Fortis Healthcare LimitedPharmaceuticals & HealthcareFORTIS
Q1 FY27 concall · earnings callFortis Healthcare Limited
Delhi High Court ordered a court-supervised forensic audit into erstwhile promoter share dissipation, IHH's acquisition of control and use of funds for RHT assets, which Fortis and IHH say leaves operations, capex, bed expansion and M&A unrestricted and is expected to have no material adverse outcome.
From filed quarterly results. YoY and QoQ compare each metric on the same accounting basis.
| Quarter | Revenue | Net profit (PAT) | Basic EPS |
|---|---|---|---|
| Q3 FY25 | ₹1,928.26 Cr+14.8% YoY-3% QoQ | ₹254.30 Cr+89.5% YoY+31.7% QoQ | ₹3.28+84.3% YoY+40.2% QoQ |
| Q2 FY25 | ₹1,988.39 Cr+12.3% YoY+7% QoQ | ₹193.08 Cr+5% YoY+11% QoQ | ₹2.34+1.7% YoY+6.4% QoQ |
| Q1 FY25 | ₹1,858.90 Cr+12.2% YoY+4.1% QoQ | ₹173.98 Cr+40.4% YoY-14.4% QoQ | ₹2.20+48.6% YoY-7.2% QoQ |
| Q4 FY24 | ₹1,785.88 Cr+8.7% YoY+6.3% QoQ | ₹203.14 Cr+46.9% YoY+51.3% QoQ | ₹2.37+34.7% YoY+33.1% QoQ |
| Q3 FY24 | ₹1,679.68 Cr+7.7% YoY-5.1% QoQ | ₹134.23 Cr-5.6% YoY-27% QoQ | ₹1.78+3.5% YoY-22.6% QoQ |
- Delhi High Court 200-page order directs appointment of forensic auditor with defined scope and timelines.
- Scope includes FHHPL evolution, IHH/NTK control acquisition and RHT asset purchase, role of FHL officers, and role of 17 banks and financial institutions.
- Fortis and IHH maintain full compliance, note Supreme Court view that primary infusion was in normal course, and see no significant material adverse effect.
- Operations, capex, bed expansion and M&A are stated to be insulated and continuing, with IHH reiterating backing and ability to infuse capital.
“I want to highlight upfront that the current order in no way changes, limits, or impedes any of our strategic or operational plans, including those related to our investment, capex, bed expansion, and our initiatives on the M&A front.”
| Topic | What management said |
|---|---|
| Scope of forensic audit | Management said scope covers reconstruction of FHHPL evolution during '‘18 to ‘26, examination of IHH/NTK control acquisition and use of funds for RHT Health Trust assets, role if any of FHL officers in share dissipation, and role of 17 banks and financial institutions. |
| Audit timeline | Management said order provides 4 weeks for auditor information requisition, 2 weeks to respond, and 6 months for report, after which findings go to the court. |
| Nature of IHH investment | Both Fortis and IHH said IHH investment was via primary issuance through preferential allotments with no secondary or open market purchases from erstwhile promoters and with required approvals and disclosures. |
| Share transfer role | Management said company had no role in transfer of pledged promoter shares as listed shares transfer through registrar, and no compliance-officer clearance was required at that time. |
| Financial provisioning | CFO said no provisioning is needed as no liability has been fixed and balance sheet impact is zero, with only ongoing legal expenses which were around INR25 crores roughly last year. |
| MTO, stake increase and Japan case | IHH said MTO was completed last year with SEBI blessing, commitment to increase stake to 50% continues, and Japan proceeding is sub-judice with no comment on judicial view. |
- Strategic and operational plans including investment, capex, bed expansion and M&A initiatives continue with no restriction on corporate actions within the remit of law.
- IHH remains fully backing Fortis, happy to infuse capital for growth needs and to pursue merging Gleneagles and Fortis at the appropriate time.
- Forensic audit timeline set by court is 4 weeks for auditor questionnaire, 2 weeks to respond, and 6 months for report, with further court steps thereafter.
- No provisioning required as no liability has been fixed; only ongoing legal expenses expected
Summary written from the transcript filed by Fortis Healthcare Limited for the call held on 4 Sept 2026; published 13 Sept 2026, 16:51 IST.
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