Shalby Ltd. · NSE:SHALBY
Shalby — Q4 FY2022 Earnings Presentation
35 slides from Shalby's earnings presentation, May 30, 2022
Slide 1: Investor Presentation Cover Letter to Exchanges
-® SHALBY MULT PE l"Y - H9a,fcf!~~s- Shalby/SE/2022-23/19 The Listing Department Corporate Service Department National Stock Exchange of India Ltd BSE Limited Mumbai 400 051. Mumbai 400 001. Scrip Code: SHALBY Scrip Code: 540797 Through : https://digitalexchange.nseindia.com Through : http://listing
Slide 2: Fit for the Future - Investor Presentation FY2022
FIT FOR THE INVESTOR PRESENTATION FUTURE FY2022 28 years of serving www.shalby.org
Slide 3: Investment Case - Well Positioned to Deliver Long Term Sustainable Growth
Investment Case - Well Positioned to Deliver Long Term Sustainable Growth 1 28 Years of ELITE Legacy 2 Our Presence 3 Leader in Arthroplasty with Increasing Focus on Multi Specialty 4 Clinical Excellence backed by State-of-the-Art Infrastructure 5 Diversified into Implants Manufacturing 6 Leveraging
Slide 4: 28 Years of ELITE Legacy
28 Years of ELITE Legacy Proven leadership in healthcare, setting up Centres Excellence of Excellence to capture massive opportunities 11 5 1,200 Lazer sharp focus on upgrading the skills of our Hospitals States Operational Beds Learning team and building people capability ensuring Facilities high l
Slide 5: Our Presence
Our Presence ➢ National Presence SOCE Units Scale Status Udaipur 30 beds FOFO Operationalized PUNJAB ▪ Mohali – 145 beds Gwalior 35 beds FOSO MoU Signed Kanpur 35 beds FOFO MoU Signed RAJASTHAN ▪ Jaipur – 237 beds Rajkot 30 beds FOSO MoU Signed GUJARAT ▪ Ahmedabad ➢ International Presence (in Africa
Slide 6: Leader in Arthroplasty with increasing focus on Multi Specialty
Leader in Arthroplasty with increasing focus on Multi Specialty Surgery Mix : FY2022 Revenue Mix : FY2022 Others, 16% Others, 30% Neurology, Arthroplasty, 5% 29% Arthroplasty, 45% Oncology, 9% Cardiac Science, 3% Nephrology, 3% Oncology, 5% Critical Care & General Cosmetic & Plastic Cardiac Medicine
Slide 7: Clinical Excellence backed by State-of-the-Art Infrastructure
Clinical Excellence backed by State-of-the-Art Infrastructure ▪ Total 28 Kidney and Liver transplant performed at Shalby Ahmedabad and Indore ▪ Highly complexed hip replacement surgery with ankylosing spondylitis performed successfully at Shalby Jaipur ▪ 10 month old baby suffering from Cancerous Br
Slide 8: Diversified into Implants Manufacturing
Diversified into Implants Manufacturing 60,000 Zero Component Manufacturing Capacity Product Recall Legacy USA FDA End to End Approved Implants Implant Manufacturing In-House R&D 50+ Team of R&D Employee Count Established Network Distributor and Surgeons 7
Slide 9: Shalby Consensus Performance
Shalby Consensus Performance Key Performance Highlights Rs. Mn FY2022 Q4 FY2022 ▪ In FY22, recorded total revenues of USD 4 mn (May 15, to March 31, 2022) Revenue From Operations 310.7 102.5 ▪ Sales driven by United States with Knee and Hip segment contributing ~60% and ~40% respectively EBITDA (67.
Slide 10: Leveraging Expertise and Reaching Unexplored Territories through SOCE
Leveraging Expertise and Reaching Unexplored Territories through SOCE Unlocking Business Growth Asset light franchise model will leverage Shalby expertise and enable company to penetrate faster across pan-India Q2 FY22 Q4 FY22 Q1 FY23 FY2026 Udaipur – 30 Beds | FOFO Gwalior – 35 Beds | FOSO First Ho
Slide 11: Integrated Orthopedic Implant Ecosystem
Integrated Orthopedic Implant Ecosystem Shalby is a Leader in Joint Replacement with 15% Market Share • Performed more than 1,35,000 joint replacement surgeries since inception • More than 10,000+ surgeries every year • India is expected to witness nearly 1.5 million joint replacement surgeries annu
Slide 12: Hospital Portfolio Expansion
Hospital Portfolio Expansion Santa Cruz Development Update Business Model: Revenue Sharing ▪ A 175 bedded hospital in the heart of Mumbai, Santacruz, to Bed Capacity: 175 be equipped with state-of-the-art equipment and technology Operating and Management Term: 30 + 30 years ▪ Diversifying Shalby pre
Slide 13: Consistent Performance with Double Digit EBITDA Margin
Consistent Performance with Double Digit EBITDA Margin Revenue CAGR Growth FY2008 to FY2022 : 21% EBITDA CAGR Growth FY2008 to FY2022 : 23% Consistent EBITDA Margins of ~20% FY2008 FY2014 FY2018 FY2022 Hospitals: 2 Hospitals: 5 Hospitals: 10 Hospitals: 10 6,598 3,899 2,610 16% 23% 23% 22% 482 1,426
Slide 14: Investment Case Summary
Investment Case Summary Figures in Rs Million FY 18 FY 19 FY 20 FY 21 FY22 Key Valuation Metrics 25 May 2022 Share Price (in Rs) 103.9 Cash and Investments (A) 1,162 861 1,025 1,349 2,026 Number. of Shares ( in Cr) 10.8 Gross Borrowings (B) 1,137 708 622 440 1,550 Equity Value (Rs. Cr) 1,122.2 Net C
Slide 15: FY2022 Performance Highlights (Hospital Business)
FY2022 Performance Highlights (Hospital Business) Rs. million 6,598 ▪ Shalby registered Highest ever Annual Revenue 4,283 698 1,426 1,044 and Net Profits in FY22 957 429 555 ▪ First half of the year was driven by Covid-19 patients and second half was driven by strong 22.4% 21.6% 13.0% 15.8% 10.0% 10
Slide 16: FY2022 Hospital Group Performance
FY2022 Hospital Group Performance All hospitals, at different maturity stages, continue to deliver strong performance Hospital - 10+ Years Hospital - 5-10 Years Hospital - 0-5 Years 170 550 515 Operational Beds Operational Beds Operational Beds Rs. 1,666 mn 26% Rs. 2,260 mn 36% Rs. 2,380 mn 38% Reve
Slide 17: Management Perspective
Management Perspective Mr. Sushobhan Dasgupta, Vice Chairman Mr. Shanay Shah, President “In FY22, Shalby delivered strong performance across all key “Shalby delivered a strong performance during the year and I am operational and financial indicators. The company continued to pleased that Shalby as a
Slide 18: 5 Year Performance Trends
5 Year Performance Trends In-Patient Count Occupied Beds 563 413 450 428 39,030 40,603 335 36,311 27,771 28,847 FY 18 FY 19 FY 20 FY 21 FY 22 FY 18 FY 19 FY 20 FY 21 FY 22 Total Revenue (Rs. Mn) EBITDA (Rs. Mn) 1,426 6,598 5,016 918 992 957 4,718 4,283 886 3,899 22.7% 19.5% 19.8% 22.4% 21.6% FY 18 F
Slide 19: Strong Capital Structure and Cash Flow Conversion
Strong Capital Structure and Cash Flow Conversion Well Capitalized Balance Sheet to Fund the Growth Capex Plans Return on Capital Employed % Figures in Rs Million FY 18 FY 19 FY 20 FY 21 FY22 14% 9% 8% 8% 8% Cash and Investments (A) 1,154 861 1,024 1,343 1,964 FY 18 FY 19 FY 20 FY 21 FY 22 Gross Bor
Slide 20: Q4 FY2022 Performance Highlights
Q4 FY2022 Performance Highlights Total Revenue up by 6%, supported by 11% increase in In-Patients Count In Patient Count (Nos.) Surgeries Count 9,629 5,558 Total Revenue Operating EBITDA 8,945 in Q4 FY21 5,472 in Q4 FY21 Rs. 1,523 mn Rs. 323 mn Beds Occupied (Nos.) Avg. Occupancy Rate Q4 FY21 Rs. 1,
Slide 21: Q4 FY2022 Performance Trends
Q4 FY2022 Performance Trends Total Revenue (Rs. Mn) Operating EBITDA (Rs. Mn) and Margin 24.0% 24.4% 20.1% 20.4% 21.2% 1,828 446 1,717 1,531 1,523 1,440 346 345 312 323 Q4 FY21 Q1 FY22 Q2 FY22 Q3 FY22 Q4 FY22 Q4 FY21 Q1 FY22 Q2 FY22 Q3 FY22 Q4 FY22 PBT (Rs. Mn) and Margin Reported PAT (Rs. Mn) and M
Slide 22: Q4 FY2022 Performance Trends
Q4 FY2022 Performance Trends In Patients count was primarily driven by increase in Non-Covid patients. Surgery count registered a strong rebound with the normalization of Covid cases resulting in higher ARPOB on Y-o-Y basis In Patients Count Day Care Patients Count Out-Patients Count 10,608 10,432 1
Slide 23: Q4 FY2022 Performance Trends
Q4 FY2022 Performance Trends No of Bed Occupied Occupancy Rate* 723 59% 481 517 513 499 43% 40% 42% 40% Q4 FY21 Q1 FY22 Q2 FY22 Q3 FY22 Q4 FY22 Q4 FY21 Q1 FY22 Q2 FY22 Q3 FY22 Q4 FY22 Average Length of Stay (ALOS) Revenue Mix by Care 6.10 10% 12% 10% 18% 12% 12% 5.00 4.02 4.02 4.12 86% 85% 88% 79% 8
Slide 24: Q4 FY2022 Performance Trends
Q4 FY2022 Performance Trends Revenue by Hospital Specialty 40% 37% 15% 13% 10% 11% 10% 12% 8% 9% 8% 9% 5% 6% 4% 4% Arthroplasty Critical Care & Cardiac Science Oncology Orthopaedic Neurology Nephrology Others General Medicine Q4 FY21 Q4 FY22 Number of Surgeries by Specialty Revenues by Payer Mix Art
Slide 25: Q4 FY2022 Performance Trends
Q4 FY2022 Performance Trends Total Revenue to EBITDA Bridge 24.0% 24.4% 20.1% 20.4% 21.2% EBITDA % 7.7% 7.0% 9.7% 6.9% 6.7% 12.7% Other Expenses % 11.7% 11.0% 11.1% 13.0% Employee Benefit Expenses % Purchase and Change in Inventory % 55.0% 56.1% 57.9% 58.4% 57.7% Operative and Other Expenses % Q4 FY
Slide 26: Q4 FY2022 Performance Highlights
Q4 FY2022 Performance Highlights Operational Metrics Q4 FY22 Q4 FY21 Y-o-Y Growth FY2022 FY2021 Y-o-Y Growth In Patient Count 9,629 8,665 11.1% 40,603 28,847 41% (Nos.) Day Care Patient Count 5,319 5,829 (8.7)% 15,462 19,668 (21)% (Nos.) Out Patient Count 1,02,490 1,04,508 (1.9)% 3,18,455 2,61,562 2
Slide 27: Q4 FY2022 Performance Highlights – Standalone
Q4 FY2022 Performance Highlights – Standalone Particulars (in Rs. Million) Q4 FY22 Q4 FY21 Y-o-Y Growth FY2022 FY2021 Y-o-Y Growth Revenue from Operations 1,478 1,417 4.3% 6,472 4,187 54.6% Other Income 45 23 96.6% 126 96 31.4% Total Revenue 1,523 1,440 5.8% 6,598 4,283 54.1% Expenses COGS 901 815 1
Slide 28: Q4 FY2022 Performance Highlights - Consolidated
Q4 FY2022 Performance Highlights - Consolidated Particulars (in Rs. Million) Q4 FY22 Q4 FY21 Y-o-Y Growth FY2022 FY2021 Y-o-Y Growth Revenue from Operations 1,626 1,451 12.1% 6,989 4,309 62.2% Other Income 43 21 100.9% 124 91 37.1% Total Revenue 1,668 1,472 13.3% 7,114 4,400 61.7% Expenses COGS 907
Slide 29: Digital Initiatives
Digital Initiatives SAMANVAY • Proud to announce the successful accomplishment of "Project Samanvay" with Go-Live of SAP S4/Hana 2020 in the month of Feb 2022, with a big-bang approach across all units in a short span of 8 months along with integration of HIS • This strategic implementation is quite
Slide 30: Sustainability Initiatives
Sustainability Initiatives ESG Mindset Community Connect “We at Shalby are embracing sustainability to drive new values to our business” ESG Mindset Healthcare Camps Consultation Camp on Women’s Day ▪ We at Shalby are embracing sustainability to Shalby has conducted more On International Women’s Day
Slide 31: Stewardship Initiatives
Stewardship Initiatives Live Advanced Knee Replacement • Shalby Hospital in association with Jabalpur Orthopaedic association (JOA) has conducted demonstration of a live advance knee replacement surgery • Subsequently arranged a conference with the orthopaedic surgeons to exchange of ideas on the be
Slide 32: Celebrating 28 Years
Celebrating 28 Years 28 years of Anniversary celebration with re-launch of Vijay unit as SOCE model Celebrating 28th anniversary and re-launching and inaugurating of Vijay unit as an Orthopedic Centre of Excellence (SOCE) franchise model in Ahmedabad in the month of March 2022. 75 surgeons attended
Slide 33: Experienced Board Of Directors
Experienced Board Of Directors Dr. Vikram Shah Mr. Sushobhan Dasgupta Dr. Ashok Bhatia Chairman and Managing Director Non – Executive Director Non- Executive Director A strategist with 30+ years of experience in the field of Over two and a half decades of professional healthcare healthcare, worked i
Slide 34: Awards And Recognition
Awards And Recognition The most influential & Inspiring Woman leader in Healthcare on Best National Orthopedic Best National Homecare Best Medical Tourism Centre in Gujarat International Woman’s Day 2022 Hospital Company Excellence in Mult-Specialty Hospital Six Sigma Excellence Award Fastest Growin
Slide 35: Disclaimer and Contact Details
DISCLAIMER and CONTACT DETAILS No representation or warranty, express or implied is made as to, and no reliance should be placed on, the fairness, accuracy, completeness or correctness of such information or opinions contained herein. The information contained in this presentation is only current as