Max Healthcare Institute (543220) Q4 24/25 earnings summary

Executive summary

• Achieved 26% year-on-year revenue growth and 22% EBITDA growth for FY2025, driven by acquisitions, disciplined execution, and digital expansion.

• Major acquisitions included Jaypee Hospital and new launches in Dwarka, with asset-light and brownfield strategies expanding capacity.

• International patient revenue accounted for about 9% of hospital revenue, up 21% year-on-year.

• Audited standalone and consolidated FY25 results approved, with unmodified auditor's opinion; final dividend of INR 1.5 per share recommended.

• Recognized among top 20 S&P BSE 100 companies and for corporate governance excellence.

Financial highlights

• FY2025 network gross revenue reached INR 9,065 crore, up 26% year-on-year; Q4 revenue was INR 2,429 crore, up 29% year-on-year.

• Operating EBITDA for FY25 was INR 2,319 crore (22% year-on-year growth), with a margin of 26.8%.

• Profit after tax (excluding exceptional items) was INR 1,392 crore, up 9% year-on-year; Q4 PAT was INR 376 crore, up 21% year-on-year.

• Free cash flow for FY25 was INR 1,447 crore; INR 1,182 crore deployed for expansion and upgrades.

• Net debt at FY25 year-end was INR 1,576 crore.

Outlook and guidance

• Plans to add over 1,500 beds by end of FY2026 through brownfield and greenfield expansions, with further capacity doubling in 4-5 years.

• Brownfield expansions expected to deliver higher EBITDA margins and faster ramp-up than greenfield projects.

• ROCE threshold for new acquisitions targeted at 20-25% within 4-5 years post-acquisition.

• Long-term service agreement signed for a new 200-bed hospital in Delhi, operational in 3-4 years.

• Proposed mergers to unlock synergies and optimize cash flows.