Nephrocare Health Services Limited (NEPHROPLUS) Q2 FY27 Financial Results: PAT ₹37 & Revenue ₹282 Cr

Investor Takeaways

• Reported revenue of ₹282 crores in Q1 FY27, up 23.7% YoY, with Adjusted EBITDA at ₹65 crores and margin at 23.1%.
• Treatment volume grew 13.3% YoY to 10.3 lakh, with guests up 13% to 38,262.
• Added 26 clinics (19 India, 7 Philippines), totaling 550 clinics across 5 countries.
• Utilization target of 85%; price increases occur every 5-10 years (e.g., 35% CGHS hike after 10-11 years).
• Target 10-15 countries in 5-10 years; capex guidance: 40-50 Indian and 10-15 Philippine clinics annually.

Overall Tone: Positive

Key Financial Highlights

What Changed

Nephrocare Health Services reported strong top-line growth in Q1 FY27, with revenue rising 23.7% YoY to ₹282 crores, driven by international expansion (now 45% of revenue) and price increases. Adjusted EBITDA increased 30.6% YoY to ₹65 crores, with margin expanding 120 bps to 23.1%, supported by a 175 bps reduction in COGS and operational efficiencies. Treatment volume grew 13.3% YoY to 10.3 lakh, and guest growth reached 38,262, up 13%. The company added 26 clinics (19 in India, 7 in the Philippines), bringing the total to 550 clinics across 5 countries. Depreciation declined sequentially despite acquisitions due to RFID-driven asset tracking. Capex guidance remains at 40-50 Indian and 10-15 Philippine clinics annually, with new markets entered every 12-18 months. The company emphasized scalability in Tier 2/3 Indian cities (75%+ clinics) and rejected pin-code-specific expansion, focusing instead on network-level utilization (74%) and organic capacity growth. Tax rate averages ~20%, with Uzbekistan at 0%. The filing highlighted that growth is now driven by international expansion and network scaling rather than price increases, with margins improving through cost discipline.

Peer Comparison

Nephrocare’s growth metrics are not directly comparable to peers due to its service-based model and expansion focus, but its international footprint and clinic addition pace differentiate it within the healthcare services space.

Risks & Concerns

• No specific risks identified in this filing.

Quarterly Trend

(Note: Quarterly trend data provided only for Q1 FY27; no prior quarters included in the context.)