They have 4 verticals namely
- Hospitals ( operated & maintained)-70% of revenue comes form this vertical wuth high margins. Currently at 200 bed capacity with plans to expand to 1000 beds by FY26, with 300/1000 beds in western india. The margins in this business are higher as they maintain 100-150 bed capacity hospitals with not that high end equipments. Their business model is to have high ROCE by deploying asset light model of Operated & maintained business with not more than 100-150 bed hospitals in Uganda, Nigeria, Tanzania.
- Pharma distribution - This happens to be thier second high margin business with revenue from this strem upto 10%. Here they distribute medicines, medical consumables & equipments etc.
- Medical tourism:- Idea here is to get patients to their hospitals in above mentioned countries and if they arent able to treat them than assist them with tourism end to end solution.
4)Medical Consultancy :- like helping healthcare facilities with type of infr etc they would need to organize and run a hospital. point 3 & 4 are negligible part of revenue.
The major focus is on asset light hospitals in these countires where helath care is in boom but not many player were able to sutain business over here. They also mentioned that they will be doing a capex of 25 Cr in FY25-26 to put up additional beds+ equipments . Also looking for M&A in Tanzania & Nigeria.
Its worth to make a note that they have ARPOB around 0.8 CR in FY23.
Note: Invested & will add more when the story is reflecting in numbers.
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