Financial Performance Overview

Max Healthcare Institute Ltd. reported financial results for the quarter ended June 30, 2026 (Q1 FY27).

Revenue Performance:

  • Gross Revenue: ₹2,982 Cr (16% YoY growth from ₹2,574 Cr in Q1 FY26; 12% QoQ growth from ₹2,664 Cr in Q4 FY26)
  • Net Revenue: ₹2,835 Cr (15% YoY growth from ₹2,460 Cr in Q1 FY26; 12% QoQ growth from ₹2,541 Cr in Q4 FY26)
  • International patient revenue: ₹247 Cr (18% YoY growth; represents ~9% of hospital revenue)

Profitability Metrics:

  • Network Operating EBITDA: ₹704 Cr (15% YoY growth from ₹613 Cr in Q1 FY26; 3% QoQ growth from ₹682 Cr in Q4 FY26)
  • Operating EBITDA Margin: 24.8% (vs 24.9% in Q1 FY26 and 26.8% in Q4 FY26)
  • Network PAT: ₹357 Cr (3% YoY growth from ₹345 Cr in Q1 FY26; 8% decline from ₹387 Cr in Q4 FY26)
  • EBITDA per bed: ₹71.2 lakhs (4% YoY growth from ₹68.5 lakhs in Q1 FY26)

Operational Metrics:

  • Operational bed capacity: 5,379 beds as of June 30, 2026 (net addition of 630 beds YoY)
  • Bed occupancy: 75% (vs 76% in Q1 FY26 and 75% in Q4 FY26)
  • Occupied Bed Days (OBDs): 10% YoY growth
  • Average Length of Stay (ALOS): 4.1 days (vs 4.0 days in Q1 FY26 and 4.2 days in Q4 FY26)
  • ARPOB: ₹81.9k (5% YoY growth from ₹78.0k in Q1 FY26)
  • Institutional patient bed share: 32.3% (vs 34.1% in Q1 FY26 and 35.5% in Q4 FY26)
  • OP consultations: 10.5 lakhs (12% YoY growth)

Cash Flow and Debt Position:

  • Free cash from operations: ₹397 Cr (vs ₹389 Cr in Q1 FY26 and ₹581 Cr in Q4 FY26)
  • Net Debt: ₹2,384 Cr as of June 30, 2026 (vs ₹1,908 Cr as of March 31, 2026)
  • ₹386 Cr deployed towards acquisitions of KHL and YPPL
  • ₹337 Cr invested in ongoing expansion plans
  • ₹3 Cr received from exercise of ESOPs

Segment Performance:

Max Lab (Pathology):

  • Gross Revenue: ₹58 Cr (20% YoY growth; 11% QoQ growth)
  • Services available across 60+ cities
  • Offers 2,700+ tests

Max@Home:

  • Gross Revenue: ₹78 Cr (32% YoY growth; 7% QoQ growth)
  • Growth driven by Assistance Services (physio & rehab, nursing care, attendants) and Transactional Services (sample collection, medicine delivery)

Strategic Developments and Expansion

Acquisitions:

1. Kalinga Hospital Limited (KHL) Acquisition:

  • Completed on May 18, 2026
  • Acquired 58.28% controlling stake for ~₹298 Cr
  • Funded through External Commercial Borrowing
  • 250-bed multispeciality hospital in Bhubaneswar, Odisha on 10-acre land
  • Post-acquisition contribution in Q1 FY27: ₹19 Cr revenue, ~₹2 Cr EBITDA
  • FY26 performance (pre-acquisition): ~₹154 Cr revenue, ~₹7 Cr EBITDA
  • Current metrics: 50% occupancy, ARPOB of ₹35k, institutional bed share ~43%

2. Yerawada Properties Private Limited (YPPL) Acquisition:

  • Completed on June 30, 2026
  • Acquired 100% of Class A equity shares (100% voting rights, ~50.22% economic interest)
  • Plans to acquire Class B equity shares progressively based on milestones
  • Preliminary approval received for 450-bed hospital in Pune on prime land
  • Building plans under finalization

Capacity Expansion:

  • 202 beds operationalized in brownfield tower of Max Smart Super Speciality Hospital
  • Remaining 198 beds to be handed over to Operations in Q2 FY27 for phased commissioning
  • Board approved ₹425 Cr capital expenditure for brownfield tower at MSSH Vaishali
  • Will add 202 beds to existing 387-bed capacity
  • Building plans approved, construction commenced
  • Expected commissioning in Q4 FY30

New Strategic Initiative:

  • Board granted in-principle approval to foray into medical education and set up medical colleges
  • Decision based on proposed regulatory changes by National Medical Commission

Management Commentary

Mr. Abhay Soi, Chairman and Managing Director, commented: "Q1 FY27 marks a strong start to the year, with the successful consummation of two strategic acquisitions and a robust increase in operational bed capacity. Revenue and EBITDA growth were in line with expectations. With additional beds becoming operational during Q2 at the Saket complex, Nanavati-Max, Mumbai and the integration of MSSH Bhubaneswar underway, the Company is well positioned for a strong FY27 and sustained growth thereafter."

Additional Business Highlights

  • Digital Revenue: ₹941 Cr (~32% of Gross Revenue) from online marketing, web appointments, and digital lead management
  • Website traffic: 98 lakh+ sessions (41% YoY growth)
  • Free treatment provided: 54,186 OPD consultations and 1,933 IPD admissions for economically weaker sections (worth ~₹78 Cr at hospital tariff, 25% YoY growth)
  • Clinical achievements: ~4,683 Liver Transplants, ~5,988 Kidney Transplants, ~2,289 Bone Marrow Transplants performed to date
  • Research & Academics: 123 scientific publications in high-impact journals during Q1 FY27; 120 clinical trials and 25 grant studies ongoing
  • Educational programs: 610+ doctors in DNB programmes across 40+ specialties; 1,000+ new students enrolled in Online Courses

Financial Structure Notes

  • Network consolidation includes MHIL, its subsidiaries, managed healthcare facilities, and Partner Healthcare Facilities (PHFs)
  • Financial information certified by an independent firm of chartered accountants
  • Includes IND AS adjustments and intra-network eliminations
  • Operating EBITDA excludes ESOP expenses (₹14 Cr) and movement in fair value of contingent consideration (₹8 Cr)