Aster Dm Healthcare Ltd. · NSE:ASTERDM
Aster Dm Healthcare — Q3 FY2024 Earnings Presentation
57 slides from Aster Dm Healthcare's earnings presentation, Feb 8, 2024
Slide 1: Stock exchange filing cover letter
February 08, 2024 The Secretary The Manager, Listing Department, Listing Department, BSE Limited, The National Stock Exchange of India Ltd 1st Floor, Phiroze Jeejeebhoy Towers Exchange Plaza, C-1, Block G Dalal Street, Mumbai 400001 Bandra Kurla Complex Scrip Code: 540975 Bandra (East), Mumbai 40005
Slide 2: Investor Presentation for the Quarter and Nine Months ended 31st December 2023
1 INVESTOR PRESENTATION For the Quarter and Nine Months ended on 31st December 2023
Slide 3: Disclaimer
2 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 cond
Slide 4: Vision
VISION A Caring Mission with a Global Vision to Serve the World with Accessible and Affordable Quality Healthcare.
Slide 5: Aster DM Healthcare – Evolution
Aster DM Healthcare – Evolution 4 New geographies, segments Brand “Aster” was formed, private Robust Growth across all Growth and Diversification into Building the foundations and service offerings equity investment, further expansion segments and geographies; Rapid aligned businesses across Expansi
Slide 6: Business Overview – 9M
Business Overview – 9M 5 34 (30) GCC : 15 (15) One of the Largest Private Healthcare 6,318 GCC : 1,461 (1,441) (5,536) Hospitals India : 191 (15) service providers operating India : 4,857 (4,095) Capacity Beds in Asia (GCC & India) Presence in 7 Countries 15.2 Mn GCC. : 12.6 Mn 130 (125) GCC : 117 (
Slide 7: Geographical Footprint
6 Geographical Footprint 6 United Arab Emirates Kingdom of Saudi Arabia Kerala Andhra Pradesh Karnataka H(9) C(103) P(258) H(1) P(4) H(7) C(2) P(86) L(7) PEC(154) H(6) C(4) L(2) PEC(2) H(4) C(7) P(82) L(5) PEC (50) Oman Qatar Bahrain Jordan Maharashtra Telangana Tamil Nadu C(2) P(2) P(10) H(1) H(1)
Slide 8: Aster DM Healthcare – Financial Overview
Aster DM Healthcare – Financial Overview 7 Revenue - FY24 9M EBITDA - FY24 9M India India India 27% India 33% (PY : 25%) (PY: (PY XX%) : 31%) (PY: XX%) GCC GCC GCC 73% 67% (PY: XX%) Note: 1. Revenue and EBITDA shown (PY : 75%) (PY : 69%) above excludes other income (PY: XX%) 2. Above shown percentag
Slide 9: GCC Hospitals
98 GCC Hospitals UAE Qatar Oman Aster Hospital Mankhool Aster Hospital Qusais Cedars Hospital Dubai Dubai Dubai CB:140 OB:118 CB:163 OB:126 CB:20 OB:12 2015, Leased 2018, Leased 2019, Leased Aster Hospital Al Raffah Hospital Al Raffah Hospital Doha Muscat Sohar CB:61 OB:30 CB:72 OB:52 CB:81 OB:63 20
Slide 10: India Hospitals
India Hospitals 109 Kerala Cluster Karnataka & Maharashtra Andhra & Telangana Cluster Cluster Aster Medcity MIMS Kottakkal Kochi, Kerala Aster CMI Kottakkal, Kerala Ramesh Main Ramesh Ramesh Guntur CB: 760 OB: 626 Bengaluru, Karnataka CB:340 OB:263 Centre Sanghamitra Guntur, AP 2014, Owned CB:509 OB
Slide 11: Hospitals: Pipeline Projects
Hospitals: Pipeline Projects 10 Addition of 245 beds in GCC by the end of FY25 Owned / Hospitals - GCC Location Planned Beds Expected Completion Year Present Status Leased/O&M Aster Hospital Doha, Qatar 60 Q4 FY 2025 Design Leased Medcare Royal Hospital Dubai, UAE 126 Q4 FY 2024 Construction Leased
Slide 12: The Aster DM Healthcare Edge
The Aster DM 11 Healthcare Edge • Strong track-record of financial, operational, • Holistic healthcare solutions for people, societal growth trajectory in GCC including primary, secondary, tertiary and Sturdy • Brisk scaling-up of operations across quaternary care Performance segments and geographie
Slide 13: Historical Trends
Historical Trends 12 Capacity Beds Outpatient Count (in mn) Inpatient Count (in ‘000) GCC India 6,318 326 5,756 10.3 274 5,536 9.8 273 9.4 254 4,907 5,065 8.7 242 4,804 4,561 7.7 218 220 7.3 7.5 4,857 4,317 4,095 3,693 3,757 3,905 3,460 1,101 1,111 1,150 1,160 1,439 1,441 1,461 FY19 FY20 FY21 FY22 F
Slide 14: An Integrated Healthcare Provider
13 AN INTEGRATED HEALTHCARE PROVIDER Aster – An Integrated Healthcare Provider
Slide 15: Aster - An Integrated Healthcare Provider
14 Aster - An Integrated Healthcare Provider FY23 Operational Information 1,800+ 326,300+ Cardiovascular IP Discharges Surgeries ~5.1 mn 22,800+ 1,300+ Clinic OPD Visits General Bariatric Surgeries Surgeries 4,000+ 1,500+ Joint ~ 9.8 mn Spine Replacements Pharmacy Surgeries Visits 17,700+ 400+ Urolo
Slide 16: Aster – A Healthcare Ecosystem
Aster – A Healthcare Ecosystem 15 Patient Life Cycle Management • Aster, over 35 years, Hospitals Clinics Pharmacies has created a Healthcare Ecosystem across two geographical regions • Indian operations act as a source of talent (Doctors, Nurses, and • In GCC region, Aster’s other employees) Primar
Slide 17: Digital Health
Digital Health 16 Currently ranks #1 among the Free Apps in Medical Category in the UAE Virtual Care – Omni-channel experience Online Pharmacy Digital CRM- Hyper personalized targeting to increase § Increasing coverage of “Express” delivery zones as well as customer compliance § Influx of ~60,000 un
Slide 18: GCC Healthcare – Unique traits
GCC Healthcare – Unique traits 17 Population (Mn) Healthcare market in GCC states, which is mostly insurance driven, have developed certain unique traits due to the higher expat and working age population 36.4 Expacts Nationals Prevalence of Primary and Secondary Healthcare Facilities (Private Secto
Slide 19: Aster - Awards & Service Excellence
Aster - Awards & Service Excellence 18 18 • Elected by World Economic Forum as a Young Dr. Azad Moopen • Recipient of the “Padma Shri” Award, the 4th Alisha Moopen Global Leader Chairman & Managing highest civilian award by the Government of India Deputy Managing • Harvard Business Council Internati
Slide 20: Aster - Awards
Aster - Awards 19 ET Healthcare Awards- Outlook's Best Hospital Ranking Hospital Chain of the Year Times All India Multispecialty Hospitals 2023 : Aster Medcity , Aster CMI, Ranking Survey 2023 MIMS Calicut Excellence in CSR Aster Medcity, Aster CMI, MIMS Calicut Aster DM Healthcare, Aster Medcity,
Slide 21: Aster - Awards
Aster - Awards 20 Reader’s Digest - Most Trusted Middle East Technology Asian Hospital Hospital in Bengaluru Excellence Awards Management Awards Aster CMI Aster Hospitals Aster Hospitals Cyber Security Council World AI Show & Awards – Best Aster Hospitals, UAE Project Implementation (AI Case Arabia
Slide 22: Operational and Financial Overview
21 OPERATIONAL AND FINANCIAL OVERVIEW Operational and Financial Overview
Slide 23: Clinical Highlights - FY24 Q3
Clinical Highlights - FY24 Q3 22 GCC • Stage 3 Retinopathy of Prematurity (ROP): Premature baby nearing vision loss at 4 months of age treated successfully at Aster Qusais The patient was born at only 25 weeks and 6 days through a natural delivery, had an initial birth weight of just 918 grams • Suc
Slide 24: Revenue and Profitability Snapshot – FY24 Q3
Revenue and Profitability Snapshot – FY24 Q3 23 Revenue from Operations Operating EBITDA (excl. other Income) PAT Adjusted PAT Revenue excluding new hospitals4 is Rs. EBITDA excluding new hospitals4 is Rs. 588 Crs. PAT excluding new hospitals and non-recurring exceptional items is 213 Crs. (Growth o
Slide 25: Revenue and Profitability Snapshot – FY24 9M
Revenue and Profitability Snapshot – FY24 9M 24 Revenue from Operations Operating EBITDA (excl. other Income) PAT Adjusted PAT Revenue excluding new hospitals4 is Rs. EBITDA excluding new hospitals4 is Rs. 1,385 Crs. PAT excluding new hospitals and non-recurring exceptional items is 335 Crs. (Growth
Slide 26: Geography-wise Financial Snapshot – Quarterly
Geography – wise Financial – Snapshot – Quarterly 25 GCC INDIA CONSOLIDATED FY23 Q3 FY24 Q3 Growth FY23 Q3 FY24 Q3 Growth FY23 Q3 FY24 Q3 Growth Revenue (₹) 2,421 Cr 2,761 Cr 14% 771 Cr 949 Cr 23% 3,192 Cr 3,711 Cr 16% Operating EBITDA (₹) 334 Cr 415 Cr 24% 123 Cr 168 Cr 37% 456 Cr 583 Cr 28% PAT (₹
Slide 27: Geography-wise Financial Snapshot – 9M
Geography – wise Financial – Snapshot – 9M 26 GCC INDIA CONSOLIDATED FY23 9M FY24 9M Gw% FY23 9M FY24 9M Gw% FY23 9M FY24 9M Gw% Revenue (₹) 6,491 Cr 7,521 Cr 16% 2,179 Cr 2,721 Cr 25% 8,671 Cr 10,243 Cr 18% Operating EBITDA (₹) 734 Cr 922 Cr 26% 342 Cr 453 Cr 32% 1,076 Cr 1,375 Cr 28% PAT (₹) 155 C
Slide 28: Geography-wise Business Snapshot – Quarterly
Geography – wise Business – Snapshot - Quarterly 27 GCC INDIA CONSOLIDATED FY23 Q3 FY24 Q3 FY23 Q3 FY24 Q3 FY23 Q3 FY24 Q3 Total Capacity Beds 1,441 1,461 4,095 4,857 5,536 6,318 Operational Beds (Census) 1,119 1,127 3,133 3,514 4,252 4,641 Operational Beds (Non-Census) 322 334 843 1,057 1,165 1,391
Slide 29: Geography-wise Business Snapshot – 9M
Geography – wise Business – Snapshot – 9M 28 GCC INDIA CONSOLIDATED FY23 9M FY24 9M FY23 9M FY24 9M FY23 9M FY24 9M Total Capacity Beds 1,441 1,461 4,095 4,857 5,536 6,318 Operational Beds (Census) 1,119 1,127 3,133 3,514 4,252 4,641 Operational Beds (Non-Census) 322 334 843 1,057 1,165 1,391 Availa
Slide 30: Geography-wise Business Snapshot – Quarterly
Geography – wise Business – Snapshot – Quarterly 29 KARNATAKA & ANDHRA & KERALA TOTAL MAHARASHTRA TELANGANA FY23 Q3 FY24 Q3 FY23 Q3 FY24 Q3 FY23 Q3 FY24 Q3 FY23 Q3 FY24 Q3 Total Capacity Beds 2,208 2,386 1,016 1,424 871 1,047 4,095 4,857 Operational Beds (Census) 1,720 1,834 761 890 652 790 3,133 3,
Slide 31: Geography-wise Business Snapshot – 9M
Geography – wise Business – Snapshot – 9M 30 KARNATAKA & ANDHRA & KERALA TOTAL MAHARASHTRA TELANGANA FY23 9M FY24 9M FY23 9M FY24 9M FY23 9M FY24 9M FY23 9M FY24 9M Total Capacity Beds 2,208 2,386 1,016 1,424 871 1,047 4,095 4,857 Operational Beds (Census) 1,720 1,834 761 890 652 790 3,133 3,514 Ope
Slide 32: Segmental Performance FY24 Q3 - GCC
Segmental Performance FY24 Q3 - GCC 31 Growth rates GCC Unallocated & Gw % GCC Hospitals GCC Clinics GCC Unallocated & Total FY24 Q3 GCC Hospitals GCC Clinics Total Pharmacies Eliminations Pharmacies Eliminations No. of Business Units (#) 15 117 285 NA 417 No. of Business Units (#) Operational Beds
Slide 33: Segmental Performance FY24 9M - GCC
Segmental Performance FY24 9M - GCC Growth rates 32 Unallocated & GCC Unallocated & FY24 9M GCC Hospitals GCC Clinics GCC Pharmacies Total Gw % GCC Hospitals GCC Clinics Total Eliminations Pharmacies Eliminations No. of Business Units (#) 15 117 285 NA 417 No. of Business Units (#) Operational Beds
Slide 34: Maturity Wise Hospital Performance – GCC FY24 9M
Maturity Wise Hospital Performance – GCC FY24 9M 33 Key Performance indicators Revenue Operational Beds EBITDA Maturity Hospitals (INR in Crs.) (Census) EBITDA % ARPOBD Occupancy (INR in Crs.) 8% 20% ₹(46) 0-3 Years 3 ₹ ~137,400+ 35% ₹287 220 -15.9% Over 3 92% 80% ₹588 12 ₹ ~205,850+ 60% 18.8% Years
Slide 35: Segmental Performance FY24 Q3 - India
Segmental Performance FY24 Q3 - India 34 Growth rates Hospitals & Hospitals & Hospitals - Labs & Unallocated Hospitals - Labs & Unallocated Clinics Clinics Q3 FY24 O&M Asset Wholesale & Total Gw % O&M Asset Wholesale & Total (Ex. O&M Asset (Ex. O&M Asset Light Pharmacy Eliminations Light Pharmacy El
Slide 36: Segmental Performance FY24 9M – India
Segmental Performance FY24 9M – India 35 Growth rates Hospitals & Hospitals & Hospitals - Labs & Unallocated Hospitals - Labs & Unallocated Clinics Clinics 9M FY24 O&M Asset Wholesale & Total Gw % O&M Asset Wholesale & Total (Ex. O&M Asset (Ex. O&M Asset Light Pharmacy Eliminations Light Pharmacy El
Slide 37: Maturity Wise Hospital Performance – India FY 9M
Maturity Wise Hospital Performance – India FY 24 9M 36 Key Performance indicators Revenue Operational Beds Operating EBITDA Maturity Hospitals (INR in Crs.) (Census) ARPOBD Occupancy (INR in Crs.) EBITDA % 0-3 Years 7% 15% 6 ₹ ~25,600 52% ₹(14) ₹172 530 -8.4% Over 3 93% 85% ₹518 12 ₹ ~40,900 71% Yea
Slide 38: Financial Summary – Profitability Statement (Q3)
Financial Summary – Profitability Statement (1/2) 37 Particulars (INR Cr) FY24 Q2 FY23 Q3 FY24 Q3 Y-o-Y Gw% Q-o-Q Gw% Revenue from operations 3,317 3,192 3,711 16% 12% Material consumption 959 954 1,072 Doctors cost 718 668 764 Employee cost (excl. doctors) 709 641 728 Laboratory outsourcing charges
Slide 39: Financial Summary – Profitability Statement (9M)
Financial Summary – Profitability Statement (1/2) 38 Particulars (INR Cr) FY23 9M FY24 9M Gw% Revenue from operations 8,671 10,243 18% Material consumption 2,605 2,996 Doctors cost 1,826 2,171 Employee cost (excl. doctors) 1,898 2,126 Laboratory outsourcing charges 55 57 Other expenses 1,211 1,518 O
Slide 40: Financial Summary – Balance Sheet & Ratios
Financial Summary – Balance Sheet & Ratios 39 As at Mar 31, As at Dec 31, As at Mar 31, As at Dec 31, Particulars (INR Cr) India (in INR Cr) 2023 2023 2023 2023 LIABILITIES Gross Debt 597 714 Shareholders Equity 4,448 4,553 Less: Cash, Bank Balance and Current Investments 87 81 Minority Interest 412
Slide 41: India Financial Summary - Profitability Statement Q3 FY24
India Financial Summary- Profitability Statement Q3 FY24 Particulars (In INR Cr) Q3 FY24 Q3FY23 Y-o-Y Revenue from Operations 949 771 23% Material Consumption 229 204 Doctors’ Cost 213 157 Employee cost (excl. doctors) 193 152 Other expenses 146 135 Operating EBITDA 168 123 37% Employee Stock Option
Slide 42: India Financial Summary - Profitability Statement 9M FY24
India Financial Summary- Profitability Statement 9M FY24 41 Particulars (In INR Cr) 9M FY24 9M FY23 Y-o-Y Revenue from Operations 2,721 2,179 25% Material Consumption 684 573 Doctors’ Cost 596 466 Employee cost (excl. doctors) 550 428 Other expenses 439 371 Operating EBITDA 453 342 32% Employee Stoc
Slide 43: Consol Trends - I
42 Consol Trends - I Revenue (INR Cr) Operating EBITDA 1,565 11,933 1,483 1,375 10,253 10,243 1,258 8,652 8,608 8,671 1,063 1,076 7,963 863 FY19 FY20 FY21 FY22 FY23 FY23 9M FY24 9M FY19 FY20 FY21 FY22 FY23 FY23 9M FY24 9M Operating EBITDA Margin ROCE 10.0% 9.7% 14.5% 14.5% 9.2% 13.1% 13.4% 8.5% 12.3
Slide 44: Consol Trends - II
43 Consol Trends - II Net Debt (excl. Lease Liabilities) (INR Cr) Net Debt (incl. Lease Liabilities) (INR Cr) India GCC India GCC 2,783 5,416 5,488 358 5,261 5,111 2,329 2,132 633 4,499 4,521 242 2,004 1,043 1,289 1,806 1,848 1,919 973 306 455 652 763 319 510 632 2,425 2,087 4,783 3,847 4,218 4,138
Slide 45: India: Financial Trends
India: Financial Trends 44 Revenue (INR Cr) Operating EBITDA 2,983 2,721 453 453 2,384 2,179 353 342 1,631 1,654 1,314 183 144 121 FY19 FY20 FY21 FY22 FY23 FY23 9M FY24 9M FY19 FY20 FY21 FY22 FY23 FY23 9M FY24 9M Operating EBITDA Margin PAT (Post- NCI) 147 153 16.6% 15.2% 15.7% 14.8% 99 11.3% 60 9.2
Slide 46: India Hospital & Clinics Cluster-Wise Trends
India Hospital & Clinics Cluster-Wise Trends 45 Kerala Cluster Karnataka & Maharashtra Cluster Andhra & Telangana Cluster Revenue (INR Cr) Revenue (INR Cr) Revenue (INR Cr) 817 793 370 344 1,691 314 307 1,489 303 655 279 1,318 1,237 598 250 875 935 442 433 701 310 FY19 FY20 FY21 FY22 FY23 FY23 FY24
Slide 47: Strategy & Leadership
46 STRATEGY & LEADERSHIP Strategy & Leadership
Slide 48: GCC Strategy
47 Strengthening of our GCC Strategy medical tourism network • To further strengthen integration of GCC & India operations to provide consistent quality experience The pandemic allowed us to reflect and re- to patients across geographies invent certain processes at all the locations. • To position o
Slide 49: India Strategy
In line with 48 India Strategy Aster DM Healthcare focus on hopes to leverage its derisking Focus on extensive experience business – large format of working in a 100% target of 40%- hospitals in Tier 1 insurance market in 50% of overall cities – Hospitals the GCC to derive revenues in the in Tier 1
Slide 50: ESG: Committed to UN Sustainable Development Goals
49 ESG: Committed to UN Sustainable Development Goals
Slide 51: Story so far…
50 Story so far… Steady progress being made for FY ’24 with preparation, sign off, and audit of our ESG annual report. Highlighted below are key milestones achieved so far: External Assurance Materiality Assessment ESG Rating Partnered with Workshops KPMG for carrying out an independent Launched the
Slide 52: ESG highlights for the year
ESG highlights for the year 51 In this financial year we have made significant progress on all aspects of E: Environment, S: Social and G: Governance performance 577 MWh energy consumption reduction at 100% resolution of reported whistleblowing Medcare Hospital cases raised via the confidential repo
Slide 53: Aster – ESG Strategy
52 Aster – ESG Strategy Current ESG practices External engagement for ESG Policy and ESG Risk ESG Pillars identified in ESG framework approved by the assurance of Aster’s ESG Board level ESG commitment Report Aster Board report against global frameworks Next steps § External Assurance of Aster’s ESG
Slide 54: Aster Board of Directors
Aster Board of Directors 53 Dr. Azad Moopen Alisha Moopen T. J. Wilson Chairman and Managing Non-Executive Director Deputy Managing Director Director Shamsudheen Bin Daniel Robert Emmanuel David Mohideen Mammu Haji Mintz Gootam Non-Executive Director Non-Executive Director Independent Director Puran
Slide 55: India | Aster Leadership Team
54 India | Aster Leadership Team 54 Dr. Azad Moopen Founder Chairman and Managing Director - Aster DM Healthcare Dr. Nitish Shetty Dr. Somashekhar S P Sunil Kumar M R T. J. Wilson Chairman of Medical Group Head - Governance & CEO – Aster DM Healthcare Joint Chief Financial Officer Advisory Council a
Slide 56: GCC | Aster Leadership Team
GCC | Aster Leadership Team 55 55 Dr. Azad Moopen Founder Chairman, Aster DM Healthcare Alisha Moopen T. J. Wilson Managing Director and Group Head - Governance & Group CEO Corporate Affairs Dr. Sherbaz Bichu Dr. Shanila Laiju Bala NS Brandon Rowberry Chief Executive Officer, Chief Executive Officer
Slide 57: Thank You
56 Thank You www.asterdmhealthcare.com Email: investors@asterdmhealthcare.com
Aster DM Healthcare — Q3 FY2024 Earnings Presentation on 6ix