Max Healthcare stock draws broker support after Q2 growth
Published on 11/06/2026 at 02:37 | Editorial responsibility: Rafael Müller, Editor-in-Chief AD HOC NEWSGrowth and capacity drive broker support
- Max Healthcare's fiscal second-quarter revenue rose 20.3 percent year over year, while EBITDA increased 23.8 percent.
- Citi and Jefferies maintained buy ratings, citing faster bed ramp-ups and healthy occupancy.
- Profit declined from the year-earlier quarter as the hospital operator continued expanding its network.
Max Healthcare Institute's fiscal second-quarter performance drew positive reviews from Citi and Jefferies, which retained buy ratings after the hospital operator reported higher revenue and EBITDA. The assessment was reported by NDTV Profit on Monday, November 2, 2026.
Operating growth outpaced profit
For the July-to-September quarter, revenue increased 20.3 percent to Rs 2,569 crore from Rs 2,135 crore a year earlier. EBITDA rose 23.8 percent to Rs 712 crore from Rs 575 crore, lifting the EBITDA margin to 27.7 percent from 26.9 percent.
Net profit fell 15.5 percent to Rs 415 crore from Rs 491 crore. Citi said EBITDA was about 4 percent ahead of its estimate, supported by a 13 percent increase in occupied bed days and an 8 percent rise in average revenue per patient. The brokerage also pointed to the effect of discontinuing selected high-value chemotherapy drugs for institutional patients.
New capacity remains the catalyst
Citi and Jefferies highlighted the ramp-up of recently commissioned beds and sustained occupancy as key operating factors. Citi expects continued progress at Max Smart, Nanavati-Max, Mohali, Lucknow and Bhubaneswar, alongside international-patient growth, a better payer mix and a potential normalization of oncology revenue.
Max Healthcare approved capital spending of Rs 190 crore for two hospitals and revised the project cost for its Gurugram facility to Rs 1,143 crore. For investors, the expansion offers a route to higher operating leverage, but the near-term earnings profile remains tied to how quickly new capacity reaches mature occupancy and margins.
Max Healthcare's hospital network
Max Healthcare Institute provides medical services in India through hospitals and medical centres. Its specialties include cardiac sciences, orthopedics, oncology, renal sciences, neurosciences, surgery, obstetrics, pediatrics and organ transplants.
The company also operates Max@Home, a home-based health and wellness platform, and MaxLab, which provides diagnostic services beyond its hospital network. Based in Gurugram, India, Max Healthcare combines hospital care with home healthcare and diagnostics, giving it a broader service mix than a single-specialty provider.
What investors should watch next
The pace of bed additions, occupancy at newer facilities and the recovery of oncology activity are the main operating markers for the next results cycle. Citi and Jefferies' continued positive ratings place emphasis on capacity absorption and improving profitability rather than on the quarter's lower reported net profit.
