On November 13, shares of Medplus Health Services rose by as much as 7%, reaching ₹713 on the NSE by 09:32 AM, driven by a substantial increase in its net profit for the September quarter. The company's strong financial performance attracted high trading volumes, with six lakh shares traded by the morning, three times the one-month daily average of two lakh shares. For investors seeking to invest in stocks with solid growth potential, the Medplus Health stock has shown significant movement this quarter.
Net profit doubles for Medplus Health in Q2
Medplus Health reported a consolidated net profit of ₹38.74 crore for the recent quarter, a twofold increase from the previous year's ₹14.56 crore. This strong result reflects the company's performance amid high demand for over-the-counter (OTC) medicines. For those looking to invest in stocks with strong earnings growth, this notable rise in net profit highlights Medplus Health's financial strength and its appeal to investors.
Revenue growth driven by retail operations
The company's revenue from operations increased by 12% year-on-year, reaching ₹157.6 crore. The majority of this growth came from Medplus Health's retail business, which saw an 11% increase in sales and remains a core contributor to the company's overall revenue. For investors looking to invest in stocks tied to retail and healthcare sectors, Medplus Health's growth trajectory may offer valuable insights.
Improved operational performance boosts EBITDA margin
In Q2, Medplus Health recorded an improvement in its EBITDA margin, which rose to 4.6% from the previous year's 3.2%. This increase in operational efficiency contributes to the company's positive outlook, especially for those aiming to invest in stocks of companies with improved financial metrics. The company's enhanced margins reflect its growing stability in the competitive healthcare retail space.
Expansion plans into tier-2 cities
Medplus Health recently announced its plans to open 600 new stores in tier-2 cities over the next three years. The company's strategy to expand beyond urban centres is aimed at capturing untapped markets and growing its customer base. With over 4,000 outlets already in operation, Medplus Health's expansion plans may appeal to those who wish to invest in stocks with the potential for market diversification.
Medplus adds 108 new stores in Q2
In the quarter under review, Medplus Health expanded its store network by adding 108 new outlets, 71 of which were in tier-2 cities. This addition has brought the company's total store count to 4,552 as of the end of the July-September quarter. For investors looking to invest in stocks with an emphasis on geographical expansion, Medplus Health's steady increase in store count signifies its growth-oriented approach.
For android only