The shares of the leading healthcare service provider gained up to 5 percent after the company’s net profit and revenue magnified by 50 percent and 20 percent in Q2FY25, respectively.
With a market capitalization of Rs 4,899.71 crore, the shares of Thyrocare Technologies Ltd were trading at Rs 925.30 per share, increasing around 2 percent as compared to the previous closing price of Rs 908.35 apiece.
Reason for rise:-
Today, the company shares have seen bullish movement after Thyrocare Technologies Ltd announced Q2 results in which revenue zoomed by 19 percent on year on year basis from Rs 136 crore in Q2FY24 to Rs 163 crore in Q2FY25, however in Quarter on a Quarter basis revenue increased by 13 percent from Rs 144 crore in Q1FY25 to 163 crore Q2Y25.
Moreover, net profit is magnified drastically by 50 percent on a yearly basis from Rs 20 crore in Q2FY24 to Rs 30 crore in Q2FY25, meanwhile on a quarter-on-quarter basis net profit jumped multifold times by 20 percent from Rs 25 crore in Q1FY25 to Rs 30 crore in Q2FY25.
Performance and Quality Improvement;-
Thyrocare implemented a pay-for-performance pricing structure, focusing on quality, with 25 of 30 NABL-accredited labs. An independent study revealed that 9 out of 10 doctors trust Thyrocare reports. This quarter, the company reduced complaints per million samples by 70%.
Growth and Expansion;-
The active franchisee network grew to 8,100, processing 6 million samples and serving 4 million patients this quarter. Thyrocare entered a business transfer agreement to acquire Polo Labs, significantly strengthened its insurance offerings through the acquisition of Think Health, and expanded internationally with a lab in Tanzania.
Shareholding Pattern:-
According to the latest shareholding pattern, the Promoters hold a 71.11 percent stake in the company, Foreign Institutional Investors (FII) hold a 1.93 percent stake, while Retail Investors hold a 0.02 percent in Thyrocare Technologies.
Ratio analysis:-
The company’s critical ratios show that the return on equity increased from 12.04 percent in FY22-23 to 13.43 percent in FY23-24, while the return on capital employed zoomed from 16.15 percent to 18.03 percent. The net profit margin (NPM) for fiscal year 23-24 is 12.08 percent.
Company snapshot:-
Thyrocare Technologies Limited is an India-based healthcare services provider in the diagnostic area. The Company has diagnostic chains that conduct a range of medical diagnostic tests and profiles of tests that is focused on early detection and management of health disorders and diseases.
Written by:- Abhishek Singh
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