Aster Dm Healthcare Ltd. · NSE:ASTERDM
Aster Dm Healthcare — Q4 FY2019 Earnings Presentation
41 slides from Aster Dm Healthcare's earnings presentation, May 28, 2019
Slide 1: Exchange filing cover letter
28 May 2019 The Secretary The Manager, Listing Department, Listing Department, BSE Limited, The National Stock Exchange of India Ltd 1'1 Floor, Phiroze Jeejeebhoy Towers Exchange Plaza, C-1, Block G Dalal Street, Mumbai 400001 Bandra Kurla Complex Scrip Code: 540975 Bandra (East), Mumbai 400051 Scri
Slide 2: Investor Presentation – Quarter & Twelve Months Ended 31st Mar-2019
ASTER OM HEALTHCARE Investor Presentation – For the quarter & twelve months ended 31st Mar-2019 www.asterdmhealthcare.com1
Slide 3: Disclaimer
I I Disclaimer This presentation has been prepared by Aster DM Healthcare Limited (the "Company"), content of which was compiled from sources believed to be reliable for informational purposes only and are based on information regarding the Company and the economic, regulatory, market and other co
Slide 4: Aster – Snapshot, Evolution and Footprint
I I Aster – Snapshot, Evolution and Footprint ) Aster – An Integrated Healthcare Provider Operational and Financial Overview Strategy and Leadership 3
Slide 5: Geographical Footprint
I I Geographical Footprint Hospitals – 12 GCC Clinics – 106 Pharmacies - 219 Hospitals - 12 Clinics - 8 INDIA United Arab Emirates Kerala • Medcare Hospital, Dubai • Aster Medcity, Kochi • Medcare Orthopaedics and Spine Hospital • • Aster MIMS, Calicut • Aster Hospital Manhool • • Aster MIMS, Kottak
Slide 6: Aster DM Healthcare – At a Glance (1/2)
I I Aster DM Healthcare – At a Glance (1/2) HOSPITALS One of Largest Private CAPACITY BEDS healthcare service providers GCC: 1,101 GCC: 12 5,441 24 India: 4,340 India: 12 operating in Asia (GCC & India) PATIENT VISITS – FY19 Present in 9 Countries CLINICS (UAE, Saudi Arabia, Qatar, Oman, ~18.5 mn GC
Slide 7: Aster DM Healthcare – At a Glance (2/2)
I I Aster DM Healthcare – At a Glance (2/2) Revenue - FY19 Revenue - FY19 India 17% Pharmacies 27% GCC INR ~7,963 Cr -> Clinics 24% Hospitals 49% 83% EBITDA - FY19 EBITDA - FY19 India Pharmacies 14% INR ~863 Cr ._____> 21% Clinics Hospitals 49% GCC 30% 86% Note: 1. Revenue and EBITDA shown above are
Slide 8: The Aster DM Healthcare Edge
I I The Aster DM Healthcare Edge Aster DM – A Healthcare Ecosystem • Presence across hospitals, clinics & pharmacies and providing primary, secondary and tertiary/ quaternary care • Strategic and sizeable network of clinics enable patient feeder Differentiated Asset-light Business Model in GCC struc
Slide 9: Aster DM Healthcare – Evolution
I I Aster DM Healthcare - Evolution Building the foundations New geographies, segments Brand “Aster” was formed, private equity Robust Growth across all segments and and service offerings investment, further expansion geographies; Rapid Expansion in India 1987: Commenced 2003: Expansion to new geogr
Slide 10: Robust Growth Over Last 5 Years
I I ROBUST GROWTH OVER LAST 5 YEARS Outpatient Count (in mn) Inpatient Count (in '000) Aster DM - Revenue from Operations (INR Cr) 8.7 7,963 7.8 218 6.7 202 6,721 5.6 5,931 158 5,250 4.2 125 3.4 104 3,876 85 2,871 - - - - - - - - - - - - FY14 FY15 FY16 FY17 FY18 FY19 FY14 FY15 FY16 FY17 FY18 FY19 FY
Slide 11: Aster – An Integrated Healthcare Provider
I I Aster – Snapshot, Evolution and Footprint ) Aster – An Integrated Healthcare Provider Operational and Financial Overview Strategy and Leadership 10
Slide 12: Aster – An Integrated Healthcare Provider: FY19 Operational Information
I I Aster - An Integrated Healthcare Provider FY19 Operational Information 1,700+ 2,18,000+ Cardiovascular IP Discharges Surgeries ~5.6 mn 14,800+ 500+ Clinic OPD Visits General Bariatric Clinics Surgeries Surgeries $ 1 ■ ₹ 6 0% 1200+ / \ I ----- Joint 1,100+ ~ 9.6 mn Replacements Spine Surgeries Ph
Slide 13: Aster – A Healthcare Ecosystem
I I Aster – A Healthcare Ecosystem PATIENT LIFE CYCLE MANAGEMANT Aster, over 30 years, has created a healthcare eco-system across two geographical regions In GCC region, Aster’s primary care clinics act as the initial touch-points in the patient i. journey, while pharmacies and hospitals / ~ con
Slide 14: GCC Healthcare – Unique Traits
I I GCC Healthcare – Unique Traits Healthcare market in GCC states have developed certain unique traits due to the higher expat Population (mn) and working age population Expat% -> ~80% ~70% ~45% ~30% Prevalence of Primary and Secondary Healthcare Facilities (Private Sector) 32.0 Due to lower % of
Slide 15: Aster – Awards & Service Excellence
I I Aster - Awards & Service Excellence JCI Accreditation for 7 Hospitals Padma Shri Award 1 Clinic and 1 diagnostic centre P_'-~---'- ;,;:.~ . t . · . ~·; Ii “The Sheikh Khalifa Excellence Award” Medcare Hospital Dubai, Medcare Orthopaedics and Spine Hospitals, Medcare ' ,; . Dr. Azad Moopen, Chair
Slide 16: Operational and Financial Overview
I I Aster – Snapshot, Evolution and Footprint ) Aster – An Integrated Healthcare Provider Operational and Financial Overview Strategy and Leadership 15
Slide 17: Key Highlights – FY19 Q4 (Clinical)
I I Key Highlights – FY19 Q4 Clinical Highlights In a rare surgery, Doctors at Aster Medcity successfully resected the last part of colon and rectum of a 43-year-old male patient, who was suffering from Klippel Trenaunay’s Syndrome with intractable rectal bleed, using laparoscopy Doctors at Aste
Slide 18: Key Highlights – FY19 Q4 (Operational)
I I Key Highlights – FY19 Q4 Operational Highlights Aster MIMS hospital, Kannur (302 installed beds) commenced operations in the state of Kerala, India Cedars hospital, a 17 bed facility was acquired in Dubai, UAE Al Khair Hospital, a 31 bed facility was acquired in Ibri, Oman Clinics Medcar
Slide 19: Revenue and Profitability Snapshot - FY19 Q4
I I Revenue and Profitability Snapshot - FY19 Q4 Revenue from Operations EBITDA (excl. Other Income) Adjusted PAT4 _J₹ 1784 ₹ 2201 ₹ 263 ₹ 350 ₹ 145 _J ₹ 209 r---- 14.7% y 15.9% 8.1% 9.5% FY18 Q4 FY19 Q4 FY18 Q4 FY19 Q4 FY18 Q4 FY19 Q4 Constant currency growth of Revenue, EBITDA and Adjusted PAT i
Slide 20: Revenue and Profitability Snapshot - FY19
I I Revenue and Profitability Snapshot - FY19 Revenue From Operations EBITDA (excl. Other Income) Adjusted PAT4 ₹ 6721 ₹ 7963 _J₹ 613 _J₹ 863 _J₹ 139 _J ₹ 335 ,------ y 9.1% 10.8% 4.2% 2.1% FY18 FY19 FY18 FY19 FY18 FY19 Constant currency growth of Revenue, EBITDA and PAT is ~11%, ~32% and ~121% re
Slide 21: Business – Snapshot (1/2) Q4
I I Business – Snapshot (1/2) GCC INDIA CONSOLIDATED FY18 Q4 FY19 Q4 FY18 Q4 FY19 Q4 FY18 Q4 FY19 Q4 • Total Capacity Beds 875 1,101 3,887 4,340 4,762 5,441 • Operational Beds 761 913 2,777 2,977 3,538 3,890 • ALOS (Days) 2.0 1.9 3.5 3.7 3.0 3.0 • Occupancy 57% 54% 63% 65% 61% 62% • Outpatient Visit
Slide 22: Business – Snapshot (2/2) Q4
I I Business – Snapshot (2/2) GCC INDIA CONSOLIDATED FY18 Q4 FY19 Q4 FY18 Q4 FY19 Q4 FY18 Q4 FY19 Q4 Revenue (₹) 1,492 Cr 1,847 Cr 292 Cr 354 Cr 1,784 Cr 2,201 Cr EBITDA (₹) 233 Cr 313 Cr 30 Cr 38 Cr 263 Cr 350 Cr Adjusted PAT3 (₹) 156 Cr 203 Cr (11) Cr 6 Cr 145 Cr 209 Cr Notes: 1. Revenue and EBITD
Slide 23: Business – Snapshot (1/2) FY19
I I Business – Snapshot (1/2) GCC INDIA CONSOLIDATED FY18 FY19 FY18 FY19 FY18 FY19 • Total Capacity Beds 875 1,101 3,887 4,340 4,762 5,441 • Operational Beds 761 913 2,777 2,977 3,538 3,890 • ALOS (Days) 2.0 2.0 3.6 3.6 3.1 3.0 • Occupancy 53% 56% 65% 63%* 62% 61% • Outpatient Visits In-patient Nos.
Slide 24: Business – Snapshot (2/2) FY19
I I Business – Snapshot (2/2) GCC INDIA CONSOLIDATED FY18 FY19 FY18 FY19 FY18 FY19 Revenue (₹) 5,555 Cr 6,649 Cr 1,167 Cr 1,314 Cr 6,721 Cr 7,963 Cr EBITDA (₹) 525 Cr 742 Cr 88 Cr 121 Cr 613 Cr 863 Cr Adjusted PAT4 (₹) 211 Cr 341 Cr (71) Cr (6) Cr 139 Cr 335 Cr Notes: 1. Revenue and EBITDA shown abo
Slide 25: Segmental Performance Q4
I I Segmental Performance Q4 Growth % India - Unallocated India - Unallocated GCC GCC GCC GCC FY19 Q4 GCC Clinics Hospitals & & Total GCC Clinics Hospitals & & Total Hospitals Pharmacies Hospitals Pharmacies Clinics Eliminations Clinics Eliminations No. of Business Units (#) 12 106 219 H-12, C-8 NA
Slide 26: Segmental Performance FY19
I I Segmental Performance FY 19 Growth % India - Unallocated India - Unallocated GCC GCC GCC GCC FY19 FY GCC Clinics Hospitals & & Total GCC Clinics Hospitals & & Total Hospitals Pharmacies Hospitals Pharmacies Clinics Eliminations Clinics Eliminations No. of Business Units (#) 12 106 219 H-12, C-8
Slide 27: Vintage-wise Performance FY19
I I Vintage-wise Performance FY19 GCC Hospitals - Revenue (INR Cr) GCC Clinics - Revenue (INR Cr) India Hospitals and Clinics - Consolidated - Revenue (INR Cr)* Revenue (INR Cr) 2,352 304 2,655 1,888 102 1,990 1,067 - 248 1,314 7,310 653 7,963 Established Units Ramp-up units Total Established Units
Slide 28: Hospitals List
I I Hospitals List Commencement/ Bed Operational Owned Hospitals - GCC Location Acquisition Year Capacity Beds /Leased II Medcare Hospital Dubai, UAE 2007 64 55 Leased @ Al Raffa Hospital Muscat, Oman 2009 85 74 Leased Al Raffa Hospital Sohar, Oman 2010 74 64 Leased :L Jl~■-------=- -- ~ ~L ________
Slide 29: Maturity Wise Hospital Performance – GCC FY19
I I Maturity Wise Hospital Performance – GCC FY19 Key Performance indicators Revenue Maturity Hospitals Operational Beds (INR in Crs.) EBITDA ARPOBD Occupancy EBITDA % (INR in Cr.) 11% 28% 26% ₹(29) 0-3 Years 4 ₹ 303.7 252 ₹ ~178,200 Over 3 89% 72% 65% ₹386 Years 8 ₹ ~159,000 ₹2,351.5 661 16.4% 12 ₹
Slide 30: Maturity Wise Hospital Performance – India FY19
I I Maturity Wise Hospital Performance – India FY19 Key Performance indicators Revenue Maturity Hospitals Operational Beds (INR in Crs.) EBITDA ARPOBD Occupancy EBITDA % (INR in Cr.) 18% 38% ₹ 9.6 0-3 Years 3 324 & ₹ ~42,300 53% 4.0 % ₹ 240 798* Over 3 82% 62% 64% ₹137.6 Years 9 ₹ ~24,100 ₹1,061 185
Slide 31: Financial Summary – Profitability Statement (1/2)
I I Financial Summary – Profitability Statement (1/2) Particulars (INR Cr) FY19 Q3 FY18 Q4 FY19 Q4 Gw% Revenue from operations 2,150 1,784 2,201 23% Material consumption 655 484 663 Doctors cost 456 363 450 Employee cost (excl. doctors) 411 317 396 Other expenses 272 287 246 EBITDAR 356 333 446 34%
Slide 32: Financial Summary – Profitability Statement (2/2)
I I Financial Summary – Profitability Statement (2/2) Particulars (INR Cr) Revenue from operations Material consumption --- FY18 6,721 2,059 FY19 7,963 2,420 Gw% 18% Doctors cost 1,445 1,720 Employee cost (excl. doctors) 1,341 1,568 Other expenses 944 1,033 EBITDAR 932 1,221 31% EBITDAR % 13.9% 15.3
Slide 33: Financial Summary – Balance Sheet & Ratios
I I Financial Summary – Balance Sheet & Ratios As at Mar 31, As at Mar 31, Particulars (INR Cr) 2018 2019 LIABILITIES Shareholders Equity 2,832 3,214 Minority Interest 358 466 Debt 2,241 2,672 Other current and non-current liabilities 2,054 2,584 Total Liabilities 7,484 8,936 ASSETS Fixed Assets & I
Slide 34: Pipeline Projects
I I Pipeline Projects Expected Completion Owned / Hospitals - GCC Location Type Planned Beds Stage Year Leased/O&M ~ Aster Hospital Sonapur, Dubai, UAE Greenfield 41 Q2 FY 2020 Construction Leased @ Aster Hospital Sharjah, UAE Greenfield 80 Q4 FY 2020 Construction Leased Greenfield ~ Aster Hospital
Slide 35: Strategy and Leadership
I I (I Aster – Snapshot, Evolution and Footprint ) - ~ Aster – An Integrated Healthcare Provider Operational and Financial Overview Strategy and Leadership 34
Slide 36: ADMHL – Strategy & Outlook (1/2)
I I ADMHL – Strategy & Outlook (1/2) Strengthening of hub and A comprehensive human Scalable systems Strengthening of our medical spoke model in GCC resource strategy utilizing our implementation, tightly tourism network geographical diversity and integrated with catering to future growth operations
Slide 37: ADMHL – Strategy & Outlook (2/2)
I I ADMHL – Strategy & Outlook (2/2) Profitability growth & brand Building of brand, talent Specialized, asset-light Cost Optimization positioning using product- and capability in KSA – a growth in India mix and technology key market in GCC • Focus on margin expansion through • There is significant
Slide 38: India Strategy
I I India Strategy India is geographically well positioned for Focus on In line with medical tourism focus on large format from the GCC hospitals in Tier 1 derisking states, MENA business – cities – Hospitals region and South- in Tier 1 cities The new National Health Protection Scheme target of 25%
Slide 39: Aster Leadership Team
I I Aster Leadership Team Dr. Azad Moopen Dr. Harish Pillai Veneeth Purushotaman Chairman and Managing Director Chief Executive Officer – India Chief Information Officer Alisha Moopen Jobilal M. Vavachan Chief Executive Officer – Chief Executive Officer, Aster Fara Siddiqi GCC Hospitals & Clinics Ph
Slide 40: Aster Board of Directors
I I Aster Board of Directors strategy andleadership Ravi Prasad Daniel James Dr. Azad Moopen Independent Director Snyder Chairman and Managing Director Independent Director Alisha Moopen M. Madhavan Suresh M. Non-Executive Director Kumar Nambiar Independent Director Independent Director Daniel Rober
Slide 41: Thank You
JHANK YOU 40 www.asterdmhealthcare.com
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