Dr Lal PathLabs Q3 Results: Net Profit declines 39.3% YoY

Net profit decline - Dr Lal PathLabs, diagnostic service provider, reported a decline in net profit at Rs 58.2 crore, down by 39.3% YoY. The company reported a net profit of Rs 95.9 crore in the year-ago period.

Revenue rise -  Dr Lal PathLabs reported total revenue of Rs 497 crore in Q3FY22, a growth of 9.8% YoY from Rs 452.4 crore in Q3FY21. Dr Lal PathLab's operating revenue increased 9.8% in Q3 FY22 to Rs 496.9 crore against Rs 452.4 crore in Q3FY21. Covid and Allied contributed 11.8% to Revenue in Q3FY22 with 5.8 lakh RTPCR tests.

Dr Lal PathLabs Quarterly Results: Highlights:

EBITDA -  Dr Lal PathLabs's EBITDA (earnings before interest, tax, depreciation, and amortization) came down by 21.3% to Rs 109 crore in Q3FY22 from Rs 139 crore in Q3FY21. EBITDA margin stood at 22% in Q3FY22 as compared to 30.7% in Q3FY21. Normalized EBITDA (after adjustment for stock-based compensation, CSR & one-time acquisition cost) for Q3FY22 is at Rs 141.8 crore (margins 28.5 percent) against Rs 144.6 crore in the year-ago period.

Lab numbers -  Dr Lal PathLabs has 231 clinical laboratories (including National Reference Lab at Delhi & Regional Reference Lab at Kolkata), 3705 Patient Service Centers (PSCs), and 9247 Pickup Points (PUPs).

Dr Lal PathLabs Brokerage Update

Brokerage firm Goldman Sachs has downgraded ratings on diagnostic stocks to a NEUTRAL rating with a Target price which offers limited upside on both. It downgraded Dr Lal Pathlabs with a Target Price of Rs 3720 per share.

The share price of Dr Lal PathLabs closed 0.51% lower at Rs 2944.75 per share.