Key Financial Figures - Q1 FY27 (Consolidated)

Revenue & Profitability

  • Total Revenue: INR 1,196 crore, growth of 36.1% YoY and 10.3% QoQ
  • Consolidated Revenue from Operations: INR 1,180 crore, growth of 35.3% YoY and 9.8% QoQ
  • EBITDA: INR 240 crore, growth of 20.1% YoY and 10.9% QoQ
  • EBITDA Margin: 20.1% (vs 20.27% in Q1 FY26 and 19.9% in Q4 FY26)
  • PAT: INR 37 crores (vs INR 85 crore in Q1 FY26 and INR 33 crores in Q4 FY26)
  • Consolidated EPS for FY26: INR 104, degrowth of 2.3% QoQ
  • Consolidated EBITDA pre-Ind AS: INR 222 crore, growth of 14.6% YoY and 12.9% QoQ
  • Consolidated EBITDA pre-Ind AS excluding other income: INR 206 crores, growth of 10.2% YoY and 10% QoQ

Operational Metrics - Consolidated

  • Average Revenue Per Operating Bed (ARPOB): Growth of 9.7% YoY and 0.1% QoQ
  • Average Revenue Per Patient (ARPP): Growth of 6.8% YoY, decline of 3.8% QoQ
  • IP Volumes: 72,493, growth of 26.6% YoY and 14% QoQ (15.4% annual growth over FY25)
  • OP Volumes: 6,58,617, growth of 28.5% YoY and 8% QoQ (25.4% annual growth over FY25)

Balance Sheet & Liquidity

  • Cash and Cash Equivalents (as of 30th June 2026): INR 505 crore (includes cash, bank balance, deposits with maturity <12 months, and investments in mutual funds)
  • Debt Position: Reduced from INR 3,250 crore (31st March 2026) to INR 2,570 crore (30th June 2026), and further to approximately INR 2,400 crore in first week of July 2026

Capital Raising Initiatives

Qualified Institutional Placement (QIP)

  • Successfully raised INR 1,500 crores
  • Oversubscribed, demonstrating institutional investor confidence
  • INR 1,100 crores of proceeds utilized to reduce debt

Preferential Allotment to Promoters

  • Total allotment: INR 600 crores
  • Structure: 25% infused initially, balance to be brought in within 18 months
  • Demonstrates promoter commitment and long-term faith in the company

Operational Updates & Expansion

New Unit Commissioning

  • Recently opened new unit in Palakkad, Kerala, expanding presence to three units in the state
  • Good potential expected with confident outlook for results

Bengaluru Cluster Performance

  • Mahadevapura Unit: Achieved break-even in less than seven months, now EBITDA positive
  • Electronic City Unit: Expected to break-even in next one or two quarters
  • Entire Bengaluru cluster performing exponentially well with complex surgeries including lung transplants
  • Bengaluru ARPOB guidance: Expected to stabilize around INR 80,000-85,000 (initially guided INR 70,000-75,000)

Clinical Achievements & Recognition

  • Dr. Raghuram (breast care expert) achieved third Guinness World Records title for AI-enabled holographic health education
  • Inaugurated first dedicated sports ortho clinic in Andhra Pradesh at Seetamadara, Vizag unit
  • Dr. Meda (Vascular Surgery) invited as faculty at SVS Vascular Annual Meeting 2026 in Boston, USA
  • KIMS Nagpur performed first robotic implantation of Perceval Plus sutureless aortic valve in India and Asia-Pacific region

Management Commentary & Outlook

Strategic Priorities

  • Focus on stabilizing newly commissioned hospitals (Kondapur, Thrissur)
  • Target EBITDA breakeven for newer units
  • Kerala cluster expected to achieve mid-teens EBITDA margins next financial year, stabilizing at 20-22% over next 2-3 years
  • No immediate plans for new geographies - focus on core markets (Telangana, Andhra, Maharashtra, Karnataka, Kerala)

Capacity Utilization & Margins

  • Current occupancy approximately 61% when adjusting for non-operational beds (200 beds in Secunderabad under renovation, Kondapur new beds)
  • Target to reach 65-70% occupancy over next 3-4 years without additional bed capacity
  • Expected to achieve 30%+ EBITDA margins at maturity
  • Telangana cluster historically delivered 31% EBITDA margin in FY25 and FY26

Empanelment Status

  • Good progress on insurance empanelments for new units
  • 50% of key insurance companies already empanelled for four assets (Thane, Nashik, and two Bangalore assets)
  • Remaining 50% expected to be completed by end of August to mid-September
  • Majority of empanelments expected to be in place by fiscal year-end

Capital Expenditure

  • Total CAPEX in last financial quarter: INR 60-75 crore
  • Future CAPEX: INR 100-125 crore in next nine months for Secunderabad, Rajahmundry, and Kondapur
  • Maintenance CAPEX: Approximately INR 100 crore per year for next 3-4 years

Debt Management

  • Debt-equity ratio target: 2.5:1
  • Internal accruals to be deployed for expansion opportunities in core clusters
  • Further debt reduction possible through internal accruals depending on growth opportunities

Q&A Session Highlights

Financial Management

  • Interest cost reduction expected from Q2 FY27 onwards due to debt repayment
  • Minority interest expected to remain in 10-15% range
  • Government receivables showing positive trend with improved timing

Unit-specific Performance

  • Thane Unit: Showed improvement with INR 21 crore revenue and 10% EBITDA margin in July after empanelment approvals
  • Nagpur Unit: Achieved record INR 30 crore revenue in July
  • Kondapur Unit: July revenue of INR 45 crore (vs INR 32-33 crore previously) with more doctors yet to join
  • Old Kondapur Hospital: Still operational with INR 90 lakhs + GST monthly rental cost, expected to continue for another six months

Growth Strategy

  • Focus on brownfield and greenfield opportunities in core markets
  • Hospital size typically 300-350 beds with potential to scale up by 100 beds
  • O&M agreements with Golden Lan Solutions and Sarvottam Healthcare for hospitals in Telangana and Andhra
  • Potential revenue from O&M agreements: INR 90-95 crore per month for Telangana facility; INR 7-8 crore scaling to INR 15-20 crore for Kakinada facility

Market-specific Challenges

  • Maharashtra growth slower due to different doctor practice patterns (part-time to full-time transition takes longer)
  • South markets easier for clinical talent acquisition due to existing corporate hospital practice culture