Park Medi World Ltd — Q4 FY26

Park Medi World Ltd Q4 FY2025-26 Earnings Conference Call https://www.youtube.com/watch?v=V6futN99c4g Published: 15 hours ago

0:01 1 second Ladies and gentlemen, good day and welcome to the Q4 and 12 month FI26 results conference call of Park Med 0:09 9 seconds World Limited hosted by Kirin Advisers Private Limited. This conference call may contain forward-looking statements about the company which are based on the 0:18 18 seconds beliefs, opinions and expectations of the company as on the date of this call. 0:23 23 seconds These statements are not the guarantees of future performance and involve risk and uncertaintities that are difficult to predict. As a reminder, all 0:31 31 seconds participant lines will be in the listen only mode and there will be an opportunity for you to ask questions after the presentation concludes. Should 0:38 38 seconds you need assistance during the conference call, please signal an operator by pressing star then zero on your touchtone phone. Please note that 0:47 47 seconds this conference is being recorded. And now I hand the conference over to Mr. 0:51 51 seconds Ganesh Nal from Kirin Advisers. Thank you and over to you sir. 0:58 58 seconds Good morning everyone and welcome to the Q4 and 12 months FY26 earnings call of Park Med World Limited. Today we have 1:06 1 minute, 6 seconds with us Dr. Ankit Gupta managing director Dr. Sanjay Sharma oldtime director and CEO Mr. Rajes Sharma group 1:15 1 minute, 15 seconds chief financial officer Mr. Suz Sharma, chief strategy officer and group OD Binance and Kin Advisor team. We will 1:23 1 minute, 23 seconds begin the call with the opening remarks from the management after which we will have the forum open for the interactive 1:31 1 minute, 31 seconds Q&A session. I now hand the conference over to Dr. Ankit Gupta, managing director of Parkmi World Limited for the 1:38 1 minute, 38 seconds opening remarks. Thank you and over to you sir. 1:43 1 minute, 43 seconds Morning everyone and thank you for joining us today. On behalf of the board and the management team at Park World, we appreciate your time and continued interest in our company. 1:54 1 minute, 54 seconds I'm very pleased to share with you that financial year 26 has been the most defining year in our company's history. 2:00 2 minutes An year in which we scale capacity, deliver our best ever operating and financial performance and strengthen the 2:08 2 minutes, 8 seconds foundation for the next phase of our business growth. 2:12 2 minutes, 12 seconds Let me briefly walk you through the key business highlights of the year. In FYI26, we recorded our highest revenue 2:19 2 minutes, 19 seconds of rupee of rupees 1679 cr and yearon-year growth of 21%. or Aida stood 2:26 2 minutes, 26 seconds at triple 4C cr up which is up 20% on year-on-year basis and PAD was 274 K 2:33 2 minutes, 33 seconds translating to an year-on-year growth of 27% aid and PAT margins were at 26 and 16% respectively 2:41 2 minutes, 41 seconds or FYI 26 year end ROC and ROE figures were 18 and 20% respectively partly motivated by IPO related equity infusion 2:50 2 minutes, 50 seconds into the company the sterling financial performance was backed by equally impressive operational metrics, especially record patient volume and high occupancies. 3:01 3 minutes, 1 second Talking of growth plans, we added 610 beds during FY26, signifying over 20% growth in bed 3:09 3 minutes, 9 seconds capacity in a single year, taking our network from 3,000 beds at the start of year to 3610 beds as of 31st March 2026. 3:19 3 minutes, 19 seconds This is the largest single year capacity addition realized in our history. 3:24 3 minutes, 24 seconds The capacity addition was realized while maintaining high quality clinical standards and utmost financial discipline. 3:31 3 minutes, 31 seconds To elaborate a bit, a four bid a foret capacity addition was in form of two new units. A 250 bed facility in Binda which 3:40 3 minutes, 40 seconds enabled deepening of our presence in the state of Punjab and 350 bed unit in Agra which marked our entry into the state of Uttar Pradesh. 3:48 3 minutes, 48 seconds Occupancy ramp up at both units is trending in line with our expectations. 3:54 3 minutes, 54 seconds Separately, we also completed and commissioned our largest evergreen field facility in Panchula on 10th April 26 together with their ongoing 150 village 4:03 4 minutes, 3 seconds expansion in Mojali. This will make Park Medical the s largest private healthcare service provider in trial city region. 4:10 4 minutes, 10 seconds During the year we also completed the acquisition of 200 bed hospital in Nella in Delhi under the provision of IBC 4:18 4 minutes, 18 seconds again highlighting our special expertise in identifying acquiring highly value accurative assets. We are aiming to commission this unit during Q2 FY27. 4:28 4 minutes, 28 seconds On the balance sheet side we are in exceptionally strong position. A gross term loan outstanding was at 28 crores 4:35 4 minutes, 35 seconds and we generated 39 crores of operating cash during the year. 4:40 4 minutes, 40 seconds This gives us full funding visibility of our stated growth plan to reach 5460 bed capacity by March 28. 4:49 4 minutes, 49 seconds Strategically, Park Medi World is today the largest private hospital chain in Hana and the tri city area and the second largest in North India with a 4:57 4 minutes, 57 seconds deep cluster based presence across Delhi and MCR, Hiana, Punjab, Rajasthan and Uttar Pradesh. We remain a highly capital efficient financially strong 5:06 5 minutes, 6 seconds doctor organization with a unwavering focus on high quality clinical outcomes and patient care. So with that I will hand over to Dr. Sanjay Sharma our CEO 5:14 5 minutes, 14 seconds to walk you through our operational performance in detail. Dr. Sanjay Sharma over to you. 5:20 5 minutes, 20 seconds Thank you Dr. Ankit and good morning to the entire other gathering up here. Let me start with our network footprint. As 5:28 5 minutes, 28 seconds of today, Park Medal operates 16 hospitals with a combined capacity of 3,960 5:36 5 minutes, 36 seconds beds. Our largest ever operational network. I'll be briefly touching on four major points. One is the occupancy 5:45 5 minutes, 45 seconds of the network. Second is the volume growth in patients. Third will be the safe mix and fourth would be high 5:52 5 minutes, 52 seconds quality at which we are delivering the healthcare. Network occupancy for Q4 FI26. 5:59 5 minutes, 59 seconds So that's 62.5% compared to 59.4% in Q4 FI 2025 for the full year occupancy was 64.1%. 6:12 6 minutes, 12 seconds an improvement of 244 basis points year on year. With regard to patient volumes, 6:19 6 minutes, 19 seconds Q4 FI26 IPD volume was 25,329 patients, a growth of 29 year on year 6:29 6 minutes, 29 seconds for the full year. IPD volume stood at 95,525 6:35 6 minutes, 35 seconds up 18% year on year and the highest in any year in our history. On the OPD side 6:43 6 minutes, 43 seconds FI26 volume was approximately 1.88 88 lakh patients a growth of 13% year on 6:51 6 minutes, 51 seconds year full year OPD volume was close to 8 lakhs 7.78 lakhs patients up 22% year on 7:01 7 minutes, 1 second year and again the highest ever taken together we served approximately 8.7 7:08 7 minutes, 8 seconds lakh patients during financial year 2026 a milestone that reflects the deepening 7:14 7 minutes, 14 seconds trust which communities have placed across North India into the park run. 7:21 7 minutes, 21 seconds With regard to case mix, we have been working on high-end procedures and tertiary care. So, we continue to see a 7:29 7 minutes, 29 seconds healthy and a deliberate shift towards higher equity specialties such as cardiology, onthology, neurology, 7:38 7 minutes, 38 seconds orthopedics, joint replacement, urology and gastroenterenterology. 7:42 7 minutes, 42 seconds Now on account of that approximately 56.9% of our revenue has been coming from the high-end specialtity which is 7:50 7 minutes, 50 seconds improvement of 316 basis point year on year. During the year, we performed over 7:57 7 minutes, 57 seconds 150 kidney transplants, robotic kidney transplants, approximately 4,700 high-end PTK procedures, approximately 8:06 8 minutes, 6 seconds 1,200 cardiovascular procedures, and approximately 2,600 robot assisted 8:13 8 minutes, 13 seconds knee and hip replacement, reflecting the increasing clinical depth and tertiary care capability of our network. With 8:21 8 minutes, 21 seconds regard to the highest quality comparable to the international standards, 15 of our hospitals continue to hold NH 8:28 8 minutes, 28 seconds education. Our recently commissioned partular hospital will also be entering the NAB registration process shortly. 8:37 8 minutes, 37 seconds Eight of our laboratories carry NAB education and five additional laboratories are being planned for the 8:44 8 minutes, 44 seconds NAL education process. progressively raising the bar on diagnostics quality across the network. With that, I will 8:53 8 minutes, 53 seconds hand over to our CEO to take you through the financial performance of details. Mr. Raj Sharma, over to you, please. 8:59 8 minutes, 59 seconds Yes. Thank you, Dr. Sanjay. And good morning everyone. As Dr. Anit and Dr. 9:04 9 minutes, 4 seconds Sanjay has outlined, FY26 was our strongest year across every operating metric and I'm pleased to confirm that 9:11 9 minutes, 11 seconds the financial performance was deeply compelling. This was our best ever quarter and our best ever full year on 9:19 9 minutes, 19 seconds every key financial major. I'm starting with Q of FI26 financial performance. 9:24 9 minutes, 24 seconds The total revenue of for Q4 FI26 stood at 460 crores and we registered a growth of 30% year on year. Operating at 9:33 9 minutes, 33 seconds excluding other income came in at 127 crores up 44% as compared to last year uh last last year the same period with 9:42 9 minutes, 42 seconds margin at 28%. an expansion of 268 basis point year on year. Our profit after tax for the quarter was 77 crores and we 9:50 9 minutes, 50 seconds registered a growth of 47% year on year with pack margin at 73% an expansion of 9:57 9 minutes, 57 seconds 180 points year on year. It was a strong finish to a strong year. Now I'll talk about uh the full year performance 10:05 10 minutes, 5 seconds revenue cross 1679 crores it and we registered a growth of 21% year on year and our highest ever annual topline 10:14 10 minutes, 14 seconds operating aa excluding other income stood at 444 crores up 20% as compared to last year with an aita margin of 26%. 10:23 10 minutes, 23 seconds Back for FI26 came at 274 cr and here also we registered a growth of 27% as 10:30 10 minutes, 30 seconds compared to last year and our highest ever annual profit with net profit margin of 16% an expansion of 83 83 10:39 10 minutes, 39 seconds basis point yearonyear basis ro and roe stood at 18% and 20% respectively now 10:46 10 minutes, 46 seconds turning to the balance sheet as of 31st March 2026 our gross standard uh stood standard negligible 28 crores 10:55 10 minutes, 55 seconds on a consolidated basis as well as 450 crores in FI25 which we also plan which we plan to repay in the current uh in 11:03 11 minutes, 3 seconds the current quarter. Thus bank balance increased from 269 crores in FI25 to 352 crores including average of 2314 crores 11:13 11 minutes, 13 seconds in the current financial year. Dance days have reduced significantly from 161 days in FI 21 FI25 to 129 days in FI26. 11:23 11 minutes, 23 seconds This reflecting the improved collection discipline, greater efficiency in government claim processing and a continued focus on pay management. This 11:32 11 minutes, 32 seconds is a trend we expect to sustain going forward. The net worth of the company has increased from 1052 crores in FI25 to 2021 crores in FI26. 11:44 11 minutes, 44 seconds Operating cash flow for FI26 was 329 crores. And if I talk about pre-tax, it 11:51 11 minutes, 51 seconds was 428 crores as compared to 215 crores uh last year and the pre-tax was 3299 11:58 11 minutes, 58 seconds crores in FY2. Amount spent on capex and the acquisition during the year was 430 crores. a significant investment cycle 12:06 12 minutes, 6 seconds that cover the consult construction the acquisition and commissioning of our Bakinda and Agra hospital equipment 12:13 12 minutes, 13 seconds upgrade across the network and the service acquisition the company already having 1500 beds under execution those 12:20 12 minutes, 20 seconds are expected to be operational by March 2028 which will which will take our total bed capacity to 5460 in March 2028 12:30 12 minutes, 30 seconds looking ahead looking at the remain we remain deeply focused on three things delivering the best possible clinical outcomes for our patient scaling our 12:39 12 minutes, 39 seconds network responsibly and capital efficiently and creating sustainable long-term value for our shareholders. 12:47 12 minutes, 47 seconds Thank you all for your continued support and confidence in park radio. We are now happy to open the floors for questions over to the moderator. 12:56 12 minutes, 56 seconds Thank you. 12:58 12 minutes, 58 seconds Thank you very much. I will now begin the question and answer session. Anyone who wishes to ask a question may press 13:06 13 minutes, 6 seconds star and one on their touchdown telephone. If you wish to remove yourself from the question queue, you may press star and two. Participants are 13:15 13 minutes, 15 seconds requested to use handsets while asking a question. Ladies and gentlemen, we will wait for a moment while the question cue assembles. 13:38 13 minutes, 38 seconds The first question is from the line of Dshan Kupta from Git. Please go ahead. 13:44 13 minutes, 44 seconds Uh thank you for the opportunity. Good morning sir. Uh first of all congratulation on the good set of report. Uh so I wanted to uh know uh the reason for the margin expansion in Q4. 13:56 13 minutes, 56 seconds So is it because Singapore seasonally has a better occupancy or is it because of the effect of PJs or is it because of 14:03 14 minutes, 3 seconds the uh sorry Dshan you are not uh clearly audible could you just repeat the 14:11 14 minutes, 11 seconds question please uh hello am I audible now yeah but it's coming with breaks not an 14:18 14 minutes, 18 seconds issue would you be kind enough to repeat the question please uh sure sir so uh I wanted to know what exactly was the reason for market 14:26 14 minutes, 26 seconds expansion in Q4. So is it because Q4 seasonally has a better occupancy or is it because of the full effect of PJ like? 14:36 14 minutes, 36 seconds Yeah, this is mainly because of you know how high high occupancies this is the addition. If I talk about the expansion the hospital that we added we added 14:44 14 minutes, 44 seconds Batinda we added Agra uh in the last year. So Agra we just started from Slav and Batinda we started only from May. So this is mainly you know that uh the the 14:53 14 minutes, 53 seconds existing hospital that is current and we have a better occupancy that lead to higher margin. 15:00 15 minutes Oh okay okay. Uh and uh what is the for Q4 and for the full year of FI2 15:09 15 minutes, 9 seconds for let's say if I talk about the financial as to FI 25. So FYI 25 we were at 26,200 15:16 15 minutes, 16 seconds that grown to 28,000 and if I talk about quarter basis so last year the Q4 we we were at 28,500 15:25 15 minutes, 25 seconds that grown to 29,725 rupees. 15:31 15 minutes, 31 seconds Okay. Uh and uh what is the taxes that count for uh out of the 4,000? 15:40 15 minutes, 40 seconds Uh now pishan you have to repeat the question once again the voices they care what was the senses that found out of 15:46 15 minutes, 46 seconds these total capacity of 4,000 the sens roughly that is uh you know is 15:53 15 minutes, 53 seconds about 80 82% is the census if I talk about and if I say in terms of the number it is uh 2851 and as compared to 2361 last year. 16:05 16 minutes, 5 seconds Okay sir. Uh thank you so much and just one final question from me. Uh so uh a lot of uh players in Delhi were facing 16:13 16 minutes, 13 seconds issues regarding the CGS rates for cancer drug. So they are supplied below 30% of uh MRP. So what impact are you 16:22 16 minutes, 22 seconds facing from suppose government uh start supplying at MRP again? Uh so how much would you benefit from that? 16:31 16 minutes, 31 seconds See Bhan since we are lastly in the affordable section we have highly negotiated rate with our vendors and 16:38 16 minutes, 38 seconds when this uh oncology aspect came in where the rates were to be subsidized for the cancer patients we had a very uh 16:46 16 minutes, 46 seconds prolonged uh joint meeting with all our vendors and uh we have agreed to do it at a very low negotiated rates. So we 16:54 16 minutes, 54 seconds have been able to do it uh uh at minimum profits but we are able to uh provide the treatment. 17:03 17 minutes, 3 seconds Thank you so much and all the thank you so much. 17:12 17 minutes, 12 seconds Thank you. Next question is from the line of Vive from MK Global. Please go ahead. 17:19 17 minutes, 19 seconds Thank you for the opportunity and uh congratulations on a great set of numbers. So uh I have a couple of uh 17:26 17 minutes, 26 seconds questions with regards to the AROP and occupancy. So just wanted to know if you could provide us with the details uh for 17:32 17 minutes, 32 seconds ARPOB and occupancy for the uh on a on a cluster- wise basis uh for Delhi, Hiana and Punjab as these are our main 17:40 17 minutes, 40 seconds clusters. Uh additionally uh will it be so yeah that'll be my first question. I I I'll ask the other questions uh after this. 17:51 17 minutes, 51 seconds you know that I think as far as cluster based is concerned that you know we'll provide you once you're done with the call but on on 17:59 17 minutes, 59 seconds console basis so as I said you know that uh if I talk about the arc so Q4 if I compare quarter versus quarter so last 18:07 18 minutes, 7 seconds year Q4 we were at 28,423 that grown to 29,725 but if I talk about yearly basis on 18:15 18 minutes, 15 seconds console so it was 26,200 and we grown to 28,000 so we registered the growth after growth of 7% as 18:22 18 minutes, 22 seconds compared to last one financial year as far as cluster based you know data is concerned I will provide you post score 18:30 18 minutes, 30 seconds uh I just like to add in this AROP is not the sole uh denominator in our 18:37 18 minutes, 37 seconds profitability and our growth it is one of the factors which is contributing and uh we like to keep the AROC within the 18:45 18 minutes, 45 seconds affordable range because we are largely uh on the tan which is about 130 K of 18:53 18 minutes, 53 seconds the affordable V does that answer your question? 19:04 19 minutes, 4 seconds Yeah, I guess the last part uh I couldn't hear the last part. Um but yeah, that more or less answers my question. Uh moving on to my next 19:12 19 minutes, 12 seconds question. So just wanted to know from a bookkeeping perspective uh what uh provision have we created for our receivables for FI26. 19:22 19 minutes, 22 seconds Yeah you know that receivable as well because we our financial you know that has to be prepared under under India. So whatever the the guidelines and whatever 19:30 19 minutes, 30 seconds the guidelines which is mentioned in the uh note we uh you know that the financial is prepared based on rules and rules and this is we have created ESL we 19:39 19 minutes, 39 seconds have created provision. So everything on track. So if I talk about the number that is close to 200 crores. Uh sorry could you repeat? 19:48 19 minutes, 48 seconds The number is close to 200 crores the provision that we made on 31st March 2026. 19:55 19 minutes, 55 seconds Okay got it. Thank you. And just from an understanding perspective right uh so just wanted to understand uh in case 20:02 20 minutes, 2 seconds like for example how we open a how we commission a green field hospital or an acquired unit right. So just wanted to understand what would be the cost 20:10 20 minutes, 10 seconds associated with a green field hospital when that is commissioned or an acquired hospital when that is you know uh completely integrated into our uh own 20:18 20 minutes, 18 seconds entity uh and sort of uh based on that uh how do we expect uh both of those units you know uh achieve break even 20:28 20 minutes, 28 seconds here I can give the answer you know let's say if I talk about green field green field and brownfield they are all you know they are the same uh ball game when I say green field to green field is 20:37 20 minutes, 37 seconds all you know First we have to buy the land then we have to con construct the hospital. I'll give you the recent example of puncula. The total capex that 20:44 20 minutes, 44 seconds we have done is 125 crus to have 350 bed which is more or less in in our uh you know aligned with our thought process to 20:53 20 minutes, 53 seconds have a capex within 35 lakhs per per bed and uh if I talk about uh the the the 21:00 21 minutes margin in the you know uh uh you know in terms of uh the the recovery recovery in terms of recovery we have seen green 21:08 21 minutes, 8 seconds field that take about 3 to four years time but uh when I say uh break Even the break even comes between 12 to 15 months. But brownfield you know 21:16 21 minutes, 16 seconds historically let's say very recently we started Agra and then we started Batinda butinda was a uh a different series that 21:24 21 minutes, 24 seconds we series call as a block process wherein we are able to achieve not aita we we become a positive but pad positive 21:32 21 minutes, 32 seconds in the first month itself. So green field historically we have seen that take about four to 6 months time to get the break even but recovery you know we 21:40 21 minutes, 40 seconds get we anytime you can up to 3 years time. 21:45 21 minutes, 45 seconds Got it. Uh so my question was more uh with regards you know understanding uh when the hospital is commissioned what are the cost uh or what are the fixed 21:53 21 minutes, 53 seconds costs that we incur you know uh in the in the initial phase especially uh just to understand from a margin 22:01 22 minutes, 1 second perspective as to how much we are burning when uh the hospital is commissioned right that's that's the reason I'm saying let's say historically for a 22:08 22 minutes, 8 seconds brown field as I said because we are able to make we become a bit rather fat positive in the year in the first month itself So there is no burning. Sure. Yes. 22:17 22 minutes, 17 seconds But yes, green field we have to you know we have to bear for 12 to 15 months initially because when we start we start full-fledged. So we are not we never 22:24 22 minutes, 24 seconds start in in in peace mean so we have a salary cost. I'm talking about the recurring cost that we have and then we you know rest is all variable cost. So 22:32 22 minutes, 32 seconds initially let's say if I talk about you know the green field the first year we normally have we more or less touch a 22:39 22 minutes, 39 seconds beta positive but not bad positive in the year one but historically we have seen we become a beta positive in the year one itself 22:48 22 minutes, 48 seconds there is no point of burning the money uh more specifically 22:57 22 minutes, 57 seconds uh to answer your question uh you see our uh total uh capex incurred or the full 23:06 23 minutes, 6 seconds consideration that we have saved for our acquisitions so far has been in the proximity of about 1,000,000 cr there 23:15 23 minutes, 15 seconds and the contribution of acquired assets in the revenue I'm talking about fi 26 members is about 51%. 23:23 23 minutes, 23 seconds Uh that's also about 1100 thereabout. So broadly on a ballpark basis you can say that the investment we uh typically on 23:32 23 minutes, 32 seconds sigma basis deployed into acquisition was recovered in terms of revenue realized from these acquisition in 23:39 23 minutes, 39 seconds roughly 11 months time uh and the break even has been on a uh weighted average basis uh between 3 to three and a half years time. 23:50 23 minutes, 50 seconds Got it. Got it. Thank you and all the best. Thank you. 23:58 23 minutes, 58 seconds Next question is from the line of Anchel from MK Global. Please go ahead. 24:04 24 minutes, 4 seconds Hi, thank you for the opportunity. Hope I'm audible. Uh first question I had was on the CHS benefit. 24:12 24 minutes, 12 seconds uh while you put in numbers in the presentation just wanted to get your perspective around uh what would be the 24:20 24 minutes, 20 seconds absolute CGS benefit that you would see trickling down in the FIR 27 numbers 24:28 24 minutes, 28 seconds uh see the CGS had come out with an uh hike about 12 to 15% all across and uh 24:37 24 minutes, 37 seconds park ends up being the biggest beneficiary of it but we will also be uh upgrading lot of our uh equipments and 24:45 24 minutes, 45 seconds high-end procedures will be brought into picture. So that will add to the KEX point of view. So we are uh for 9 months 24:53 24 minutes, 53 seconds coming in FI 27 we see uh appreciation of about 77 and a half%. 25:01 25 minutes, 1 second This would be to the revenue. 25:04 25 minutes, 4 seconds Yes, this would largely be to the revenue. 25:10 25 minutes, 10 seconds Yeah. answer how how this rate hike will unfold in terms of implication to our members and business will be a follow. 25:21 25 minutes, 21 seconds Uh you know one thing that we locally know is that is the biggest beneficiary of the uh very generous rate hike we 25:30 25 minutes, 30 seconds have seen in NLP uh rate list. uh we believe looking at our pay mix uh on the total revenue the 25:39 25 minutes, 39 seconds net impact uh will be on a conservative basis maybe in the proximity of uh five to six person the very unique feature of 25:48 25 minutes, 48 seconds park business is that you know uh park's business model is that uh it is very operationally efficient end to end which 25:56 25 minutes, 56 seconds means that through its uh intuitive way of working internal working it generates resources that enable the to uh continue 26:05 26 minutes, 5 seconds the uh state-of-the-art model relevant to the current time uh allow the scope to induct new technology as well as 26:13 26 minutes, 13 seconds expand. So we believe that this uh additional resources that this business will replace uh this if you think about 26:21 26 minutes, 21 seconds it it's a part of business model uh which will enable us to continue deploying capital and upgradation of technology and expanding going forward. 26:30 26 minutes, 30 seconds uh had this not been there this would have been funded by some other form of capital equity or debt. So what I'm saying is that while margins 26:38 26 minutes, 38 seconds and back are preserved uh the additional resources we generate uh allow us to stay capital efficient while constantly 26:46 26 minutes, 46 seconds upgrading our uh technological. I hope this answers your question. 26:52 26 minutes, 52 seconds Uh it does. I was just trying I was just trying to categorize margin expansion or 26:59 26 minutes, 59 seconds or sort of keeping margin intact from the benefits of CJS uh especially you know I had an allied question on this uh 27:07 27 minutes, 7 seconds you would have new units being commissioned in Punjab and Agra uh in the current year uh would that sort of 27:16 27 minutes, 16 seconds uh drag margins which sort of uh be pulled back because of the CGS data X how should we think about margins in FI 27:23 27 minutes, 23 seconds 27. Uh sorry I mentioned the wrong units. How should we think about margins in FI27? Because we have green field additions in Punchul and Rotak. 27:34 27 minutes, 34 seconds See uh Anul Rotak will be coming in January uh 2028 27:40 27 minutes, 40 seconds uh 250 Pula we have already commissioned on uh 10th of April uh 2026. 27:48 27 minutes, 48 seconds So that will be definitely delivering and it is already one of the uh you could say top-notch hospitals in that area and in the prior city we'll uh with 27:57 27 minutes, 57 seconds the addition of 150 beds in Mali will be the largest uh healthcare providers uh in the prior city with 850 beds. Now why 28:06 28 minutes, 6 seconds we have done this is this because there is a lot of uh patients which come from north India JNK Himacheland 28:15 28 minutes, 15 seconds uh upper side of uh interpretation all that who travel to Delhi for the treatment which we'll be catering to. So that is the advantage uh which will be 28:24 28 minutes, 24 seconds uh provided to the patients that uh they will have more economical treatment in the city which will be cost effective also which will be uh beneficial to the 28:33 28 minutes, 33 seconds patient also and which will drive our margins that's so are we saying that facility 28:43 28 minutes, 43 seconds will not be a drag on our margins in FI27 despite the green field nature and despite the size of the facility. Okay. 28:52 28 minutes, 52 seconds Yeah. S you know that as far as um sorry I'm sure uh you know as I talked about uh the batinda. So batinda as I said 29:00 29 minutes because we added in July 2025 that is already adding into our numbers. So we are doing extremely well in batinda rather we have started operating on a on 29:09 29 minutes, 9 seconds a occupancy of 65 to 70%. So we we are you know that will add significant in terms of our top line and also on the 29:17 29 minutes, 17 seconds bottom line. And if I talk about Angra I think specifically talking about these two unit if I talk about Azra to ANRA we 29:23 29 minutes, 23 seconds started from S 2026 it is you know that is only adding close to 5 cr in our top line per month. So current current year 29:31 29 minutes, 31 seconds we are expecting a top line uh it will add about 90 cr in our top line and it will become a bit positive. So next 29:37 29 minutes, 37 seconds current year uh Agra will add into the revenue but not much on the AITA margin. 29:46 29 minutes, 46 seconds Got it. Uh this is helpful. Uh also if I could ask a question on the sustainance of the pay mix. While CFS alluded that 29:55 29 minutes, 55 seconds you know they you guys think that this is sustainable. Uh do we have any target in mind of sort of uh keeping scheme mix at an X percentage going forward? 30:08 30 minutes, 8 seconds Uh yeah, Anul say uh we have always had a vision to provide relatively affordable health care at the highest 30:17 30 minutes, 17 seconds quality and uh we are not targeting the pair mix per se since the beginning of our endeavor and uh going forward also we would like to be in the same segment. 30:29 30 minutes, 29 seconds Now largely that segment is some of the other way provided by the government insurance but our pair mix on its own 30:38 30 minutes, 38 seconds because lot of affordable sections in the uh self-pay and private insurance are also having limitations to go to the 30:46 30 minutes, 46 seconds premium brands. So they are gradually shifting for treatment uh to park and uh 30:53 30 minutes, 53 seconds that percentage is uh regularly increasing. So currently we are looking at by the end of this financial year 31:01 31 minutes, 1 second hopefully that percentage will be 65 coming from government insurance which will be or 70% coming from government insurance which will be largely central 31:09 31 minutes, 9 seconds government and about uh 30% coming from the pandemic insurance 31:16 31 minutes, 16 seconds just important point to notice here is that in line with the often stated 31:23 31 minutes, 23 seconds policy of park we are not still cherrypicking patients. So patient flow continues to be very democratic and 31:31 31 minutes, 31 seconds organic. As the patients come, exercise will be their choice to use services. Uh our intake will reflect whatever mix 31:40 31 minutes, 40 seconds that is. So as Dr. Sanjay highlighted, it just so happens because of uh increasing uh uh preference being 31:47 31 minutes, 47 seconds exercised by patients belonging to even the cash in terms of value proposition that K offers. This mix is uh changing. we see 31:56 31 minutes, 56 seconds that on ground. So we are uh uh uh we are nearly at 1820 uh if we should uh call this uh uh 32:04 32 minutes, 4 seconds government insurance systems and cashp uh this is the patient mix which gets reflected in the revenue mix 32:12 32 minutes, 12 seconds accordingly. I believe going forward gradually uh but assuredly this will uh 32:17 32 minutes, 17 seconds change to uh 7525 then 730 and most importantly I think sometimes the 32:25 32 minutes, 25 seconds undertone uh in this question is uh uh concerns people have confirming a reputable title. I would like to 32:33 32 minutes, 33 seconds highlight that what dramatic positive outcome we have had in this uh financial year has been a very sharp uh reduction 32:41 32 minutes, 41 seconds in our uh working capital cycle receivable cycle uh despite uh nearly 21% drop realized in revenue I think 32:51 32 minutes, 51 seconds this is quite a stag staggering achievement our uh connections to ballpark basis has been nearly 100% 32:58 32 minutes, 58 seconds which should dispel any concern concerning uh government insurance portion of the revenue accounting for delay in a 33:07 33 minutes, 7 seconds receivable. So our collections have been extremely relatively strong. But that said this gradual shift in mix is there 33:15 33 minutes, 15 seconds lines in 1730 uh split band and maybe time 12 months 18 months and if I see 33:23 33 minutes, 23 seconds historically data you know fi 25 we were at 89% now we more or less came down to 80%. It's already reflecting in our 33:30 33 minutes, 30 seconds numbers and going forward as Dr. Sani mentioned that you know we are well on track to reduce further. 33:39 33 minutes, 39 seconds Excellent. Excellent. Thank you for the answer. One last question if I can see him. I'm sorry. 33:46 33 minutes, 46 seconds I'm sorry to interrupt. Please join the question. Thank you ladies and gentlemen. In order to ensure that the management will be able to 33:55 33 minutes, 55 seconds address questions from all the participants in the conference, kindly limit your questions to two per participant. Should you have a follow-up 34:02 34 minutes, 2 seconds question, please rejoin the queue. We will take our next question from the line of Dean Bhakta from Universal Soma General Insurance. Please go ahead. 34:12 34 minutes, 12 seconds Hi, thanks for the opportunity. Uh am I audible? Yeah, please. Yes. 34:19 34 minutes, 19 seconds Now are there any plans to improve the oncology mix and are we doing radiation oncology? 34:27 34 minutes, 27 seconds Uh hi Danjin. Uh yes uh we are uh increasing our oncology footprints 34:35 34 minutes, 35 seconds everywhere. In fact uh currently we have it in three locations. Ambala we have uh 34:43 34 minutes, 43 seconds 200 beds which will be coming up for an extension where it will be dedicated to the oncology unit largely and uh we have 34:53 34 minutes, 53 seconds oncology as in medical encology and surgical oncology in all our 16 hospitals but the radiation oncology 35:00 35 minutes along with it will be shared between those 16 hospitals because we have it currently in three hospitals but gradually as the need arises we'll be 35:08 35 minutes, 8 seconds strengthening this vertical more and Okay. And I have two more questions. One is uh what is the for? 35:23 35 minutes, 23 seconds Yeah. Could you repeat the question please? What is the ho for chemotherapy patient? 35:30 35 minutes, 30 seconds See chemotherapy patient chemotherapy is basically a daycare procedure and patient come out there and take chemotherapy. 35:38 35 minutes, 38 seconds So is with the radiation also. It is only uh the uh treatment planning and if there is a surgical aspect of the 35:45 35 minutes, 45 seconds oncology which takes time. So it's a continuous process uh based on the 35:52 35 minutes, 52 seconds cycles patient come and receive uh the uh chemo and if required radiation surgical procedures are generally one 36:01 36 minutes, 1 second off uh or at the maximum price undertaken based on the spread of the cancer and how localized it is and it it can be surgically extracted. 36:12 36 minutes, 12 seconds Okay. And if you know uh wish to add one more point regarding you know that enco contribution to our revenue if I compare you know if I give 36:20 36 minutes, 20 seconds you the quarterly number so it it is contributing more or less 8% of our revenue as compared to 6% in the same 36:27 36 minutes, 27 seconds period last year. If I talk about uh Q4 FI25 versus Q4 FI26 and if I talk about 36:34 36 minutes, 34 seconds N1 it is uh 5% of the top line last year that grows grown to close to 6.5%. That 36:42 36 minutes, 42 seconds means you know encore is contributing more gradually to our to our top line 36:50 36 minutes, 50 seconds and I have a last question that is please rejoin for more questions. 36:57 36 minutes, 57 seconds Thank you. 37:01 37 minutes, 1 second Next question is from the line of Sagar Tana from Alchemy Ventures. Please go ahead. 37:07 37 minutes, 7 seconds Hi sir. Uh just a clarification on the CGHS rate revision. Has anything flowed through in FI26. 37:16 37 minutes, 16 seconds Uh hi Saga. See CGHS has number of line items from 4,500 to 5,000. CJHS is the 37:25 37 minutes, 25 seconds EPX body which floats the rate and uh then there are number of other central government agencies which take that rate 37:33 37 minutes, 33 seconds and they have to incorporate and there are various permutation in combination. 37:37 37 minutes, 37 seconds Yes, some flowing of that rate has come in but actual impact probably will be seen from uh uh Q1 after Q1 FI27 to be 37:48 37 minutes, 48 seconds honest in in in the the complete uh format. Got it. Uh my second my question 37:55 37 minutes, 55 seconds is on the strategy side. Now we have entered the state of UP uh three hospitals we have announced right u 38:02 38 minutes, 2 seconds which will be commissioned by March 28 F28. any thoughts in terms of how we will would like to expand further into UP? 38:12 38 minutes, 12 seconds Uh uh uh uh UP uh has been in our crosshairs 38:20 38 minutes, 20 seconds for quite some time. You will have noticed whichever space we have uh we are present in we have always ene 38:30 38 minutes, 30 seconds that's when our synergies come into play and uh uh benefit uh our business. So in 38:37 38 minutes, 37 seconds the state of UP what is uh uh important to note is from literally zero uh till two months back after our acquisition 38:45 38 minutes, 45 seconds which got commissioned middle of February month this calendar year by FY28 we will have nearly,60 bed capacity 38:53 38 minutes, 53 seconds in a state uh which has a population of nearly 26 27 cr. So imagine first of all setting the agenda why we like uh why 39:02 39 minutes, 2 seconds why we really want to expand Europe that kind of TAM equivalent to a country large country uh in population uh 39:11 39 minutes, 11 seconds profile which uh specially benefits from a parking value proposition of relatively affordable high quality 39:18 39 minutes, 18 seconds healthcare services. The second UP has uh UB is rightfully called the highway capital of the country excellent uh road 39:27 39 minutes, 27 seconds infrastructure uh which uh uh uh which which allows uh uh company like park to 39:34 39 minutes, 34 seconds uh deploy cluster format of expansion uh by seeking the locations in both facilitated highways uh prominent roads 39:43 39 minutes, 43 seconds and uh uh third is uh uh uh the beginning uh we have And the plan we have outlined if you can visualize for a 39:52 39 minutes, 52 seconds moment the map of UP after launch of Agra which is on the western side becomes our pivots for expanding in that 40:00 40 minutes part of the state. We will have uh an asset shortly in the middle of the state. Uh I'm already into our plan to 40:09 40 minutes, 9 seconds expand in the location of Kpur then on the eastern side. So technically we will be spanning the whole estate and uh uh 40:17 40 minutes, 17 seconds keeping into consideration size of UP uh we will have uh opportunity to create multicolumn cluster around these three 40:25 40 minutes, 25 seconds pivots. Uh but I think that uh one way to look at uh our strategies and more important way is to uh assess the high 40:34 40 minutes, 34 seconds impact uh we are able to make in the state. Agra for example having has an immediate micro market of nearly 21 population 40:42 40 minutes, 42 seconds is said to be having a micro market of 12 lakh kur around about 20 21 lakh uh so that's about 50 55 lakh immediate 40:51 40 minutes, 51 seconds market and if you should expand the circle of influence normally you multiply the immediate micro market numbers by two that's about one or 40:59 40 minutes, 59 seconds immediate by means of think about it by means of three assets planning the state in as optimal a manner as possible 41:07 41 minutes, 7 seconds We will be uh providing access to our highquality directly affordable healthare services to nearly crowd of 41:14 41 minutes, 14 seconds population. Uh that is something staggering and all of this unfolding in front of your eyes starting from Agra 41:21 41 minutes, 21 seconds Commission 2 months back uh to completing the agenda by uh end of financial year 2020. So this is how we look at UP uh as we speak. 41:33 41 minutes, 33 seconds Got it. Thank you so much and all the best. Thank you. 41:40 41 minutes, 40 seconds Thank you. Next question is from the line of Anand Sarda from Chhattisgarh Investment Limited. Please go ahead. 41:50 41 minutes, 50 seconds Hello, I'm audible. Yes, you are audible. 41:53 41 minutes, 53 seconds Yeah, I'm Shal. So, my first question is how's the company funding the new acquisition like it's from the uh fund raise only or you're taking more debt? 42:03 42 minutes, 3 seconds Is there any plan to take debt in future also? 42:07 42 minutes, 7 seconds No. As far as future extension is concerned that we are adding close to 1500 bed by March 2028. But the 42:15 42 minutes, 15 seconds requirement is not that as I said historically also we are maintaining lowest capex in the industry. Going forward also we have we have the same 42:24 42 minutes, 24 seconds plan. The total capex so next two years is close to 500 K. And if I talk about our current financial position today, so we are sitting on average of 314 crores. 42:35 42 minutes, 35 seconds We have close to 100 crores in our bank account. So we cannot for every year we are generating OCF close to 350 cr. So 42:42 42 minutes, 42 seconds we uh may go for a small debt but not the major one because we have enough money with us. 42:49 42 minutes, 49 seconds Okay. And my next question is what does it what constitute in your other 42:56 42 minutes, 56 seconds non-current financial asset? Loan current. 43:14 43 minutes, 14 seconds Sorry sir, we are not able to hear you if you're speaking. 43:18 43 minutes, 18 seconds Non-current these are the average which is more than 12 months. Okay. What? Can you repeat the answer? 43:30 43 minutes, 30 seconds You can hear me? Yeah. Yeah. Now I can hear you. 43:34 43 minutes, 34 seconds If I talk about as of 31st March 2026, we have this which is close to 300 135 crores. Those are more than one year. So 43:42 43 minutes, 42 seconds that fall under you know financial asset non non-current financial financial thank you so much sir. 43:51 43 minutes, 51 seconds Okay. 43:53 43 minutes, 53 seconds Thank you. Next question is from the line of Akar Takur from Hoy Capital. Please go ahead. 44:01 44 minutes, 1 second Hey sir, thanks for the opportunity and congratulations on the good set of numbers. Sir, I wanted to understand your acquisition strategy. So basically 44:10 44 minutes, 10 seconds uh the strategy for the future is to uh do a bound expansions primarily and there are acquisitions plan. So I wanted 44:19 44 minutes, 19 seconds to understand how do you choose these assets in terms of metrics you track uh for the asset to be eligible to be uh 44:27 44 minutes, 27 seconds you know uh included in the park hospital chain. Uh do you track look at the metrics in terms of financial 44:35 44 minutes, 35 seconds numbers or is it more on the side of payer mix or uh the specialty mix? Uh I was just wanted to understand your broad strategy on that. 44:46 44 minutes, 46 seconds Uh hi Ash uh see uh out of 16 hospitals six hospitals are green field and uh 44:53 44 minutes, 53 seconds four uh 10 are acquired assets. Now we had about 50 60 uh propositions out of 45:00 45 minutes which we had been very due diligent in picking up these 10 assets and the uh factors which uh uh made us go for it 45:09 45 minutes, 9 seconds largely is uh the strategic location of uh the units the domain strength of the 45:16 45 minutes, 16 seconds region uh the medical facilities available and not available in those areas and the headroom for 45:23 45 minutes, 23 seconds expandability. So these are the four aspects and the fifth is largely that the distress uh ethics uh which they 45:32 45 minutes, 32 seconds were bleeding profusely and uh past payment after the due diligence has been done also made the deep discounting 45:40 45 minutes, 40 seconds possible. So these are the five factors which we generally go for. uh with regard to sales they're already bleeding 45:47 45 minutes, 47 seconds so the EVA multiple does not matter and the financial aspect does not matter and as we had discussed before we do not go 45:55 45 minutes, 55 seconds for the pair mix we are largely going into the affordable section so keeping it relatively affordable whatever the 46:02 46 minutes, 2 seconds pair mix comes to we cater to that so we do not cherry pick the patients in that perspective 46:10 46 minutes, 10 seconds uh thank you sir that was helpful one more question on uh so if you look at our our Say for 23 it was around 24,500 46:18 46 minutes, 18 seconds now it's around 29,000 that gives like growth of uh six 5 to 6%. Uh so 46:26 46 minutes, 26 seconds primarily I assume this growth ARPA growth would be coming from uh improvement in your mix uh which you have mentioned uh because the CGHS rates 46:35 46 minutes, 35 seconds and everything hike happen in once in three years. So how do you address this challenge? your costs u 46:44 46 minutes, 44 seconds inflation hike of doctor salary and consumables and everything would be somewhere around range of 8% or more. So 46:52 46 minutes, 52 seconds how do you address this challenge like uh of increasing your AR pop in future for your coming years? 46:59 46 minutes, 59 seconds See a as we mentioned before our pop is not the single determinant for the profitability 47:06 47 minutes, 6 seconds is one of the factors which contributes to the profitability. 47:10 47 minutes, 10 seconds uh since our vision has been relative affordability and high quality uh lot of factors which contribute into it. One is 47:18 47 minutes, 18 seconds this that our capex is the lowest. We are on a uh console. This is still financial year uh 2028 47:26 47 minutes, 26 seconds uh with the capacity expansion to 5,460 bits. We would be looking at a capex of about 34 lakhs. Our nearest competitor would be more than double of this capex. 47:36 47 minutes, 36 seconds So this is one advantage which we create. Also uh keeping the quality and the NAB compliance we accommodate more 47:44 47 minutes, 44 seconds debt in lesser space. uh uh 30% is dedicated for uh critical care and uh 40% is uh allocated more. 47:55 47 minutes, 55 seconds Am I audible? Yes sir. 47:59 47 minutes, 59 seconds So 70% beds are allocated in a lesser space which also gives us a huge advantage. The other factors are uh 48:07 48 minutes, 7 seconds extremely wellplaced vendor management which we have an absolute relationship for pasting and years and which we do 48:14 48 minutes, 14 seconds not keep any uh datas uh more than uh a month. Whatever the debt uh or the 48:21 48 minutes, 21 seconds vendor have given us uh within this month is cleared by the next month uh 10th to 15th of next month. So that by 48:28 48 minutes, 28 seconds itself gives us a huge discounting in that uh we have a construction unit which is largely dedicated to us. So any 48:36 48 minutes, 36 seconds renovations or any constructions in the brown feed or the green field respective uh respectively is done at a very fast pace. So there are number of 48:44 48 minutes, 44 seconds contributors besides operational efficiencies and very efficient uh SOPs which have been uh running these hospitals. 48:54 48 minutes, 54 seconds In short, don't be expensive uh benchmark. We don't benchmark them to our curve alone. Uh we are very very 49:03 49 minutes, 3 seconds disciplined in terms of our financial numbers ratios. Uh highly disciplined. 49:08 49 minutes, 8 seconds So we see expenses uh which will stay range bound as a percentage of revenue. 49:15 49 minutes, 15 seconds So revenue has a lot of contributors. A rub is one of them. I think uh understanding our business model uh 49:21 49 minutes, 21 seconds seeing expenses in relation to AROB alone might lead to little too little off the mark interpretations. So humble 49:29 49 minutes, 29 seconds request suggestion slashers see expenses as a percentage in terms of how they relate to the revenue uh profitability 49:37 49 minutes, 37 seconds uh numbers not our problem for example. 49:44 49 minutes, 44 seconds Yeah, maybe I will just you know since this is an important point maybe I'll take a few seconds more to uh further 49:51 49 minutes, 51 seconds throw light on this point. What goes into revenue you see is that uh we might have an asset in fact let me just go a 49:59 49 minutes, 59 seconds live example one of our guram assets might have 275 beds with a narcom of 32,000 so which gives a revenue of 50:08 50 minutes, 8 seconds 32,000 spread over 275 beds uh so what we are having revenue uh in this unit is 50:14 50 minutes, 14 seconds 275 beds uh doing an arop of 32,000 uh so if uh uh you know if you think that uh 50:23 50 minutes, 23 seconds One could run this location with 100 beds and AR of 80,000. Uh the revenue will be still the same. So what we are 50:30 50 minutes, 30 seconds saying is the right way to benchmark expenses is to revenue not to ROV. So technically 100 beds with 75,000 80,000 50:39 50 minutes, 39 seconds revenue is nearly the same thing like 32,000 revenue 275. Therefore uh reemphasizes expenses about which we are 50:48 50 minutes, 48 seconds very disciplined as a percentage are marked to revenue not to arable. 50:54 50 minutes, 54 seconds Thank you sir that was helpful. U can I squeeze in one more question if I could. Uh so a please for more questions. 51:03 51 minutes, 3 seconds Okay thank you. Next question is from the line of sham padar from Chhattisgar Investment Limited. Please go ahead. 51:15 51 minutes, 15 seconds Hello. Am I audible? Yes, you are. 51:18 51 minutes, 18 seconds Yeah. Hi, good morning. Um, so I just wanted to understand what was the reason for our uh drop in standalone numbers uh 51:26 51 minutes, 26 seconds quarteron quarter. I know we should look at consulted but just to have a better sense of our numbers. So what was the reasons? 51:37 51 minutes, 37 seconds Wait, you are comparing in terms of what we last quarter we have a growth we have we were at 354 crores in terms of revenue and that grown to 460 crores. 51:46 51 minutes, 46 seconds Uh I'm talking about standalone quarter on quarter. So let's say Q3 versus Q4 of F526 uh you're talking about medival alone. 51:57 51 minutes, 57 seconds Yeah. Yeah. you know because you know that if you see we grew you know that uh we made uh you know that uh if I talk 52:05 52 minutes, 5 seconds about Q4 versus Q3 uh we were under background in terms of the attend hospital when we acquired that hospital 52:13 52 minutes, 13 seconds that was underm and that was run by park medicine but in Jan what we have done on 5th of Jan we made the acquisition of 52:22 52 minutes, 22 seconds that hospital that become a independent subsidiary so as far as in console there is no impact in terms of the top time but yes the revenue which was coming in 52:30 52 minutes, 30 seconds park medal now that is going in that uh patent account that is audience understood understood 52:38 52 minutes, 38 seconds and also one more question on uh disallowance provision of uh government revenue I'm not able to see that the figure in our P&L for this quarter 52:47 52 minutes, 47 seconds so disallows remain you know that because we are very very particular about our disallowance and we have a rigorous process to reduce as much as 52:56 52 minutes, 56 seconds possible but yes we remain at 9% this evening. 53:01 53 minutes, 1 second Got it. Got it. Got it. Thank you. Thank you so much and best of luck. Thank you. 53:10 53 minutes, 10 seconds Thank you. Next question is from the line of Chaitan Sha Capital. Please go ahead. 53:16 53 minutes, 16 seconds Yeah. Hi. Uh uh can you hear me? Yes, you're audible. 53:20 53 minutes, 20 seconds Yeah, thanks. Uh sir, just uh thank you for a very detailed answer to all the questions. Just a one small question in terms of the long-term growth strategy. 53:30 53 minutes, 30 seconds If we see our current cluster of uh capacity and concentration which is into three or four states. If one wants to 53:38 53 minutes, 38 seconds pencil the opportunity for next three to four, three to five year time horizon. 53:43 53 minutes, 43 seconds Uh do we still keep following into this specific states and region or we are also looking at expanding beyond this 53:52 53 minutes, 52 seconds and continue to focus on a similar uh hub and spoke uh cluster expansion mod 54:00 54 minutes uh just to understand the long-term view of the management and how how they are thinking. Thank you and congratulations. 54:08 54 minutes, 8 seconds Thank thank you so much Jan. Uh see uh our approach in growth has been uh very strategic. Uh currently we are present 54:17 54 minutes, 17 seconds in five states. Uh we to some extent consolidated ourselves uh uh little in 54:23 54 minutes, 23 seconds Delhi, Hana uh somewhat in Rajasthan and Punjab where we are also further endeavoring to consolidate. Uh but 54:32 54 minutes, 32 seconds besides that we enter the UP. Now what we had uh the strategy is this that uh 54:38 54 minutes, 38 seconds each hospital which we bring is uh about 40 50 kilometers to the other hospital so that it adds synergy in uh you could 54:47 54 minutes, 47 seconds say multiple uh ways with regard to the human resources and with regard to the high-end equipment. So that creates the 54:55 54 minutes, 55 seconds synergy. We are not in the hub and spoke model at all. Each unit is independent on itself and caters to the all super 55:03 55 minutes, 3 seconds specialtities. But certain top end high-end like robotics or uh you could 55:09 55 minutes, 9 seconds say major minimal excess surgeries or you could say uh joint replacements or uh kidney transplants or radiation. 55:19 55 minutes, 19 seconds These are the areas which are shared between two to three hospitalies and that is how the synergy is brought in and the capex and the apex is kept within control. 55:28 55 minutes, 28 seconds Understood. Understood. Got it. So sir is there one of the reason why our if one looks at on a on a blended basis 55:37 55 minutes, 37 seconds capex per bed or opex per bed is one of the reasonable in the industry and and 55:44 55 minutes, 44 seconds that's why despite of comparable our pop our our margin per bad uh uh uh is is 55:52 55 minutes, 52 seconds relatively better and so does our payback period that's the right understanding correct yeah you hit the nail on the head in 55:59 55 minutes, 59 seconds fact I would just like to add that currently we are present in 16 districts of North India. There are about 174 56:06 56 minutes, 6 seconds districts. We would like to consolidate in all those areas initially and then expand into Southeast West. But if any 56:15 56 minutes, 15 seconds good opportunity comes in and it helps us to grow in a strategic manner, we are open to it. 56:22 56 minutes, 22 seconds Got it sir. Thank you so much and wish you all the best sir. Thank you. Thank you sir. 56:28 56 minutes, 28 seconds Thank you. Next question is from the line of Ashoto Atar from USGI. Please go ahead. 56:36 56 minutes, 36 seconds Uh yeah uh am I audible? Yes. 56:41 56 minutes, 41 seconds Yeah. Thank you. Thank you for uh giving me this opportunity. Good. Good morning everyone. I just wanted to understand uh we have 1500 bed additions uh slated for 56:50 56 minutes, 50 seconds fi 28 till uh uh does it mean that we are curbing our growth given the opportunity that uh our is at around 350 57:00 57 minutes odd corres which will be paid off. So uh do we think we are curbing our growth for uh 57:08 57 minutes, 8 seconds next two years or should we be on a higher growth trajectory given our financials? 57:14 57 minutes, 14 seconds uh ash we are not curbing our growth at all. The statement which we are giving in the future projections are largely uh 57:23 57 minutes, 23 seconds the deals which are more or less cast in stone. uh we are looking at 850 bed expansion in this coming financial year 57:32 57 minutes, 32 seconds out of which 350 bed have already come in PCula 200 would be coming in Mela daily and uh 300 would be coming in 57:40 57 minutes, 40 seconds Kangur FI28 we'll be adding 1,000 beds uh which will be coming 400 from Gorapur 57:47 57 minutes, 47 seconds 20 uh 200 would be coming from Ambala extension in the encology department 150 would be coming from uh Mujali expansion 57:55 57 minutes, 55 seconds and uh 250 50 green field will be coming through later but if any other project or any other unit comes which is quite 58:02 58 minutes, 2 seconds lucrative and as per our model we would be more than open and willing to go ahead from that. The point which Mr. 58:12 58 minutes, 12 seconds Rajes emphasiz is this that since we are a cashish company generating about 330 40 odd crates in cash and plus we have 58:21 58 minutes, 21 seconds uh uh money in equity also in current account the uh debt aspect is uh not 58:27 58 minutes, 27 seconds that major currently and going forward also if a major uh you could say a big unit or a chain of uh units which you 58:37 58 minutes, 37 seconds find lupus then we'll definitely go for so there is nothing purving our expansion Yeah, there was one point here I used to 58:45 58 minutes, 45 seconds add when we did our we listed on 17th of December there was nowhere agra discussion was that you know we ended up 58:52 58 minutes, 52 seconds losing that from 1 of but this all happening on a period of you can say about 30 35 days so we are there in the market we are aggressively looking for 59:01 59 minutes, 1 second the option and if you get something we are more than happy to close and short will never become a hindrance 59:08 59 minutes, 8 seconds okay Okay. On the receipt due to better calculation efficiency we are driving uh this 129 days to be there 59:16 59 minutes, 16 seconds for FI26. So going forward uh is there any measures to bring it down below 100 59:24 59 minutes, 24 seconds uh so that it will not have to impact our working capital management. 59:30 59 minutes, 30 seconds Ash just keep repeat this question didn't come out clearly. Yeah. 59:38 59 minutes, 38 seconds Yeah, I'll answer this question. You know that uh as far as database if I talk about the total dattors 92% relate 59:46 59 minutes, 46 seconds to central government and when I say central government because they have a well- definfined process and it is divided into two parts. One there is a 59:54 59 minutes, 54 seconds bill settlement and there is a payment process. So bill because when when the patient comes and then when the patient get discharged, we have to upload that 1:00:02 1 hour, 2 seconds bill within 7 days from the uh to the third party third party you know uh uh service provider which is hired by the 1:00:11 1 hour, 11 seconds central government or the respective panel and thereafter they have a process to clear the bill within a period of 3 months. But here you know lot of 1:00:18 1 hour, 18 seconds pressure is coming on the government to minimize this period. So this whatever has happened over 30 32 days you know the advantage that we got in terms of 1:00:27 1 hour, 27 seconds data days that is only because push which is coming from the government to streamline this process because earlier it used to take 3 months it take to 1:00:35 1 hour, 35 seconds normally clear the bill and 45 days time to make the payment but now the 3 days period government is pushing to come down to 2 months. The process is going 1:00:43 1 hour, 43 seconds on. We are seeing that result. But how it will turn going forward? Uh it is too early to say but we are expecting that will be within this range of you know 1:00:51 1 hour, 51 seconds four months. So I cannot foresee that this is happening you know less than 100 days in next 6 months or 9 months. But what we are expecting by maybe current 1:01:00 1 hour, 1 minute year or maybe by next year the way government is focusing on they may bring down to less than 100 days. 1:01:08 1 hour, 1 minute, 8 seconds Okay. Uh thank you. 1:01:14 1 hour, 1 minute, 14 seconds Thank you. Next question is from the line of Vidi Dadal from Regent Capital. Please go ahead. 1:01:21 1 hour, 1 minute, 21 seconds Uh good morning sir. Thank you for the opportunity and congratulations on a good set of numbers. Sir can you just help us uh with the break up of 1:01:29 1 hour, 1 minute, 29 seconds incremental bed expansions between FI 27 and 28 and if you could also throw some uh light uh on the visibility beyond 1:01:37 1 hour, 1 minute, 37 seconds FI28 for uh bed expansion if the company has worked out any you know any kind of blueprint rough blueprint for u bed 1:01:44 1 hour, 1 minute, 44 seconds expansion beyond FI28 thank you I'll answer the first question you know that uh the capex that we plan going forward you know as uh we we we are 1:01:53 1 hour, 1 minute, 53 seconds adding y50 beds whatever will be And then execution of six we have already added 350 bed in Psula. So there we 1:02:00 1 hour, 2 minutes invested about 515 crores that is already done. Now we are coming up one in Delhi that is service. There we adding uh uh you know 200 bed. The total 1:02:09 1 hour, 2 minutes, 9 seconds sap we plan to do is about 80 crores wherein 55 crores we already spent. So there we need to add uh you know we need to spend about 25 crores and Kpur we are 1:02:19 1 hour, 2 minutes, 19 seconds uh we have to invest about 30 crores. So for the current year we plan we plan to do the capex close to 55 crores and for 1:02:27 1 hour, 2 minutes, 27 seconds the next year so next year we are adding 1,000 back and together you know that uh uh together we are expecting close to 1:02:34 1 hour, 2 minutes, 34 seconds 250 crores of capex and fi 28. So that's you know as far as our plan in terms of the capex it is well within the the you 1:02:42 1 hour, 2 minutes, 42 seconds know that resources that we have and as I said because we are not expecting any further debt raise or maybe a major debt race whatever we have in uh in hand 1:02:50 1 hour, 2 minutes, 50 seconds today uh but in future aspect which you have asked uh between FI28 to FI 33 we are 1:02:58 1 hour, 2 minutes, 58 seconds hoping that we'll probably be able to double the strength of 5460 to nearly 10,000 class. 1:03:07 1 hour, 3 minutes, 7 seconds I think what needs to be understood is that there is a 15% capacity augmentation that is outlined for the 1:03:15 1 hour, 3 minutes, 15 seconds period from now till FY 28 which is crystal clear. These assets are under execution. 1:03:24 1 hour, 3 minutes, 24 seconds Okay. So that that's really helpful. Thank you so much. 1:03:30 1 hour, 3 minutes, 30 seconds Thank you. Next question is from the line of Danjan Bakta from Universal Somo General Insurance. Please go ahead. 1:03:38 1 hour, 3 minutes, 38 seconds Yeah, thank you for the followup. Uh are we seeing any sort of demand side problem are we as we are expanding in the directority. 1:03:49 1 hour, 3 minutes, 49 seconds No, in fact uh we see seeing surge in demand with regard to all uh respects. 1:03:56 1 hour, 3 minutes, 56 seconds uh I'll give you an example. As we are expanding into tier 2, tier three cities, the requirement of high-end uh 1:04:04 1 hour, 4 minutes, 4 seconds high quality at an relatively affordable cost treatment has always been there and in fact patients were traveling far and 1:04:12 1 hour, 4 minutes, 12 seconds to the metros and sometimes that valuable golden hour and critical illness was being lost and lot of people were not able to survive. So this is an 1:04:20 1 hour, 4 minutes, 20 seconds advantage which we have created by operating in tier 2 tier three cities. 1:04:24 1 hour, 4 minutes, 24 seconds Also with regard to the uh top-end doctors and clinicians since they have all the facilities now available in 1:04:31 1 hour, 4 minutes, 31 seconds their hometown lot of people who were forced to actually go and work in far off stations away from their family and 1:04:38 1 hour, 4 minutes, 38 seconds hometown they have been coming over. So even in tier 2 and tier three city we have seen a large uh volume of doctors 1:04:47 1 hour, 4 minutes, 47 seconds wanting to come out there. The only thing was this that they did not have a level playing field to execute their 1:04:54 1 hour, 4 minutes, 54 seconds skill sets and the academic sets because those structures were not there. But ever since park has come in tier 2, tier 1:05:01 1 hour, 5 minutes, 1 second three cities, they are more than uh happy to work in these areas and satisfy their skill sets. 1:05:10 1 hour, 5 minutes, 10 seconds Okay. Thank you. 1:05:16 1 hour, 5 minutes, 16 seconds Thank you. Next question is from the line of Pua Sha from Mata Equity. Please go ahead. 1:05:23 1 hour, 5 minutes, 23 seconds Thank you for the opportunity sir. I want to ask about capex. So we are doing well in the capex. I want to understand 1:05:31 1 hour, 5 minutes, 31 seconds about new capex whether greenfield or brownfield capex. So what are the biggest exhibition mistakes that 1:05:39 1 hour, 5 minutes, 39 seconds hospital operators make while entering in new geographies? 1:05:48 1 hour, 5 minutes, 48 seconds Sorry Mr. Sha would you be kind enough to repeat the question because uh the audability had been a little 1:05:57 1 hour, 5 minutes, 57 seconds right right I want to ask about what are the biggest uh execution mistake hospitals operator that makes uh uh when 1:06:06 1 hour, 6 minutes, 6 seconds they entering in the new geographies 1:06:15 1 hour, 6 minutes, 15 seconds okay Mr. See generally what happens is this that uh why we have had a strategic approach in expansion is uh that one 1:06:24 1 hour, 6 minutes, 24 seconds hospital should bring synergy to the other hospital which is in the vicinity of about 50 kilometers or so but generally what other brands have been 1:06:33 1 hour, 6 minutes, 33 seconds doing is this that they've been expanding into remote areas and at times the replication of the values uh the 1:06:42 1 hour, 6 minutes, 42 seconds uh the way they've been functioning their uh first to a second hospital they have not been able to replicate. Few 1:06:49 1 hour, 6 minutes, 49 seconds good things which we do which uh we have been able to emulate all our hospitals in the same way and replicate it is 1:06:57 1 hour, 6 minutes, 57 seconds largely because second line uh management uh for the new hospitals which we are taking it's already in 1:07:04 1 hour, 7 minutes, 4 seconds current training in our uh current operational hospitals. So there are top management which is being prepared in 1:07:11 1 hour, 7 minutes, 11 seconds the current hospitals which are uh aware about it and they've been training for about 3 to six months and take it uh 1:07:18 1 hour, 7 minutes, 18 seconds transposed to the new unit wherever we are bringing in and the new unit is generally not very far from the other units. If you take it in very far off 1:07:28 1 hour, 7 minutes, 28 seconds domain or in a domain uh which is for a different uh positives and negatives lot of brands find it difficult to replicate 1:07:36 1 hour, 7 minutes, 36 seconds those aspects and taking the management uh approach the values cannot be replicated 1:07:44 1 hour, 7 minutes, 44 seconds right thank you sir and all the best for next thank you so much 1:07:53 1 hour, 7 minutes, 53 seconds thank you next question is from the line of Aka Takul from Hilo Capital. Please go ahead. 1:08:00 1 hour, 8 minutes Uh thanks uh thanks for staying along on the call. Uh I really appreciate that. 1:08:05 1 hour, 8 minutes, 5 seconds Uh sir, one question on uh when we acquire an asset uh there would be doctors which would be already uh 1:08:14 1 hour, 8 minutes, 14 seconds already in the unit and uh we would like also to bring in our doctors and bring in the operational efficiency. So can 1:08:22 1 hour, 8 minutes, 22 seconds you just explain or just throw what are the key metrics or the key things which you work on primarily? I am assuming 1:08:29 1 hour, 8 minutes, 29 seconds that would be one of those would be the doctors to bring in the efficiency and uh uh like how how how is it executed? 1:08:39 1 hour, 8 minutes, 39 seconds See uh a generally the acquisitions which we have done uh am I audible please? 1:08:47 1 hour, 8 minutes, 47 seconds Yes sir. 1:08:49 1 hour, 8 minutes, 49 seconds The acquisition which we have done in past historically suggests that they have been distressed units and they have 1:08:56 1 hour, 8 minutes, 56 seconds been bleeding profusely and entirely it would not be promoter's fault. It would also be to some extent the fault of 1:09:05 1 hour, 9 minutes, 5 seconds staff uh the management which had not been performing. So generally it happens that uh when we take over a unit 1:09:14 1 hour, 9 minutes, 14 seconds whatever staff is efficient and is able to deliver as per our norms and as per our vision we retain but the other staff needs to be changed. 1:09:25 1 hour, 9 minutes, 25 seconds So this is the policy which we uh in uh go ahead with that if the staff is 1:09:32 1 hour, 9 minutes, 32 seconds underperforming or if there is management which is underperforming we go for a change. 1:09:40 1 hour, 9 minutes, 40 seconds Okay. Uh that was helpful. Any any investments on the tech front for to bring in the efficiency? 1:09:47 1 hour, 9 minutes, 47 seconds Uh see uh most of our doctors the clinician which we have are from very good reputable uh government colleges 1:09:54 1 hour, 9 minutes, 54 seconds with uh with at least 5 to 7 years minimum experience with hands-on experience with the latest technology like robotics uh the medical 1:10:03 1 hour, 10 minutes, 3 seconds advancements uh lasers uh minimal access surgeries uh and so forth and so on. So these are the doctors which we take and 1:10:12 1 hour, 10 minutes, 12 seconds if any training is required that is also imparted to them and whatever uh top- end equipment is required for the 1:10:20 1 hour, 10 minutes, 20 seconds functioning efficient functioning and better clinical outcomes that is part of the capex which we ensure that we deploy. 1:10:28 1 hour, 10 minutes, 28 seconds Okay. Uh that was helpful sir. Thank you. Thank you. 1:10:35 1 hour, 10 minutes, 35 seconds Thank you. Next question is from the line of Shbham Padia from Chhattisgarh Investment Limited. Please go ahead. 1:10:42 1 hour, 10 minutes, 42 seconds Yeah, hi. Thanks for the followup. Uh, so I just wanted to understand the competitive landscape that uh we operate in. Uh, Park is a sort of a affordable 1:10:52 1 hour, 10 minutes, 52 seconds hospital in northern India. So is it that uh there's no other player offering similar kind of services at that price 1:11:00 1 hour, 11 minutes and that's why we been able to capture that vacuum or is it something else? 1:11:08 1 hour, 11 minutes, 8 seconds uh see there uh it'll be more from my personal uh experience which I would be sharing. uh there have been some players 1:11:15 1 hour, 11 minutes, 15 seconds which have been uh striving to address the stand in the relatively affordable and uh trying to provide uh high quality 1:11:24 1 hour, 11 minutes, 24 seconds but unfortunately the replication of the expansion has not happened to that extent what park has done I don't see 1:11:31 1 hour, 11 minutes, 31 seconds any uh uh officer if I take there have been some hospitals which tried to enter 1:11:38 1 hour, 11 minutes, 38 seconds into it but these sporadic spurts on far out locations uh they had to increase Apex they had to go from the affordability aspect that has happened. 1:11:47 1 hour, 11 minutes, 47 seconds There are multiple factors if you would like to go with this vision of providing related affordability and the high quality and still be profitable is to go 1:11:56 1 hour, 11 minutes, 56 seconds grow strategically ensure the acquisitions of the green are very systematic and very strategically uh 1:12:04 1 hour, 12 minutes, 4 seconds looked upon uh which does not increase the capex keeps the expense uh limited and ensures revenue. So these are some 1:12:13 1 hour, 12 minutes, 13 seconds of the factors which has to be seen very diligently. Besides that the first hospital which we have been running and the subsequent which we have been 1:12:20 1 hour, 12 minutes, 20 seconds running the values the SOPs the operational efficiencies we have been able to replicate because largely the 1:12:28 1 hour, 12 minutes, 28 seconds top management as I mentioned before have been trained for 3 to 6 months in the current running hospital. So there are a lot of uh units which tried into 1:12:36 1 hour, 12 minutes, 36 seconds this. There are some standalone hospitals also but unfortunately to this scale in this format in this structured 1:12:44 1 hour, 12 minutes, 44 seconds manner I don't foresee any other hospital with such low capex and delivering such good results with 1:12:51 1 hour, 12 minutes, 51 seconds affordable AR pop and uh excellent clical outcomes. Understood. Understood. Thanks for that. 1:12:58 1 hour, 12 minutes, 58 seconds Also do we track doctor attrition rates in our hospitals? 1:13:02 1 hour, 13 minutes, 2 seconds Yeah, we do track the doctor attrition rate and uh in the consultant level the attrition rate is one of the lowest 1:13:10 1 hour, 13 minutes, 10 seconds because there are multiple factors which we are contributing to it. One is this that our selection process is very 1:13:18 1 hour, 13 minutes, 18 seconds methodical and uh lot of the strength of the clinician as well as the placement of the clinician based on the 1:13:25 1 hour, 13 minutes, 25 seconds requirement is seen. HR processes are very robust in which they help in accommodating the doctor for their families and the education of their 1:13:34 1 hour, 13 minutes, 34 seconds children in that uh region. We also have uh uh we are one of the excellent pay masters in ensuring that uh the doctors 1:13:43 1 hour, 13 minutes, 43 seconds are paid well and besides that uh since park by itself is a recognized brand in North India, these doctors are not 1:13:51 1 hour, 13 minutes, 51 seconds accountable for volume or revenue unlike other premium brands. These doctors are accountable only on two 1:13:58 1 hour, 13 minutes, 58 seconds major verticals. One is patient and attendant satisfaction and the other is excellent clinical outcomes. Based on 1:14:06 1 hour, 14 minutes, 6 seconds that from each unit we have a uh you could say a percentile clocking system in which the points are given to these 1:14:14 1 hour, 14 minutes, 14 seconds clinician and any clinician which clocks more than 75% is personally recognized and rewarded by 1:14:22 1 hour, 14 minutes, 22 seconds the promoters in the form of youth performance bonus. They do not have the pressure of bringing value or revenue to 1:14:28 1 hour, 14 minutes, 28 seconds the hospital. We have our own patient flow. The only thing which they are responsible is to ensure that all the patients are and their attendants are 1:14:36 1 hour, 14 minutes, 36 seconds satisfied and they get the best outcomes. 1:14:40 1 hour, 14 minutes, 40 seconds Understood. Thank thank you for that answer. Thanks. 1:14:47 1 hour, 14 minutes, 47 seconds Thank you ladies and gentlemen. We will take that as the last question for today. I would now like to hand over the conference to Mr. Ganesh Nal for closing comments. 1:14:59 1 hour, 14 minutes, 59 seconds Thank you everyone for joining the conference call of Park Medi World Limited. If you have any further queries, you can write us at researchinadvisor.com. 1:15:09 1 hour, 15 minutes, 9 seconds Once again, thank you everyone for joining the conference. 1:15:16 1 hour, 15 minutes, 16 seconds Thank you very much on behalf of Kirin Advisers Private Limited. That concludes this conference. Thank you also for joining us today and you may now 1:15:23 1 hour, 15 minutes, 23 seconds disconnect your