Ranvir’s Portfolio

Aster DM Q3 concall updates –

Revenues 3192 vs 2650 cr, up 20 pc

EBITDA at 449 vs 397 cr, up 13 pc, margins at 14 vs 15 pc

NP – 160 vs 168 cr due higher interest and depreciation costs

Aster India business growth at 25 pc with revenues at 771 cr, EBITDA at 115 cr, up 13 pc

India business PAT at 30 cr vs 27 cr YoY

GCC revenues grew 19 pc 2420 cr

GCC EBITDA at 334 cr, up 13 pc

Current capacity –

30 hospitals, 15 each in GCC and India
Beds – 5536, GCC- 1441, India – 4095

Clinics – 113 in GCC, 12 in India

Pharmacies – 257 in GCC, 239 in India

India Hospitals distribution –

Kerala -6
AP- 4
Karnataka- 3
Maharashtra – 01
Telangana- 01

GCC Hospitals split –
UAE -09
Oman -04
Qatar -01
Saudi -01

Revenue split-

Region wise – GCC-70 pc, India -30 pc

Channel wise – Hospitals – 61pc, Pharmacies -17 pc, Clinics – 22 pc

Hospitals pipeline-

India-

04 in Kerala under construction with bed capacity at 750
03 in Karnataka under construction total bed capacity at 875
02 in AP are in pre operational stage with bed capacity at 200

GCC-

01 Hospital each in Doha, Dubai,Saudi. Total – 245 beds

Some highlights –

COMPANY ACTIVELY LOOKING TO SELL GCC BUSINESS

HAS APPOINTED MERCHANT BANKERS FOR THE MERCHANT BANKERS FOR THE SAME

HAS STARTED RECEIVING GOOD INVESTOR INTEREST FOR THE SAME

BINDING BIDS LIKELY TO BE RECEIVED BY Q1 FY 24

Current number of Pharmacies in India at 240.
Looking to add 120-150 pharmacies in India every year

Most of India hospital expansion to be via operate and manage model vs owning model. So the margins may be a little lower, but ROCE would be very high.

Aim to add 500 beds/year for next 4-5 yrs under this Operate and Manage model

Aiming to sell own labeled medicines in the Pharmacy business to boost profitability

Aim to spend 250-300 cr per year for India expansion. Aim to keep Debt/EBITDA ratio under 2

Currently, the AP,Telangana mkts underperforming for the company. Aim to go back to 15 pc EBITDA from these mkts by next FY and grow from there

GCC pharmacy sales were very strong in GCC due same store growth and greater share of private label medicines

MyAster app in GCC and home deliveries in GCC also boosted pharmacies profitability

India occupancies-overall at 68 pc

Kerala-80 pc
Karnataka-60 pc
AP, Telangana-50 pc (had stopped treating govt scheme patients. Restarting now)

India can go upto a peak occupancies of 85 pc

AP, Telangana EBITDA margins currently at 8-9 pc. Likely to go upto 15 odd pc in a steady and progressive manner

Disc: planning to take up a tracking position