​Shares of Fortis Healthcare ​soared to new highs. Know why

Shares of Fortis Healthcare Ltd., a major hospital chain, struck fresh highs in early Friday deals after the company swung to profit in its first quarter earnings.

Fortis Health said its first quarter Net Profit stood at 87.3 crore rupees compared with a loss of 45.8 crore rupees in the same quarter a year ago. Sales during April-June 2.7 percent to 1,049 crore rupees from 1,021 crore rupees in the year ago period. Fortis said its average revenue per bed rose 14 percent in the past quarter.

Fortis Healthcare rose 4.10 rupees, or 2.4 percent, to 199.80 rupees, a record high on the National Stock Exchange, where 7.30 lakh shares were traded by 9:45 am compared with the 5-day average of 21 lakh shares.

Fortis' market capitalisation has jumped 74 percent in the past one year to 9,000 crore rupees as investors bought into the growing trend of accessing first world healthcare services, albeit at a prohibitive cost.

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