GPT Healthcare IPO Financial Analysis

GPT Healthcare operating under the brand name ILS Hospitals, is a healthcare provider in eastern India. They offer a wide range of healthcare services spanning thirty five specialty and super specialty divisions. GPT Healthcare is set to launch its IPO on 22 February 2024. Below is a summary of the company's business model, strengths, risks and financials to assist investors in making informed decisions.

GPT Healthcare IPO Overview

GPT Healthcare established in 1989 operates a chain of mid sized, multi specialty hospitals under the ILS Hospitals brand in Eastern India. They offer integrated healthcare services focusing on secondary and tertiary care spanning 35 specialties and super specialties.

GPT Healthcare runs four hospitals with a total of 561 beds. The Salt Lake facility in Kolkata has 85 beds, including 17 in various ICUs and HDUs. The Dum Dum facility has 155 beds with 53 in ICUs and HDUs. The Howrah facility in West Bengal has 116 beds with 43 in ICUs and HDUs. Additionally, they operate one hospital in Agartala (Tripura) with 205 beds including 66 in ICUs and HDUs.

Get more details about GPT Healthcare IPO in this article.

GPT Healthcare IPO Strengths

1. They're in a good spot to grow their business in areas where there aren't enough healthcare services, especially in crowded areas.

2. Its finances have been steadily increasing over the last three years.

3. Efficiently sized hospitals in key locations resulting in strong returns on investment.

4. Experience management team

GPT Healthcare IPO Risk

1. They heavily depend on revenue from hospitals in West Bengal.

2. The company's profits rely on its connections with doctors and other healthcare workers.

3. The bed occupancy rate is lower than that of some other listed players.

GPT Healthcare IPO Details

GPT Healthcare IPO is scheduled from 22 to 26 February 2024. It has a face value of ₹10 per share and the IPO's price band is ₹177 - ₹186 per share.

Financial Performance of GPT Healthcare IPO

In 2021 GPT Healthcare made a profit of ₹21.09 crores. By 2022 this profit doubled to ₹41.66 crores. However, it slightly dropped to ₹39.01 crores by 2023.

GPT Healthcare IPO Key Ratios

GPT Healthcare's Return on Equity (ROE) for FY21, FY22, and FY23 was 15.75%, 26.34% and 23.59% respectively. ROE reflects how effectively a company generates profits from shareholders' equity. GPT Healthcare's rising ROE indicates improved profitability and efficiency in utilizing shareholder funds.

GPT Healthcare IPO Vs Peers

Compared to its competitors GPT Healthcare has the lowest earnings per share (EPS) of 4.88 while Kovai Medical Center & Hospital has the highest EPS of 105.8. A higher EPS is always considered more favorable.

Promoters of GPT Healthcare IPO

1.    Shree Gopal Tantia.
2.    Dr. Om Tantia.
3.    Dwarika Prasad Tantia.
4.    GPT Sons Private Limited.

Dwarika Prasad Tantia, GPT Sons Private Ltd, Dr Om Tantia, and Gopal Tantia are the promoters of the company. Currently, the promoters hold 67.34% ownership but this will decrease to 65.58% after the IPO.

Final Words

This article takes a closer look into GPT Healthcare IPO scheduled for subscription from 22 February 2024. It suggests that potential investors thoroughly review the company's details, financials and subscription status before applying for the IPO