Apollo Hospitals Enterprise Limited · NSE:APOLLOHOSP

Apollo Hospitals Enterprise — Q2 FY2011 Earnings Presentation

23 slides from Apollo Hospitals Enterprise's earnings presentation, November 2010

  1. Slide 1: Apollo Hospitals Enterprise Limited Q2 FY 2011 Earnings Update

    Apollo Hospitals Enterprise Limited Q2 FY 2011 Earnings Update

  2. Slide 2: Safe Harbour

    Safe Harbour Numbers mentioned in this Presentation in respect of information provided on hospital operating parameters and other operating metrics have been compiled by the management and are being provided only by way of additional information. These are not to be construed as being provided under

  3. Slide 3: Contents

    Contents • Q2 Highlights • Consolidated Financial Performance • Standalone Financial Performance • Operational Performance - Hospitals • Operational Performance - Retail Pharmacy • Update on Projects • Update on non-hospital JVs, Associates 3

  4. Slide 4: Q2 Highlights – (1/2) Performance, Capacity

    Q2 Highlights – (1/2) • H1FY 11 Consolidated revenues - Rs.12,710 million (up 30.1% yoy) Performance • H1FY 11 Consolidated EBITDA - Rs. 2,110 million (up 37% yoy) • Consolidated EBITDA margin expanded 86 bps to 16.6%. • Retail pharmacies continued to demonstrate improvement in operating performance

  5. Slide 5: Q2 Highlights – (2/2) Major Initiatives

    Q2 Highlights – (2/2) • Launched the ‘SAVE’ India campaign during the quarter to increase awareness about Major the ailments of Stroke, Aneurysm and Vascular disease, Evaluation to prevent Initiatives disability or death due to stroke, aneurysm rupture or leg ulcers or gangrene. This underscores Apo

  6. Slide 6: Contents

    Contents • Q2 Highlights • Consolidated Financial Performance • Standalone Financial Performance • Operational Performance - Hospitals • Operational Performance - Retail Pharmacy • Update on Projects • Update on non-hospital JVs, Associates 6

  7. Slide 7: Consolidated Financial Performance

    Consolidated Financial Performance * [Excluding Apollo Munich Health Insurance] ` Mio Q2FY'10 Q2FY'11 yoy (%) H1 FY'10 H1 FY'11 yoy (%) Income from Operations 4,804 6,239 29.9% 9,090 11,799 29.8% Add: Share of JVs 307 405 31.7% 586 765 30.5% Total Revenues 5,111 6,644 30.0% 9,676 12,564 29.8% EBITDA

  8. Slide 8: Contents

    Contents • Q2 Highlights • Consolidated Financial Performance • Standalone Financial Performance • Operational Performance - Hospitals • Operational Performance - Retail Pharmacy • Update on Projects • Update on non-hospital JVs, Associates 8

  9. Slide 9: Standalone Financial Performance – (1/2)

    Standalone Financial Performance – (1/2) ` Mio Q2 FY'10 Q2 FY'11 yoy (%) H1 FY'10 H1 FY'11 yoy (%) Revenue 4,561 5,864 8,620 11,097 Total Income 4,561 5,864 28.6% 8,620 11,097 28.7% • H1 FY11 revenue growth at 28.7% Operative Expenses (2,376) (3,043) 28.1% (4,486) (5,766) 28.5% • H1FY11 EBITDA Emplo

  10. Slide 10: Standalone Segment-wise Performance – (2/2)

    Standalone Segment-wise Performance – (2/2) ` Mio Q2 FY'10 Q2 FY'11 yoy (%) H1 FY'10 H1 FY'11 yoy (%) Revenues from each segment Heathcare Services * 3,373 4,204 24.7% 6,436 8,040 24.9% • 24.9% yoy growth Stand-alone Pharmacy 1,189 1,663 39.9% 2,185 3,059 40.0% in Healthcare Other Income 21 68 168 1

  11. Slide 11: Contents

    Contents • Q2 Highlights • Consolidated Financial Performance • Standalone Financial Performance • Operational Performance - Hospitals • Operational Performance - Retail Pharmacy • Update on Projects • Update on non-hospital JVs, Associates 11

  12. Slide 12: Operational Performance - Hospitals

    Operational Performance - Hospitals ` Mio AHEL Standalone Hospitals AHEL Standalone Hospitals Chennai Cluster Hyderabad Cluster Others* SIGNIFICANT SUBS / JVs** H1 FY'10 H1 FY'11 yoy % H1 FY'10 H1 FY'11 yoy % H1 FY'10 H1 FY'11 yoy % H1 FY'10 H1 FY'11 yoy % H1 FY'10 H1 FY'11 yoy % No. of Op. Beds 2,5

  13. Slide 13: Contents

    Contents • Q2 Highlights • Consolidated Financial Performance • Standalone Financial Performance • Operational Performance - Hospitals • Operational Performance - Retail Pharmacy • Update on Projects • Update on non-hospital JVs, Associates 13

  14. Slide 14: Operational Performance – Retail Pharmacy

    Operational Performance – Retail Pharmacy ` Mio Particulars Q2 FY 10 Q2 FY 11 yoy% HI FY 10 HI FY 11 yoy% • Retail Pharmacy operations continuing No of Stores 322 315 322 315 to grow rapidly, with a Total Area Sq ft/store 281 281 281 281 steady path to Upto Revenue/store 1.79 2.12 19% 3.41 4.02 18%

  15. Slide 15: Contents

    Contents • Q2 Highlights • Consolidated Financial Performance • Standalone Financial Performance • Operational Performance - Hospitals • Operational Performance - Retail Pharmacy • Update on Projects • Update on non-hospital JVs, Associates 15

  16. Slide 16: Key Hospital Expansion Plan & Update on Execution

    Key Hospital Expansion Plan & Update on Execution DescriptionJV Investment Details Upto Sep'10 Est. Date o Operational beds Status of Project Part Total JV AHEL AHEL CompletionFY 11 FY 12 FY 13 FY 14 Update ner Cost Debt Share Invested Est. Est. Est. Est. Rs. Millions Own Projects Hyderabad - Intern

  17. Slide 17: Contents

    Contents • Q2 Highlights • Consolidated Financial Performance • Standalone Financial Performance • Operational Performance - Hospitals • Operational Performance - Retail Pharmacy • Update on Projects • Update on non-hospital JVs, Associates 17

  18. Slide 18: Apollo Health Street Update

    Apollo Health Street Update* ` Mio Q2 FY '10 Q2 FY '11 yoy (%) H1 FY' 10 H1 FY' 11 yoy (%) Revenues 1,137 1,133 0% 2,342 2,226 -5% Other Income 1 4 4 22 Total Income 1,138 1,137 -0.1% 2,346 2,248 -4.2% Operative Expenses 379 312 -17.7% 734 595 -18.9% Employee Expenses 607 659 8.7% 1,274 1,322 3.8% T

  19. Slide 19: Apollo Munich Health Insurance Company Update

    Apollo Munich Health Insurance Company Update * ` Mio Q2 FY '10 Q2 FY '11 yoy (%) H1 FY' 10 H1 FY' 11 yoy (%) Gross Written Premium 295 454 54% 489 875 79% Earned Premium 153 317 107% 278 597 115% Other Income (incl. Interest Income) 22 37 64% 47 67 44% Total Income 176 353 101% 324 664 105% Claims

  20. Slide 20: Q&A

    Q&A 20

  21. Slide 21: Consolidated Financial Performance (Including Apollo Munich)

    Consolidated Financial Performance * [Including Apollo Munich Health Insurance] ` Mio Q2FY'10 Q2FY'11 yoy (%) H1 FY'10 H1 FY'11 yoy (%) Income from Operations 4,804 6,239 29.9% 9,090 11,799 29.8% Add: Share of JVs 365 481 31.6% 683 911 33.5% Total Revenues 5,169 6,720 30.0% 9,773 12,710 30.1% EBITDA

  22. Slide 22: Appendix: Basis of Consolidation

    Appendix: Basis of Consolidation AHEL Location Description Ownership AHEL Standalone Chennai Main Chennai Hospital 100% ASH - Chennai Chennai Hospital 100% Tondiarpet - Chennai Chennai Hospital 100% FirstMed - Chennai Chennai Hospital 100% Apollo Children's Hospital Chennai Hospital 100% Madurai Mad

  23. Slide 23: Hospitals – Understanding Key Operating Metrics

    Hospitals – Understanding Key Operating Metrics Description Formula / Calculation Key Driver • Number of operating • - • Project execution Operating Beds beds • Capital Expenditure x Outpatient • In-patient Bed Days • In-patient Bed Days • Brand Occupancy Visits Billed • Doctor reputation • Quality

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