Krishna Institute of Medical Sciences (KIMS) Q2 26/27 earnings summary

Executive summary

• Q2 FY27 total revenue was ₹13,630m (+41.3% YoY); operating revenue was ₹13,444m (+39.9%); EBITDA was ₹2,789m (+34.0%).

• H1 FY27 operating revenue grew 37.7% to ₹25,239m and EBITDA rose 27.2% to ₹5,187m; PAT declined 28.0% to ₹1,131m.

• Growth reflected higher inpatient and outpatient volumes, increased capacity and improved performance at newer units; management described Q2 as the margin bottom.

Financial highlights

• Q2 EBITDA margin was 20.5%, versus 21.6% in Q2 FY26; EBITDA pre-Ind AS 116 was ₹2,502m, up 24.6% YoY.

• Q2 PBT rose 10.1% YoY to ₹1,066m and PAT increased 5.1% to ₹757m; basic and diluted EPS were ₹1.81, up 8.5%.

• H1 total revenue grew 38.8% to ₹25,589m and EBITDA rose 27.2% to ₹5,187m; PBT fell 22.5% and PAT fell 28.0%.

• Q2 PAT was ₹746m versus ₹720m YoY; H1 net profit was ₹1,120m versus ₹1,570m.

Outlook and guidance

• Management expects margins to improve from Q2; most commissioned hospitals are EBITDA-positive, while Electronic City is expected to reach quarterly EBITDA break-even in Q4 FY27.

• Kondapur is expected to recover toward ~30% margins over 3–4 quarters as revenue scales; revenue has increased 70% since the new facility opened.

• Rajahmundry and Ongole expansions are expected to commission in 4–5 months; ~400–500 beds are planned over 24 months, with 700+ additional beds targeted through projects, acquisitions and O&M.

• Secunderabad, Rajahmundry and remaining Kondapur projects require ₹1,100 crore of CapEx over ~18 months; the roadmap includes 10,000+ beds and a 300-bed Chennai hospital from FY29–FY30.

• Strategic priorities include doctor partnerships with equity participation, affordable care, advanced transplant programs and technology-led clinical services.