16th Annual Report 2011-12 - Fortis Healthcare

38 16th Annual Report 2011-12 Operations Review
The above growth was primarily
contributed by improving operating
metrics and continued
performance at key hospitals.
For FY12, the reported ARPOB
(Average Revenue Per Operating
Bed) was ` 93 lac with an occupancy
of 73%, as compared to an ARPOB
of ` 81 lac and an occupancy of
72% in FY11.
Specialities including Cardiac
Sciences, Orthopaedics, Neurosciences,
Renal Sciences, Pulmonology,
Gastroenterology and
Oncology performed well. The
hospitals across the network in
India performed approximately
58,000 Cardiac procedures, over
5,900 Neurological procedures
and over 13,000 Orthopaedic
procedures. The Company’s
dependence on cardiac sciences
has come down with renal and
oncology showing encouraging
growth.
To address the need of
underserved patient segments,
Fortis launched a secondary care
format brand “Fortis General”.
Fortis General will endeavour to
provide quality, reliable, accessible,
and affordable healthcare predominantly
in Tier 2 and Tier 3
cities. Hospitals in Moradabad,
Alwar and Jessa Ram in Delhi
were brought under this umbrella.
During the year, the Company
also launched ‘Renkare’, a chain of
state-of-the-art dialysis centres, to
meet the rising demand for quality
dialysis. Renkare is currently
operational in five locations in
North India. It is envisioned to
be nine centres strong by the end
of 2013. With a standardised
dialysis protocol, well trained
renal professionals and backend
technology procedures, ‘Renkare’
provides reliable, safe and effective
dialysis with meticulously designed
services.
B. India Diagnostic
Operations: A strategic
fit to the India Hospital
business
Fortis acquired a strategic stake
(approximately 86%) in Super
Religare Laboratories (SRL), a
leading diagnostic company. The
acquisition was in-line with our
strategy to become an integrated
healthcare player with a presence
in all major verticals and to
participate in the high growth
segments of the healthcare
industry. Fortis would hold a
approximately 56% equity stake
in SRL, post the third round of
private equity infusions in the
company.
SRL reported revenues of ` 433
Crore for the period (11 months)
ended 31 March 2012 with an
operating EBITDA of ` 42 Crore
representing a 9.7% margin.
With its pan-India coverage,
strong talent pool, a wellestablished
brand and strong
logistics, SRL has strong synergies
with Fortis’ hospital business.
SRL further enhanced its pan-
India presence by expanding its
collection centres from 888 (as on
date of acquisition) to over 1100
collection centres as of 31 March
2012 with three new network labs
opening in Delhi, Bangalore and
Kolkata, during the year.
SRL currently offers approximately
3,300 tests with a focus
on high end tests aggregating to
more than 1,400 specialised and
esoteric tests. The company also
strengthened its doctors coverage
from 45,000 doctors in FY11 to
73,000 in FY12.