Credent Connect N Care Ltd (CREDENT) Q2FY27 Concall Transcript - Sep-2026 Qtr
Moderator: Ladies and gentlemen, good day and welcome to Credent Connect N Care Ltd conference call. Please stay connected. The call will begin shortly. Participants, you have been connected to Credent Connect N Care Ltd conference call. Please stay connected, the call will begin shortly.
Moderator: Ladies and gentlemen, good day, and welcome to Credent Connect N Care Ltd H1 FY '27 earnings conference call. As a reminder, all participant lines will be in the listen-only mode and there'll be an opportunity for you to ask questions after the presentation concludes. Should you need assistance during this 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. Shravan Sharma, from Investor Relations advisor. Thank you, and over to you, sir.
Shravan Sharma (Investor Relations): Thank you. Good morning, everyone, and thank you for joining us today. I have with us today the senior management team of Credent Connect N Care Ltd: Mr. Tarun Sharma, Managing Director and Chairman; and Mr. Sachin Sharma, Chief Financial Officer, who will represent Credent Connect N Care Ltd on the call. The management will be sharing the operating and financial highlights for the half-year ended September 30, 2026, followed by a question-and-answer session. Please note, this call may contain some of the forward-looking statements, which are completely based upon the company's beliefs, opinions, and expectations as of today. These statements are not a guarantee of the company's future performance and involve unforeseen risks and uncertainties. The company also undertakes no obligation to update any forward-looking statements to reflect developments that occur after the statement is made. I now hand over the conference to Mr. Tarun Sharma. Thank you, and over to you, sir.
Tarun Sharma (Credent Connect N Care Ltd): So, hi, this side Tarun Sharma. Good morning, everyone. It gives me a great pleasure to welcome all of you to the earnings conference call of Credent Connect N Care Ltd. Following our listing on the NSE SME platform in August '26, this is an important milestone in our journey, and I would like to begin by thanking our shareholders and investors for their trust and the confidence they have placed in us. I hope you have had an opportunity to review our financial results and investor presentation, which are available on the stock exchange and our website both. Since this is our first interaction with the investors community, I would like to provide an overview of our business, our journey, the capabilities we have developed and the opportunities ahead. Let me begin with a simple example. Whenever a patient undergoes a blood test, the sample needs to be collected by the trained professional phlebotomist, handled under appropriate conditions, and transported to a laboratory within a defined time frame. While the actual testing takes place on the laboratory, there is an entire operating ecosystem behind the movement of the sample. This includes phlebotomy, specialized packaging, temperature-controlled transportation, logistic coordination, technology-enabled tracking, and timely delivery. This is a critical part of the diagnostic value chain and it is precisely where Credent operates. At Credent, our focus is to build an integrated healthcare logistics and pre-analytics platform which connecting patients, diagnostic laboratories, hospitals, and other healthcare enterprises. We are not simply a conventional logistic company. Our business combines specialized healthcare logistics with trained professionals, technology, and complementary healthcare services. Our objective is to enable healthcare companies to focus on their core activities while we support their collection, their logistics, and their operational other requirements. Starting with our journey, it began in 2015 when we are incorporated Credent Cold Chain Logistics Private Limited with a focus on specialized temperature-controlled transportation for diagnostics companies. We recognized that healthcare logistics require specialized handling, timely transportation, temperature integrity, and coordination across collections and testing locations. Working closely with the customers, we identify opportunities to support them across a broader range of services. We gradually expanded
Tarun Sharma (Credent Connect N Care Ltd): geographical network, introduced home collection phlebotomist capabilities and strengthen our healthcare logistic infrastructure. Now, our turnover crossed ₹25 crore in 2022, ₹50 crore in 2023, ₹75 crore in '24. And in '24, we rebranded ourselves as a Credent Connect N Care Limited, Private Limited, reflecting our transition beyond cold chain transportation towards an integrated healthcare logistics and services platform. We further strengthened our capabilities through the acquisitions of Credent Healthcare Private Limited and Credent Care Private Limited in 2025, followed by Alltech Technologies in 2026. These developments have expanded our capabilities across healthcare services, clinical workforce management, and technology-enabled operations. Our successful public listing in August 2026 represents another important milestone as we prepare for the next phase of growth. Today, our business is built around five interconnected services categories. First is healthcare services, which include home collection, station phlebotomist, on-demand phlebotomist, and preventive health check-up services. These services support diagnostic laboratories, hospitals, and healthcare institutions. Secondly, we offering a logistic services, where we provide intracity and intercity logistics through road, rail, air transportation. This includes temperature controlled and cold chain movements for time sensitive diagnostic samples and healthcare consignments. Third, we offering a technology and IT services, where we provide technology platform and applications support for home collections and sample movements, workforce management, and laboratory operations and other healthcare workflows. Fourth category comprises professionals and other services, include advisory services, corporate and wellness programs, technology-enabled operations, support for healthcare organizations. Fifth, we offering a C3 wellness through which we provide an integrated corporate wellness solutions, include preventive health care for the corporate, for their employee health check-up, on-site health camps and diagnostics, and consultations. These services are complementary and allow us to support customers across multiple stages of their healthcare operations. For example, a diagnostic company can engage with Credent for home collections, they also require transportations, cold chain handling and technology-enabled tracking. Similarly, a corporate customer can utilize our healthcare network for their own employees, for their health check-up, preventive wellness programs, and onsite healthcare services. The strength of our model lies in bringing these capabilities together on a common operating platform, allowing us to support a wide range of customer requirements while creating opportunities to increase business from existing relationships. Over the years, we have developed a pan-India operating network supported by specialized logistics capabilities and trained healthcare professionals. As highlighted in our investors presentations, our network covers approximately 19,000 pin codes with over 2,200 plus phlebotomists and associations with more than 2,500 laboratories. We have more than five courier partners, approximately 40 train and buses courier connections, and over 35 air routes. With delivery capabilities of approximately 10 to 12 hours on the specified air route network, our network enables us to support diagnostic companies operating collection centers across multiple locations while conducting specialized testing and centralized laboratory. with a focus on appropriate handling and turnaround time. An important aspect of our expansion strategy is that it is closely linked
Tarun Sharma (Credent Connect N Care Ltd): continue to support their growth through our existing capabilities and targeted network expansion. We believe our experience in managing these specialized requirements together with our geographically reach and integrated service capabilities provide an important competitive strength. We have also obtained ISO 9001:2015 and ISO 13485:2016 certifications, reflecting our focus and established quality management processes. Technology is another very important component of our operating model. Our digital workflow spans phlebotomist allocations, patient verification, sample collection, transportation and tracking. Through API integrated system, which based on pin code mapping, GPS enabled monitoring and digital tracking, we aim to improve visibility and coordination across the processes. Our technology capability is also extended to workforce management, training, customer management, and operational oversight. The acquisition of OwlTech Technologies has further strengthened our capability across routes optimizations, home collections, sample movement, and other supply chain visibility. As per our business expands, we have technology will play an increasingly important role in improving operational efficiency, managing larger volumes, and supporting consistent service delivery. And another important strength is our established and diversified customer base. We serve around 280 domestic customers across diagnostic laboratories, hospital, healthcare enterprises, healthcare institutions, and corporate clients. Importantly, no single customer contributed more than 10% in our, providing diversification across our customer base. Our relationships are built around specialized execution, timely services, operational reliability, and the ability to support customers across multiple locations. Coming to the industry opportunity, we believe Credent operates at an intersection of healthcare, diagnostic logistics, and technology. India's diagnostic service market is estimated at approximately USD 11.8 billion in 2026 and is projected to reach around USD 20.1 billion by 2030, representing an estimated CAGR of 11.1% according to the industry research referenced in our investor presentation. The growth of organized diagnostic service, increasing demand for home-based testing, preventive healthcare, and expansion into the smaller cities are expected to create additional requirements for specialized sample collection and logistic infrastructure. As diagnostics expand their network, they require reliable partner capable of supporting sample movement across multiple locations. Beyond diagnostic, we also see opportunities across adjacent healthcare segments where specialized logistics and handling capabilities are required. Our six focus sectors, which includes vaccines industry, pharmaceutical industry, diagnostic industry, clinical trials industry, and contract research organization, plus core blood and in vitro diagnostics. These segments represent opportunities to leverage our existing capabilities while progressively expanding our service offerings. Looking ahead, our strategy is built around four important priorities. The first is growing with an existing customer accounts, the second is expanding our healthcare logistic footprints, the third is scaling through technology, and the fourth is strengthening our capabilities through selective acquisitions and talent development. We will continue evaluating our opportunities that complement our existing business, expand our services capabilities, and support our long-term growth objectives. Now, coming to the roadmap, our roadmap through FY30 is focused on integrating acquired capabilities, strengthening execution, expanding our technology-enabled workflow, developing additional services infrastructure, and pursuing selective organic and inorganic growth opportunities. We also intend to evaluate international opportunities subject to feasibility. As highlighted in our investor presentation, we are targeting approximately 45%
Tarun Sharma (Credent Connect N Care Ltd): revenue CAGR through FY30 and 5x multiple from the 2026 revenue. This is an ambitious growth objective and our focus will remain on executing our strategy, expanding our customer relationship, strengthening our capabilities and improving profitability as the business scales. To conclude our reason is to continue building Credent into a larger technology-enabled healthcare logistics and service platform with a focus on sustainable growth, operational excellence, and long-term shareholder value creation. With that, I would like to invite our Chief Financial Officer, Mr. Sachin Sharma, to take you through our financial journey and H1 FY27 performance. Thank you, and over to you, Mr. Sachin.
Sachin Sharma (Credent Connect N Care Ltd): Good morning, everyone. Our focus has remained on expanding our operations, improving profitability, and maintaining financial discipline as we continue to scale our business. An important milestone in our financial journey was the successful completion of our Rs 63.9 crore IPO in August 2026. The IPO proceeds are earmarked towards working capital requirements, investment in our wholly owned subsidiary Credent Health Care Private Limited, machinery related capital expenditure, debt repayment, and general corporate purposes.
Moderator: Sir, sorry to interrupt. We are losing your audio. Can I request you to get the device closer towards you?
Sachin Sharma (Credent Connect N Care Ltd): Is it better now?
Moderator: Yes, sir, thank you.
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