As Metropolis focuses on aggressive network expansion, it has been growing its B2C segment. This includes both the prescription-led business and direct customer bookings for tests — over the years.
Ameera Shah, promoter and managing director (MD) of Metropolis Healthcare said, “From FY17 to FY21, we grew the B2C business from 37 per cent to 50 per cent. We are looking to grow this further to 60 per cent of our revenues in the next 2-3 years.”
B2C business gives at least 5-6 per cent higher margins than the business-to-business (B2B) segment.
In Q1FY24, the core business revenues grew 12 per cent year-on-year (YoY), while the total revenues were down due to exit from a large business-to-government contract. B2C business, however, grew 13 per cent YoY, and in Mumbai, this growth was over 15 per cent.
“Metropolis has witnessed growth across test mix in B2C markets with specialised and wellness segments growing by 15 per cent and 19 per cent, respectively, YoY,” the company said after the first quarter results.
It has been adding laboratories to expand its network. In FY24, the company plans to add 30 labs across India. This is similar to the number of labs it added during the last three years. Metropolis has around 180 labs in the country.
The company has also taken price hikes in the range of 4-5 per cent during the last three years, Shah said. He added that the share of specialised tests is also growing in its portfolio.