics, diagnostics, and day-care formats, also reported positive growth.

Segment revenue rose up 20% YoY to ₹467 crore as opposed to ₹390 crore in Q3FY25. EBITDA improved by 39% to ₹48 crore, against ₹34 crore last year.

Margins increased to 10.2% with positive scale benefits. The segment has registered a net loss of ₹6 crore compared to ₹8 crore in the same quarter last year, and this indicates slow improvement in profitability.

How Is Apollo HealthCo Scaling Up As A Profit Engine?

Apollo HealthCo, which houses pharmacy distribution, digital healthcare, and consumer health platforms, delivered one of the greatest improvements in the quarter.

Revenue rose 20% YoY to ₹2,827 crore in Q3FY26. In Q3FY25, EBITDA increased by more than two times to ₹128 crore, as compared to ₹57 crore.

The efficiency of the company improved with increased margins of 4.5%, indicating good performance in distribution and online platforms. The segment profit after tax rose to ₹87 crore as compared to ₹32 crore in the previous quarter.

What Lies Ahead?

As Chairman, Dr Prathap C Reddy pointed out in a statement, Apollo OMR has emphasised developments in its high-end clinical capacity, having already performed 150 robotic joint replacement surgeries during its first 150 days. He also pointed out the growing momentum in high-end surgery.

He also pointed to the expansion of Apollo’s stroke care network in Chennai, which now includes nine advanced stroke labs, strengthening rapid-access treatment and clinical outcomes.

Apollo further said it will continue working with policymakers and state partners to strengthen international patient pathways, expand high-acuity capacity, and ensure seamless coordination from pre-travel evaluation to post-discharge follow-up.

What Does This Mean For Investors?

The Q3FY26 performance by Apollo Hospitals confirms its standing as a solid structural healthcare player, which is backed by its steady demand for high-acuity hospital services and increasing profitability in newer verticals like HealthCo.

The growing margin in the core healthcare services segment and the steep EBITDA increase at HealthCo are evidence of an improving operating leverage, and the reduction in losses at Health & Lifestyle indicates further movement towards scale-based profitability.

To investors, the multitude of verticals, other than hospitals, is increasingly augmenting the earnings growth of Apollo. In the future, investors are advised to watch keenly whether Apollo is able to maintain margin growth on healthcare services and, at the same time, continue increasing profitability in HealthCo and reducing losses in Apollo Health and Lifestyle.

The ongoing growth in high-acuity specialties and growth in more advanced clinical capabilities will continue to be significant drivers of long-term growth visibility.

Sources

Economic Times

NDTV Profit