Max Healthcare Institute Ltd · NSE:MAXHEALTH

Max Healthcare Institute — Q1 FY23 Earnings Presentation

34 slides from Max Healthcare Institute's earnings presentation, Aug 10, 2022

  1. Slide 1: Earnings update – Q1 FY23

    Earnings update – Q1 FY23 Aug 10, 2022

  2. Slide 2: Disclaimer

    Disclaimer This presentation contains certain “forward looking statements” including, but without limitation, statements relating to the implementation of strategic initiatives, and other statements relating to Max Healthcare Institute Limited’s (“MHIL” / “MHC”) future business developments and econ

  3. Slide 3: Notes to Network Consolidated Financials

    Notes to Network Consolidated Financials 1. Healthcare undertaking of Radiant Life Care Private Limited (“Radiant”) and residual business of erstwhile Max India Limited merged into Max Healthcare Institute Limited (“MHIL” or “the Company”) through a NCLT approved Composite Scheme of Amalgamation and

  4. Slide 4: Content

    Content Q1 FY23 Highlights 05 Covid-19 Update 19 About the Company 22 4

  5. Slide 5: Q1 FY23 Highlights

    By MAX Healthcare Q1 FY23 Highlights

  6. Slide 6: Executive Summary: Q1 FY23 (1/2)

    Executive Summary: Q1 FY23 (1/2) Gross revenue for Q1 FY23 was INR 1,473 Cr compared to INR 1,385 Cr in Q1 FY22 and INR 1,298 Cr in Q4 FY22 Gross revenue (excl. Covid-19 vaccination) for Q1 FY23 was INR 1,471 Cr compared to INR 1,249 in Q1 FY22 and INR 1,296 in Q4 FY22, reflecting a growth of +18% Y

  7. Slide 7: Executive Summary: Q1 FY23 (2/2)

    Executive Summary: Q1 FY23 (2/2) ARPOB1 for Q1 FY23 stood at INR 66.0k versus INR 51.5k in Q1 FY22 (+28% YoY) and INR 63.5k in Q4 FY22 (+4% QoQ) Increase in ARPOB was led by improvement in payor mix and surgical mix, normalisation of OPD footfalls and annual price revision. Further, ALOS reduced to

  8. Slide 8: Key Financial Highlights

    Key Financial Highlights Gross Revenue (INR Cr) Operating EBITDA (INR Cr) +13.5% +21.5% 1,473 +17.8% 370 +23.0% 1,385 1,298 360 2 304 0 136 2 59 0 370 1,471 301 304 1,249 1,296 Q1 FY22 Q4 FY22 Q1 FY23 Q1 FY22 Q4 FY22 Q1 FY23 Covid-19 vaccination & related antibody tests EBITDA Covid-19 vaccination &

  9. Slide 9: Key Operational Highlights

    Key Operational Highlights ARPOB1 (INR/OBD) (‘000) Avg. Inpatient Occupancy (%) +4.0% +6.1% pt 63.5 66.0 81% 74% 68% 51.5 -6.8% pt +28.3% Q1 FY22 Q4 FY22 Q1 FY23 Q1 FY22 Q4 FY22 Q1 FY23 ALOS2 (in days) Outpatient consults (‘000) 5.9 +8.5% 550 507 4.3 4.2 387 +42.0% -1.8 days Q1 FY22 Q4 FY22 Q1 FY23

  10. Slide 10: Speciality Profile

    Speciality Profile Q1 FY22 Q1 FY23 Others Others 9.2% Oncology* Pulmonology Oncology* 7.9% MAS and 3.3% 22.7% 17.1% general surgery Pulmonology# 5.7% 15.2% OBGY and Cardiac pediatrics 5.6% 8.5% sciences MAS and Gross IP revenue Gross IP revenue 3.3% INR 1,158 Cr general surgery INR 1,020 Cr Internal

  11. Slide 11: Payor Profile

    Payor Profile Share of Revenue Q1 FY22 Q1 FY23 17.4% 18.3% 37.1% 38.1% 4.6% 7.8% 39.0% 37.8% Self Pay TPA & corporates International Institutional Note: Excludes revenue from Covid-19 vaccination & related antibody tests, SBUs and other operating income 11

  12. Slide 12: Network P&L Statement: Q1 FY23

    Network P&L Statement: Q1 FY23 Figs in INR Cr Q1 FY22 Q4 FY22 Q1 FY23 Amount % NR Amount % NR Amount % NR Gross revenue1 1,385 1,298 1,473 Net revenue 1,322 100.0% 1,226 100.0% 1,393 100.0% Direct costs 538 40.7% 497 40.5% 551 39.6% Contribution 784 59.3% 729 59.5% 842 60.4% Indirect overheads2 425

  13. Slide 13: Gross revenue from hospitals, by region

    Gross revenue from hospitals, by region Gross Revenue* (INR Cr) Operational beds (Q1 FY23) 902 Delhi 791 1,981 763 151 Uttar Pradesh 137 376 128 122 Maharashtra 118 288 98 126 Punjab 104 312 101 57 Uttarakhand 48 201 49 50 Haryana 41 92 42 Q1 FY23 Q4 FY22 Q1 FY22 *Excludes revenue from Covid-19 vacc

  14. Slide 14: Max Lab: Key performance indicators

    Max Lab: Key performance indicators Operational footprint Gross Billing Value (INR Cr) Net revenue (INR Cr) (as of June 30, 2022) 54 35 350+ 40 25 Partner-run 28 35 37 24 34 2 20 22 22 2 collection centres 4 6 5 5 4 3 +55% 29 32 31 38 18 19 19 24 YoY 26 26 15 Company owned collection centres (CoCC)

  15. Slide 15: Memorandum Profit & Loss Consolidation sheet of Network Financials for Q1 FY23

    Max Healthcare: Memorandum Profit & Loss Consolidation sheet of Network Financials for Q1 FY23 Figs in INR Cr MHIL, its Partner Healthcare Facilities ("PHF") Financials Eliminations MHC Network subsidiaries & (IGAAP Unaudited)* & (Consolidated) Silos Adjustment(2) (Certified by an Ind AS Balaji GM M

  16. Slide 16: Clinical and Research & Academics update

    Clinical and Research & Academics update 16

  17. Slide 17: Clinical Update

    Clinical Update Treated a 50 years old female with right side tubercular empyema and left-sided chylothorax with a novel technique for ligation of Thoracic Duct Successfully treated a 40 year old male with a large wide neck ruptured Acomm aneurysm with Neqstent Endosaccular Flow Diverter Assisted Co

  18. Slide 18: Research and Academics Update

    Research and Academics Update National and international publications ~50 scientific publications in high impact factor journals during Q1 FY23 Top high Index and high impact factor publications are from Cardiology, Rheumatology , Internal Medicine, Neurology departments ~100 clinical trials are cur

  19. Slide 19: Covid-19 Update

    By MAX Healthcare Covid-19 Update

  20. Slide 20: Covid-19 Update (1/2)

    Covid-19 Update (1/2) Key contributions* : Our response : First private hospital to offer a dedicated facility in Delhi for Covid-19 care Infrastructure One of the first private sector labs to start Covid-19 testing support ~25 10,55,000+ 21,00,000+ Operationalised one of the largest Covid-19 vaccin

  21. Slide 21: Covid-19 Update (2/2)

    Covid-19 Update (2/2) Post sharp fall in occupancies at the start of first wave of Occupancy (%) Covid-19 in Mar’20, the overall occupancy steadily improved 87 85 76 70 79 81 72 starting Jun’20, as the hospitals started to admit Covid-19 72 68 69 72 75 69 70 74 74 74 74 75 60 patients 45 The first C

  22. Slide 22: About the Company

    By MAX Healthcare About the Company

  23. Slide 23: Max Healthcare: India's Second Largest Hospital Chain

    Max Healthcare: India’s Second Largest* Hospital Chain in terms of revenue, EBITDA and market capitalisation Current capacity 3,400+ beds 17 ~85% ~74% NCR Facilities Beds in metros Occupancy 280 Shalimar Bagh 540 402 378 BLK Patparganj 12% 59% 29.8% Eqova Vaishali Revenue CAGR^ EBITDA CAGR^ Q1 FY23

  24. Slide 24: 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 infra

  25. Slide 25: State-of-the-art infrastructure

    State-of-the-art infrastructure Robotics TrueBeam Stx LINAC System Cath Lab – Artis Zee Pure Advanced robotics provides high precision and Provides a variety of treatment techniques Artis zee floor-mounted system with enables minimal invasive surgery across such as HyperArc and RapidArc to address a

  26. Slide 26: Strong Focus on Research and Academics

    Strong Focus on Research and Academics Research: Academics: Significant strategic partnerships including Deakin University, Max Institute of Medical Excellence (MIME) is the education division Australia and Imperial College London – 30,000+ research of MHC for medical education & training participan

  27. Slide 27: Network Financial performance snapshot

    Network Financial performance snapshot Figs in INR Cr FY19 FY20 FY21 FY22 Amount % NR Amount % NR Amount % NR Amount % NR Gross revenue (incl. movement in unbilled) 3,920 4,356 3,881 5,509 Net revenue 3,599 100.0% 4,023 100.0% 3,629 100.0% 5,218 100.0% Direct costs 1,566 43.5% 1,715 42.6% 1,508 41.6

  28. Slide 28: Strong financial profile to support expansion plans

    Multiple avenues for future growth • Optimise Payor mix 1 Optimising Existing Strong cash generation from 2 Infrastructure • Increase utilisation operations • Focus on tower specialities INR ~ 237 Cr Strong financial profile to support expansion plans in Q1 FY23 • 2,300 beds addition via brownfield

  29. Slide 29: Existing valuable land bank to enable addition of 4,000+ beds

    Existing valuable land bank to enable addition of 4,000+ beds, with ~2,800 beds coming in next 5 years Indicative commencing timelines for new beds 7,442 Shalimar Bagh 500 Dwarka, South-west Delhi 500 Gurugram (Sec 53 & 56) 200 Saket Complex (Smart) 250 150 Mohali 200 111 Nanavati Hospital* 300 250

  30. Slide 30: Awards and Accolades

    Awards and Accolades Operational Clinical Safety Service Quality Others Excellence Patient Safety Award EY Entrepreneur Of The Best customer service Ranked Best Multi by FICCI Year 2021 India Award in in Healthcare Specialty Hospital in Delhi Business transformation by Outlook Health 2022 Diamond Aw

  31. Slide 31: Network Holding Structure

    Network Holding Structure (As on June 30, 2022) Balaji Society (Max Patparganj) Max Shalimar Bagh Valid till 2065 Max Dehradun Medical Service Agreement Max Panchsheel MHIL Immigration centre (Lajpat Nagar) Max Healthcare Max Saket (West) Institute Limited Devki Devi Society SBUs (MaxLab, Max@Home)

  32. Slide 32: List of Network Healthcare Facilities

    List of Network Healthcare Facilities Name Location Description Max Super Speciality Hospital, (West Block) Saket Delhi Hospital Max Super Speciality Hospital, (East Block) Saket Delhi Hospital Max Smart Super Speciality Hospital, Saket Delhi Hospital BLK-Max Super Speciality Hospital, Rajendra Plac

  33. Slide 33: Definitions

    Definitions Term Description Amount billed to the patients/customers as per contracted/rack rates, as applicable, including the patients from the economically weaker section (EWS) on discharge basis; Also includes movement in unbilled revenue Gross Revenue at the end of the period for patients admit

  34. Slide 34: About Us

    About Us Max Healthcare Institute Limited (MHIL) is India’s leading provider of healthcare services. For further information, please visit It is committed to the highest standards of medical and service excellence, patient care, scientific and medical education. www.maxhealthcare.in MHIL has major c

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