Shares of Metropolis Healthcare Ltd surged 7% as it reported a strong performance in the fourth quarter of fiscal year 2024, as per the company’s regulatory filing on April 10. 

Metropolis Healthcare Ltd is a medical diagnostics company that faced challenges due to prolonged holiday periods, particularly in March 2024, but still experienced a 10% year-on-year increase in overall revenue, maintaining a consistent rise in sales volumes across various segments.

The core business revenue saw even stronger growth in the fourth quarter of the financial year ending March 31, 2024,  surging by 15% compared to the same period the previous year.

In Q4FY24, Metropolis achieved an 8% year-on-year rise in total sales volumes and a 7% year-on-year growth in Revenue Per Patient (RPP). 

This growth was mainly driven by their speciality tests segment, premium wellness segment, and successful implementation of price increases. 

They also experienced a significant 18% year-on-year growth in Business-to-Consumer (B2C) revenues, which indicates consistent demand among individual patients.

Metropolis Healthcare was able to achieve a significant milestone during the quarter by becoming debt-free as of March 31, 2024. 

Additionally, their earnings before interest, tax, depreciation and amortisation (EBITDA) margins for Q4FY24 showed a consistent upward trend both quarter-over-quarter and year-over-year. This boost in margin was mainly due to the surge in sales volumes and implemented price increases.

The company faced competition in certain metropolitan areas, particularly within the B2B segment. 

However, they have enhanced their market share in their core geographies and are successfully expanding their presence in newer territories with an aggressive lab and network expansion strategy.

At 11:26 am, the shares of Metropolis Healthcare were trading 4.68% higher at Rs 1,885.05 on NSE.