41 slides from Dr. Lal Pathlabs's investor presentation, May 2024
Slide 1: Corporate Presentation Dr Lal PathLabs Limited (DLPL)
Corporate Presentation Dr Lal PathLabs May 2024 Limited (DLPL)
Slide 2: Disclaimer
Disclaimer By attending the meeting / telephonic call where this presentation is made, or by reading the presentation materials, you agree to be bound by the following limitations: The information in this presentation has been prepared by Dr. Lal PathLabs Limited (the “Company”) for use in presentat
Slide 3: Table of Contents
Table of Contents Company Overview 4 Investment Highlights 16 Financial & Operating Highlights 21 DLPL Strategy for Future Growth 30 DISCLAIMER: This presentation may contain ‘forward-looking’ statements at places. The Company’s business operations remain subject to undetermined contingencies and ri
Slide 4: Corporate Overview
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Slide 5: Dr. Lal PathLabs – At a Glance
Dr. Lal PathLabs – At a Glance 12% 35% 240% 4,857# 280 5,762 3 Year Revenue ROCE Equity Dividend for Pathology & Labs; Geographically Patient Service CAGR Excl. Cash & FY23-24 Radiology tests; spread-out network Centers (PSC’s) Investments Comprehensive Test menu 70+ years of experience in 122 Mn pa
Slide 6: Overview of Dr Lal PathLabs
Overview of Dr Lal PathLabs Test Menu Pan-India integrated coverage Most trusted healthcare brand with 280 clinical labs Routine testing Specialized testing in diagnostic services (including National Reference Lab at Delhi and Regional Ref • Bio-chemistry • Molecular • Proteomics Catalogue of 343 te
Slide 7: Our Evolution
Our Evolution 1949 – 2005 2010 – 2015 2020 onwards Strong position in Pan India Player – Foundation 2005 – 2010 North India, building 2015 -2020 Acquired Suburban, network in other Building South geographies Higher contribution from Ecosystem Building Rest of India, capabilities for • Investment by
Slide 8: Most trusted healthcare brand in Diagnostic Services
Most trusted healthcare brand in Diagnostic Services Lab/PSCs Pillar of a Strong Brand Sample Collection Home Online • Accreditations from Registration CAP, NABL and ISO Offline • Centrally Accreditations Walk-in administered customers surveillance Diverse and programs account for Nationwide Single
Slide 9: Collection network
Collection network LPL’s scalable business model provides strategic advantage for expansion and consolidation National Reference Lab & Regional Ref. Lab Regional Reference Lab Single brand pulls patients Clinical Labs (Testing/Collection) Walk-in customers account for Patient Service Centers Pickup
Slide 10: Digital Touchpoints across patient journey
Digital Touchpoints across patient journey Customers Digital Point Of Sale Sample Collection Logistics Lab Processing Report Engine Applications • Patient App/Website – Order • Phlebo App – Scan lab • Live tracking of samples, • Reporting & Analysis • Historical Trends Booking, Reports, Find Nearby
Slide 11: Experienced Management team
Experienced Management team (Hony.) Brig. Dr. Arvind Lal Dr. Om Manchanda Dr. Vandana Lal Shankha Banerjee Executive Chairman Managing Director Whole-time Director Chief Executive Officer- Designate Ved Prakash Goel Munender Soperna Jai Prakash Meena Manoj Garg Group Chief Financial Officer Chief In
Slide 12: Key ESG Initiatives
Key ESG Initiatives Use of Solar E-billing and e- Use of Electric Panels for Power; payment receipt bikes for sample overall ~143 KW to reduce paper collection solar plant across usage labs Data centre Water saving virtualization to through treatment prevent heat and & reuse of CO2 emission wastewat
Slide 13: Savings of >1.3 million aliquots and >5210 tons of plastic waste
Savings of >1.3 million aliquots and >5210 tons of plastic waste in our lab – a strong commitment to sustainability Dr. Lal Pathlabs’ leadership vision focuses on continuous We reduced the need for aliquots by 93% by replacing our previous system configuration1,2 with new, improvement while maintain
Slide 14: Key Awards & Recognition
Key Awards & Recognition Diagnostic Chain of the Gold Award Year – West Top 100 Global Most Loved QCI – D. L. Shah Quality Business Standard Star SME Best Brands Healthcare GAPIO Excellence in Awarded by the Workplace 2023 Awards - 2022 of the year 2022 2022 Diagnostics Award 2022 prestigious Health
Slide 15: Investment Highlights
WIDENING "o32%@ HORIZONS D2 Lat Pathlabes ° @: SERVING BETTER Investment Highlights
Slide 16: Investment Highlights
Investment Highlights Demonstrated high Best-in-class and consistent scalability, integrated through financial track record with centralized IT platform for healthy return ratios network expansion Largest consumer healthcare Fundamental levers in place brand in diagnostic services, to drive expansio
Slide 17: Indian Healthcare Services is a large and growing opportunity
Indian Healthcare Services is a large and growing opportunity Per capita current expenditure on health in $ India’s expected Government Expenditure on terms (2020)4 population in 20301 healthcare (as % of GDP) in FY255 India 56.6 China 583.4 Brazil 700.7 Korea 2,642.4 Expected India’s Out of pocket
Slide 18: Drivers of India diagnostic services market
Drivers of India diagnostic services market Diagnostic Services Industry Size Growth Drivers Expected 8-10% CAGR ~Rs. 1,200 Bn ~Rs. 774 Bn FY23 FY28E Demand for lifestyle Increase in Focus on Screening, early detection, and monitoring diseases evidence- preventive Rapid reduce downstream costs relat
Slide 19: Diagnostic Services industry continues to remain highly fragmented
Diagnostic Services industry continues to remain highly fragmented Standalone Centres Region wise Revenue Multi- 42-46% Regional 45% Urban 76% Highly Fragmented 16-20% Diagnostic Industry Chains Regional Chains Rural 24% 55% 36-40% Hospital Based Labs 0% 20% 40% 60% 80% 100% Diagnostic penetration i
Slide 20: Financial & Operating Highlights
Financial & Operating Highlights
Slide 21: Q4 FY24 Performance Overview
Q4 FY24 Performance Overview Q4 FY24 Q4 FY23 11.1% Rs. 545 crore Revenue Rs. 491 crore 25.1% Rs. 145 crore EBITDA Rs. 116 crore 50.8% Rs. 86 crore PAT Rs. 57 crore +2% 24% SwasthFit 22% Contribution +3 Cr. Rs. 112 crore Cash Rs. 109 crore Generated Classification: Restricted 21 Classification: Restr
Slide 22: Financials
Financials Particulars (Rs. Cr.) Q4 FY24 Q4 FY23 Gr % FY’24 FY’23 Gr % Revenue 545 491 11.1% 2,227 2,017 10.4% Operating Expenditure 401 375 1,617 1,527 EBITDA 145 116 25.1% 609 490 24.4% Margins 26.5% 23.6% 27.4% 24.3% Other Income 18 14 69 42 Depreciation 37 38 144 150 EBIT 126 92 37.0% 535 381 40
Slide 23: Consolidated Balance Sheet
Consolidated Balance Sheet Assets (Rs. Cr.) Mar-24 Mar-23 Equity and liabilities (Rs. Cr.) Mar-24 Mar-23 Non-current assets Equity Property, plant and equipment 199 200 Equity share capital 83 83 Capital work-in-progress 4 3 Other equity 1766 1583 Right-of-use assets 144 201 Non-controlling interest
Slide 24: Operating Highlights
Operating Highlights No. of Clinical Laboratories No. of PSCs No. of PUPs +49 +2057 +2372 277 277 280 5,102 5,762 9,247 10,599 10,938 11,619 231 4,731 3,705 FY21 FY22 FY23 FY24 FY21 FY22 FY23 FY24 FY21 FY22 FY23 FY24 No. of Patients (Mn) No. of Samples (Mn) +36% +57% 27.3 26.9 27.6 72.3 78.2 20.3 66
Slide 25: Robust financial performance
Robust financial performance Covid & Non Covid Revenue South EBITDA, PAT and Return on Net Worth Others (INR Cr.) India (INR Cr.%) 2% 6% West Delhi & EBITDA PAT Covid Non-Covid India NCR 2,227 2,087 2,017 15% 31% 609 Revenue by 561 490 East Geography 350 362 1,845 2,223 India (FY24) 1,992 15% 241 24
Slide 26: Robust financial performance (Cont’d)
Robust financial performance (Cont’d) Fixed Asset Turnover1 Cash and Cash Equivalents Times (INR Cr.) • Self funded growth on 11.2x account of strong cash flow 10.2x 10.1x 877 generation • Attractive fixed asset 601 turnover ratio given asset- light model 344 • Current net cash position and internal
Slide 27: Management Commentary
Management Commentary Commenting on the performance, (Hony) Brig. Dr. Commenting on the performance, Dr. Om Manchanda, Commenting on the performance, Mr. Shankha Banerjee, Arvind Lal, Executive Chairman said: Managing Director said: Chief Executive Officer-Designate said: “Dr. Lal PathLabs remains d
Slide 28: DLPL Strategy for future growth
DLPL Strategy for future growth
Slide 29: Vision, Mission & Values
Vision, Mission & Values Be the most trusted Customer First healthcare partner, enabling healthier VISION lives Ethics & Integrity To be an undisputed market Quality leader by providing accessible, VALUES affordable, timely and quality healthcare, diagnostics, applying MISSION Accountability insight
Slide 30: DLPL Strategy for future growth
DLPL Strategy for future growth Significantly leverage the Enhance high-end test portfolio of strong digital infrastructure super-specialty & bundled test • Deployed AI, data analytics, machine learning • Created specialty verticals like Genevolve to focus on tools to elevate the patient experience
Slide 31: Leveraging digital infrastructure to make life easier for patient
Leveraging digital infrastructure to make life easier for patient New Website Launch Wallet • New age user intuitive website. • Senior Citizen Wallet: Wallet points on every • Responsive , mobile friendly web designs. booking for Senior Citizen Patients. • SEO friendly for improved customer reach •
Slide 32: Technical Lab Operations
Technical Lab Operations LACE and the centre Only lab in India to introduce the First lab to introduce the of excellence in Relaunched the Lipid Donor derived cell free DNA ONCOPRO TSO500 Reproductive panels incorporating the (LIQUID BIOPSY) technique for Comprehensive Genomic medicine – LCORD lates
Slide 33: Genevolve: Genetic Testing Division
Genevolve: Genetic Testing Division Onco Genomics Successful completion of 3 years of Launch Wide Test offering with 160+ New Tests Neuro Genomics Wellness Genomics & Pharmacogenomics are upcoming segment Direct reach of 3000+ Doctors Reproductive Genomics Dedicated Business Development team for Gen
Slide 34: Highest Quality Standards in the Industry
Highest Quality Standards in the Industry Best in the Industry CAP Proficiency Testing Score at 96% for National Reference Lab Consistently high EQAS Performance Testing Score at 97.3% for Satellite Labs Patent has been granted to Dr. Lal CAP accreditation 2 labs, NABL accreditation 36 PathLabs for
Slide 35: Quality Control
Quality Control Laboratory excellence Capability building Test Recommendation engine NABL 133 implementation D L Shah Gold Award for LPL Project ‘Improving Laboratory Performance by developing an in-house automated process to Risk Based Internal Audits monitor Quality control’ PROJECT NEEV- self lea
Slide 36: Enhanced Customer Experience in Home Collection
Enhanced Customer Experience in Home Collection Real time 30 minutes slot visibility & booking D2C- Automated lead management for the patient Digital ID card & ratings of Phlebo Auto Routing engine to dynamically to the patient allocate the booking to nearest available phlebotomist Variable model wh
Slide 37: Control Tower Implementation
Control Tower Implementation “Control Tower” implementation provides a complete visibility of Patient samples across the sample processing lifecycle. The insights will help the business users to reduce delay and improve processing leading to better customer service. Control Tower Teams Key Highlight
Slide 38: Cyber Security Capability
Cyber Security Capability Data Loss • State-of-the-art data loss prevention technology to monitor and prevent the disclosure of information Prevention • Data classification platform for information labeling and handling according to severity of data • Rights management system to enable persistent da
Slide 39: Shareholding as of 31st March, 2024
Shareholding as of 31st March, 2024 26.5% FPI’s & NRI’s 54.6% Promoter and Promoter 11.8% Group Others 7.1% Mutual Funds* *Mutual Funds includes Alternate Investment Funds as well 39 39 Classification: Restricted
Slide 40: Contact Us
Contact Us About Dr. Lal PathLabs Limited (DLPL) Dr. Lal PathLabs Limited is one of India’s leading consumer healthcare brand in diagnostic services. It has an integrated nationwide network, where patients and healthcare providers are offered a broad range of diagnostic and related healthcare tests
Slide 41: Thank you
Thank you brat 10 75 Years of “Enabling Healthier Lives”