Max to add 200 beds to Nagpur hospital, 550 beds to Gurugram facility 

Max Healthcare is confident about continued growth in Average Revenue Per Occupied Bed (ARPOB) and earnings before interest, tax, depreciation, and amortisation (EBITDA) per bed, driven by rising occupancy and operational improvements in both new and existing hospitals.

“Our ARPOBs are growing at about 8-9% for older hospitals, and new hospitals are growing at a significantly higher pace in double digits,” said Chairman and Managing Director Abhay Soi.

Soi highlighted that EBITDA per bed has also seen year-on-year improvement in value terms, with nearly 19% growth.

Newer units, including recently launched hospitals in Nagpur and Lucknow, and the Dwarka hospital are currently below overall EBITDA levels but are expected to catch up as they mature.

Excluding these three new facilities, “if I look at on like to like basis, they’ve been very encouraging, with a double digit growth in EBITDA per bed.”

The newly opened Dwarka unit, which launched in July 2024, is also showing encouraging signs.

Although it incurred initial EBITDA losses of ₹18 crore, Soi is confident about a rapid turnaround. “This will be the fastest break-even we’ll ever do for a greenfield venture,” he noted, with the unit expected to be profitable before the financial year ends, pending finalisation of insurance tie-ups and other administrative processes.

Soi also spoke about Max Healthcare’s broader expansion plans.

The company plans to add another 200 beds to the Nagpur hospital considering a sustainable occupancy level of around 80-81%.

Other expansion efforts include 260 new beds in Mumbai, 200 in Mohali, and an additional 400 beds in Delhi’s Saket complex, all expected by next fiscal year. The Gurugram facility is set to expand by another 550 beds by FY26. CNBCTV18