India's MedPlus Health first quarter profit drops as expansion costs and competition weigh

MedPlus Health Services

21/07/2026 15:07

July 21 (Reuters) - Indian Pharmacy retail-chain operator MedPlus Health Services MEDP.NS on Tuesday reported an about 22% plunge in first-quarter net profit, hurt by rising competition and increasing costs due to an aggressive store expansion strategy. 
The company reported a consolidated net profit of 331.8 million rupees ($3.45 million) for the three months ended June 30, down from 423.6 million rupees a year earlier
Costs associated with expansion for India's second-largest pharmacy retailer in terms of number of stores operated, crimped margins
Analysts had noted that the company's store expansion and rising adoption of diabetes and obesity treatments are expected to drive long-term growth in India's organised pharmacy retail 
MedPlus reported a 21.8% increase in quarterly revenue to 18.8 billion rupees, helped by a 22% growth in retail sales
Its Optival Health Solutions unit approved a 400 million rupees capex for a food Park with a cold-press oil extraction unit. It also plans a 1.15 billion investment for a subscription-based concierge health and wellness services facility
MedPlus, which competes with unlisted peers such as Tata 1mg, Apollo Pharmacy and Reliance Retail's Netmeds, has plans to open 800 stores this financial year.
($1 = 96.2350 Indian rupees)

 (Reporting by Saikeerthi in Bengaluru and Urvi Dugar; Editing by Joyjeet Das)
 ((Saikeerthi@thomsonreuters.com; (+91) 8296756080))