Max Healthcare Institute Ltd

- The company expects incremental net debt to increase by around INR 500-600 crore in the near term (page 20). - Net debt is projected to remain below a ratio of 1 unless an M&A activity occurs (page 20). - Capex guidance for FY '26 is approximately INR 1,900 crore, with current capex run rate around INR 400 crore per quarter (page 20). - Management mentions that capex numbers are conservative and will be revisited at the end of March 2025 (page 20). - The company expects better cash flows from new beds coming online, which will support operating margins (page 20). - No explicit mention of new equity fundraising was made in the provided transcript. - The focus is on deploying capital efficiently with an emphasis on return on capital employed (ROCE) rather than chasing EBITDA per bed (page 21).

- Current capex run rate is roughly INR 400-450 crore per quarter. - FY '26 capex target is around INR 1,900 crore; the company is on track to meet this. - Capex is mostly back-ended, with conservative projections to avoid project delays due to financial closure. - Capex plans will be revisited by end of March 2025 with possible updates. - Incremental beds being commissioned are EBITDA and margin accretive, improving future cash flows. - Expansion projects underway: - Max Lucknow increasing capacity from 413 to ~500 beds by FY '26-end. - Gurgaon 500-bed hospital expected first phase commissioning by end H1 FY '27. - 100 beds at Nagpur with civil work started, targeted completion in 24 months. - 400 beds at Zirakpur (Mohali) on track for FY '28 commission. - 200 beds at Max Vaishali awaiting approvals, completion within 24 months post-approval. - 260-bed expansion approved at Max Dwarka to take total beds to 560. - New 450-bed hospital planned in Pune by 2030 to expand Western India presence.

- Network gross revenue grew 19% YoY in nine months ended Dec 2025, indicating strong growth momentum. - Existing beds are growing at low teens percentage rates, partly due to higher onco share and advanced services like robotics. - Capacity additions have faced minor delays but are expected to drive growth once operational (e.g., Dwarka expansion by 260 beds, Gurgaon hospital commissioning by H1 FY '27, Zirakpur by FY '28). - Institutional patient mix increased temporarily due to insurance disruptions but is normalizing, with cashless services restored. - ARPOB growth is moderate (3% YoY), reflecting stable pricing with medical inflation in low single digits. - EBITDA per bed expected to stabilize around INR 7.5-8 million, with focus on Return on Capital Employed (ROCE) rather than just EBITDA per bed. - Expansion projects including Max Smart, Lucknow, Nagpur, Vaishali, and Patparganj expected to add significant capacity by FY '28-29.

- Growth is expected to resume strongly from Q4 FY '26 onwards as capacity constraints ease and new hospital beds come online. - Addition of 1,200 beds including Gurgaon will raise operational beds to ~6,000 by FY '26 and ~8,000 by FY '28, as per updated presentation. - Incremental capacity additions are EBITDA and margin accretive, with new facilities like Nanavati and Saket already contributing positively. - Institutional patient mix has temporarily increased due to insurance disruptions but is expected to normalize, improving profitability. - Upward revision in CGHS tariffs anticipated to fully kick in by April 2026, supporting margins. - Focus is on Return on Capital Employed (ROCE) over EBITDA per bed, aiming for efficient capital deployment. - Seasonality and prior disruptions have impacted near-term growth, but sustained growth is targeted through both organic bed expansion and operational improvements. - Free cash flow generation remains strong, supporting ongoing expansions and shareholder returns.

The transcript does not specifically mention the current or expected order book or pending orders for Max Healthcare. However, it provides detailed information on bed capacity expansions and projects underway: - Adding approximately 1,200 beds including Gurgaon currently with around 4,800 operational beds. - Expected to reach around 6,000 beds soon and target of 8,000 beds by FY '28, further details available in the presentation. - Expansion projects underway: - Max Lucknow: Increasing capacity to 500 beds by year-end. - Gurgaon: 500 beds, first phase commissioning expected by end of H1 FY '27. - Nagpur: 100 beds project started, expected to complete in 24 months. - Zirakpur (Mohali): 400 beds, commissioning planned in FY '28. - Vaishali: 200 beds, work to start after approvals. - Patparganj: 397 beds, completion expected by FY '29. No explicit data on order books or pending orders was provided.