Max Healthcare Institute (543220) Q3 24/25 earnings summary

Executive summary

• Achieved over 30% year-on-year growth in revenue, EBITDA, and occupied bed days, driven by recent acquisitions and strong operational performance.

• Acquired full ownership of Jaypee Healthcare Limited, expanding the network to over 5,000 beds and integrating operations.

• Board approved expansion into Mumbai's Thane market and capacity enhancement at Zirakpur, with new hospitals to be commissioned by FY28.

• Unaudited standalone and consolidated financial results for the quarter and nine months ended December 31, 2024, showed continued growth in revenue and profitability.

• Board approved significant capital infusions, guarantees, and financial assistance to subsidiaries and related entities to support expansion and development.

Financial highlights

• Q3 FY25 gross revenue was ₹2,381 crores, up 34% year-on-year and 7% sequentially; operating EBITDA at ₹622 crores, up 32% year-on-year.

• EBITDA margin for the network stood at 27.3%; existing units improved margin by 70 bps to 28.6%.

• Profit after tax before exceptional items was ₹390 crores, up 15% year-on-year; exceptional charge of ₹74 crores related to Jaypee acquisition.

• International patient revenue grew 28% year-on-year to ₹201 crores, about 9% of hospital revenue.

• Free cash flow from operations was ₹303 crores for the quarter.

Outlook and guidance

• Significant capacity ramp-up expected over the next 12 months, with major contributions from Nanavati, Mohali, and Max Smart projects.

• Expansion plans include a 500+ bed hospital in Thane and increasing Zirakpur hospital capacity to 400+ beds, with completion expected by 2028.

• Focus on optimizing existing infrastructure, digital platforms, and capital-light adjacencies.