logo
EquityWireEarnings Review: Rainbow Children's Q1 Profit After Tax misses view as higher costs bite
Earnings Review

Rainbow Children's Q1 Profit After Tax misses view as higher costs bite

This story was originally published at 19:28 IST on 30 July 2026
Register to read our real-time news.
Earnings-Review-Rainbow-Children-s-Q1-Profit-After-Tax-misses-view-as-higher-costs-bite

Informist, Thursday, Jul. 30, 2026

 

Please click here to read all liners published on this story
--Rainbow Children's Apr-Jun consol net profit INR 605.72 mln 
--Analysts saw Rainbow Children's Apr-Jun consol net profit INR 658.83 mln 
--Rainbow Children's Apr-Jun consol revenue INR 4.70 bln 
--Analysts saw Rainbow Children's Apr-Jun consol revenue at INR 4.54 bln 
--Rainbow Children's Apr-Jun consol PAT INR 605.72 mln vs INR 534.99 mln 
--Rainbow Children's Apr-Jun consol revenue INR 4.70 bln vs INR 3.53 bln yr ago 

 

By Radhika Tiwari

 

MUMBAI – Rainbow Children's Medicare Ltd. Thursday posted a lower-than-estimated consolidated net profit for the June quarter, weighed down by higher operating costs despite a robust growth in its revenues. The company's top line rose sharply and beat the Street's estimates.

 

The company's consolidated net profit for the June quarter rose 13% on year to INR 606 million from INR 535 million. The consensus estimate for the bottom line was INR 659 million. The company's revenue from operations rose 33% on year to INR 4.70 billion from INR 3.53 billion. The estimate was INR 4.54 billion. The other income for the June quarter fell more than 36% to INR 127 million.

 

Total expenses rose 32% on year to INR 3.99 billion. The professional fees to doctors rose 35% to INR 1.24 billion. Other expenses rose 37% to INR 801 million. The expenses on raw materials, employee benefits and depreciation and amortisation also rose sharply. The company's total tax expenses rose 22% to INR 214 million.

 

Rainbow Children's Medicare runs multispecialty paediatric, and obstetrics and gynaecology hospitals in India. It runs 25 hospitals and six outpatient clinics across seven cities.

 

The company's earnings before interest, tax, depreciation, and amortisation for the June quarter rose 30% on year to INR 1.35 billion. Its EBITDA margin rose 70 basis points on year to 28.6%.

 

During the quarter, Rainbow Children's Medicare invested INR 563 million in capital expenditure to expand services at existing and upcoming hospitals, the company said in a press release. The acquisition of 64% stake in Andhra Pradesh-based Super Prime Medical Care LLP. for INR 198 million will be completed by the end of the September quarter, the company said. It has also signed agreements for a 100-bed brownfield hospital in Malad in Mumbai with operations expected to commence in the first quarter of the financial year 2027-28 (Apr-Mar).

 

Thursday, shares of the company closed at INR 1,520.60 apiece on the National Stock Exchange, up 1.6% over Wednesday. The earnings were announced after market hours.  End

 

Edited by Shubhayan Bhattacharya

 

For users of real-time market data terminals, Informist news is available exclusively on the NSE Cogencis WorkStation.

 

Cogencis news is now Informist news. This follows the acquisition of Cogencis Information Services Ltd. by NSE Data & Analytics Ltd., a 100% subsidiary of the National Stock Exchange of India Ltd. As a part of the transaction, the news department of Cogencis has been sold to Informist Media Pvt. Ltd.

 

Informist Media Tel +91 (22) 6985-4000

Send comments to feedback@informistmedia.com

 

© Informist Media Pvt. Ltd. 2026. All rights reserved.

To read more please subscribe

Share this Story:

twitterlinkedinwhatsappmaillink

Related Stories