Krishna Institute of Medical Sciences Limited – Investor Presentation Summary

Key Operational Highlights

  • IP Volume: 72,493 in Q1 FY27, up 14.0% QoQ and 26.6% YoY
  • OP Volume: 658,617 in Q1 FY27, up 8.0% QoQ and 28.5% YoY
  • ARPOB: ₹47,200 in Q1 FY27, up 0.1% QoQ and 9.7% YoY
  • ARPP: ₹163,573 in Q1 FY27, down 3.8% QoQ but up 6.8% YoY
  • ALOS: 3.47 days in Q1 FY27
  • Operational Beds: 5,639 in Q1 FY27
  • Occupied Beds: 2,761 in Q1 FY27
  • Occupancy: 49.0% in Q1 FY27
  • Added 995 beds in Q1 FY27 through expansion in Kondapur (787 beds) and Palakkad (208 beds)

Key drivers of operational performance: Strong volume growth across both inpatient and outpatient services, expansion of bed capacity, and geographic diversification.

Segment-wise Performance

Telangana Cluster (Secunderabad, Kondapur, Gachibowli, Begumpet, MIPPL, Asian Transcare):

  • Revenue: ₹6,235 million in Q1 FY27
  • EBITDA: ₹1,842 million (29.5% margin)
  • IP Volume: 24,327
  • OP Volume: 242,274
  • ARPOB: ₹77,009
  • Occupancy: 41.1%

Andhra Pradesh Cluster (Nellore, Rajahmundry, Srikakulam, Ongole, Vizag, Anantapur, Kurnool):

  • Revenue: ₹2,634 million in Q1 FY27
  • EBITDA: ₹560 million (21.3% margin)
  • IP Volume: 28,536
  • OP Volume: 206,906
  • ARPOB: ₹25,448
  • Occupancy: 59.4%

Maharashtra Cluster (Nagpur, Nashik, Thane):

  • Revenue: ₹1,504 million in Q1 FY27
  • EBITDA: ₹113 million (7.5% margin)
  • IP Volume: 8,731
  • OP Volume: 68,632
  • ARPOB: ₹44,182
  • Occupancy: 58.6%

Kerala Cluster (Kannur, Kollam, Palakkad):

  • Revenue: ₹776 million in Q1 FY27
  • EBITDA: ₹75 million (9.7% margin)
  • IP Volume: 7,851
  • OP Volume: 96,934
  • ARPOB: ₹30,125
  • Occupancy: 46.0%

Karnataka Cluster (Bengaluru - Mahadevapura and Electronic City):

  • Revenue: ₹810 million in Q1 FY27
  • EBITDA: -₹192 million (-23.7% margin)
  • IP Volume: 3,048
  • OP Volume: 43,871
  • ARPOB: ₹92,793
  • Occupancy: 27.6%

Explanation of significant changes in segment performance: Telangana remains the largest revenue contributor with higher ARPOB, while Andhra Pradesh shows strongest occupancy. Kerala and Maharashtra show improving performance, while Karnataka is still in ramp-up phase with negative EBITDA.

Financial Highlights

Revenue: ₹11,959 million

EBITDA: ₹2,398 million

PAT: ₹374 million

EPS: ₹1.04 (Basic and Diluted)

Margins: EBITDA Margin 20.1%, PAT Margin 3.1%

YoY comparison: Revenue up 36.1%, EBITDA up 20.1%, PAT down 56.0%

QoQ comparison: Revenue up 10.3%, EBITDA up 10.9%, PAT up 13.0%

Drivers of financial performance: Strong revenue growth driven by volume increase and capacity expansion, partially offset by statutory impacts from new labour codes.

Key Risks: Statutory impact of new Labour Codes (₹74 million in Q4 FY26), fair valuation impacts of call options.

Geographical Revenue Split

Domestic vs Export/Regional Revenue: Not Specified

Regional Breakdown:

  • Telangana: ₹6,235 million (52.1% of Total)
  • Andhra Pradesh: ₹2,634 million (22.0% of Total)
  • Maharashtra: ₹1,504 million (12.6% of Total)
  • Kerala: ₹776 million (6.5% of Total)
  • Karnataka: ₹810 million (6.8% of Total)

Balance Sheet Snapshot

Net Debt/Equity: Not Specified

Reserves: Not Specified

Current Assets/Liabilities: Not Specified

Working Capital/Leverage Metrics: Not Specified

Financial Health Insights: Not Specified

Capex & Cash Flow Health

Capital Expenditure: Not Specified

Free Cash Flow: Not Specified

Operating Cash Flow: Not Specified

Net Debt Movement: Not Specified

Investment Rationale: Focus on capacity expansion with 995 beds added in Q1 FY27 through Kondapur and Palakkad expansions.

Strategic & R&D Initiatives

Investments in Innovation: Modern medical technology including O-Arm Scanner, Spy Glass, Fibroscan, Novalis Tx Linear Accelerator, Cuvis Ortho Robo, EBUS, STEALTH STATION S8, IMPELLA, EVIS X1 Endoscopy System, 4-Arm HD da Vinci Robotic Surgical System, MrGFUS Focussed Ultrasound, Mako Robotic for Knee Replacement, ESWL Dornier, Tulsa-Pro System, Gamma Knife.

Expected impact on growth: Enhanced clinical capabilities and patient outcomes across multiple specialties.

Strategic Rationale: Expanding into high-growth markets, reducing operational costs through technology adoption, and establishing regional market leadership.

Industry Trends & Business Environment

Macro/Industry Trends: Growing demand for healthcare services, increasing adoption of advanced medical technology, expansion of healthcare insurance coverage.

Impact on Company: Positive impact on volumes and revenue growth, with opportunities for market share expansion in new geographies.

Management Commentary & Growth Outlook

Strategic Outlook: Focus on being the most preferred healthcare services brand by providing affordable care and best clinical outcomes. Commitment to being the best place to work for doctors and employees.

FY Guidance: Not Specified

Market Share Targets: Not Specified

Risks and Opportunities: Not Specified

Additional Headings

ESG Updates: Not Specified

Digital Transformation: The company has implemented Financial counseling tool which uses AI to help patients with surgery costings.

Clinical Excellence Achievements: Many firsts in medical procedures including First in Asia to do Trans catheter Tricuspid Valve replacement, Largest Joint replacement program in South Asia, One of the largest neuroscience programs for epilepsy, Largest ECMO program (18 machines) in the country, First hospital in Hyderabad to use an ECMO machine, First hospital in Hyderabad to do a Neonatal ECMO, First in India to do TOF repair using CorMatrix patch, First in the country to do Robotic spleen preserving distal pancreatectomy, India's first Breathing Lung transplant, First hospital in Andhra Pradesh and Telangana to have been Green OT certified, India's first COVID Double Lung transplant, First hospital in South India to introduce Da Vinci Robotic System, First Hospital in South India to do TCA therapy, Number 1 player in Organ transplantation speciality, Number 1 in Nephrology treatments in Andhra Pradesh, Number 1 in Neurosurgery & Poly trauma treatments in Andhra Pradesh, Number 1 in Cardio related surgeries and treatments programs in Andhra Pradesh, Number 1 in Urology surgeries performed in Andhra Pradesh.

Accreditations and Awards: NABH Digital Standards Accreditation received for Kondapur, American Accreditation Commission International (AACI) Accredited, Pharmacie De Qualite (PDQ) Certification with 98% score and PLATINUM grading, Ranked No. 1 Hospital by Times of India Hyderabad, 'Patient Friendly Hospital' AHPI Health Care Excellence Award (2017), 'Best Hospital to Work For' AHPI Global Conclave Award (2019), National Quality Excellence Awards 2019 for Best Super Specialty Hospital in Telangana, Ranked 2nd Best Hospital in Hyderabad (2021 & 2022).