Shifa International Hospitals Reports Strong Profit Growth Despite Higher Costs

Shifa International Hospitals Limited has reported a solid financial performance for the nine months ended March 31, 2026, with consolidated profit attributable to the company’s shareholders rising by around 19% compared with the same period last year.

According to the company’s financial statements, consolidated profit attributable to equity holders of Shifa International Hospitals increased to Rs2.15 billion during the nine-month period, compared with Rs1.82 billion in the corresponding period of 2025. On a consolidated basis, earnings per share also improved to Rs34.05, from Rs28.71 a year earlier.

Revenue Continues to Move Higher

The company generated consolidated net revenue of approximately Rs22.68 billion during the nine months under review, up from Rs20.87 billion in the same period last year. This represents growth of roughly 8.7% year-on-year.

However, operating costs also increased, reaching around Rs18.98 billion, compared with Rs17.47 billion a year earlier. Finance costs remained relatively contained at about Rs139 million, while the company recorded expected credit losses of approximately Rs139 million during the period.

Quarterly Profit Sees a Slight Dip

While the nine-month performance remained encouraging, the latest three-month period showed some moderation. Consolidated profit attributable to Shifa International Hospitals stood at approximately Rs550.4 million for the quarter ended March 31, 2026, compared with Rs550.3 million in the corresponding quarter of 2025.

The company’s consolidated earnings per share for the quarter were Rs8.71, compared with Rs9.09 in the same period last year.

The figures suggest that the company maintained its overall earnings momentum during the nine-month period, although rising operating expenses and other charges weighed on profitability in the final quarter.

Standalone Results Also Show Improvement

Shifa International Hospitals’ standalone financial results were similarly positive. Profit for the nine months ended March 31, 2026 rose to approximately Rs2.21 billion, compared with Rs1.88 billion in the same period last year.

Standalone earnings per share increased to Rs34.95, from Rs29.79 a year earlier. For the latest three-month period, standalone profit reached approximately Rs591.5 million, compared with Rs569.4 million in the corresponding quarter of 2025.

Financial Position Remains Solid

The company’s consolidated statement of financial position shows total equity of approximately Rs18.80 billion as of March 31, 2026, compared with around Rs17.00 billion at June 30, 2025. The increase was supported by the profit generated during the period.

The company also reported cash and bank balances of approximately Rs2.80 billion on a consolidated basis at the end of March 2026, compared with around Rs1.86 billion at June 30, 2025.

Cash Generation Improves

Cash flow figures also point to an improvement in the company’s liquidity position. Consolidated cash generated from operating activities stood at approximately Rs5.24 billion during the nine months ended March 31, 2026, compared with about Rs4.78 billion in the corresponding period last year.

This stronger operating cash generation provides the company with additional financial flexibility to support its operations and investments.

Overall Outlook

Shifa International Hospitals’ nine-month results present a positive picture, with revenue, profitability, earnings per share and operating cash generation all showing improvement compared with the previous year.

The key challenge remains the rise in operating expenses, which has limited the pace at which revenue growth translates into bottom-line gains. Nevertheless, the nearly 19% increase in consolidated profit attributable to shareholders highlights the company’s ability to maintain earnings growth during the period.

The financial results were approved by the company’s Board of Directors at its meeting held on April 25, 2026, with the financial statements covering the nine months ended March 31, 2026.