NH is the top gainer

Shares of Narayana Hrudayalaya (NH) traded firm today, rising over 4% to Rs.1,930, after the healthcare group reported its highest-ever quarterly revenue and profit for the second quarter ended September 2025 (Q2 FY26).

The stock opened strong at Rs.1,836 and was among the top gainers on the BSE healthcare index, with market capitalisation at Rs.39,012 crore. It is the top gainer on the BSE currently.

The company reported a 20.3% (YoY) growth in consolidated revenue to Rs.1644 crore, while EBITDA rose 28.3% to Rs.427 crore, translating to a healthy EBITDA margin of 25.9%. Net profit increased 29.6% to Rs.258 crore, aided by a better payor mix, higher domestic footfall, and sustained traction in its Cayman Islands operations. The India business grew 8.8% to Rs.1235 crore, while revenue from the Cayman Islands surged 78% to Rs.432 crore, accounting for more than a quarter of consolidated revenue.

Compared with Apollo Hospitals, which delivered steady growth but continues to operate at structurally lower margins of 22–24% due to its large pharmacy and digital businesses, NH benefits from a far leaner cost structure and a higher share of complex, high-volume cardiac work. Fortis Healthcare, with margins around 19–20%, lagged peers this quarter as slower occupancy gains and softer international flows capped profitability. Max Healthcare remains the closest comparable to NH on profitability, with margins in the 25–27% range, supported by its premium Delhi NCR case mix; however, NH’s rapid scale-up in Cayman, rising robotic surgery throughput, and sharper operating leverage helped it narrow the performance gap. Analysts said the quarter reinforces NH’s position as the margin leader in the sector, outperforming larger peers on efficiency, case-mix optimisation and financial discipline, while maintaining one of the lowest leverage profiles in the industry.