Shalby Ltd (SHALBY)
🎯 Key Takeaways
- Shalby Ltd is in a strategic inflection phase, transitioning from a hospital-centric model to a diversified healthcare player with growing MedTech and international operations. While domestic hospital revenue shows steady growth, profitability remains constrained by low margins and high reinvestment needs.
- Revenue grew 15.2% QoQ to ₹331 in Q1FY27.
- ⚠️ MedTech revenue growth, while strong at 53% YoY, remains volatile and contributes a small portion of total revenue, making scalability uncertain.
- Market Cap
- ₹1,549
- P/E Ratio
- 41.0
- P/B Ratio
- 1.54
- ROE
- 3.9%
- ROCE
- 6.3%
- Debt/Equity
- 0.54
- Promoter
- 74.3%
📖 The Story
Shalby Ltd is in a strategic inflection phase, transitioning from a hospital-centric model to a diversified healthcare player with growing MedTech and international operations. While domestic hospital revenue shows steady growth, profitability remains constrained by low margins and high reinvestment needs. Management is targeting margin expansion and profitability milestones in FY27, supported by cost discipline and debt management, but execution risks remain given the nascent scale of MedTech and international markets.
📰 What's Happening
In Q1 FY27, Shalby reported consolidated revenue of ₹338.6 crores (+11.6% YoY) and PAT of ₹10.5 crores, driven by 7% YoY growth in hospital revenue to ₹259 crores and a 53% surge in MedTech revenue to ₹47 crores. EBITDA stood at ₹49 crores, with international operations in Gurgaon achieving breakeven. Management highlighted margin expansion targets of up to 20% for FY27, occupancy improvement to 51%, and profitability milestones for Shalby International by Q3-Q4 FY27. Debt cost was reduced by 30 bps without increasing net debt, supporting cash flow and ROCE recovery efforts. Additionally, Shanay Vikram Shah was appointed as Whole-Time Director pending shareholder approval at the AGM on September 10, 2026, while CEO Deepak Anand of Shalby MedTech resigned effective September 4, 2026, citing personal reasons.
Source: Stock Announcements
📊 Quarterly Results (₹ Cr)
| Metric | Sep 2025 | Dec 2025 | Mar 2026 | Jun 2026 |
|---|---|---|---|---|
| Revenue | 285 | 272 | 287 | 331 |
| Operating Profit | 24 | 13 | 11 | 23 |
| OPM % | 8.5% | 4.6% | 3.8% | 6.9% |
| Net Profit | 7 | 1 | 18 | 11 |
| EPS | ₹0.68 | ₹0.12 | ₹1.72 | ₹0.98 |
Revenue growth has accelerated from ₹272 crores in Dec 2025 to ₹331 crores in Jun 2026, with OPM improving from 3.8% to 6.9% over the last three quarters, indicating early margin recovery. However, PAT remains volatile, with ₹11 crores in Jun 2026 down from ₹18 crores in Mar 2026, reflecting rising operational costs or investment intensity. The company is reinvesting heavily, as seen in negative OCF of ₹-97 crores in Mar 2026, but improved FinCF of ₹84 crores helped limit net cash outflow. The balance sheet shows stable equity of ₹108 crores and rising reserves, while borrowings increased slightly to ₹540 crores, suggesting capital expenditure is being funded internally without aggressive leverage.
🔮 Management Outlook & What's Next
Management has provided forward-looking guidance on margin expansion (up to 20% EBITDA margin for FY27), occupancy improvement to 51%, and profitability milestones for Shalby International by Q3-Q4 FY27. They also emphasized cost and debt management as enablers of profitability recovery. The appointment of a new Whole-Time Director and the resignation of the MedTech CEO are structural changes being managed through governance continuity, with no immediate financial impact disclosed.
Extracted from official company announcements. Not StockFin.ai's opinion.
🏦 Balance Sheet (₹ Cr)
| Item | Mar 2025 | Mar 2025 | Mar 2026 | Mar 2026 |
|---|---|---|---|---|
| Equity Capital | 107 | 107 | 108 | 108 |
| Reserves | 885 | 899 | 898 | 895 |
| Borrowings | 476 | 463 | 540 | 535 |
| Total Liabilities | 1,704 | 1,717 | 1,839 | 1,782 |
| Fixed Assets | 888 | 893 | 1,064 | 891 |
| Investments | 95 | 112 | 62 | 87 |
| Total Assets | 1,704 | 1,717 | 1,839 | 1,782 |
The balance sheet reflects a stable capital structure with equity held steady at ₹108 crores and reserves growing slightly to ₹898 crores. Borrowings have increased marginally to ₹540 crores from ₹535 crores, indicating modest capital deployment rather than aggressive financing. The absence of debt reduction despite lower interest costs suggests reinvestment is prioritized over deleveraging, aligning with growth ambitions in MedTech and international operations.
💰 Cash Flow Statement (₹ Cr)
| Item | Mar 2025 | Mar 2026 |
|---|---|---|
| Operating | -4 | -0 |
| Investing | -36 | -97 |
| Financing | +48 | +84 |
| Net Cash Flow | +8 | -13 |
👥 Shareholding Pattern
| Category | Q2FY26 | Q3FY26 | Q4FY26 | Q1FY27 |
|---|---|---|---|---|
| Promoters | 74.3% | 74.3% | 74.3% | 74.3% |
| FII | 4.6% | 4.5% | 4.4% | 4.5% |
| DII | 0.2% | 0.2% | 0.3% | 0.3% |
| Public | 11.7% | 11.7% | 11.5% | 12.1% |
| # Shareholders | 53,784 | 52,495 | 51,415 | 50,770 |
Institutional holding (FII + DII) remains low at approximately 4.7% combined, with a slight decline in FII shareholding from 4.64% in Q2FY26 to 4.46% in Q1FY27, while DII has remained relatively flat. Promoter holding is stable at 74.33%, and the number of public shareholders has gradually increased, suggesting retail interest is growing. No significant selling by promoters or institutions is evident, but the low institutional participation may reflect cautious sentiment despite improving operational metrics.
⚖️ Peer Comparison — Healthcare
| Company | MCap (₹ Cr) | P/E | ROCE | ROE | D/E |
|---|---|---|---|---|---|
| APOLLOHOSP | 1.27 L Cr | 61.0 | 22.1% | — | 0.60 |
| MAXHEALTH | 97,412 | 66.8 | 14.4% | — | 0.27 |
| MANIPALHOS | 94,970 | — | — | — | 1.25 |
| ASTERDM | 65,184 | 121.0 | 12.9% | — | 0.17 |
| FORTIS | 62,782 | 59.9 | 13.3% | — | 0.29 |
| MEDANTA | 38,551 | 69.3 | 21.9% | — | 0.10 |
| NH | 37,160 | 45.3 | 13.7% | — | 1.07 |
| LALPATHLAB | 32,549 | 46.8 | 29.6% | — | 0.00 |
| KIMS | 32,181 | 150.2 | 9.7% | — | 1.44 |
| POLYMED | 16,587 | 52.6 | 15.1% | — | 0.06 |
🔗 Peer Stock Analyses
⚠️ Risk Factors
1. MedTech revenue growth, while strong at 53% YoY, remains volatile and contributes a small portion of total revenue, making scalability uncertain. 2. International operations, though breakeven, are still in early stages and may face margin pressure or execution risks in scaling. 3. Margin expansion targets of up to 20% for FY27 appear aggressive given current OPM of 6.9% and rising operational costs, requiring sustained cost control and volume growth. 4. The resignation of the MedTech CEO and leadership transition at the subsidiary could disrupt execution if not managed smoothly.
📋 Recent Filings
- Announcement2026-09-26Shalby Ltd announced that its trading window will close on October 1, 2026, and remain shut until 48 hours after the unaudited Q3 results are released…
- 🟡 Board Meeting2026-09-12Shalby Ltd announced that the appointment of Shanay Vikram Shah as Whole-time Director was rejected by shareholders at the 22nd AGM held on September …
- 🟡 voting results2026-09-11At the 22nd AGM on September 10, 2026, shareholders approved Resolutions 1 and 2 with requisite majorities, while Resolutions 3 and 4 failed to achiev…
- 🟡 Board Meeting2026-09-10Shalby Ltd held its 22nd AGM on September 10, 2026 via video conference, adopting audited standalone and consolidated financial statements for FY 2025…
- 🔴 annual report2026-08-20Shalby Limited announced that its 22nd Annual General Meeting will be held on September 10, 2026 via video conference, with the FY 2025-26 Annual Repo…
- 🔴 Financial Results2026-08-19Shalby Limited reported consolidated revenue of ₹338.6 crores (+11.6% YoY) and PAT of ₹10.5 crores in Q1 FY27, with hospital revenue at ₹259 crores (+…
- 🟡 Board Meeting2026-08-18No summary available
- 🔴 Announcement2026-08-18Shalby Limited disclosed the resignation of Deepak Anand, CEO of its subsidiary Shalby MedTech, effective September 4, 2026, citing personal reasons f…
- Announcement2026-08-13Shalby Limited announced that an audio recording of its Q1 FY27 earnings conference call held on August 13, 2026 at 10:30 a.m. IST is now available on…
- 🟡 Board Meeting2026-08-12Shalby Limited announced the appointment of Shanay Vikram Shah as an Additional Director designated as Whole-Time Director for five years, effective A…
🧠 Analyst's Read
Shalby is executing a strategic pivot toward higher-growth MedTech and international segments, supported by early signs of revenue diversification and margin improvement. However, profitability remains fragile, and execution of margin targets will be critical. Investors should monitor FY27 margin trajectory, MedTech scalability, and international breakeven sustainability in the coming quarters.
Based on filing content and financial data. Not a recommendation.
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Data sourced from stock announcements. Analysis generated by StockFin.ai.
For informational purposes only — not investment advice. Updated 2026-09-29.
Editorial & Data Transparency Notice
This analysis was programmatically compiled using StockFin AI utilizing official regulatory disclosures from the BSE and NSE. Content is automatically synthesized and audited against public financial filings. StockFin.ai is an educational research platform and is NOT a SEBI-registered investment advisor or research analyst.
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