Krsnaa Diagnostics Limited · NSE:KRSNAA
Krsnaa Diagnostics — Q1 FY2024 Earnings Presentation
33 slides from Krsnaa Diagnostics's earnings presentation, Aug 14, 2023
Slide 1: Intimation to stock exchanges under Regulation 30
Date: August 14, 2023 To, To, BSE Limited National Stock Exchange of India Limited Corporate Relationship Department Exchange Plaza, Plot No. C-1, Block G, 25th Floor, Phiroze Jeejeebhoy Towers Sandra Kurla Complex, Bandra (East) Dalal Street, Mumbai- 400001 Mumbai – 400051 Scrip Code: 543328 NSE Sy
Slide 2: Q1 FY2024 Investors Presentation
Q1 FY2024 Investors Presentation One of INDIA’S LARGEST Differentiated Diagnostic Service Provider August 2023
Slide 3: Q1 FY2024 Performance
—@® Q1 FY2024 Performance
Slide 4: Krsnaa Diagnostics Q1 FY24 Financials At a Glance
Krsnaa Krsnaa Diagnostics Diagnostics Q1 FY24 Financial- At aFinancial- Glance At a Glance Rs. 140 cr 22% 19% 24% Q1 FY24 Revenue Normalized Normalized Revenue EBITDA* PAT** YoY Growth YoY Growth YoY Growth Rs. 35 cr | 25% Q1 FY24 Normalized EBITDA* and A Rs. 225 cr 100% Normalized EBITDA Margin (St
Slide 5: Krsnaa Diagnostics Q1 FY24 Operations At a Glance
Krsnaa Krsnaa Diagnostics Diagnostics Q1 FY24AtOperations- Operations- a Glance At a Glance 1,372 134 Tele-reporting Centres CT/MRI Centres 105 2,947 Total Centres and Labs Pathology Processing Lab 1,336 125+ District Locations Pathology Collection Centres 240+ 17+ Doctors States & Union Territory 3
Slide 6: Core Business Continues to Grow
Core Core Business Business Continues Continues to to Grow Grow Remarkable Q1 FY24 performance with 24% YoY Total Revenue growth much ahead of its peers, Strengthened EBITDA up by 22% with resilient 25% margins and future enhancements anticipated through new center operationalization Rs. Million Tot
Slide 7: Quarterly Financial Performance
Quarterly QuarterlyFinancial Performance Financial Performance (Rs. Million) Q1FY24 Q1FY23 Y-o-Y Growth Q4FY23 Q-o-Q Growth Core Business 1,396 1,126 24% 1,331 5% Covid-19 Business - 3 1 Revenue from Operations 1,396 1,129 24% 1,332 5% Other Income 42 46 59 Total Income 1,438 1,175 22% 1,391 3% EBIT
Slide 8: Management Perspectives
Management Management Perspectives Perspectives Commenting on the business, Ms. Pallavi Bhatevara, Managing Director, Commenting on the results, Mr. Yash Mutha, Whole Time Director, said: said: “Throughout the first quarter, Krsnaa achieved a remarkable 24% year-on-year “Addressing the initial chall
Slide 9: Business Overview
—@® Business Overview
Slide 10: Indian Diagnostic Industry Overview
Indian Diagnostic Diagnostic Industry Industry Overview Healthcare Services Distribution: Indian Healthcare Industry • Government-provided healthcare services hold Share of Healthcare Services in India varying prominence across different regions of Hospitals India. Share of govt services pan India i
Slide 11: Indian Diagnostic Industry Drivers
Indian Diagnostic Diagnostic Industry Industry Driver Growth in noncommunicable disease (NCDs) and chronic diseases: Shift in disease profile, thus changing the level of interaction between doctors and patients from episodic to rhythmic Ageing population: India’s population above 60 years was 104 mi
Slide 12: Future of Public Private Partnership (PPP) in Healthcare
Future Future of Public of Public Private Private Partnership Partnership (PPP)(PPP) in Healthcare in Healthcare Extension Extension Healthcare systems Healthcare Continuum of care of care worldwide are facing increasing pressures due to factors like an aging population, chronic Rehabilitation care
Slide 13: High Quality Diagnostic Services at Disruptive Prices
High High Quality Quality Diagnostic Diagnostic Services Services at Disruptive at Disruptive Prices Prices Krsnaa offers tests at 60-80% Lower than market rates and yet maintain sustainable EBITDA % from min Segment Test Peer 1 Peer 2 Peer 3 Krsnaa price RDL CT Brain 4,500 4,500 3,500 973 (72)% RDL
Slide 14: Track Record of Successful Fast-Pace Expansion
Track Record of Successful Fast-Pace Expansion 2023 2020 2022 2013 2018 2021 Expansion Centres – Expansion 1,300+ States – 13 Centres – 2,800+ States and UT– Won First Pan India 17 Public Expansion First time in India 2019 2011 Private Centres – 664 Expansion Teleradiology Successful Centres – Partn
Slide 15: India's 1st NABH Accredited Teleradiology HUB
India’s India’s1st 1st NABH AccreditedTeleradiology NABH Accredited Teleradiology HUB HUB Krsnaa Diagnostics hub and spoke model radiology facility in Pune is fully capable to process large volumes ▪ Scalable business model and enables wider penetration into tier II and tier III cities Patient Repor
Slide 16: Only Company with Pan India Presence in Both Radiology and Pathology
Only OnlyCompany with Company with Pan Pan India India Presence Presence inRadiology in Both Both Radiology and Pathology and Pathology Well Diversified Regional Revenue Mix 5% 28% 44% FY2023 23% West South North East High Headroom to Grow ▪ Highest penetration across districts with presence in 125+
Slide 17: Krsnaa Competitive Advantages
Krsnaa Krsnaa Competitive Competitive Advantages Advantages Sustainable business model backed by underlying competitive advantages and well positioned to drive growth Revenue Visibility ▪Long-term of contracts (between 5-10 years) with inbuilt price escalation mechanism ensures higher and consistent
Slide 18: Strategic Pillars of Growth
—@® Strategic Pillars of Growth
Slide 19: Growth Strategy
Growth Growth Strategy Strategy We aim to sustain the upward trajectory of our Revenue and PAT CAGR by utilizing our existing facilities and seizing opportunities in untapped markets 1 Tap the growing and underpenetrated diagnostic market by participating in new PPP tender 2 Focus on timely and succ
Slide 20: Tapping PPP Opportunity – Radiology Tenders Won
Tapping PPP Opportunity – Radiology Tenders Won and FY2023 – Radiology Tenders Won and Assets to be deployed Assets to be deployed Assets to be Deployed 4 51 2 States and UT CT Scan MRI Scan Maharashtra Uttar Pradesh Dhule Radiology Contract Radiology Contract Radiology Contract • Scope- 39 CT Scan
Slide 21: Tapping PPP Opportunity – Pathology Tenders Won
Tapping PPP Opportunity – Pathology Tenders Won and FY2023 – Radiology Tenders Won and Assets to be deployed Assets to be deployed Assets to be Deployed 4 168 3,537 States Labs Collection centres Dhule Odisha BMC Pathology Contract Pathology Contract Pathology Contract • Scope- 6 Labs and 386 • Scop
Slide 22: PPP Project Implementation on Track
PPP PPP Project Project Implementation Implementation on Track on Track Radiology Centres Operational / Under Implementation State Total Centres Operational Under Implementation Uttar Pradesh 8 4 4 Delhi 1 - 1 DMC 1 - 1 Mira Bhayandhar MC 1 - 1 Rajasthan 1 - 1 Maharashtra 39 - 39 Total Radiology 51
Slide 23: Centres Maturity Profile
Centres Centres Maturity Maturity Profile Profile Krsnaa Younger Portfolio Continues to Mature with Promising Future 59% 32% 14% 20% Gross Block* ROCE 27% -7% Gross Block* ROCE Gross Block* ROCE Matured Semi-Matured Newly Launched ▪ Expand B2C share of Business ▪ Increase awareness and visibility th
Slide 24: B2C Pathology Strategy for FY2024
B2C B2C Pathology Pathology Strategy Strategy for FY2024 for FY2024 Expanding test menus by adding more specialized tests at Core strategy is to set up and operationalize Home Collection disruptive prices Hub and Preventive Health check up promotion in Two Phases Molecular Diagnostics Flow Cytometry
Slide 25: Best-in-class infrastructure and services at disruptive rates
Best-in-class Best-in-class infrastructure infrastructure and services and services atrates at disruptive – high brand disruptive – leading ratesrecall to high brand increased recall leading to increased foot-falls foot-falls High quality infrastructure and services at disruptive prices creates mark
Slide 26: Retail Market Expansion Strategy Leveraging Digital Initiatives
Retail Retail Market Market Expansion Expansion Strategy Strategy Leveraging Leveraging DigitalDigital Initiatives Initiatives R&A – Customer Review Social Media Customer WhatsApp Call Centre Customer Business Hub Engagement Tool Strategy Dedicated Website Mobile Application 5 Growth Strategy 25
Slide 27: Enhancing Visibility and Awareness
Enhancing Enhancing Visibility Visibility and and Awareness Awareness IN-SHOP BRANDING PROMOTIONAL BRANDING 5 Growth Strategy 26
Slide 28: Enhancing Visibility and Awareness
Enhancing Enhancing Visibility Visibility and and Awareness Awareness HEALTH CHECKUP CAMP COCO 5 Growth Strategy 27
Slide 29: Experienced Leadership Team
Experienced Experienced Leadership Leadership Team Team Rajendra Mutha Pallavi Bhatevara, Yash Mutha Pawan Daga Executive Chairman Managing Director Whole Time Director Chief Financial Officer • 12+ years of experience in the • 10 years of experience in the • 14+ years of experience in the • 12+ yea
Slide 30: Board of Directors – Diversified Experience and Background
Board Board of of Directors Directors – Diversified – Diversified Experience Experience and and Background Background Chetan Desai Chhaya Palrecha Rajiv Ranjan Verma Independent Director Independent Director Independent Director • Practicing Chartered Accountant with a wide- • Chartered Accountant w
Slide 31: Krsnaa Diagnostics Edge
Krsnaa Diagnostics Krsnaa Edge Diagnostics Edge One of the Fastest Extensive Strong Brand Scalable and Disruptive Pricing Stakeholder Value Growing Geographic Equity Agile Business Creation Diagnostics Footprint Model Service Provider in the country ₹ Total Centre count Centres across India Well pos
Slide 32: Factsheet
Factsheet Factsheet Key Valuation Metrics 11-August-23 35% 66% NSE Ticker KRSNAA Revenue CAGR PAT CAGR BSE Ticker 543328 5Y (FY18-23) 5Y (FY18-23) Share Price (in Rs) 512 Number. of Shares ( in Cr) 3.14 36% 33% Equity Value (Rs. Cr) 1,609 Radiology Revenue Pathology Revenue Gross Borrowings (Rs. Cr)
Slide 33: Contact Information
Contact Contact Information Information This presentation contains statements that are “forward looking statements” including, but without limitation, statements relating to the implementation of strategic initiatives, and other statements relating to Krsnaa Diagnostics’ future business developments