Max Healthcare Institute (543220) Q2 26/27 earnings summary

Executive summary

• Q2 FY27 network gross revenue rose 20% YoY to INR 3,219 crore; operating EBITDA grew 18% to INR 820 crore and normalized PAT rose 10% to INR 448 crore.

• Occupancy was 77% despite 14% YoY growth in operational beds; occupied bed days increased 13% YoY.

• H1 FY27 network gross revenue grew 18% to INR 6,200 crore and operating EBITDA rose 17% to INR 1,524 crore; normalized PAT increased 7% to INR 805 crore.

• Excluding oncology, gross revenue grew 25% in Q2 and 23% in H1; Smart beds reached EBITDA breakeven within three months.

Financial highlights

• Q2 network gross revenue was INR 3,219 crore, up 20% YoY and 8% QoQ; net revenue was INR 3,055 crore, up 18% YoY.

• Q2 operating EBITDA was INR 820 crore, up 18% YoY; reported EBITDA was INR 797 crore.

• Q2 PAT was INR 448 crore, up 10% on a normalized basis after adjusting the prior-year quarter for a one-time INR 149 crore tax gain; consolidated reported net profit was INR 414.45 crore versus INR 491.30 crore.

• H1 net revenue was INR 5,890 crore, up 17%, and reported EBITDA was INR 1,480 crore; normalized PAT was INR 805 crore versus INR 750 crore.

• Q2 ARPP was INR 2.31 lakh, up 8% YoY; excluding oncology, ARPP increased 11%.

Outlook and guidance

• Remaining 140 beds at Max Smart, Saket, are expected to open after Diwali Puja; 100 beds at Max Lucknow are planned over the next two quarters.

• Noida and Vaishali redevelopment projects add 85 and 60 beds, respectively; commissioning is planned within 15 and 24 months.

• The 525-bed Gurugram hospital is scheduled for completion in April 2027 at a revised project cost of ~INR 1,143 crore; phased commissioning is expected to begin with 150–200 beds.

• Zirakpur is scheduled for commissioning by December 2027, with an estimated initial EBITDA loss of INR 30 crore; Gurugram peak EBITDA loss is estimated at INR 40–50 crore.

• Q3/Q4 revenue growth is expected to benefit as prior-year chemotherapy-drug impacts annualize and new capacity contributes; Bhubaneswar renovation is expected to run for ~12 months.