Credit rating rating Agency ICRA has revised that private hospitals chain have stabilized around 60% in providing medical services in all medical specialties this year till now and now estimates that there will be a considerable increase in the number of bed strength which might yeild around Rs.30k expansion by 2027. The consortion of hospital chains in India which are eying to invest Rs.30k to add nearly 15,000 beds across the metros particularly with more focus on II tier & III tier major cities according to Credit Rating Agency. According to the agency many hospital chains are looking inorganic opportunities which will lead to increase in consolidation over the years, with a financial strength both in terms of services and investors showing interest on their active participation. Presently the chain of hospitals operating profit margins are between 12-15 percent and now with the increased strength of beds it will scale up to 22-24 percent with cost optimization, increase in numbers of insurance on health policies and digitization of advancements. As said by the VP Mythri Macherla VP Sector Head of ICRA the industry can remain in between 6-8 percent year after year as seen before for the current period too. With the annual revisions of prices from companies to offset cost inflation and technological advancements such as AI in radiology and increase in robotic surgeries can boost up the projected growth and profits for these chain of hospitals by 2027.
Private hospitals chains adding Rs.30k crores bed capacity by 2027
