HealthCare Global Reports 18% Revenue Growth, Expands Precision Medicine Investments

HealthCare Global Enterprises Ltd (HCG), a leader in specialty healthcare services in India, reported strong financial results for Q4 and full year ending March 31, 2025, with revenue growing 18% year-on-year and adjusted EBITDA increasing by 14%. The company expanded its infrastructure by adding advanced LINAC machines and acquiring MG Hospital in Vizag, while also doubling its digital revenue through the launch of the HCG Mobile App. Despite these gains, HCG faces challenges including lower margins compared to other hospital chains, international patient flow issues due to geopolitical factors, and higher receivables affecting cash flow. The company is focused on investments in early cancer detection and precision medicine, with plans to operationalize over 900 beds in three years, aiming to improve margins to the low 20% range as emerging centers mature. However, Milann centers continue to underperform, prompting considerations for divestment. Additionally, HCG is managing significant debt and exploring equity options to reduce interest costs, indicating a strategic focus on both growth and financial stability.