Earnings Call Overview
• Date: June 5, 2024
• Transcript submitted to National Stock Exchange of India and BSE Limited
• Led by Executive Chairman Dr. B.S. Ajaikumar
• Discussed audited financial results for the quarter and year ending March 31, 2024
Key Highlights
• Growth in Cancer Care: Emphasis on advancements in technology and increasing cancer incidence in India.
• Precision Medicine: Importance of genomic evaluation in treatment.
• Operational Insights: Transition to CEO Raj Gore for further details on performance and strategies.
Financial Performance
• Q4 '24 Results:
• 12% revenue growth
• 21% increase in EBITDA, resulting in a 19% EBITDA margin
• Total Revenue: 1,912 crores for FY'24
• Digital Revenue: Increased by 75% year-on-year
Strategic Initiatives
• Expansion Plans:
• New hospital developments in Bangalore (two facilities in 12-15 months)
• Strategic acquisition of a cancer care center in Indore
• Plans to add 350-400 beds in existing locations, particularly in Ahmedabad and Bangalore
• HCG Care Smart App: Launched to enhance patient experience, benefiting over 56,000 outpatients.
Market Position
• Leading provider of cancer care in India with a presence in 16 out of 18 cities.
• Focus on sustainable, volume-led growth despite competition.
Doctor Retention and Talent Management
• Low doctor attrition rate (<5%) due to strong empowerment and training programs.
• HCG's reputation aids in attracting and retaining top talent.
International Medical Tourism
• Unique offerings at South Mumbai hospital, including advanced technologies.
• 30-35% of revenue from international patients.
Debt and M&A Strategy
• Comfortable with current debt levels; exploring inorganic growth funded through internal accruals and external debt.
• Future capital expenditures projected at 65-70 crores for maintenance and growth.
Taxation and Financial Management
• Higher effective tax rate due to unrecognized losses in separate entities.
• Clarifications on TDS and its impact on cash flow.
Future Capacity Expansion
• Plans to add 125 beds in Bangalore by FY'26, with potential additions of 800-900 beds over five years.
• Emphasis on outpatient treatments and targeted therapies over bed count.
Conclusion
• Strong Q4 performance with optimism for future growth driven by strategic expansions and operational efficiencies.

Earnings Call Overview
• Date: February 9, 2024
• Submitted transcript to National Stock Exchange of India and BSE Limited on February 16, 2024.
• Discussed unaudited financial results for the quarter and nine months ending December 31, 2023.
Key Highlights
• Demographic Changes: Dr. B.S. Ajai Kumar emphasized India's rising cancer incidence and HCG's readiness to meet demand through 22 centers.
• New Initiatives: Launch of the HCG Care app for patient engagement and plans for a new 100-bedded hospital in North Bangalore.
Financial Performance
• Revenue Growth: 11% year-on-year growth, reaching INR 470 crores.
• Operational Highlights:
• 13% revenue growth from four operational radiation machines.
• Significant growth in Kolkata (57%) and Mumbai (17%).
• EBITDA increased by 7% year-on-year to INR 82.6 crores.
• Challenges: Flood impacts in Chennai and strategic scale-back in Bengaluru affected profitability.
• Profit After Tax: Decreased to INR 5.7 crores due to depreciation from acquisitions.
Future Plans and Expansion
• Capacity Expansion: Plans to add 350 beds over the next three years with significant capital expenditures.
• New Facilities: Transition of Ahmedabad Hospital to a larger facility; Whitefield facility focusing on women's health.
Management Insights
• Occupancy Levels: Expansion considerations begin at late 70% occupancy, particularly in oncology.
• Emerging Centers: EBITDA growth reported at 66% against a 19% revenue increase.
• Operational Capacity: Emerging centers not fully utilized, indicating potential for future growth.
Competitive Landscape
• ARPOB Improvement: Strong ARPOB in major centers; focus on high-end treatments and reduced Average Length of Stay (ALOS).
• Insurance Trends: Desire for increased reliance on private insurance post-COVID.
Regional Performance
• State Variability: Varying EBITDA margins across states; HCG maintains over 20% margins in certain regions despite lower government rates.
Conclusion
• Growth Commitment: HCG is focused on making cancer care more accessible in India, with ongoing initiatives and expansion plans.

Earnings Call Overview
• Date: November 10, 2023
• Submitted transcript to National Stock Exchange of India and BSE Limited on November 17, 2023.
• Discussed unaudited financial results for Q2 FY '24 and half-year ending September 30, 2023.
Leadership Highlights
• Dr. B.S. Ajai Kumar (Executive Chairman)
• Emphasized growth from a single cancer hospital to a leading provider of cancer care.
• Introduced new CFO Ruby Ritolia and acknowledged former CFO Srinivasa Raghavan.
• Focus on specialized cancer treatment and innovation.
• Raj Gore (CEO)
• Welcomed participants and reported strong performance metrics.
Financial Performance
• Q2 FY '24 Results
• 16% revenue growth.
• 14% EBITDA growth.
• 84% increase in PAT year-on-year.
• Revenue Contributions
• Top-line revenue of ₹487 crores, with significant contributions from HCG centers and Milann.
Strategic Initiatives
• Acquisitions
• Strategic acquisitions in Nagpur and Indore to enhance presence in non-metro areas.
• Infrastructure Expansion
• Installation of new LINAC and robotic surgery machines.
• Plans for further bed expansions and facility upgrades.
Market Growth
• Significant revenue growth in emerging centers:
• Mumbai: 42% year-on-year growth.
• Kolkata: 41% year-on-year growth.
• Nagpur: 60% increase.
EBITDA and Financial Projections
• Projected EBITDA margin close to 20% by early next year.
• Lease costs estimated at 3.5% to 4% of revenue.
• Expected improvement in EBITDA performance in Q3 and Q4.
Future Plans and Challenges
• Expansion Plans
• Indore Hospital expansion by 100 beds with estimated CAPEX of ₹40-50 crores.
• Inorganic Growth
• Exploring strategic acquisitions in oncology.
• Concerns Addressed
• Challenges faced by Milann Center post-COVID and timeline for potential divestment.
Financial Health
• Net debt of ₹310 crores with a net debt to EBITDA ratio of less than 1x.
• Management expects overall margins to improve as new centers reach breakeven.
Conclusion
• Raj Gore expressed confidence in HCG's specialized cancer care services and commitment to market share growth.
• Call concluded with Diwali wishes and gratitude from the moderator.

Earnings Call Overview
• Date: August 11, 2023
• Submitted transcript to: National Stock Exchange of India and BSE Limited
• Discussed: Unaudited financial results for Q1 FY '24 (ending June 30, 2023)
Key Financial Highlights
• Record Revenues: INR 461 crores, 13% year-on-year growth
• EBITDA: Lower than expected due to:
• Increased clinical talent investments
• Delays in LINAC machine installations
• Future Outlook: Anticipated improved performance in upcoming quarters
Revenue Breakdown
• HCG Revenue: Grew 14% year-over-year to INR 444 crores
• Matured centers: INR 331 crores (11% growth)
• Emerging centers: INR 113 crores (22% growth)
• Operational Metrics:
• 9% increase in chemo sessions
• LINAC capacity utilization at 69%
• EBITDA Margin: 16.6%, PAT increased to INR 7.6 crores
Expansion Plans
• Facilities expansion in Ahmedabad and Bangalore
• Planned capital expenditure: INR 85 crores (Ahmedabad), INR 25 crores (Bangalore)
Analyst Inquiries
• Chemotherapy Patient Distribution:
• Private patients dominate; scheme patients contribute 20% of revenue
• Milann Fertility Center:
• Revenue decline due to regulatory delays; focus on quality outcomes
• Acquisition Costs:
• Setting up a Milann center costs INR 3 to 5 crores
Margin and Performance Insights
• Recent quarter saw a decline in adjusted EBITDA margins due to:
• Lower performance in radiation business
• Expected improvement in margins as revenue grows and fixed costs stabilize
Acquisitions and Investments
• Positive impact from acquiring NCHRI and minority stake in Nagpur
• Anticipated EBITDA increase of INR 14-15 crores from acquisitions
• Focus on recruiting clinical talent, especially in oncology
Future Plans and Debt Management
• Plans to add LINAC machines in Kolkata, Nagpur, and Vizag
• Target debt-to-EBITDA ratio: 2 to 2.5x
• Focus on acquisitions over Greenfield projects, with expected payback in 6 to 7 years
Conclusion
• Management expressed gratitude for interest and support
• Invited further inquiries through Investor Relations before concluding the call

Earnings Call Overview
• Date: June 2, 2023
• Transcript submitted to National Stock Exchange of India and BSE Limited
• Discussed audited financial results for the quarter and year ending March 31, 2023
Key Highlights
• Revenue Growth:
• 21% growth for FY '23, reaching INR 1,691 crores
• Adjusted EBITDA increased over 31%
• Strategic Focus:
• Emphasis on patient-centric oncology care, technological innovation, and research
• Investments in marketing and clinical expertise to sustain growth
• Significant revenue increase from digital channels and medical value travel
Q4 FY '23 Financials
• Revenue:
• Consolidated revenues reached INR 442 crores
• HCG contributed 97% of revenue, growing 22%
• Operational Metrics:
• 18% increase in new registrations
• 28% rise in chemo sessions
• Profitability:
• Adjusted EBITDA for Q4 was INR 83.1 crores (up 23%)
• PAT of INR 8.3 crores for Q4 FY '23
Capacity Utilization and Expansion
• Mature Centers:
• Capacity utilization can reach 90-95%
• Emerging Centers:
• Concerns about inconsistent EBITDA growth
• New hospitals start with partial operational capacity
• Capital Expenditure:
• Current year's capex is INR 135 crores
• Focus on maintenance, technology upgrades, and expansion projects
Margin Trends and Future Expectations
• EBITDA Margins:
• Drop attributed to costs of upgrading radiation machines
• Investments in high-end machines expected to improve future margins
• Pay-Per-Use Model:
• More ROCE accretive, beneficial for low patient volumes
• Anticipated savings of $20-25 million in capital expenditures
Regional Growth and Market Dynamics
• Growth Opportunities:
• Emerging centers in Mumbai, Kolkata, Rajkot, and Jaipur expected to drive future growth
• Price Increases:
• Recent price increases implemented; focus on volume and capacity utilization
Receivables and Margin Stability
• Receivable Write-Off:
• Reflects long-term provisions for uncollectible debts
• Margin Improvement:
• Adjusted EBITDA margins improved from 13% to nearly 19% over two years
Capacity Utilization and Future Plans
• LINAC Machines:
• Current utilization at 68%, potential to rise to over 90%
• Plans to add more machines to meet demand
• Hospital Utilization Rates:
• Increased from 59% to 66% year-on-year
Financial Impact and Future Centers
• IndAS Impact:
• Annual impact of INR 70 crores on financials
• New Centers:
• Whitefield expected to enhance market share in Bangalore
Conclusion
• Commitment to keeping stakeholders updated on the company's progress and growth trajectory.

Earnings Call Overview
• Date: February 9, 2023
• Submitted transcript to National Stock Exchange of India and BSE Limited on February 16, 2023.
• Discussed unaudited financial results for Q3 and nine months ending December 31, 2022.
Key Highlights
• Leadership Insights:
• Dr. B.S. Ajaikumar (Executive Chairman) emphasized advancements in cancer care, research, and academic excellence.
• Introduction of a hub-and-spoke model and achievements in robotic surgery.
• Focus on genomics-driven tumor boards and clinical trials.
• Cancer Care Challenges:
• Raj Gore (CEO) addressed the pressing issue of cancer care in India, highlighting:
• Cancer deaths surpassing COVID-19 deaths.
• Economic burden of approximately $11 billion.
• Four critical gaps: awareness, screening, access to treatment, and outcomes.
Financial Performance
• Q3 FY '23 Results:
• Record revenues of INR 425 crores (19% year-on-year increase).
• Adjusted EBITDA rose to INR 81 crores (28% growth), with a margin improvement to 19.1%.
• Positive PAT marked a significant turnaround from the previous year.
Operational Insights
• Consultation Fees and Capacity:
• Consultation fees expected to conclude in Q4.
• Increase in operational beds from 1,794 to 1,873.
• Fertility Business:
• Stable revenues with a year-on-year growth of 9%-10%.
Margin and Growth Discussions
• EBITDA Margins:
• Ongoing investments in clinical talent and marketing impacting margins.
• Current EBITDA margins at 21-22%, with expectations for a 200-300 basis point increase.
• Cash Flow and Investments:
• Net debt remains flat at INR 210-212 crores due to investments in revenue-generating activities.
Technological Advancements
• Robotic Systems:
• Acquisition of da Vinci robotic systems under a pay-per-use model.
• 10 certified surgeons trained for the system.
Future Growth Guidance
• Occupancy and Growth Drivers:
• Growth not constrained by bed capacity; focus on outpatient care.
• Anticipated growth in ARPOB and patient volumes in emerging hospitals.
• Clinical Talent and Market Expansion:
• Continuous recruitment of clinical talent for new centers.
• Focus on multidisciplinary tumor boards in Tier 2 and Tier 3 cities.
International Business and Technology Integration
• Revenue Contribution:
• International patients contribute about 5% of total revenue.
• Technological Edge:
• Advancements in technology like CyberKnife and AI-based adaptive radiotherapy enhance treatment precision.
Conclusion
• The call concluded with an invitation for further inquiries, emphasizing the company's commitment to improving cancer care and operational efficiency.