The share of Bangladesh in its overseas patient volume has now been replaced by other regions, including Africa, West Asia and South East Asia. According to company data, this diversification led to a dip in the share of Bangladesh patient inflow from around 30 per cent in early 2024 to around 7–8 per cent now.
“I don’t see any incremental or negative impact of Bangladesh from here on. During the current quarter, international patient revenue has grown by 28 per cent. There has been a clear focus in IPS beyond Bangladesh, and that has come from various markets,” said Krishnan Akhileswaran, group chief financial officer (CFO) at Apollo Hospitals. The share of international patients was around 6 per cent, or Rs 190 crore, of the total revenue of Rs 3,183 crore in Q3FY26. Of this, Bangladesh’s share was 7–8 per cent, he said.
“We are diversifying away from Bangladesh as the single biggest contributor so that a drop in patients from that country will not affect our overall IPS model. A lot of this demand has come from Africa, West Asia and South East Asia,” said Madhu Sasidhar, president and chief executive officer of AHEL. The inflow of Bangladesh patients started declining after the political tensions in that country in 2024 and the diplomatic differences between Dhaka and New Delhi thereafter.
As part of its diversification strategy, Apollo Hospitals has already entered into a 10-year agreement with Iraq’s Ministry of Interior to manage and operate the Internal Security Force Hospital in Baghdad. Under this agreement, Apollo will run the 1,026-bed hospital, and nearly 20,000 Iraqi patients visit Hyderabad annually for treatment. Similarly, the company last year entered into a partnership with Indonesia’s Mayapada Healthcare Group to enhance healthcare services in the region.
Sasidhar added that Iraq, Ethiopia, Somalia, South Sudan, Commonwealth of Independent States (CIS) countries, and South East Asian countries from Brunei to Indonesia are gaining importance in its portfolio.
Apollo 24/7 breakeven in Q1 FY27, HealthCo on road to Rs 25K crore
The company said Apollo 24/7 is on track to achieve breakeven by the first quarter of 2026–27. AHEL has already planned a restructuring process to unlock the value of its omni-channel pharmacy and digital businesses and to enhance shareholder returns.
In June 2025, the Chennai-based AHEL announced plans to spin off its digital health and pharmacy distribution businesses into a separate entity, also drawing up plans to list the new entity within 18 to 21 months. As part of the restructuring, the company’s omni-channel pharma and digital health business, Apollo HealthCo, will first be demerged from AHEL into a new entity, following which its pharma distribution arm, Keimed, will be merged into the new company.
“On a consolidated basis, Apollo HealthCo is expected to be around Rs 20,000 crore this year. Next year, by Q4, we should be at a run rate of Rs 25,000 crore with a 7 per cent Ebitda margin. By the end of this year, we should be demerging that and listing it also,” Akhileswaran said.
The CCI (Competition Commission of India) has already given its clearance in September. The company said it is also expecting a no-objection certificate from the Securities and Exchange Board of India (Sebi).
“The process is already on. We have already got the stock exchange approval. Other clearances will take another six to eight months, and once that is out we should be able to get shareholder approval. By Q3 of FY27, we should be able to list it, or even before it,” he said.
The entire process of restructuring is expected to be over by the listing of the new company. The new entity will include the digital health platform Apollo 24/7, the offline pharmacy business of Apollo HealthCo, Keimed, and the telehealth services business.
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