Free tool
ARPOB calculator
ARPOB — average revenue per occupied bed — is a per-day measure of how much inpatient revenue each occupied bed is generating. Enter your numbers below — the calculator updates as you type, and already shows a worked example.
ARPOB is commonly defined as inpatient revenue ÷ occupied bed-days for the period, in ₹ per day. ₹31,50,000 of inpatient revenue over 900 occupied bed-days works out to an ARPOB of ₹3,500/day.
- Formula
- Inpatient revenue ÷ Occupied bed-days
- Excludes
- OPD consultations, walk-in/retail pharmacy
- Related
- Bed occupancy rate, revenue leakage
Calculator
₹31,50,000 inpatient revenue over 900 occupied bed-days.
The formula
ARPOB isn't a term defined in Indian tax or health law — it's an operating metric hospital finance teams and the listed hospital chains use to track pricing and case mix. It's commonly defined as:
ARPOB (₹/day) = Inpatient revenue for the period ÷ Occupied bed-days for the same period
"Inpatient revenue" is billing generated from admitted patients — room charges, procedures, OT, inpatient pharmacy and consumables, and professional fees on the IPD bill. It's usually kept separate from OPD consultation revenue and from a hospital's walk-in/retail pharmacy sales, since those come from a different patient base and would distort a per-bed figure. "Occupied bed-days" is the same figure you'd use as the numerator for bed occupancy rate.
Worked example
A ward that billed ₹31,50,000 of inpatient revenue against 900 occupied bed-days in a period has an ARPOB of ₹31,50,000 ÷ 900 = ₹3,500 per day — the same numbers the calculator above starts with.
Why hospitals track it
ARPOB became a common metric because it's the one number that captures both pricing and utilisation together — a hospital could fill every bed and still earn less than a smaller one running fewer, higher paying admissions, and ARPOB shows that where occupancy alone can't. It shows up most often in hospital finance reviews and investor reporting for larger chains, but the same formula is just as useful for a single nursing home checking whether a change in package pricing or payer mix (say, a shift toward more self-pay or insurance patients) actually moved revenue per bed, once you strip out the effect of simply having more or fewer beds occupied.
How to read the result
ARPOB moves with two different things at once — how much you charge (tariffs, package pricing, payer mix) and how full your beds are — so a change in ARPOB doesn't tell you which one shifted without also checking occupancy. It also varies enormously by specialty, room-category mix and city, so there's no single benchmark figure that applies across hospitals; the most useful comparison is your own ARPOB over time, and against your own budget or case-mix assumptions rather than another hospital's published number.
Revenue and bed-utilisation reporting
Official references
- Top Indian private hospital chains announce major expansion in FY25 (reports ARPOB per bed per day by chain) ↗India Brand Equity Foundation — a trust established by the Ministry of Commerce and Industry
Rules change. Confirm current requirements with the issuing authority.
Related
More on hospital revenue and capacity.
- ToolBed occupancy rate calculatorBeds, days and inpatient bed-days to your occupancy percentage.Read more →
- GlossaryARPOBA quick definition of average revenue per occupied bed.Read more →
- GuideHospital revenue leakageWhere hospitals commonly lose billing revenue, and the controls that close the gaps.Read more →
