Metropolis Healthcare to Tap into Tier II and Tier III Cities

In a bid to expand its reach into underserved markets, Indian diagnostics chain Metropolis Healthcare is enhancing its presence across North and East India by establishing 25 new laboratories and 500 centres in Tier III cities. “We have expanded our footprint in Tier II and III cities, increasing our presence from 300 towns in FY23 to over 650 towns by Q1FY25. Revenue from Tier III cities has increased by 18% year-on-year, now accounting for more than 23% of our total revenue. We want to continue this momentum,” said Ameera Shah, Promoter and Executive Chairperson at Metropolis Healthcare.

This growth strategy focuses on improving access to quality healthcare in underserved areas. Currently, Metropolis operates 204 labs and 4,216 service centres in India and abroad. “This geographical expansion will enhance our accessibility and allow us to tap into growth potential,” Shah said. The company aims to reach 1,000 towns within the next 12 to 18 months while also increasing its wellness segment from 16% to 20-25% of overall business and boosting B2C offerings from 56% to 60-65%.

In the last financial year, Metropolis reported a total revenue of Rs 1,190 crore, reflecting a 3.6% year-on-year growth. Shah attributed this success to strategic improvements in product mix and pricing, along with increased patient and test volumes. “Our digital revenue now accounts for 20% of our total revenue, showing our shift to digital healthcare solutions,” she said.

The wellness segment continues to grow, contributing 16% to total revenue, reflecting rising demand for preventive healthcare services. “We introduced 102 new tests in FY24, including AI-verified prostate biopsy tests and an expanded suite of Next Generation Sequencing (NGS) tests,” Shah stated. “These advancements reinforce our role in specialised diagnostics.”