Artemis Medicare Services Ltd (ARTEMISMED) Q2FY27 Concall Transcript - Sep-2026 Qtr
Moderator: Ladies and gentlemen, good day, and welcome to the Artemis Medicare Q2 and H1 FY '27 earnings conference call. As a reminder, all 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 you need assistance during the conference call, please signal an operator by pressing star, then zero on your touch-tone phone. Please note that this conference is being recorded. I now hand the conference over to Mr. Himanshu Binani from Anand Rathi Shares and Stock Brokers. Thank you, and over to you, sir.
Himanshu Binani (Anand Rathi Shares and Stock Brokers): Thank you, Steve. Good day, everyone, and welcome to the second quarter and first half FY '27 earnings conference call of Artemis Medicare, hosted by Anand Rathi Shares and Stock Broking Limited. From the management, we have Dr. Devlina Chakravarty, Managing Director; Mr. Sanjiv Kothari, CFO of the company; and Mr. Rudra Narayanan, Head Investor Relations. I would like to thank the management for giving us this opportunity to host this call. We will begin the call with a brief opening remarks from the management, post which, we will have the session open for Q&A. Without further ado, I would like to hand over the call to Dr. Devlina. Thank you, and over to you, ma'am.
Devlina Chakravarty (Artemis Medicare Services Ltd): Thank you, Himanshu. Good morning, friends. I would like to begin with a brief view of the healthcare sector. The Indian hospital industry continues to expand supported by growing patient demand, higher realization, and the addition of new beds. However, India's hospital infrastructure remains below several international benchmarks, creating scope for further investment in advanced healthcare services. As treatments become more specialized, patients increasingly look for hospitals that can bring together the right medical teams, infrastructure, and coordinated care for complex conditions. In line with this, our strategy remains focused on strengthening our clinical capabilities, expanding capacity, and adopting technology to improve patient care and operational efficiency. Now, turning to our performance, for quarter two, Gurgaon hospital reported its highest ever EBITDA at 23.8%. Our consolidated revenue from operations for quarter two FY '27 was INR 311 crore, representing year-on-year growth of 13.2%. Growth was supported by demand across key specialties, including cardiac sciences, oncology, neurosciences, orthopedics, and other complex treatments such as transplants. For the first half of FY '27, consolidated revenue from operations was INR 598.4 crores, up 13% year-on-year. The performance re-
Devlina Chakravarty (Artemis Medicare Services Ltd): affected continued activity at our Gurugram hospital and the very early contribution from Artemis Shanti Hospital in Raipur, which commenced operations in July 2026. Our EBITDA for Q2 FY '22, FY '22 consolidated was INR 62.89 crore with a margin of 20.2%, while adjusted operational EBITDA for Q2 FY '27 was INR 71.5 crore with a margin of 23.3%. Profit after tax for the quarter was 31 crore, representing a year-on-year growth of 3.7%. For H1 FY '27, consolidated EBITDA was 124.7 crore with a margin of 20.8%, while adjusted operational EBITDA for H1 FY '27 was INR 133.32 crore with a margin of 22.4%. Profit after tax was INR 62.5 crore with a year-on-year growth of 22.2%. Our focus remains on better utilization of clinical capacity, managing operational costs, and improving the contribution from specialized procedure. Our international patient business remains an important part of Artemis. We serve from Middle East, Africa, CIA- CIS, SAARC, Canada, Nordic countries, and other markets. The spread of our international patient base across more than 150 countries help us avoid dependency on any single region. We remain focused on strengthening referral relationships and developing new source international markets while maintaining our focus on clinical outcomes and patient experience. International patients contributed approximately 30% of the revenue during this quarter. A key development in our expansion plan is Artemis Shanti Hospital in Raipur, our 300-bed multi-specialty tertiary care hospital, which began operations in July 2026. The hospital extends our presence in Central India, which gives us a new platform to serve patients in this region. As the hospital build occupancy and more specialties become operational, we are confident about its contribution to increase over time. In the first quarter itself, we have got a feeling of a great response from Central India for Artemis Shanti Hospital. We are also progressing with the next phase of expansion at our Gurugram campus. Tower 4 is planned to add 250 beds within the campus, supported by additional floor area and the benefit available through our platinum green building certification. The project is intended to increase capacity within our existing campus, taking our bed numbers from 700 to 900-plus, approximately. We will continue to share updates as the project progresses. Our plans for South Delhi are another important part of our growth strategy. The proposed 650-plus bed tertiary and quaternary care in Lajpat Nagar is expected to strengthen our presence in Delhi NCR market. The project is being developed under a long-term operation and management contract with the VIMHANS Trust and expected to commence operation in quarter 4 of FY '29, FY '30. Along with Raipur and the Gurugram expansion, this facility supports our plan to increase our operational capacity to around 2,000 beds over the next 3 to 5 years. Clinical quality remains central to our strategy. We are developing our centers of excellence across more than 40 specialties. developing our focus further focus on oncology, cardiac sciences, organ transplantation, [inaudible]
Devlina Chakravarty (Artemis Medicare Services Ltd): surgeries, critical care, heart and lung transplantations, etcetera. Technology is another area of continued focus. We are using AI-enabled workflows, digital tools, data analytics to improve patient flow, support clinical decisions, and make better use of hospital resources. Initiatives such as AI assigned triage intended to help patients receive timely attention, while our wider digital programs aim to improve coordination between clinical and administrative teams. We will continue to assess and expand these initiatives where they can improve patient experience and operating efficiency. We also remain focused on responsible resource use across our hospital. Our priorities include energy efficiency, waste reduction, and environmentally responsible operating practices. These efforts form part of our approach to managing our facilities responsibly as the network expands. Looking ahead, our priorities remain focused on the gradual ramp up of Artemis Shanti hospital in Raipur, development of tower four at Gurugram, the progress of our South Delhi project. We also strengthen our clinical capabilities across key specialties. As we expand our hospital network, we remain committed to maintaining high standards of patient care, improving operating efficiency, and ensuring disciplined capital allocation. These priorities will support our long term growth while maintaining the quality of care that patients expect from us. And to all of you who are listening to me right now, tomorrow we have the grand opening of our Artemis Raipur hospital, inaugurated by none other than Mr. Amit Shah, with the Chief Minister, Deputy Chief Minister and the Speaker of legislative assembly being present there. Those of you who can make it to our Raipur Artemis Shanti hospital, we will be more than happy to receive you there to give you a your first hand feel of what we stand for and in terms of the quality of healthcare that we are delivering at Raipur. With that, thank you very much, and I am open to your questions. Thank you.
Moderator: Thank you. We will now begin with the question and answer session. Anyone who wishes to ask a question may press star and one on their touchtone telephone. If you wish to withdraw yourself from the question queue, you may press star and two. Participants are requested to use handset while asking a question. Ladies and gentlemen, we will wait for a moment while the question queue assembles.
Moderator: Our first question comes from the line of Srihan with Dolat Investments. Please go ahead.
Srihan (Dolat Investments): Hello, am I audible?
Devlina Chakravarty (Artemis Medicare Services Ltd): Yes, you are. Yes, you are.
Srihan (Dolat Investments): Hi, ma'am. Congratulations on a great set of numbers. So, first question, I would like to ask is regarding the Raipur hospital. If you can, share the occupancy and current, how much a rough estimate of EBITDA loss that we are having on that hospital. That would be my first question.
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