Yatharth Hospital & Trauma Care Services Limited ($YATHARTH)

Ladies and gentlemen, good day, and welcome to Yatharth Hospital and Trauma Care Services Limited Q4 FY '26 Earnings Conference Call hosted by Antique Stockbroking Limited. Let me draw your attention to the fact that on this call, discussions will include certain forward-looking statements, which are predictions, projections or other estimates about the future events. These estimates reflect management's current expectations about the future performance of the company. Please note that these estimates involve several risks and uncertainties that could cause company's actual results to differ materially from what is expressed or implied. [Operator Instructions] Please note that this conference is being recorded. I now hand the conference over to Mr. Sumit Gupta, Senior VP, Institutional Equity Research, Healthcare from Antique Stock Broking Limited. Thank you, and over to you, Mr. Gupta.

Thank you. Good day, everyone. On behalf of Antique Stock Broking, we welcome you all to the Q4 and FY '26 Earnings Conference Call of Yatharth Hospital and Care Services Limited. From the management side, we have with us today Mr. Yatharth Tyagi, whole Time Director; Mr. Amit Kumar Singh, Group Chief Executive Officer; Mr. Nitin Gupta, President, Finance and Group Chief Operating Officer; Mr. Pankaj Prabhakar, Group Chief Financial Officer; Mr. Ashutosh Kumar Jha, Group Chief Strategy, M&A and Investor Relations; and Mr. Sonu Goyal, Group Chief Finance Controller. I now hand over the call to Mr. Yatharth Tyagi for his opening remarks. Thank you, and over to you, Yatharth.

Good afternoon, and welcome to Yatharth Hospital & Trauma Care Services Limited Earnings Conference Call for the quarter and year ended March 31, 2026. Our earnings presentation has been uploaded on the stock stages and on our website, and we hope you have had the opportunity to review it. FY 26 has been an exceptional and transformative year for Yatharth Hospitals, marked by strong operational execution, strategic expansion into high potential health care markets, accelerated ramp-up of new facilities and continued strengthening of table excellence across our network. During the year, the company reported consolidated revenue of approximately INR 12,072 million reflecting a robust growth of 36% Y-o-Y, while EBITDA increased by 30% Y-o-Y to INR 2,921 million. On the clinical front, we continue to strengthen our position as a leading quarternary care provider through ongoing investments in advanced medical technologies, expansion of high-end specialties and onboarding of reputated editions. During the quarter, our hospitals delivered several noteworthy clinical milestones reinforcing the debt of our tertiary and quarternary care capabilities. Some of them are at Greater Noida Hospital, the neurosurgical team managed complex and retail flexes injury using a precision intercostal nerve-to-nerve mucositis in it is not transfer to restore motor function. In another case, reinforcing our neuroscience leadership in Noida sector 110 performed a navigation guided a week to anatomy for intracranial lesion in the speech area, followed by continuous intraoperative space monitoring enabling the patient to recover without neurological speech deficit. In sector 20 Faridabad facility, which has also emerged as a strong center for advanced GI interventions performing 13 OM procedures within 2 months of its starting and further strengthening our minimally invasive gastro sciences capabilities. We also pleased to witness growing recognition of our clinical leadership. Our Dr. Vinesh Mahajan was honored as pediatric cardiologist of the year at National Cardiovascular Summit 2025, while Dr. Dansukh received the prestigious Desh Ratan award 2025 for his contribution to pediatrics and neonatalogy. Dr. Kunal Baharani was recognized with the leadership in neurological Services Award at BOS National Healthcare 2025. And also Dr. Swardeep Ghosh, received the achievement award for the lifetime contribution to critical care medicine from ISCCMM Delhi Noida Gurugram. These recognitions underscore the strength of a growing clinical talent and a continued commitment to delivering world-class patient care. In line with a cluster-based expansion strategy and following the early success of a Faridabad cluster, we have seeded our next high potential cluster in the Gurugram market through the acquisition of an ultra-modern under construction super specialty hospital in Sector 40 Central Gurugram. The upfront consideration for this project is approximately INR 100 crores, along with an additional proposed investment of nearly INR 100 crores towards finishing and providing medical infrastructure. Once operational, the hospital is expected to deliver ARPOB in the excess of INR 50,000, positioning it among premium health care assets in NCR. Strategy located near IG Airport and key residential and corporate catchments, the facility is well placed to strengthen our premium health care positioning and expand medical value travel opportunities. We expect the hospital to become operational by April 2027. During the year, our newly operational hospitals at New Delhi and Faridabad Sector 20 witnessed a strong ramp-up. These facilities scaled up ahead of internal expectations and have emerged as meaningful contributor to the growth within a short period of commencements. Together, these 2 new hospitals contributed approximately 11% to revenue in quarter 4 FY '26 and continue to deliver healthy operating metrics, including superior ARPOB levels and a favorable payer mix, largely comprising cash and TPA patients. We also successfully integrated our 250-bed Agra hospital, which strengthens our presence across the NCR Agra Healthcare corridor via the Yamuna Expressway. Since its integration effective February 2026, the hospital has demonstrated encouraging traction, achieving a monthly revenue run rate of approximately INR 7 crores along with double-digit EBITDA margins, reflecting strong patient inflows and a healthy operating start. Establishing our clinical excellence, we installed Agra's first [indiscernible] robot and have successfully completed 50 robotic surgeries till date in areas, in the cities nearby Agra, robotic surgery is something which have been provided for the first time in Yatharth Group has taken initiative by completing such a large number of robotic surgeries in that region. With strong connectivity to our Noida and Faridabad facilities, we expect the the Agra Hospital to evolve into a key feeder hub for oncology and other high-value specialties over the medium term. Our Greater Faridabad hospital, which commenced operations last year delivered strong performance and achieved profitability during the year, demonstrating our ability to efficiently scale and turn around new assets. During the year, we further strengthened our focus on international collaborations and global outreach. A key milestone was our association to become the exclusive hospital partner for the now operational Noida International Airport at Jewar, which is expected to significantly enhance international patient access and regional health care community and connectivity. As part of our medical value travel initiatives, we undertook multiple international outreach programs across the Middle East and the CIS regions, hosted international delegations, conducted OPD initiatives and participated in strategic health care forum, strengthening long-term partnerships and global presence. Looking ahead, we remain focused on scaling up our newly added facilities, driving operational efficiencies, enhancing specialty mix and strengthening our presence across high-growth health care markets in North India. With the upcoming Gurugram facility and brownfield expansions planned at Nord extension and Greater Noida, our total bed capacity has reached over 3,200 beds. We remain confident of achieving our target of 5,000 beds over the next 3 years. With newer hospitals demonstrating higher ARPOB levels, we expect a meaningful uplift in overall growth realization as these facilities continues to scale up. FY '26 has been a transformative year for the group. And the early success of our new facilities gives us confidence in sustaining and eventually potentially surpassing the Y-o-Y growth that we have shown for this year, for the year to come with this growth trajectory in the coming fiscal. Thank you. And now I'll pass on to Mr. Pankaj Prabhakar, Group CFO, for his management commentary on the financials.

Good afternoon, everyone. I am pleased to share that Yatharth Hospitals has delivered a strong performance in quarter 4 financial year 2026. robust note. During the quarter, we reported a revenue of INR 3,416 million, reflecting a growth of 47% year-over-year and 6% quarter-over-quarter. For financial year '26, the company reported a revenue of INR 12,072 million, registering a 36% year-over-year growth. This performance was driven by sustained momentum across our existing hospitals, along with increasing contribution from our newly operational facilities. Our established hospitals maintained a healthy growth trajectory during the quarter and throughout the year. Supported by higher occupancies, strong patient footfalls, increasing surgical volume and rising contribution from super specialty treatments. Occupancy across the network stood at 71% in quarter 4 financial year '26, while financial year '26 occupancy stood at 68%. Our Noida Hospital operated at 86%, Greater Noida at 76%, Noida extension at 61%, Jhansi at 86% and Greater Faridabad at 69% during the quarter. Our ARPOB improved to INR 3,282 in quarter 4 FY '26, up 5% year-over-year, while FY '26 ARPOB stood at INR 33,124 up 7% year-over-year. Notably, during quarter 4, our Noida Extension Hospital reported its highest ever ARPOB of INR 47.800, up 23% year-over-year. Greater Noida Hospital at INR 40.300, up 12% year-over-year, while our newer hospitals reported encouraging initial ARPOBs with New Delhi at approx INR 40,000, Faridabad Sector INR 20,000 [indiscernible] 38,000 and Galaridabad at INR 31,000, reflecting sustained improvement in mix. On the profitability front, we achieved our highest ever quarterly EBITDA of INR 79 million, reflecting a growth of 37% year-over-year with EBITDA margin at 23.4% FY '26 EBITDA stood at INR 2,921 million with margins at 24.2%. Adjusted for initial ramp-up losses at our new hospitals, adjusted EBITDA margin remains strong at 30.4% in quarter 4 and 28.5% for FY '26, reflecting operating leverage and improved mix. Profit after tax quarter 4 FY '26 stood at INR 447 million, up 15% year-over-year, while FY '26 PAT stood at INR 1,703 million, reflecting a growth of 30% year-over-year. The improvement in profitability was driven by strong revenue growth, operating efficiencies, better realizations and the scale-up of newer hospitals. Our balance sheet remains robust, supported by a strong cash generation and disciplined capital deployment. During the year, pretax operating cash flows stood at INR 2,866 million with a cash conversion ratio of 98%, reflecting significant improvement in working capital efficiency. We ended the year with a healthy total cash position of INR 3,931 million, a net cash position of INR 1,160 million, providing us with ample financial flexibility to pursue growth opportunities while continuing investment in infrastructure, technology and clinical excellence. With a strong execution engine, improving our occupancy trajectory, ramp-up of new hospitals, including ARPOB and continuous focus on operational efficiencies and specialty expansion, we remain confident of sustaining healthy growth momentum in the coming quarters. Thank you for your attention. I would like to hand over the call to the moderator for question and answer session.

[Operator Instructions]. We'll take the first question from the line of Ashutosh Ansari Universal Sompo.

Just wanted to understand about the new hospitals, Agra, Faridabad, Jhansi and Gurgram, would you just tell about the operational parameters, how those things are performing on these newer hospitals? And one is that Jhansi, what is the specific J what is the how much occupancy is currently running at, you said 86%. Is it that the ARPOB has increased in that because we have been seeing that the ARPOB for this particular Jhansi was not up to the mark or not up to the company level. One is that? And second question on the interest cost. We have seen a significant rise on a sequential basis on the interest. So just wanted to understand how is your debt position? And what would be the debt position in the coming year?

Yes. So basically on the occupancy front, I have been saying about it, our new hospital family, we have opened in nearly Faridabad Sector 20 in Agra. So we have enough headroom in the occupancy level we have a current occupation level of 22% in the model down that is Delhi with the center capacity of handed by, but we have capacity back of 300 beds in. Similarly, if you say all the things about the newer hospital, we have a current comes of 52%, 100 beds with the capacity of foreign net beds there. In the Agra, we have a current occupancy level of 52% with the sensors bet is the overall capacity of 250 beds. So the overall bank expansion and the capacity we have had an up headroom to grow with the occupancy level and on the kind of Jhansi. Jhansi currently operating around 85% occupancy on the been level with the bed capacity of around INR 35. So we have headroom there also to have a complete network for comment expansions.

As far as your question on the impact of Jhansi and overall group is concerned, even though has ARPU is lower than the group average, the impact at a group level is not significant because the whole contribution to has in terms of our revenue pie is very less -- so if you look at it, in fact, our -- as we mentioned in the commentary, the ARPA has been growing really at a good pace for our -- even our mature hospitals of Noida extension Greater upwards of 43,000 and 48,000 as far as the ARPOB is concerned.

And in relation to the interest postelection. So as we know, we have invested in Agra. So we have taken certain loan Panda unit -- they're the main reason there is upside in the interest cost, what you're asking for.

And as far as the debt levels are concerned, somewhere our debt today is at INR 230 crores, but going forward, there would be still certain debt, but we would also be generating store on internal acute as well as strong cash flow conveys which has been further leading to higher internal also going forward, yes, we will also take some debt. But even if you look today, as far as our net debt cash position is concerned. So we stand our net back to the stands at [indiscernible]. So our net debt is today net cash position is INR 115 crores.

Okay. Are there any news for increasing the ARPOB going forward?

So if you look at the strategy we have had for the new hospitals, even the Delhi hospitals, the sector 23 -- these 2 have just recently started, but then also showing a starting ARPU of upwards of INR 40,000. So as volumes and cases specialties mature in these hospitals, -- these will be significant levers for further growth. As far as Guanais concerned, we expect RPO Guan to be upwards of INR 50,000. That has to do primarily because of 3 reasons. First is the optimized case mix there, having international patients, high pricing of private insurance and cash tariffs in that Gurugram region. That will also significantly help us for the growth levers in our core. And constantly, we have been increasing the pie of our private insurance as well as cash and international patients. which has also led us this year to a Y-o-Y growth of around 7%. As far as ARPOB is concerned going forward also this growth should be close to 10% for upcoming years is conservative. -- to add, we are also improving our specialty mix across all our hospitals. So while Nardiextension has a large share of superspecialty hospitals, we are also improving the share of the past cases. in -- on the other hospitals. That will also help improve the ARPO.

We'll take the next question from the line of Satyam Kumar from JM Group Financial Family Office.

Sure. Sir, like I have a couple of questions. First is like, can you like talk us through like how -- what steps have companies taken listing for strengthening the corporate governance? And how do you feel like going forward, what SIPs company would take? Or is it now things are more or less settle? So first question is with regards to overall corporate governance. How do you see evolving it going further?

So for us, since our listing corporate governance is 1 angle that has been a top did for the management. And if you look at our journey since listing and especially in the last 1.5 years, we have taken multiple steps to further strengthen our corporate governance. It all starts with appointment of top 6 audit firm, BDO international, the NSC associates have been appointed as some statutory auditor a couple of quarters back. In fact, this year's financial results were the first results with the [indiscernible] interest as a factory auditor. Second step we took was appointment of Mr. Ramesh Kristian as an independent director. So we have expanded our board. We have added a strong independent director. So today, we have him and his expertise. He's a professional seasoned health care leader who has worked across different organizations and helping and strengthening our profit government as far as the board level is concerned. Another step that we took was appointment of Deloitte as an internal auditor. This also happened during the course of last 1 year, which has further help us to fast at our financial systems, the processes and strengthening the winning and mechanisms through the help of Deloitte -- so these are the few steps that we have taken as far as improving and strengthening our pocket governance is concerned. And going forward also, just to add, on a quality side of business, we are adding a couple of very key positions as far as operations are concerned for taking care of our medical operations as well as in the quality side of it.

Understood. And another question, which I have that is more on the expansion side. we have shared that companies signed to have 1,000 bed counts in the next 3 years. So just I would like to -- first, I would like to notice that I literally like the way you have expanded your portfolio, the kind of acquisitions you have done. So going forward, do you see like acquiring those hospitals or you will be building hospitals for scratch also, like in any reason, if you would like to share? I know -- it's a space, but anything in your mind? And will that increase the debt levels as well? And how it will impact profit and compatibility that kind of thing, but how you're looking to expand basically.

As far as the back target of 5,000 beds is concerned over the next years. So 3,200 beds have been already announced. Over and above the 2,500 beds that we currently operate, the loan extension and the great order and the pro still upcoming that adds to the 3,200 beds -- as far as the charges of 5,000 beds over the next 3 years is concerned, first, we see that we might even reach there a bit earlier rather than the 3 years. We [indiscernible] surpass our bed capacity companies in the past and it might be possible going forward also. As far as the question on the greenfield, brownfield and the acquisition split is concerned, of these upcoming beds, we see around 70% would be acquisitions. -- mostly and 30% rent would be through greenfield that we will be adding. And -- these would be primarily be in the cities that we very well understand and know. We have not just gone to any outside areas just because the hospital acquire. We have been selectively choosing an asset and then going forward for an asset because for us, geography matters a lot. There's a reason why all the recent acquisitions have done very well because they have been strategy located in the well-established markets of NCR, bigger cities of North India, capital cities of the state, Uttar Pradesh, Haryana Punjab. These have major cities and metro cities where we would also like to be going forward. As far as the CapEx plan for these bed expansion is considered, we feel that -- we have a good cash position as of today. And there's still room way for certain debt is concerned. And as we said that because of cash conversion percentage, we would be generating higher international going forward. So we are well in a position to fund this CapEx. There is no plan to raise any point and going forward for the specific 5,000 big capacities concerned.

Just a small follow-up on this. Like as you said, like the geography is important for you and also might come through acquisition. So I just wanted to specifically understand what hard hospital does differently -- like we have M&A team or let's how we do list we come up with such good acquisitions, and just operational thing, I would like to understand what -- how company is different from any other company when it comes to acquisitions? because I believe we are at the forefront of equation. So operationally, if you can sell out what different we do.

So I think there is a strong team, which is led by so who's sitting with us today. He had the group M&A strategy. So he has been instrumental in some of the acquisitions that we have done recently. Also, we have a team who is constantly looking out for assets -- but we also have a very straightaway cleared the guidelines as far as acquisition is concerned. It's not that we need to frame guidance for every asset that we see for us. the CapEx per bed needs to make sense for us. If the geography is big enough, if it's a proven health care market within the micro market also. And what has been instrumental is the cluster approach that we have taken -- if you look -- we started with 1 hospital in Nordan, we have 3 also there. We started with 1 possible there. similarly, we just needed a new cluster in Gurugram with 1 hospital. But each of these clusters, and again, the UP cluster that we operate, which has the Agra and the Thanatospital, has the potential for a cluster-based approach, which really helps us to sort of ease into the acquisitions while identifying the cluster that we want to operate in, and then we choose the assets are available in those clusters.

The next question is from the line of Akshat Mehta from Seven Rivers Holdings.

So my first question is on understanding the big jump in oil expansion rate or just purely because of the jump is there something else we can increase.

So more EBITDA jump on OPD translated into the IPD. And first is, all this as we have mentioned in our previous commentary that these supersites are not mature. So I think quarter-on-quarter, they are getting matured. -- new line of treatment getting added within the superficiality -- so I think these are the last it has improved significantly. There's also a growing increase in our international patients as far as greater and no-extension hospital is concerned, the pie of the international patients, specifically in these 2 hospitals that significantly increased, which has hugely contributed and even surpassed our ARPOB expectations for these 2 hospitals growth is concerned and especially with the -- now the new Noida [indiscernible] very soon intensive price will be taking off from there. the ecosystem around the whole international tourism and medical tourism within the Noida zone is really at an increasing trend, and we feel that both these 2 hospitals are benefiting from the industry trend.

Just a follow-up, can you share with us what the oncology share in extension now it was 19%, 20% earlier?

It is somewhere around 30% today as far as Noida Extension Hospital is concerned. So the oncology share is growing close to, I would say, close to 30% from 20%. And this is primarily due to increase in key ADS surgical oncology, that is the surgical oncology and the bone marrow transplant is concerned. So we have been performing very good numbers of bone marrow transplant, which is also contributing. We have also added a new oncology team of doctors within the Nordic tension hospital, which is further helping us to drive this going.

And my second question is on the revenue and margins or how should we look at to in FY '19 because bananas come all the action that we're completing ships going to ramp up in '27. So how should we look at the margin and the revenue.

So as far as margins are concerned, we have always maintained that at a consolidated level for the full year. our margin guidance has always been somewhere around 24% to 25%. And we have been delivering on that. And going forward also, we do not see any variation from our margin guidance is concerned. -- even, yes, a new hospital might be coming in 27, but we have had 3 new hospitals that have come up in 26 also. We have added around 1,000 bit capacity in the financial year of 2016 and even then we have been at a steady margin of upwards of 24% for the whole year is concerned. So we feel that, in fact, from this financial year, EBITDA margin next financial year EBITDA margins should actually be better -- and similar story would also be seen as far as our revenue growth is concerned, this full financial year, we have grown somewhere close to 26% in the revenue Y-o-Y -- we feel that in 2017, this we would surpass this 26% Y-o-Y revenue growth.

For that, sir, when do we expect the breakeven for this [indiscernible] and Faridabad hospital [indiscernible].

So both these hospitals are -- I mean doing fantastically well to very honest that is going beyond our expectations. So probably the Faridabad unit, S20, I think that's probably the first hospital would be in our growth, which will be obviously breakeven in a month of probably 10 to 11 months maximum. For Delhi is concerned, deli take probably close to the 14 to 15 months. I think both in hospitals combined together, you will see in this FY '27 H2 that both these 2 hospitals would be EBITDA, EBITDA breaking.

Okay. If I can ask one last question. So I just want to understand where are we in the cycle of our printed have started construction or exactly where are you? And why is it taking kind of is that taken a apace with all the new bids coming in with the brownfield additions? Or where is it exactly.

So we have commissioned a greater [indiscernible] Bronte expansion plans. We have just finalized the structural drawings and the basic construction work has also started. As far as the Noida extension conferred, similar phases there. This is not that we have deliberately slowed it down. It's just that we feel that when we were adding a new bed in the other parts of NCR, that became our first priority. However, the legal formalities and everything have now been completed for both these hospitals and we feel that at the right time because these both hospitals still have some occupancy ramp up yet to be seen. So by the time we will have these broad capacity with us is when we will actually be acquiring them. So as far as those who danicopan concerned, it's pretty much on track.

The next question is from the line of [ Nile Parik from Pabititi ] Ventures LP.

So I have 2 questions. Firstly, can I get ARPOB is the occupancy percentage across all the units? And my second question is what is the outlook for the is better gain for by the end of FY '27?

Yes. So we have an overall blended capacity -- occupancy of 17% in the quarter 4, we be kind of a new hospital adding behaving kind of headroom there has been explained in the earlier question as [indiscernible. So the Morton Hospital, which has been recently opened in this financial year, I mean occupancy of 32% on the senses better with the capacity of banks on the free up our new one, having the occupancy of 52% with the sensors baton have been the capacity of 400 beds. Agra having an occupancy of 52% on the senses of 110x the capacity of 250 reds. Greater Noida having an occupancy of 76% with the sensors of 330 and the capacity of 400 beds with the further expanded as explained in the -- for the brownfield expansion not. Noida, we have occupancy of 86% with a sense of 15 to the capacity of 250 beds no ascension will add occupancy of 61% with the sensors of 390 beds with the total capacity of 150 with the further expanded capacity in the brownfield project. Jhansi having occupancy of 86% will be censored by full capacity of 305 beds and the data lab, the old file hospital having an occupancy of 61% with the sensors be 10 in the capacity of 200 beds. The overall occupancy is around 71% in with an year end of 68% in totality.

My second question was regarding this outlook for the later days by the end of FY '20.

Yes. So sir, as we told earlier, for FY 2025, we come better days of 124 at a day -- and this year, that is financial 2026, we had a data days of 12. This is by driving process efficiency and controls and by reducing time to display the base and upload through forcing the same. For FY '27, the outlook around 9 to 25 days. But we are from to 25 days for FY 2027.

The next question is from the line of [ Vik Shan Gupta from Geojit ] PMS.

Just 1 question. So what is your [indiscernible]mix for FY '26 versus FY '25?

So the [indiscernible] mix is almost the same only at the 2%, 3% down. So the government payer is around close to 35% and remaining as a cash and TPA. But as we had mentioned in our previous business for going on to reduce it by close to around 25% in next financial year.

So you think in the next 2 financial...

Sorry, I'll just add you, therefore, that if you look at it in any new or hospitals, the government business percentage are very, very low, and that's what we are keeping control on it. And then exiting on also we are very selectively choosing it. So when the sector 20 Faridabad have started and the model town Hospital has started and the Gurugram hospital is starting in few quarters. the government business in those hospitals, we are not expecting more than 10%, 12% within 2 years. So this is where the overall pie of the government business will come down. When the impact of these newer hospitals increases as far as the revenue contribution is concerned, we are able to do it because today, we are being joined by most reputed clinical star doctors within those cities who are bringing huge linage of private insurance and self-patients as well as international patients, which now we can cater to at a large deal because we have those treatments, which are required to classification, something which we are not having 4, 5 years back. This is how we are very confident and already being reflected in the numbers of new hospitals that in 2 years down the line, the government business should be somewhere around 25%.

And in the 35% government mix that you said majority is CSS>

So basically 3 themes. It's CBS, CSS and ESI. So the rates of all these are sort of at [indiscernible] varies hospital to hospital, but I mean it's difficult to say overall, what is en -- so it has -- some of the hospital is a higher percentage. You want to largest society have sent a more. So largely a similar price.

But that means most of the rates are to date CSS?

Yes.

Okay. Okay. And last question for me. Are you seeing any they been international patients in Q1 FY '27 due to the West Asia prices

Yes. So it is a board. Overall, we saw that whatever had happened in the last 3, 4 months, a little bit dip across the industry, but we believe that particularly for India, like Bangladesh was closed, Afghanistan was close, Middle East has got acetate, but we believe that the coming quarter, I think these things will get over and will be benefited largely. Our efforts are very much into it. In fact, we are very strongly focused on the African market. we have sent our very senior resources in those countries, 2, 3 are mid genders are getting operated started very soon. some of the initiatives which we took in the last financial years, I think these are getting matured. So we are getting a sustantial inflow from those regions. So yes, we see that the next quarter coming quarter, I think the numbers will be much better.

The next question is from the line of Dhaval Sangoi from Canara HSBC Life.

So could you quantify the CJSF related benefits which you would have booked in FY '26.

So there is upside of around 5% in our overall business with the evident by the government. It was come in the month of December.

So from December onwards, if we see each month-on-month, we have benefited 5% in the overall revenue for the increase in the rates is concerned and around more than 3% of that has flown to the EBITDA that is also concerned.

Okay. So suffice to about INR 1,200-odd crores and maybe INR 60 crores to INR 70 crores would be the benefit in terms of the overall lease.

That happened from December onwards right? So the real impact you will see would be from this year. So I think from Q3 and Q4 media Q3 -- second half and Q4 Middle East where the 5% increase. So complete effect of 5% has come only in the Q4 quarter pf FY '2026, for the complete effect of 5% will come in the next financial dates by 2027.

Okay. And my second question is on the oncology side. So some of your peers have sort of reported disruption with regards to chemotherapy as that there has been some price controls and some concepts. So have you seen any impact at all in terms of our volumes or numbers?

So yes, there has been an impact, but it's not a huge impact as far as we are concerned. So if you see as a group level, oncology contributes to 10% of our overall revenue. Now what we have measured is certain oncology drugs that were sort of the pricing had been capped -- as far as those impact is concerned, within that 10% Oncology revenue, we see somewhere an impact of close to 20% or 30% of the pricing within that 10% of oncology. So it's not that we have stopped those drugs completely -- we do also understand that the substitute of drugs are not a takeover and not that easily available. So yes, we have been see a marginal impact. However, for that also, we feel that going forward this year as far as because of the revision of the CDS rate still the pie of oncology revenue will continue to grow for us. And still for oncology, if you see, there are certain of our hospitals that we have recently started on called on all the machines like the edition of all still going to start soon in the sector Faridabad is concerned, for the model town, Delhi is concerned. So for us, the oncology revenue will continue to increase. However, there is a very marginal impact that we've seen because of the new government policy that has come up.

Pankaj already mentioned by Mr. A, if you have not strobe,some of the patient bringing medicines from CEDspensery. We are also doing telematics to minimize the impact -- there are also other extreme in oncology like radiation oncology, Stateron Clog and Bonetansplant, we are focusing more.

[Operator Instructions] We will take the next question from the line of Surya Narayan Nayak from Sunidhi Securities.

So I want to ask other question with the acquisition of the hospital in Gurugram what kind of specialty mix are you targeting for the facility?

So Gurugram, see, if you see any of our hospitals completely detected in ports be offering in the same good because we believe that the Gorgon is a very competitive market as well, but it has the same time it ties a huge potential catchment, right? So we have to have a very periportal facility in Gurugram.

Okay. And could you elaborate on the estimated time line you're targeting was this Gurugram facility to reach breakeven. Additionally, it would be helpful to understand the expected mix more so much specialty perspective from our payer mix.

So I think that is the urban will be up in the next 13 to 15 months' time, right? And as far as mix is concerned, there definitely will be more on the self-pay and the insurance business. As we mentioned just now, that we want to have a big control on the government business.

And similar expectations would be to breakeven would be somewhere around 15 months from the date it is optionize -- we're quite confident the should be on our books from the first day of the very new financial year is concerned.

The next question is from the line of Arjit Agrawal from [indiscernible] Capital. I have unmuted your line, sir. As there is no response, we will move on to the next question from the line of Vidhi Shah from CR Kotari and Sons.

I would like to know what is the current loss that we are incurring from the new hospitals? And when do we expect the other [indiscernible].

The entire and the moon ore. So we have a loss -- EBITDA loss of INR 21 crores. Timely in the fear hospital which started in this year having a bit loss of lines here. overall, the percentage of the EBITDA drag is around 2% in the overall pie in the metros. But as you said about in the H1 nearly around 12 months to 15 months, we will be able to have the breakeven of the EBITDA to the kind of a spot on entire one. For Agra, itself is contributing around 18% itself. It's a profitable hospital, and it is contributing EBITDA margin, which is having an EBITDA margin already 18%, so when we acquired the hospital was already breakeven. So it's not a bit a drag for us.

Okay. That's understood. Is there any revenue and margin guidance for '27 and '28.

See, we already have said that we will surpass the growth that we have shown this year as far as both the EBITDA and as far as the top line is concerned.

The next question is from the line of Rishikesh Boy from Purnartha Investment Advisers.

Yes. So I have 1 follow-up question in [indiscernible] so what is the cost further for greater Noida and extension expansion -- is there any cost circulation on the line due to uncertainty in current in prices?

So I think the cost of both these 2 hospitals brought to expansion is concerned, is somewhere around INR 7,500,000 CapEx per bed. That is because we have already acquired Lag.sothat doesn't include the land. And also because certain machines and certain things are already there in the towers, which are already running. So that's why the CapEx per bed would be around INR 75 million per bed, and there's no escalation in the cost that we expect there.

The next question is from the line of Satyam Kumar from GM Group Family Office.

Sir, just wanted to know like what's the current status of the income tax issue, like where we are sitting right now?

Income tax issue is almost at a final leg of confusion. If you go through the order notes of this fiscal year's balance sheet also, we have closed certain years, 7 years, order has come. However, the company has look into that and do not see any major financial liability or any large costs as far as that is concerned. For the complete case order to be out there, we feel that before the end of quarter 2 for this financial year is somewhere when the whole matter would be resolved. And today, as far as we're concerned, there's no financial liability or any impact as far as our operations or any financial operations are concerned. And there has been no FDs or any assets that has been provisionally [indiscernible] is to come to there.

Understood. I mean just 1 last thing. So is the margin profile of poses conducted under different government schemes are like different, like margin profile is. So is it -- is it the case?

So it is -- if you look at the CG ECHS and ESI, the margin profile is sort of similar size these 3 schemes are concerned because the pricing is same. They all follow rate CGHS. As far as Ayusham is concerned, that is where the margin profile differs. It tends to be much lower. However, ITMs something that we yes.

Yes, no, sir. I was actually asking the margin profile of a different persons like the margin profile which a cardiac procedure will give is the same from neurology or benefiter government scheme. So is the margin profile different? And for the different procedure under the same code scheme? Is this do we focus on -- do we focus on conducting high-margin procedures in the government scheme? Is it the case? I just wanted to just all the questions I have.

Yes, the margin profile definitely varies within the government estimates. It depends on what procedures you are 1 for surgical procedures, margins article if it's conservative, the margins are very different there right? And what is the second question? For example, oncology tends to have a better margin than compared to, let's say, any other procedures within the government scheme as sold as cardiac procedures. So yes, we also selectively sometimes try to focus on high-margin facilities even within the government profile. But again, that depends on, let's say, we're starting out in particular regions. And we have a build capacity of maybe you need bring those numbers to fill the beds. So I mean, that's the journey, right? So as you get matured, as your occupancy gets bid, you try to be a bit more selective and the controls over the business.

Understood. And ARPOB for Agra Hospital?

Agra is getting around close to around 27,000 ARPU, which is from that reason, it's quite good.

The next question is from the line of Akshat Mehta from Seven Rivers Holdings.

I just want to [indiscernible] what was that?

26,000.

26,000. Okay. Other question was on the overall to to understand the 5% on the revenue front and 3% on the EBITDA trend and A couple of calls back in FY '27, we had estimated that the revenue impact is 2.5%, and it will be 1.5% on the EBITDA net. Does the benefit kind of gone up? Or is this because 3% after we should accordingly take it for the full year.

So the benefit always as far as the C thing is overall business has been similar. -- the benefit of CDs on the purely government business, if you compare on that percentage tends to differ. So probably, that is where the different number might be in your those numbers that you were voting 4.5% and 1.7% to 4.5% was for the full quarter, and that's the same that we are quoting now also. 1.7% in the quarter when the scheme -- the price increase was implemented -- so we did not get the benefit for the full quarter. That's why the benefit for that quarter was 1.7%. And even the benched also happened in a stage-wise taken schemes have first implemented the rate revision. -- certain schemes took more time. So now as far as the full implementation of the rate revision has been done across CGHS, ECHS and ESI. That's where in our overall calculation, we feel it should contribute 5% to our overall revenue.

Okay. And sir, my next question is if you look at your balance sheet, sir, there has been a big jump in your other access to your financial assets to current assets that.

So there is a FDA's a petition book of accounts as for the NDA. So these are FDA in other financial asset. They're the only reason you're getting upside in the number as compared to the last year.

So in the last week of the financial year, we have good collections in hand from the different payers. So we have parked the funerary into these so that we can get the best returns from that.

The next question is from the line of Gopal Bhat from Baroda BNP Pariba AMC.

Yes, I wanted to check, I was having a look at the strategy slide in the deck. And I see that you have sort of emphasized the cluster-based approach and really I just want to check that given how do you view the competitive dynamics in the overall market, given you have much larger players in the market as well. And something related to that, what is the differentiation in the strategy of your Yatharth versus other peers?

When we talk about cluster-based approach, if we sort of tend to become the largest player in the areas of our core operations. So similar to what happened in Noida, we have already proven that it 3 hospitals. These are sort of different micro markets within the same city. And this is what we're doing with Sadara. The 2 hospitals in Faridabad and the [indiscernible] Noida, sort of 20 kilometers from each other. So we tend to cater to different micro markets within that same city. However, that gives as the upper hand in that brand building within that city is concerned. So today, when we are trying to attract start of rises, having 2 hospitals on different sides of the town, each to different micro markets within that city helps us to have that talent on board. Within that Delhi region also within the ruble, this is the same approach that we will follow. What makes it sort of different in the sense that we identify hydro markets. which are sort of unmet within NCR and the regions beyond there's still a lot of areas, which our city might have a lot of hospitals. But within those cities, the other areas are still upcoming area, which are coming up with population with high that we are identifying. And so that helps us to move early into those regions and build a bigger brand within those cities are concerned. And I just found that ARPOB is what you're looking at. Our UP cluster which started to see from Agra still has huge potential. So as Haryana beyond this Gurugram, we we will be looking at a much bigger market across North India, and we feel there are assets available to acquire -- some might not take the certain other players who might be looking for at the land part bigger size for a hospital. And sometimes for us, it might be okay as far as that size is concerned. Some other players that you mentioned might be auditing present in those areas. But for us, it could be a good entry into those areas. And these are the things which will solve helped us to make these acquisitions, and that's why we feel confident of the parting of target of 5,000 bees over the next year, I think we should be there much earlier.

Okay. And sir, sorry, second part or if I could just follow up, what are the -- what is the differentiation in our offerings versus other players in Delhi and NCR. NCR it is fairly competitive?

Healthcare has a huge scope within Dalian is concerned, cities of Noida, Gurugram, Faridabad and even Ghaziabad so that for other parts of [indiscernible] growing massively of operation. So in fact, these still this is part from saturation. So there's enough space for quality hospitals for quality into talent to establish themselves. -- something that sort of has helped us in the past that we have been a very doctor-friendly organization, sort of we have been able to attract clinical talent based on that approach. We have not typically followed the concepts of P&L-driven corporate organizations where clinicians have been in target to perform certain numbers we have sort of provided an easy environment for the PP talent to join us. And sort of that is the reputation that we have created. And that is the reason why I've got other things that happens today wants to join us when we're going to the new areas -- as far as our influence also still is at par when all the other players in the region. As far as certain of new hospitals, we are trying to create a sort of a much more boutique as environment, where sometimes these days when patients are going to big material -- but with the much more patient-centric approach with the same clinical talent and a much more customized boutique hospital experience is where we feel that we are filling the gap within the metro cities, within the regions, which might have certain bigger players, 10, 20 minutes from us. But this is sort of the gap which we are trying to also fill within the capital matcha we are operating.

Thank you. Ladies and gentlemen, we'll take that as a last question for Judy. I will now hand the conference over to Mr. Yatharth Tyagi for closing comments. Thank you, and over to you.

Thank you, everyone. Thank you for joining the conference call for this financial year 2016, and we appreciate your questions. Thank you.

Thank you, members of the management. On behalf of Antigue Broking Limited, that concludes this conference. We thank you for joining us, and you may now disconnect your lines. Thank you.