Narayana Hrudayalaya Ltd — earnings calls

Narayana Hrudayalaya reported India hospital EBITDA growth of 40% for Q1 FY27 without adding beds, driven by a mix of ARPOB and footfall growth, including contribution from its clinic network. Management discussed rising losses in the India insurance business, sequential improvement in Cayman insurance losses, and increased losses in the UK business attributed partly to a heat wave affecting hospital operations. The company also addressed cash balances, professional fee reclassifications, and progress on capital projects including the Southwest Bangalore hospital.

Narayana Hrudayalaya reported growth in India hospital margins to 25.1% for the quarter versus 21.5% a year earlier, while the UK (Practice Plus Group) business remains in a transition phase with reclassified costs and a consolidated EBITDA margin diluted to around 20%, which management said normalizes to slightly over 22% after excluding one-time acquisition costs. Management discussed the Cayman Islands insurance business posting losses of approximately USD 5 million for the quarter with a loss ratio of about 110% to 112%, alongside continued hospital revenue growth there. The company also addressed capex plans, clinic business losses, and expansion projects across Rajarhat, HSR, Raipur and Bangalore targeted for FY28.