Profit before tax (PBT) stood at Rs 23.39 crore in Q4 FY20, down by 55% from Rs 51.93 crore in Q4 FY19. The company incurred an expenditure of Rs 17.66 crore during the March quarter and has recorded the same as an exceptional item.

"There has been a prolonged dispute in relation to trade receivables from a party towards lab management services rendered by the company and the matter has been under arbitration. In view of the delay, the company, on a prudent basis, has made provision aggregating Rs 1,7.66 crore against the above mentioned disputed trade receivables and this has been disclosed as an exceptional item," Metropolis said in its notes to accounts.

EBIDTA fell 10.1% to Rs 52 crore in Q4 March 2020 from Rs 57 crore in Q4 March 2019. EBIDTA margin stood at 25% as on 31 March 2020 as compared to 28.6% as on 31 March 2019.

The company's network as of Q4 FY20 consists of 124 laboratories and 2,731 patient service centers. The number of test done by the diagnostic service provider rose 7.1% to 5.26 million in Q4 FY20 over Q4 FY19.

Ameera Shah, promoter and managing director, Metropolis Healthcare, said, "The Pandemic has put the diagnostic industry at the cusp of a dynamic shift and established pathology chains like us are set to benefit and cement leadership position. Additionally, as business returns to normal, the momentum will shift in favour of COVID capable labs with customers increasingly choosing trusted brands that offer quality, safety, and reliability. Increased engagement with government and regulatory authorities has opened new avenues and possibilities in the future."

With respect to the impact of COVID-19 on future operations, the company said: "The company believes there will be impact in revenue and profitability for Q1 FY21 as operations were partially operating in April 2020 and were gradually ramping up in May 2020. Considering that the situation is exceptional and is changing dynamically, the company is not in a position to gauge with certainty, the future impact on its operations."

The company's consolidated net profit rose 6% to Rs 127.33 crore on a 12.5% increase in net sales to Rs 856.41 crore in the year ended March 2020 (FY20) over the year ended March 2019 (FY19). PBT stood at Rs 168.73 crore in FY20, down by 9.6% from Rs 186.55 crore in FY19.

Metropolis Healthcare is a diagnostics company with presence across 19 states in the country.

Shares of Metropolis Healthcare rose 2.33% to Rs 1414.55, extending gains for second day. The stock has added 7% in two sessions, from its recent closing low of Rs 1321.70 recorded on 28 May 2020.