Krishna Institute of Medical Sciences (KIMS) Q3 25/26 earnings summary

Executive summary

• Achieved record Q3 FY26 revenue, surpassing INR 1,000 crore (₹9,977 million), with 29.2% year-over-year growth despite Q3 being seasonally weak.

• Expansion continued with seven new hospitals launched in 2025, bringing the network to 25 hospitals across five states and bed capacity to 6,464, with operational beds at 4,825 and occupancy at 49.0%.

• New units are stabilizing, with break-even expected in the coming quarters for recently commissioned hospitals and recent acquisitions expected to achieve break-even within 12 months.

• Board approved up to ₹100 crore further investment in Sarvejana Healthcare (Sunshine Hospital), a material subsidiary, which reported FY25 turnover of ₹597 crore.

• Achieved key clinical milestones, including over 100 lung transplants, 430+ liver/renal transplants, 500+ robotic surgeries, and first robotic renal transplant in North Malabar.

Financial highlights

• Q3 FY26 revenue reached INR 1,003 crore (₹10,029 million), up 29.2% year-over-year and 3.9% quarter-on-quarter.

• EBITDA at INR 204 crore (₹2,041 million), margin at 20.4%, down from 25.9% YoY; PAT at INR 52 crore (₹519 million), down 43.9% YoY; EPS at INR 1.3, down 39.9% YoY.

• Cash and equivalents at INR 206 crore as of December 31, 2025; net debt at INR 2,850 crore.

• ARPOB rose 20.5% YoY to ₹46,341 in Q3 FY26.

• Occupancy rate at 49.0% in Q3 FY26, down from 53.8% in Q2 FY26.

Outlook and guidance

• Focus on achieving break-even in new hospitals, with Thane and Mahadevapura expected by Q1 FY27 and Electronic City by Q3 FY27.

• Over 2,000 beds to be added through greenfield projects, acquisitions, and O&M opportunities.

• Debt levels have peaked and are expected to moderate unless new large expansions are announced.

• CapEx for FY27 projected at INR 500–600 crore; FY28 will see only maintenance CapEx.

• Double-digit growth expected in Telangana cluster for the next 3–4 years due to new facilities.