Global Health Limited · NSE:MEDANTA
Global Health — Q4 FY2024 Earnings Presentation
51 slides from Global Health's earnings presentation, May 17, 2024
Slide 1: Exchange filing cover letter
May 17, 2024 Ref:- GHL/2024-25/EXCH/14 The General Manager The Manager Dept. of Corporate Services Listing Department BSE Limited, National Stock Exchange of India Limited P J Towers, Dalal Street, Exchange Plaza, C-1, Block G, Mumbai - 400 001 Bandra Kurla Complex, Bandra (E), Mumbai - 400 051 Scri
Slide 2: Investor Presentation Q4 and FY2024
GLOBAL HEALTH LIMITED Dedicated to Life Investor Presentation Q4 and FY2024 5 17th May, 2024 1
Slide 3: Disclaimer
Disclaimer This presentation, apart from historical information, contains some "forward-looking statements" including those describing the Company’s strategies, strategic direction, objectives, future prospects, estimates etc. These forward-looking statements involve a number of risks, uncertainties
Slide 4: Contents
Contents 01 FY2024: Year at a Glance 02 FY2024 Performance Update 03 Q4 FY2024 Performance Update 04 Medanta’s Journey, Purpose and Model of Healthcare 05 Medanta Today 06 Annexures 3
Slide 5: FY2024: Year at a Glance
01 FY2024: Year at a Glance 4
Slide 6: Consistent in pursuit of clinical excellence
Consistent in pursuit of clinical excellence Recognized as Best Private Hospital in India five years in a row by Newsweek For the fifth year in a row, Medanta Gurugram has been recognised as India’s best private hospital in the prestigious ‘World's Best Hospitals 2024’ ranking by Newsweek Only India
Slide 7: Executing on our core strategies and delivering sustainable growth
Executing on our core strategies and delivering sustainable growth Growth you can be proud of… Capacity Expansion Enhance Capabilities Total Income 126 new beds added during the year comprising of 98 Launched comprehensive Oncology Care services at INR 33,498 million beds at Lucknow and 28 beds
Slide 8: Capacity Addition: Addition of 126 beds in FY2024
Capacity Addition: Addition of 126 beds in FY2024 Ramp-up of new beds addition to drive near term growth Number of installed beds 126 2,823 293 28 98 191 228 102 419 35 9 410 1,722 FY 19 FY 20 FY 21 FY 22 FY 23 FY 24 31-Mar-24 Gurgaon, Indore, Ranchi Lucknow Patna Lucknow – Total 98 beds added in
Slide 9: Capacity Addition: Noida Hospital Construction in Full Swing
Capacity Addition: Noida Hospital Construction in Full Swing 95% superstructure complete; MEP work in progress • Project situated in sector 50 Noida, close proximity to metro station • Greenfield project, with bed capacity of 550 beds • Construction started in September 2022 • Mechanical Electrical
Slide 10: Capacity Addition: New Project Announced
Capacity Addition: New Project Announced 2 new greenfield projects announced; 300 beds in Indore and 400 beds in the heart of Delhi New asset light hospital partnership in Indore Super specialty hospital in South Delhi • Site identified in prominent location on MR 10 road • ~400-bed super specialty
Slide 11: Enhancing Capabilities to Drive Clinical Excellence
Enhancing Capabilities to Drive Clinical Excellence Adding latest technology and introducing new specialties New Medical Equipment Deployed New Services Launched • EDGE Radiosurgery Gurgaon Machine for Radiation • Ramping up Mother and Child care specialty Oncology installed and operationalized in L
Slide 12: Continuity of Care: Extending Services Outside Hospitals
Continuity of Care: Extending Services Outside Hospitals Taking the care to the patient not just bringing the patient to the care Medanta Labs Medanta Pharmacy • Medanta Labs launched in January 2023 • Revenue grew by 32% from Rs. 860 million in FY23 to Rs. 1,121 million in FY24 • ~100 collection ce
Slide 13: Significant clinical accomplishments in FY2024
Significant clinical accomplishments in FY2024 Continuing the legacy of clinical excellence Medanta e-ICU saved life of a 16 year old boy. Patient with critical condition and non-recordable blood pressure admitted to a hospital in Prayagraj. Utilizing Medanta e-ICU, our Intensivist team managed the
Slide 14: Track record of consistent financial performance
Track record of consistent financial performance Delivered long term sustainable growth underpinned by strong fundamentals 21% Consistently delivering Revenue growth, led by patient volumes growth Total Income CAGR (FY20-24) Demonstrated strong capability to successfully ramp-up new hospital in unde
Slide 15: FY2024 Performance Update
02 FY2024 Performance Update Robust performance across key metrics 14
Slide 16: FY2024 performance summary
FY2024 performance summary Robust performance during the period primarily driven by growth in patient volumes across units INR 33,498 million INR 8,737 million INR 4,781 million Total Income EBITDA and Margins % Margins % PAT and Margin: 26.1% Margin: 14.3% FY23 FY23 FY23 27,592 million 21% 6,771 mi
Slide 17: FY2024 performance summary
FY2024 performance summary Matured and Developing hospitals delivered strong revenue growth of 18% and 34% respectively Consolidated Total Income of INR 33,498 million, grew by 21.4% y-o-y. The growth was driven by combination of factors such as higher inpatient volumes, increase in occupied bed day
Slide 18: FY2024 performance summary: balance sheet and cash flow
FY2024 performance summary Well capitalized balance sheet and strong EBITDA to cash flow conversion Key Highlights INR million FY2020 FY2021 FY2022 FY2023 FY2024 Gross Debt 6,219 6,446 8,379 8,422 4,193 Cash and Cash Equivalents 2,740 3,081 5,222 13,114 11,913 • Net Cash surplus of INR 7,720 million
Slide 19: Key operating metrics: Revenue and profitability
Key operating metrics: Revenue and profitability Consistent growth across all major metrics Total Income (INR million) EBITDA (INR million and margin %) FY2020-24 CAGR: 22% +21.4% FY2020-24 CAGR: 40% +29.0% 33,498 8,737 27,592 22,058 6,771 15,443 4,898 14,782 2,305 2,229 FY2020 FY2021 FY2022 FY2023
Slide 20: Key operating metrics: Volumes, occupancies, ALOS
Key operating metrics: Volumes, occupancies, ALOS Strong volume growth, increased bed capacity and improvements in ALOS Census and occupied beds ALOS (days) +14% -0.6% 3.9 3.8 2,231 3.5 3.3 2,049 3.2 1,779 1,517 1,579 1,205 1,375 1,076 832 814 FY2020 FY2021 FY2022 FY2023 FY2024 FY2020 FY2021 FY2022
Slide 21: Key operating metrics: ARPOB and revenue mix
Key operating metrics: ARPOB and revenue mix ARPOB growth driven by largely driven by improved speciality mix ARPOB* (INR) IPD Revenue mix by payor category** +4.7% 59,098 61,890 54,547 50,166 47,731 60% 65% 62% 63% 61% 21% 4% 23% 25% 24% 3% 24% 4% 4% 4% 7% 3% 9% 2% 9% 2% 8% 2% 9 2% FY2020 FY2021 FY
Slide 22: Diverse revenue mix across all complex specialties
Diverse revenue1 mix across all complex specialties Shift away from Internal Medicine as Covid recedes, Cancer contribution continues to increase 20.6% 20.9% 23.8% 23.1% Heart 26.2% 11.7% 10.2% 12.0% 11.4% Digestive 11.8% 10.8% 12.3% 11.5% 12.3% Cancer 11.6% 11.2% 10.5% 11.4% 11.2% Neuro 10.4% 7.2%
Slide 23: Volume led growth in both mature and new hospitals
Volume led growth in both mature and new hospitals Strong growth with enhanced profitability Matured hospitals - Over 6 years Developing hospitals - Less than 6 years Total Income (INR million) EBITDA (INR million and margin %) Total Income (INR million) EBITDA (INR million and margin %) +17.9% +29.
Slide 24: Q4 FY2024 Performance Update
03 Q4 FY2024 Performance Update Continue to deliver strong financial performance 23
Slide 25: Q4 FY2024 performance summary
Q4 FY2024 performance summary Strong y-o-y growth led by In-patient volume growth and improved realizations INR 8,361 million INR 2,068 million INR 1,273 million Total Income EBITDA and Margins % Margins % PAT and Margin: 24.7% Margin: 15.2% Q4 FY23 Q4 FY23 Q4 FY23 7,318 million 14% 1,915 million Ma
Slide 26: Q4 FY2024 performance summary
Q4 FY2024 performance summary Quarter performance led by strong volume growth in Matured hospitals Consolidated Total Income of INR 8,361 million, grew by 14.2% y-o-y, led by In-patient volume growth and improved realizations EBITDA was INR 2,068 million, growth of 8% y-o-y. EBITDA margins remained
Slide 27: Key operating metrics: Revenue and profitability
Key operating metrics: Revenue and profitability Growth across all major metrics Total Income (INR million) EBITDA (INR million and margin %) +14.3% +8.0% 8,545 8,361 2,340 7,318 2,068 1,915 Q4 FY23 Q3 FY24 Q4 FY24 Q4 FY23 Q3 FY24 Q4 FY24 26.2% 27.4% 24.7% Profit before tax (INR million and margin%)
Slide 28: Key operating metrics: Volumes, occupancies, ALOS
Key operating metrics: Volumes, occupancies, ALOS Strong volume growth, increased bed capacity and improvements in ALOS Census and occupied beds ALOS (days) 8.4% -0.6% 2,138 2,223 2,256 3.29 3.30 3.27 1,237 1,427 1,341 Q4 FY23 Q3 FY24 Q4 FY24 Q4 FY23 Q3 FY24 Q4 FY24 58% 64% 59% Census beds Occupied
Slide 29: Key operating metrics: ARPOB and revenue mix
Key operating metrics: ARPOB and revenue mix ARPOB growth driven by change in speciality mix ARPOB* (INR) IPD Revenue mix by payor category +3.6% 60,880 60,571 63,063 64% 61% 59% 23% 4% 24% 25% 4% 4% 8% 1% 9% 2% 9% 3% Q4 FY23 Q3 FY24 Q4 FY24 Q4 FY23 Q3 FY24 Q4 FY24 Cash TPA CGHS/ ECHS/ Indian Railwa
Slide 30: Growth seen in both mature and new hospitals
Growth seen in both mature and new hospitals Q4 FY24 performance led by Matured hospitals Matured hospitals - Over 6 years Developing hospitals - Less than 6 years Total Income (INR million) EBITDA (INR million and margin %) Total Income (INR million) EBITDA (INR million and margin %) +15.1% +18.3%
Slide 31: Medanta's Journey, Purpose and Model of Healthcare
Medanta’s Journey, Purpose and 04 Model of Healthcare 30
Slide 32: Medanta was founded to bring a new type of healthcare to India
Medanta was founded to bring a new type of healthcare to India… … the human side of healthcare Healthcare is never only about science. It is also about the art of medicine – the human connection, putting the patient first, collaboration, the personal acts of empathy and the values that guide our dec
Slide 33: Growth from a single flagship hospital in Gurgaon
Growth from a single flagship hospital in Gurgaon… …to a network of 5 high quality hospitals across north India 2025E MEDANTA HOSPITAL NOIDA 2021 Plan for 550 beds JAI PRABHA Expected to 2019 MEDANTA SPECIALTY begin phase I MEDANTA HOSPITAL operations with 2015 HOSPITAL PATNA ~300 beds in MEDANTA AB
Slide 34: Our Mission and Values
Our Mission and Values Embracing a new era and redefining our purpose Core Values Patient centric care: Foster a culture where every one of us is MISSION committed to care for patients and their caregivers Our mission is to deliver Leadership and quality: Commit to delivering excellence in world cla
Slide 35: The Medanta Model of Healthcare
The Medanta Model of Healthcare Delivering the highest quality of medicine with care and compassion Exceptional clinical talent What it means for patients and caregivers? • Super specialized doctors provide the highest quality of care through a team based integrated approach Trust based compassionat
Slide 36: Exceptional clinical talent delivering the highest end of care
Exceptional clinical talent delivering the highest end of care World leading clinicians deliver multispecialty integrated care through a doctor led model 1 Clinical team includes recipients of Padma Bhushan, 5 Almost all doctors work full-time and exclusively at Padma Shri, and BC Roy awards, in add
Slide 37: Infrastructure designed to create a safe and efficient environment
Infrastructure designed to create a safe and efficient environment World class infrastructure that creates the best possible space for healing • High proportion of OTs and ICUs; given the orientation towards higher end, complex clinical work • High focus on infection control practices; dedicated Air
Slide 38: High standard of care enabled by the latest sophisticated technology
High standard of care enabled by the latest sophisticated technology Providing the latest tools to enable our doctors to deliver the greatest care Artis-Zeego Da Vinci Robotic Endovascular Biplane Cath Lab System Surgical Cath Lab Enables cardiologists and Enables surgeons to Used for highly surgeon
Slide 39: Innovative digital solutions to enhance care access and quality
Innovative digital solutions to enhance care access and quality 1 2 3 4 Doctors EMR app Patient App Nurse App Remote monitoring E-CLINIC APP Developed a patient app that: • Offers appointment scheduling TELEMEDICINE mechanism Allows to reach patients in remote parts and pre- in the country and acros
Slide 40: Medanta Today
05 Medanta Today Leading tertiary and quaternary service provider in India 39
Slide 41: From our flagship Medicity campus in Gurgaon, we have grown to ~2,800 beds
From our flagship Medicity campus in Gurgaon, we have grown to ~2,800 beds across 5 cities Largest private hospital beds in operation under one roof in Delhi (NCR), Uttar Pradesh and Bihar Gurgaon LUCKNOW PATNA 1,391 beds; 271 ICU beds 699 beds; 202 ICU beds (950 planned) 358 beds; 84 ICU beds (650
Slide 42: Diversified group of hospitals across 5 States
Diversified group of hospitals across 5 States Over 400 million people live in the States with Medanta facilities Noida; Upcoming Hospital in Uttar Pradesh with estimated bed Diversification | Gurgaon vs. other units Gurgaon; Largest capacity of 550 to cater to single location Delhi/NCR and Western
Slide 43: Experienced senior management team across units
Experienced senior management team across units Clinical department heads chair operating and governance committees in each unit Dr Naresh Trehan Pankaj Sahni Chairman and Group CEO & Director Managing Director Yogesh Kumar Gupta Sumanta Ray Bhuvander Kaul Dr Sandeep Sawhney Chief Financial Chief Ma
Slide 44: Eminent Board of Directors
Eminent Board of Directors Marquee domestic and foreign institutions as major shareholders Others Board of Directors 11.50% Promoter FII 33.04% Shareholding 12.09% pattern as on Mutual Funds Dr Naresh Trehan 8.27% Chairman and Managing Director 31st March, Sunil Sachdeva 2024 11.78% RJ Corp Limited
Slide 45: Medanta is well placed to deliver sustainable growth
Medanta is well placed to deliver sustainable growth… …while maintaining its core values of patient centric care and clinical leadership and quality CONTINUITY OF CARE TECHNOLOGY Extend clinical THOUGHT ADVANCEMENT services outside LEADERSHIP Use technology to hospital and ENHANCE Build on our impro
Slide 46: Aligning strategy with values to deliver positive results for all stakeholders
Aligning strategy with values to deliver positive results for all stakeholders Growth you can be proud of • Deliver the highest end of patient centric care by embracing the sickest patients and treating the most complex cases • Maintain our leadership and quality by strengthening our already excepti
Slide 47: Annexures
06 Annexures 46
Slide 48: Annexure: Profit and Loss Statement
Annexure: Profit and Loss Statement Year End Quarter INR million FY23 FY24 Y-o-Y Growth % Q4 FY23 Q3 FY24 Q4 FY24 Y-o-Y Growth % Revenue from operations 26,942 32,751 21.6% 7,034 8,326 8,086 15.0% Other income 649 747 15.0% 284 219 274 (3.5)% Total income 27,592 33,498 21.4% 7,318 8,545 8,361 14.2%
Slide 49: Annexure: Operational Parameters
Annexure: Operational Parameters Year End Quarter Key metrics FY23 FY24 Y-o-Y Growth % Q4 FY23 Q3 FY23 Q4 FY23 Y-o-Y Growth % Total Beds 2,697 2,823 4.7% 2,697 2,725 2,823 4.7% Census Beds 2,049 2,231 8.9% 2,138 2,223 2,256 5.5% Occupied Bed Days 439,539 503,239 14.5% 111,286 131,339 121,834 9.5% Oc
Slide 50: Annexure: Abbreviations and Definitions
Annexure: Abbreviations and Definitions Abbreviations INR : Indian Rupee NABH : National Accreditation Board for Hospitals & Healthcare Providers NABL : National Accreditation Board for Testing and Calibration Laboratories JCI : Joint Commission International OPD : Out-Patient Department
Slide 51: Contact us
Contact us About Medanta Contact Details Founded by Dr. Naresh Trehan, a world-renowned cardiovascular and Ravi Gothwal – cardiothoracic surgeon who has been awarded the prestigious Padma Bhushan and the Padma Shri, the third- and fourth-highest Head of Investor Relations civilian awards in India, a