Global Health Limited · NSE:MEDANTA
Global Health — FY2023 Earnings Presentation
54 slides from Global Health's earnings presentation, May 27, 2023
Slide 1: Cover letter to stock exchanges
27th May, 2023 Ref:- GHL/2023-24/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 Sc
Slide 2: Investor Presentation FY 2023 and Q4 FY 2023
GLOBAL HEALTH LIMITED Dedicated to Life INVESTOR PRESENTATION 5 FY 2023 and Q4 FY 2023 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 Medanta’s Founding Principles, Journey and Purpose 02 The Medanta Model of Healthcare 03 Medanta Today 04 FY2023 Performance Update 05 Q4 FY2023 Performance Update 06 Medanta: Poised to Deliver Sustainable Growth 3
Slide 5: Medanta's Founding Principles, Journey and Purpose
Medanta’s Founding Principles, 01 Journey and Purpose 4
Slide 6: 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 7: 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 2021 NOIDA JAI PRABHA Plan for 550 beds 2019 MEDANTA SPECIALTY Expected to MEDANTA HOSPITAL begin phase I 2015 HOSPITAL PATNA operations with MEDANTA ABDUR LUCKNOW ~
Slide 8: One of the largest private hospital chains in North and East India
One of the largest private hospital chains in North and East India Infrastructure and High quality Awards and technology clinical talent accreditations Built to deliver the Full time doctors; National and international most complex care team based care recognition Network of 5 multi- 1,560+ doctors*
Slide 9: Global Health Limited successful listing on November 16, 2022
Global Health Limited successful listing on November 16, 2022 18 DIIs, 16 FIIs participated in the anchor book • Largest hospital IPO in India • QIB portion was oversubscribed 28.64 times • Marquee institutional investors such as: Government of Singapore (GIC), Nomura, Polar Capital, UBS, Novo Holdi
Slide 10: 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 11: The Medanta Model of Healthcare
02 The Medanta Model of Healthcare Delivering the highest quality of medicine with care and compassion 10
Slide 12: 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 13: 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 14: 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 15: 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 16: 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 17: Over the last decade Medanta has become a beacon of clinical brilliance
Over the last decade Medanta has become a beacon of clinical brilliance Renowned as the first-movers and the last-stop in Indian healthcare Life saving Creativity- 3D printed Pediatric liver transplant for an Successful Intestinal transplant titanium spine infant in 2020 in 2013 CABG on oldest patie
Slide 18: Medanta: Recognised for its clinical excellence in India and globally
Medanta: Recognised for its clinical excellence both in India and globally Best Private Hospital in India four years in a row 2023 For the second year in row, Medanta Gurgaon has All India Critical Care been ranked as the No.1 multispecialty hospital in Hospital Ranking North India and No.2 in the c
Slide 19: Medanta Today
03 Medanta Today Leading tertiary and quaternary service provider in India 18
Slide 20: From our flagship Medicity campus, ~2,700 beds across 5 cities
From our flagship Medicity campus in Gurgaon, we have grown to ~2,700 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 601 beds; 202 ICU beds (950 planned) 330 beds; 57 ICU beds (650
Slide 21: 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 22: 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 Sanjeev Kumar Sumanta Ray Bhuvander Kaul Dr Sandeep Sawhney Group CFO Chief Marketing Chi
Slide 23: Eminent Board of Directors
Eminent Board of Directors Marquee domestic and foreign institutions as major shareholders Others Board of Directors 13.35% Promoter FII 33.08% Shareholding 9.84% pattern as on Mutual Funds Dr Naresh Trehan 9.52% Chairman and Managing Director 31st March, 2023 Sunil Sachdeva 12.64% RJ Corp Limited D
Slide 24: FY2023 Performance Update
04 FY2023 Performance Update Strong performance across key metrics 23
Slide 25: FY2023 performance summary
FY2023 performance summary Medanta closes the year with robust revenue growth and enhanced profitability INR 27,592 million INR 6,771 million INR 3,261 million Total Income EBITDA and Margins % Margins % Margin – 24.5% Margin – 11.8% PAT and FY22 FY22 FY22 22,058 million 25.1% 4,898 million Margin –
Slide 26: FY2023 performance summary
FY2023 performance summary Consistently delivering strong growth with improved profitability Consolidated Total Income of INR 27,592 million, grew by 25.1% y-o-y. The growth was driven by combination of factors such as higher inpatient volumes, increase in bed occupied days, and change in specialty
Slide 27: FY2023 performance summary: balance sheet and cash flow
FY2023 performance summary Well capitalized balance sheet and strong EBITDA to cash flow conversion Key Highlights INR million FY2020 FY2021 FY2022 FY2023 Gross Debt 6,219 6,446 8,379 8,422 • Net Cash surplus of INR 4,692 million at the end of 31st March, 2023 Cash and Cash Equivalents 2,740 3,081 5
Slide 28: Strengthening the core
Strengthening the core Investing in delivering the highest end of medical services across hospitals Gurgaon Lucknow Patna 30+ bed dedicated Mother & Child Unit 191 Beds added 102 Beds added Infrastructure (under construction) 96 Critical care beds added 29 Critical care beds added 50+ beds premium O
Slide 29: Significant clinical accomplishments in FY2023
Significant clinical accomplishments in FY2023 Continuing the legacy of clinical excellence • Medanta Gurgaon started Lung transplant program; and completed 6 transplants till date • Medanta first hospital in India to perform non-surgical treatment of severe tricuspid regurgitation (a highly prevale
Slide 30: 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 %) FY2020-23 CAGR: 21.3% FY2020-23 CAGR*: 43.2% +25.1% +38.3% 27,592 6,771 22,058 4,898 15,443 14,782 2,305 2,229 FY2020 FY2021 FY2022 FY2023 FY2020 F
Slide 31: 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) 12.0% -13.2% 2,049 3.9 3.8 1,779 3.5 3.3 1,517 1,579 1,076 1,205 832 814 FY2020 FY2021 FY2022 FY2023 FY2020 FY2021 FY2022 FY2023 55% 52% 62% 59
Slide 32: Key operating metrics: ARPOB and revenue mix
Key operating metrics: ARPOB and revenue mix ARPOB growth driven by speciality mix and channel mix improvements ARPOB* (INR) IPD Revenue mix by payor category** +8.3% 59,098 54,547 50,166 47,731 65% 62% 60% 63% 21% 4% 23% 25% 24% 3% 4% 4% 7% 3% 9% 2% 9% 2% 8% 2% FY2020 FY2021 FY2022 FY2023 FY2020 FY
Slide 33: Diverse revenue mix across all complex specialties
Diverse revenue1 mix across all complex specialties Shift away from Internal Medicine as Covid recedes Revenue mix by specialty FY22 Revenue mix by specialty FY23 17% 21% 21% 24% 4% 4% 5% 25,976 21,004 10% INR million 4% INR million 7% 12% 11% 3 11% 8% 3 12% 7% 11% 11% 3 Heart Digestive Cancer Neuro
Slide 34: Growth seen in both mature and new hospitals
Growth seen in both mature and new hospitals New hospitals continue to show strong success in a very short timeframe 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 a
Slide 35: Q4 FY2023 Performance Update
05 Q4 FY2023 Performance Update Continue to deliver strong financial performance 34
Slide 36: Q4 FY2023 performance summary
Q4 FY2023 performance summary Closing the year with a strong revenue growth with enhanced profitability INR 7,318 million INR 1,915 million INR 1,011 million Total Income EBITDA and Margins % Margins % Margin – 26.2% Margin – 13.8% PAT and Q4 FY22 Q4 FY22 Q4 FY22 5,331 million 37.3% 921 million Marg
Slide 37: Q4 FY2023 performance summary
Q4 FY2023 performance summary Consistently delivering strong growth with enhanced profitability Consolidated Total Income of INR 7,318 million, grew by 37.3% y-o-y. The growth was driven by combination of factors such as higher inpatient volumes, increase in bed occupied days, and change in specialt
Slide 38: Q4 FY2023 key developments
Q4 FY2023 key developments Continues to enhance clinical capabilities and drive excellence • Medanta Gurgaon, ranked as • EDGE Radiosurgery the Best Private Hospital in Machine for Radiation India for the fourth Oncology installed in consecutive time in the Lucknow facility and Newsweek global surve
Slide 39: Key operating metrics: Revenue and profitability
Key operating metrics: Revenue and profitability Robust growth across all major metrics Total Income (INR million) EBITDA (INR million and margin %) +37.3% +107.9% 7,062 7,318 1,915 1,719 5,331 921 Q4 FY22 Q3 FY23 Q4 FY23 Q4 FY22 Q3 FY23 Q4 FY23 17.3% 24.3% 26.2% Profit before tax (INR million and m
Slide 40: 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) 2,111 2,138 1,873 3.5 3.3 3.3 1,247 1,237 986 Q4 FY22 Q3 FY23 Q4 FY23 Q4 FY22 Q3 FY23 Q4 FY23 53% 59% 58% Census beds Occupied beds OPD volumes
Slide 41: Key operating metrics: ARPOB and revenue mix
Key operating metrics: ARPOB and revenue mix ARPOB growth driven by speciality mix and channel mix improvements ARPOB* (INR) IPD Revenue mix by payor category +7.5% 58,367 60,880 56,624 60% 64% 64% 23% 23% 3% 23% 4% 4% 11% 2% 8% 2% 8% 1% Q4 FY22 Q3 FY23 Q4 FY23 Q4 FY22 Q3 FY23 Q4 FY23 Cash TPA CGHS/
Slide 42: Growth seen in both mature and new hospitals
Growth seen in both mature and new hospitals New hospitals continue to show strong success in a very short timeframe 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 a
Slide 43: Medanta Poised to Deliver Sustainable Growth
Medanta Poised to Deliver Sustainable Growth 06 Values based growth you can be proud of 42
Slide 44: 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 45: On-going expansion projects on track for FY 2025
On-going expansion projects on track for FY 2025 Planned bed capacity addition; well positioned to drive near term growth Number of installed beds Planned growth in number of installed beds 293 2,697 300-550 ~3,500-4,000 191 228 102 170-320 419 35 300-350 9 2,697 ~100 410 1,722 FY 19 FY 20 FY 21 FY
Slide 46: On-going expansion projects on track for FY 2025
On-going expansion projects on track for FY 2025 Additional bed additions will drive long term sustainable growth Noida construction on track Indore - New asset light hospital partnership • Project situated in sector 50 Noida, close • Site identified in prominent location on MR 10 road proximity to
Slide 47: Medanta remains the preferred destination for clinical talent
Medanta remains the preferred destination for clinical talent Significant additions in senior clinicians across all units Gurgaon Indore Dr. Randeep Guleria Dr. Kunjahari Medhi Dr. Preeti Rastogi Dr. Arvind Kinger Chairman-Institute of Internal Director & HOD - Obstetrics & Dr. Jay Singh Arora Senio
Slide 48: Medanta remains the preferred destination for clinical talent
Medanta remains the preferred destination for clinical talent Significant additions in senior clinicians across all units Lucknow Patna Dr. Neelam Vinay Dr. Harshvardhan Atreya Dr. Sandeep Kumar Dr. Rajiv Ranjan Dr. Kishore Verma Dr. Vibhu Priyadarshi Director - Obstetrics & Gynecology Director - Me
Slide 49: Ensuring continuity of care by extending services outside hospitals
Ensuring continuity of care by extending services outside hospitals Taking the care to the patient not just bringing the patient to the care Growth in OPD Pharmacy Medanta Labs Revenue (INR million)* • Started in January 2023 640% • Plan to expand presence in states 850 with existing hospital labs i
Slide 50: Aligning strategy with values to deliver positive results
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 51: Annexure: Profit and Loss Statement
Annexure: Profit and Loss Statement Year End Quarter INR million FY22 FY23 Y-o-Y Growth % Q4 FY22 Q3 FY23 Q4 FY23 Y-o-Y Growth % Revenue from operations 21,673 26,942 24.3% 5,211 6,943 7,034 35.0% Other income 385 649 68.6% 120 119 284 126.7% Total income 22,058 27,592 25.1% 5,331 7,062 7,318 37.3%
Slide 52: Annexure: Operational Parameters
Annexure: Operational Parameters Year End Quarter Key metrics FY22 FY23 Y-o-Y Growth % Q4 FY22 Q3 FY23 Q4FY23 Y-o-Y Growth % Total Beds 2,404 2,697 12.2% 2,404 2,571 2,697 12.2% Census Beds 1,779 2,049 15.2% 1,873 2,111 2,138 14.1% Occupied Bed Days 385,059 439,539 14.1% 88,606 114,651 111,286 25.6%
Slide 53: 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 54: 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