Fortis Healthcare Limited: Comprehensive Stock Analysis Report | Scrolls
- Editor
- Oct 14
- 2 min read
by KarNivesh | 14 October, 2025
Fortis Healthcare Limited has emerged as one of India’s leading healthcare providers, known for its strong growth and recovery in recent years. With a history dating back to 1996 and operations spread across India, Dubai, and Sri Lanka, the company continues to strengthen its position in the healthcare industry.
After its acquisition by Malaysia’s IHH Healthcare in 2018, Fortis underwent a remarkable transformation. The company has focused on expanding its hospitals, improving patient care, and reducing debt. Today, it operates 36 healthcare facilities with around 4,300 beds — a testament to its scale and service strength.
One of Fortis’ most significant achievements in 2025 was securing full ownership of its brand name “Fortis” for ₹200 crore. This long-awaited move gives the company complete control over its identity and brand image. Alongside this, leadership under Dr. Ashutosh Raghuvanshi has provided strategic direction and focus on growth.
Financially, Fortis has shown steady improvement. In FY2024, revenue stood at ₹5,759 crore, growing 9.5% year-on-year. Net profit reached ₹500 crore, while the company maintained an EBITDA margin of 17.2%. Its return on capital employed was a healthy 12%, reflecting efficient use of resources.
The second quarter of FY2025 brought even more good news. Revenue rose 12.3% to ₹1,988 crore, and EBITDA grew nearly 32% — a clear sign of operational efficiency. The hospital business contributed 83% of revenue, while the diagnostics arm, recently rebranded as “Agilus,” accounted for 17%. Occupancy rates also improved, showing higher patient engagement and demand.
Debt management has been a major strength for Fortis. Its debt-to-equity ratio fell to 0.15 in 2024, highlighting its strong financial discipline. Institutional investors — including foreign funds and mutual funds — hold a major share in the company, showing solid market confidence.
However, the stock currently trades at premium valuations, with a P/E ratio of 89.9x. This means investors are paying a higher price for Fortis shares compared to peers, reflecting high expectations for future growth. Despite this, Fortis’ share price performance has been exceptional — a 77% return in one year and 350% over five years.
Looking ahead, Fortis plans to add about 2,200 more beds by 2028 with an investment of ₹1,300 crore. The focus will remain on key regions like Delhi-NCR, Punjab, West Bengal, and Karnataka. Its specialties — such as oncology, cardiology, neurology, and robotic surgery — continue to show strong growth.
While challenges like competition, regulation, and expansion risks remain, Fortis’ strong balance sheet, efficient management, and clear strategy make it well-positioned for the future.
Fortis Healthcare stands as a story of transformation and steady progress. For investors and healthcare watchers alike, it symbolizes how resilience, strategy, and innovation can turn challenges into lasting success.
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