This article first appeared on GuruFocus .
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Revenue Growth:21% year-on-year increase in Q2 FY26, reaching INR2,692 crores.
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Operating EBITDA:Increased by 23% year-on-year to INR694 crores, with a margin of 26.9%.
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Net Income (Profit After Tax):INR554 crores, including a one-time tax benefit of INR149 crores; excluding this, PAT was INR406 crores, reflecting a 16% year-on-year growth.
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Average Occupancy:Network occupancy at 77%, with existing units at over 79%.
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Average Revenue Per Occupied Bed (ARPOB):INR77,300, a 1% year-on-year growth.
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International Patient Revenue:INR231 crores, a 25% year-on-year increase.
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Free Cash Flow:INR291 crores generated during the quarter.
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Net Debt:Stood at INR2,067 crores, up from INR1,755 crores at the end of June 2025.
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Max at Home Revenue:INR63 crores, a 20% year-on-year growth.
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Max Lab Revenue:INR54 crores, a 16% year-on-year growth.
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Expansion Projects:Multiple brownfield expansions underway, including new bed towers at Mohali, Nanavati Max, and Max Smart.
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Release Date: November 17, 2025
For the complete transcript of the earnings call, please refer to the full earnings call transcript .
Positive Points
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Max Healthcare Institute Ltd ( BOM:543220 ) reported a strong revenue growth of 21% year-on-year for the second quarter, with operating EBITDA increasing by 23%.
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The company has maintained a consistent growth trajectory for 20 consecutive quarters, showcasing the strength of its core operations.
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Significant expansion efforts are underway, with new brownfield projects adding substantial bed capacity across multiple locations, including Mohali, Nanavati Max, and Max Smart.
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Digital revenue from online marketing activities accounted for approximately 30% of the overall revenue, indicating a successful digital strategy.
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International patient revenue saw a robust growth of 25% year-on-year, highlighting the company's expanding global footprint.
Negative Points
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Average occupancy for the network slightly decreased to 77% compared to 79% in the same quarter last year.
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There was a temporary issue with insurance renewals, leading to a stoppage of cashless facilities, although this has been resolved.
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The company's net debt increased to INR2,067 crores from INR1,755 crores at the end of June 2025, reflecting ongoing expansion costs.
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Cash flow from operations was impacted by a buildup of accounts receivable in the institutional segment.
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The profit growth after tax, excluding one-time impacts, was 16% year-on-year, which lagged behind the revenue and EBITDA growth rates.
Q & A Highlights
Q: There have been reports of senior doctor departures from NCR hospitals. Have you rehired the necessary doctors, and was there any impact? A: Abhay Soi, Executive Chairman and Managing Director: The attrition rate is normal, with less than 1% of doctors leaving. New teams have been brought in immediately, and we do not expect any impact.
Q: Have all issues with insurance companies been resolved, and are there any upcoming contract negotiations? A: Yogesh Sareen, CFO: We have resolved issues with three major insurance companies and agreed on future terms. Other negotiations are ongoing, but we do not expect similar issues to recur.
Q: Can you provide details on the international patient revenue growth and its geographical breakdown? A: Yogesh Sareen, CFO: The 25% growth in international patient revenue was primarily due to volume increases. The geographical focus remains on the Middle East, Eastern Europe, and Africa.
Q: What is the expected impact of the CGHS price revision on revenue, and when will it be fully implemented? A: Abhay Soi, Executive Chairman and Managing Director: The CGHS revision is expected to add over INR200 crores to revenue. The full impact will be seen once the super specialty rates are implemented, expected in the next 15-20 days.
Q: How is the occupancy and margin trajectory for the Noida and Dwarka hospitals? A: Abhay Soi, Executive Chairman and Managing Director: Noida's occupancy is at 62% with improving margins, while Dwarka is at 81% occupancy with margins around 15%. We expect further improvements as new clinical programs are added.
For the complete transcript of the earnings call, please refer to the full earnings call transcript .
