Metropolis sees growth from preventive and specialised diagnostics

Metropolis Healthcare is seeing stronger demand for preventive healthcare and specialised diagnostics as India’s diagnostics market moves towards organised chains with wider networks, advanced testing capabilities and stronger brand trust.

The Mumbai-based diagnostics chain, led by Ameera Shah, reported strong growth in the March quarter and FY26, driven by higher volumes, increasing contribution from specialised testing and improved operating efficiencies.

Metropolis crossed the milestone of more than 5,000 centres during FY26, expanding its reach across metros as well as smaller towns. The company now operates more than 221 laboratories, over 5,000 patient service centres and 10,000 touchpoints across more than 750 towns in India.

Executives in the diagnostics industry say organised chains are gaining market share as consumers increasingly prioritise quality, accuracy and advanced testing. Rising health awareness, increasing incidence of chronic diseases and greater adoption of preventive healthcare are also supporting growth in the sector.

Metropolis’ numbers indicate the trend. Patient volumes grew 11% year-on-year during the March quarter, while test volumes increased 14%, indicating sustained demand momentum and deeper market penetration. Revenue per patient improved 11% and revenue per test rose 8%, supported by a better mix and higher contribution from specialised diagnostics.

The company’s TruHealth preventive healthcare portfolio grew 24% year-on-year during the quarter, while the specialty diagnostics portfolio expanded 31%, reflecting rising demand for preventive screening and advanced pathology testing.

Metropolis offers more than 4,100 tests and profiles, including advanced diagnostics for cancer, neurological disorders, infectious diseases and genetic abnormalities. The company said its CAP proficiency score has remained above 99% for the past decade, placing it among the top laboratories globally for quality assurance.

“The diagnostics industry in India is evolving towards more organised and science-led platforms, driven by increasing focus on trust, accuracy and clinical excellence,” said Ameera Shah, Promoter and Executive Chairperson, Metropolis Healthcare. She said the company’s focus on scientific excellence, doctor relationships and advanced diagnostics positions it well as healthcare increasingly moves towards preventive and personalised care.

The company is also seeing stronger traction in institutional business. B2B revenues increased 28% year-on-year during the quarter, aided by hospital outsourcing opportunities, stronger partner relationships and improved service reliability. B2C revenues rose 20%, supported by digital engagement and hyperlocal marketing initiatives.

Industry observers say hospital outsourcing is emerging as a key growth area for diagnostics chains as hospitals look to improve efficiency and reduce the cost of building advanced in-house pathology infrastructure.

At the same time, specialised diagnostics is becoming a larger contributor to growth for organised chains because these tests generally offer higher realisations than routine pathology.

“FY26 was an important year from an execution and operating transformation standpoint for Metropolis. Growth during the year was driven by healthy patient volumes, improved mix and stronger realisations, without any price increase in Q4, reflecting the strength of the underlying demand environment,” said Surendran Chemmenkotil, Managing Director, Metropolis Healthcare.

He said the company made progress in productivity, network utilisation, lab optimisation and acquisition integration during the year, supporting operating leverage and margin expansion.

For Q4FY26, consolidated revenue rose 23% year-on-year to ₹425 crore, while EBITDA increased 71% to ₹108 crore. Profit after tax rose 75% to ₹51 crore. EBITDA margin expanded to 25.4% from 18.5% a year earlier.

On an organic basis, quarterly revenue grew 14.7% year-on-year to ₹392 crore, while adjusted EBITDA increased 26.9% to ₹106.6 crore.

For FY26, consolidated revenue increased 23.6% to ₹1,646 crore, while EBITDA rose 31.7% to ₹401 crore. Profit after tax grew 31.4% to ₹191 crore. EBITDA margin improved to 24.4% from 22.9% in FY25.

The board approved a dividend of ₹1 per share for FY26. The company said it will continue to focus on sustainable growth, improving throughput across its network and driving efficiency-led margin expansion as preventive healthcare and specialised diagnostics gain further traction in India’s healthcare market.