Max Healthcare Institute Ltd · NSE:MAXHEALTH
Max Healthcare Institute — Axis Capital India Flagship Conference 2025 and Citi's 2025 India Investor Conference
44 slides from Max Healthcare Institute's conference presentation, Feb 11, 2025
Slide 1: Presentation for Investor Conference (exchange filing cover letter)
February 11, 2025 Listing Department, Listing Department, National Stock Exchange of India Limited BSE Limited Exchange Plaza, Plot C-1, Block G, Phiroze Jeejeebhoy Towers, Bandra Kurla Complex, Bandra (E), Dalal Street, Mumbai – 400 051 Mumbai – 400 001 Symbol: MAXHEALTH Scrip Code: 543220 Sub.: Pr
Slide 2: Investor Presentation
Investor Presentation February 11, 2025
Slide 3: Disclaimer
Disclaimer This presentation and the accompanying slides (the “presentation”) contain selected information about the activities of Max Healthcare Institute Limited’s (“Max Healthcare”/“MHIL”/“MHC”/”Company”) as at the date of the presentation. None of MHIL, its directors, promoter, or affiliates, no
Slide 4: Content
Content Company overview 04 Key growth drivers 14 Financial highlights 23 Appendix 31 3
Slide 5: Company overview
By MAX Healthcare Company overview
Slide 6: Max Healthcare: India's second largest hospital chain
Max Healthcare: India’s second largest1 hospital chain in terms of hospital revenue, EBITDA and market capitalisation Current capacity 5,000+ beds Delhi NCR 4 0 2 Shalimar Bagh 5 22 78% ~76% BLK 1 6 4 1 3 Facilities Beds in metros 9M FY25 8 Patparganj 0 7 Vaishali Occupancy7 3 0 Panchsheel1 Lajpat 5
Slide 7: Vision: To be the most well-regarded healthcare provider in India
Vision: To be the most well-regarded healthcare provider in India To be the most well regarded healthcare provider in India committed to the highest standards of clinical excellence and patient care supported by latest technology and cutting edge research ▪ Quaternary care facilities ▪ World class i
Slide 8: Journey so far
Journey so far • Stake in Eqova Healthcare, East Delhi (~400 beds)i1 • O&M w/ Muthoot Hospitals for ~300 beds (Ph 1) in Dwarka, Delhi (MSSH Dwarka)1 Dr. B L Kapur Memorial Dr. Balabhai Nanavati • Radiant-Max Healthcare merger Hospital, Rajendra Place1 Hospital, Mumbai1 • Listing on NSE & BSE • Disco
Slide 9: Clinically comprehensive hospital chain with strong focus on research and academics
Clinically comprehensive hospital chain with strong focus on research and academics High-end Complex procedures performed quaternary care facilities Robotic Cardiac Neuro Orthopedic Oncology Transplants2 surgeries procedures3 surgeries4 surgeries5 surgeries6 Est. Annual1 Count ~1,400 ~5,300 ~46,000
Slide 10: Dominant presence in the most attractive markets (1/2)
Dominant presence in the most attractive markets (1/2) Low bed density, higher per capita income, higher ARPOB and rising insurance penetration make Delhi and Mumbai attractive avenues for growth High demand-supply gap in Delhi NCR & Mumbai… …coupled with rising insurance penetration Total beds per
Slide 11: Dominant presence in the most attractive markets (2/2)
Dominant presence in the most attractive markets (2/2) Being metro-centric also positions Max Healthcare well to capitalise on medical tourism India’s foreign medical tourism industry has 18 company & partner-owned Patient Assistance Company-owned PACs been growing Centres (PACs) across 16 countries
Slide 12: Best-in-class performance parameters
Best-in-class performance parameters ARPOB1 Occupancy (₹/OBD) (‘000) (%) 76 76 76% 75% 76% 67 69% 67% 65% 69% 66 64% 65% 59 62 62 57 60 61 59% 62% 62% 52 55 Operating parameters Max Healthcare Medanta Apollo Hospitals Fortis Healthcare Max Healthcare Medanta Apollo Hospitals Fortis Healthcare Pre-ta
Slide 13: Distinguished BoD and dynamic management team
Distinguished BoD and dynamic management team Distinguished Board of Directors Mr. Abhay Soi Ms. Amrita Gangotra Mr. Pranav C. Mehta Mr. Anil Bhatnagar Chairman and Managing Technology leader & former Chief Medical Officer, HCA Senior lawyer & Director member of Exec. Mgmt at Healthcare (American an
Slide 14: Strategy going forward
Strategy going forward Build on Optimise Existing Clinical Expertise Infrastructure Attract best-in-class talent Payor mix, Capacity to focus on industry Utilisation, ALOS and leading patient outcomes Procedure Mix Focus on Capital Expand Bed Light Adjacencies Capacity Max Lab and Brownfields and Ma
Slide 15: Key growth drivers
By MAX Healthcare Key growth drivers
Slide 16: Strong financial profile to support future growth
Multiple avenues for future growth ▪ Focus on tower specialities & case mix 1 Optimising Existing 2 ▪ Increase utilization & improve process efficiencies Strong cash generation Infrastructure ▪ Optimize payor mix from operations ₹ 1,025 Cr in 9M FY25 ▪ ~2,700 beds addition via brownfield expansion –
Slide 17: Plans underway to add 7,000+ beds
3 Plans underway to add 7,000+ beds, with ~3,700 beds coming in next 4 years Indicative timelines for completion of expansion projects1 Brownfield Greenfield Beds added in last 12m (inorganic + greenfield) Nanavati Hospital2,4 12,700+ Mohali 700 Saket Complex (Smart) Lucknow, Gomti Nagar 3,350 Sec.
Slide 18: Ongoing expansion projects
3 Ongoing expansion projects Nanavati-Max – 268 beds in Phase I Max Smart (Saket Complex) – 400 beds Max Vikrant (Saket Complex) – 550 beds Max Smart Vikrant Saket (East & West) ▪ Total BUA: ~7.5 lakh sft. ▪ Total BUA: ~5.0 lakh sft. ▪ Total BUA: ~7.1 lakh sft. ▪ Building configuration: 3 Basements
Slide 19: Snapshot of newly operationalized + acquired hospitals
3 Snapshot of newly operationalized + acquired hospitals ▪ 186 beds operational out of 212 capacity beds (12 beds added in Revenue (₹ Cr) % Occupancy EBITDA (₹ Cr) N Q2 FY25), plans underway to enhance capacity by 115 more beds A ▪ EC application to build 2 addl. floors over existing building 26% 15
Slide 20: Strong track record of successful acquisitions
3 Strong track record of successful acquisitions ▪ Management team has done multiple successful acquisitions and integrations, including BLK, Nanavati and Max Healthcare, leading to significant turnaround in the operating and financial metrics ▪ 550 beds (Lucknow and Nagpur), acquired in Q4 FY24, ha
Slide 21: Max Lab – non-captive pathology SBU
4 Max Lab – non-captive pathology SBU Operational footprint Organized diagnostics players to grow faster than overall Diagnostic industry (as of Dec. 31, 2024) India Diagnostic market to see steady growth Indian Diagnostic Industry mix by type of providers (₹ Bn) Hospital labs ~500 35-40% Multi-regi
Slide 22: Max@Home – amongst one of the largest homecare providers
4 Max@Home – amongst one of the largest homecare providers in the country Indian home healthcare is under-penetrated with only ~3.6% of total health spending on home Growth Drivers healthcare vis-à-vis ~8.3% in the US Home healthcare solutions ~40% Indian home healthcare market expected to grow …wit
Slide 23: Max MyHealth – proprietary digital platform
5 Max MyHealth – proprietary digital platform enabling best-in- class omnichannel healthcare experience ‘Max MyHealth’ offering new age experience for patients and doctors Monthly Active Users ('000s) 93.4 ~8.5 lakh ~8.6x Patient registrations growth till date 10.9 90,000+ Jun-23 Jun-24 Dec-22 Dec-2
Slide 24: Financial highlights
By MAX Healthcare Financial highlights
Slide 25: Notes to Network consolidated financials
Notes to Network consolidated financials 1. Max Healthcare Institute Limited (“MHIL”), its subsidiaries and deemed separate entities (i.e., silos for managed healthcare facilities) constitute MHIL Group under IND AS 110. MHIL Group also has long-term contracts with certain societies, who own and ope
Slide 26: Network P&L statement: Q3 FY25
Network P&L statement: Q3 FY25 Figs in ₹ Cr Q3 FY24 Q2 FY25 Q3 FY251 YoY Amount % NR Amount % NR Amount % NR Growth Gross revenue 1,779 2,228 2,381 Net revenue 1,689 100.0% 2,125 100.0% 2,281 100.0% 35% Direct costs 650 38.5% 843 39.7% 883 38.7% 36% Contribution 1,038 61.5% 1,282 60.3% 1,398 61.3% 3
Slide 27: Network P&L statement: 9M FY25
Network P&L statement: 9M FY25 Figs in ₹ Cr 9M FY24 9M FY25 Amount % NR Amount % NR Gross revenue 5,325 6,636 Net revenue 5,049 100.0% 6,341 100.0% Direct costs 1,968 39.0% 2,499 39.4% Contribution 3,081 61.0% 3,842 60.6% 2 Indirect Overheads 1,677 33.2% 2,155 34.0% Operating EBITDA 1,404 27.8% 1,68
Slide 28: Memorandum consolidation of Network P&L: 9M FY25
Memorandum consolidation of Network P&L: 9M FY25 Figs in ₹ Cr MHIL & its Partner Healthcare Facilities ("PHF") Financials MHC Network subsidiaries & Eliminations (IGAAP Audited)* (Consolidated) Silos & (Certified by an Ind AS Balaji GM Modi Devki Devi Ind AS Adjustments(2) ICA) Audited Society Socie
Slide 29: Network profitability: Annual trend
Network profitability: Annual trend Figs in ₹ Cr FY22 FY23 FY24 9M FY25 Amount % NR Amount % NR Amount % NR Amount % NR Gross revenue1 5,509 6,236 7,215 6,636 Net revenue 5,218 100.0% 5,904 100.0% 6,849 100.0% 6,341 100.0% Direct costs 2,103 40.3% 2,304 39.0% 2,675 39.1% 2,499 39.4% Contribution 3,1
Slide 30: Network balance sheet
Network balance sheet1 (Includes Managed and Partner Healthcare Facilities) Figs in ₹ Cr Sep 2023 Particulars Mar 2024 Sep 2024 8,623 Shareholders' Equity (incl. corpus) 9,295 9,816 606 Gross Debt 1,177 1,211 463 Deferred / Contingent Consideration Payable2 461 484 84 Put Option Liability3 87 90 147
Slide 31: Thank you
By MAX Healthcare Thank you
Slide 32: Appendix
Appendix 1. ESG & CSR Updates 2. Payor & Speciality profiles, Network structure, IT & HR 31
Slide 33: Appendix 1: ESG highlights, CSR initiatives
Appendix 1 ESG highlights CSR initiatives 32
Slide 34: ESG highlights
ESG highlights Environment ISO 14001 certification received for 39% water recycled out of total water 0.9 KL per bed fresh water consumption in twelve hospitals consumption in FY24 FY24, down from 1 kilolitres per bed in FY23 ~23,600 GJ total renewable energy >60% of waste being disposed through 100
Slide 35: CSR initiatives
CSR initiatives Initiatives undertaken during the year ₹2 Cr support to NGO towards Max Medical Scholarship Orientation Construction of pond in Meerut (Rajpura development of the National Cancer Programme Village) Institute (NCI) in Nagpur Focus areas for CSR: Education and Water Sustainability Educ
Slide 36: Appendix 2
Appendix 2 Payor & Speciality profiles Network structure IT & Digital infrastructure HR initiatives 35
Slide 37: Payor & Speciality profiles
Payor & Speciality profiles 9M FY25 Payor Mix (revenue share) 9M FY25 Speciality Mix Liver & biliary Others Institutional sciences +30% Y-o-Y Pulmonology 4.3% Self Pay 3.2% 18.9% +28% Y-o-Y MAS & 3.4% Oncology1 general surgery 5.2% 25.8% Gastro- 34.5% enterology 5.2% International +19% Y-o-Y 8.8% Re
Slide 38: Network holding structure
Network holding structure (As of December 31, 2024) Balaji Society (Max Patparganj) Max Shalimar Bagh Valid till 20653 Max Dehradun Max Panchsheel Max Healthcare Medical Service Agreement Immigration centre (Lajpat Nagar) Institute Limited Max Saket (West) (MHIL) Devki Devi Society SBUs (MIME, Max@H
Slide 39: Our people help us – to serve, to excel
Our people help us – to serve, to excel COMPASSION EXCELLENCE EFFICIENCY CONSISTENCY ▪ I Commit to Care - foundation of ▪ Awarded Hospital Chain of the ▪ Differentiated reward strategy ▪ Certified as Great Place To Work all that we do, committed to care Year (National) & Exceptional for medical & no
Slide 40: Our digital backbone
Our digital backbone Modernization of IT infra Digitization & AI ▪ Implementation of SDWAN for better ▪ Multiple AI projects running in user experience and cost optimization radiology (Qure AI, Predible’s LungIQ, ▪ Enhancement of BCP for improved Zebra’s, etc.) + few pilot projects for RPO/RTO disea
Slide 41: Efficient in-house digital platforms
Efficient in-house digital platforms Home-grown command centres offer real-time insights into both outpatient and inpatient journeys Patient Reported Outcomes Measurement (PROM) Digital app for doctors to manage patients 40
Slide 42: List of Network healthcare facilities
List of Network healthcare facilities Name Location Type of facility Max Super Speciality Hospital, Saket (West Block) Delhi Hospital Max Super Speciality Hospital, Saket (East Block) Delhi Hospital Max Smart Super Speciality Hospital, Saket Delhi Hospital Max Super Speciality Hospital, Dwarka Delhi
Slide 43: Definitions
Definitions Term Description ALOS Average Length of Stay: discharged patients stay in the hospital, basis admission and discharge time Average Revenue per Occupied Bed; Gross revenue divided by the occupied bed days; excludes revenue from Covid-19 ARPOB vaccination & related antibody tests and Max L
Slide 44: About us
About us Max Healthcare Institute Limited (Max Healthcare) is one of India’s largest For further information, please visit: healthcare organizations. It is committed to the highest standards of clinical www.maxhealthcare.in excellence and patient care, supported by latest technology and cutting-edge