Shalby Ltd — Q1 FY27 earnings call
Summary generated by AI from the official transcript Shalby Ltd filed with BSE on 19 Aug 2026. Every statement cites a verbatim quote from that document — open any citation to read it. This is a record of what management said, not a recommendation. How we check these summaries
The short read
Shalby reported consolidated revenue of Rs 338.6 crore for Q1 FY27, up 11.6% year-on-year, with EBITDA of Rs 49 crore and PAT of Rs 10.5 crore. Management said the Gurgaon international hospital unit achieved EBITDA break-even for the first time since acquisition, while the standalone hospital EBITDA margin declined to 18.4% from 21.6% a year earlier. The MedTech business posted consolidated revenue growth of 53% year-on-year and reported its fourth consecutive quarter of positive EBITDA at the consolidated level.
Numbers mentioned
Consolidated revenue: ₹338.6 crores (Q1 FY27)
p. 3
“our consolidated revenues stood at ₹338.6 crores as against ₹303.4 crores in the Quarter 1 of the last year”
Amit Kumar, page 3 of the filed PDF · View the filing
Consolidated EBITDA: ₹49 crores (Q1 FY27)
p. 3
“The EBITDA improved to ₹49 crores as against Quarter 1 of last year of ₹48.5 crores which is reflecting a growth of 1% on Y-on-Y basis”
Amit Kumar, page 3 of the filed PDF · View the filing
Consolidated EBITDA margin: 14.5% (Q1 FY27)
p. 3
“Our EBITDA margin stood at 14.5% compared to 16% in the corresponding quarter”
Amit Kumar, page 3 of the filed PDF · View the filing
Consolidated PAT: ₹10.5 crores (Q1 FY27)
p. 4
“The consolidated PAT has been higher at ₹10.5 crores with a PAT margin of 3.1% in the Q1 as against ₹7.7 crores with a PAT margin of 2.5% in the Quarter 1 of FY26”
Amit Kumar, page 4 of the filed PDF · View the filing
Net debt: approx. ₹463 crores (Q1 FY27)
p. 4
“The group continues to maintain a healthy balance sheet with a comfortable gearing ratio of 0.46X and a net debt of approx. ₹463 crores”
Amit Kumar, page 4 of the filed PDF · View the filing
Standalone revenue (hospital segment): ₹259 crores (Q1 FY27)
p. 4
“The standalone revenue for the Quarter 1 stood at ₹259 crores as against ₹242 crores in the Quarter 1 of the last year, registering a growth of approx. 7% on year-on-year basis”
Amit Kumar, page 4 of the filed PDF · View the filing
Standalone EBITDA margin: 18.4% (Q1 FY27)
p. 4
“with an EBITDA margin of 18.4% versus 21.6% in the corresponding quarter last year”
Amit Kumar, page 4 of the filed PDF · View the filing
ARPOB (standalone hospitals): 44,711 (Q1 FY27)
p. 4
“The operationally ARPOB has been 44,711 compared to 45,673 in the corresponding quarter last year”
Amit Kumar, page 4 of the filed PDF · View the filing
Occupancy rate: 51% (Q1 FY27)
p. 4
“This shows a growth of 9.8% year-on-year basis with an occupancy rate has been at 51% excluding Shalby International which stands at 54% during the quarter”
Amit Kumar, page 4 of the filed PDF · View the filing
Shalby International (Gurgaon) revenue: ₹26.2 crores (Q1 FY27)
p. 4
“The revenue stood at ₹26.2 crores as against quarter in the last year at ₹23.2 crores”
Amit Kumar, page 4 of the filed PDF · View the filing
MedTech consolidated revenue: approximately ₹47 crores (Q1 FY27)
p. 5
“Shalby MedTech as a whole delivered a revenue of approximately ₹47 crores in the Quarter 1 of the FY27”
Amit Kumar, page 5 of the filed PDF · View the filing
SMTL India revenue: approximately ₹36 crores (Q1 FY27)
p. 5
“which delivered a revenue of approximately ₹36 crores registering a growth of 29% sequentially and a 98% on year-on-year basis”
Amit Kumar, page 5 of the filed PDF · View the filing
Group ETR: 47% (Q1 FY27)
p. 10
“our ETR has significantly come down to 47% as against the 66% in the Quarter 1 of the last year”
Amit Kumar, page 10 of the filed PDF · View the filing
What management said it would do
A record of statements made on the call, in the words management used. Parakho does not forecast, endorse or assess them, and their presence here is not a view on whether they will happen.
Standalone hospital EBITDA margin — upward to 20% · whole year (FY27)
stated firmly by Amit Kumar
p. 9
“We are strongly confident as per our estimate to see EBITDA margin of upward to 20% on to the whole year basis”
Amit Kumar, page 9 of the filed PDF · View the filing
MedTech EBITDA margin — double digit EBITDA margin · next 6 months
stated conditionally by Shanay Shah
p. 9
“we will be achieving a double digit EBITDA margin from there on because these are the important changes which we have to make”
Shanay Shah, page 9 of the filed PDF · View the filing
Shalby International occupancy — 30% or up · Quarter 3 or Quarter 4
stated conditionally by Amit Kumar
p. 10
“we do expect our occupancy level to touch 30% or up from Quarter 3 or Quarter 4 onwards”
Amit Kumar, page 10 of the filed PDF · View the filing
Shalby International PBT — PBT positive · Quarter 3 end or Quarter 4
stated conditionally by Amit Kumar
p. 10
“we are also likely very confident that on to the Quarter 4 or near Quarter 3 end, we would be able to see a PBT positive number also”
Amit Kumar, page 10 of the filed PDF · View the filing
Group ROCE — within industry standard of 11% to 13% · 1 to 2 years
stated as an aspiration by Amit Kumar
p. 10
“we would expect that to fall in the within industry standard from 1 to 2 years from here which is between 11% to 13%”
Amit Kumar, page 10 of the filed PDF · View the filing
MedTech cash flow requirement — reduce by another ₹3 crores per month · Quarter 4 of this financial year
stated conditionally by Shanay Shah
p. 9
“we will see that the cash flow requirement will go down further by another ₹3 crores per month”
Shanay Shah, page 9 of the filed PDF · View the filing
Inventory holding days — 30% improvement
stated as an aspiration by Amit Kumar
p. 6
“as per our estimate we expect a 30% improvement in our inventory holding days which has been a significant focus area for us in the recent quarters”
Amit Kumar, page 6 of the filed PDF · View the filing
TPA renewal revenue upside — 5% to 7% jump on to our revenue
stated conditionally by Amit Kumar
p. 7
“our new TPA renewals are also actively underway which would give a significant upside on to the renewal which holds a potential of 5% to 7% jump on to our revenue with the TPAs and other tie-ups which are in active discussion”
Amit Kumar, page 7 of the filed PDF · View the filing
Net debt trend — subsequent quarters
stated firmly by Amit Kumar
p. 11
“in the subsequent quarters we do not estimate our net debt to go higher from here. It could be on a stable or a reducing trend into the coming quarters”
Amit Kumar, page 11 of the filed PDF · View the filing
Q&A highlights
Management's answers to analyst questions, in Parakho's words rather than a transcript. Each row names who answered and carries the verbatim quote it was drawn from.
Management said margins are expected to improve due to bunker deployment, TPA renewals, Gurgaon turnaround, and growth in other units like Krishna, Mohali and Naroda.
Answered by Amit Kumar
Asked by Rajakumar: Will hospital segment margins sustain or improve, with no one-offs expected?
p. 7
“we are confident to see an improved margin from here on and their underlying reasons are very obvious”
Amit Kumar, page 7 of the filed PDF · View the filing
Management attributed it to rising interest expense from earlier investments and depreciation on intangibles/capex, with an expectation of gross margin improvement going forward.
Answered by Amit Kumar
Asked by Rajakumar: Why did the implants/manufacturing segment bottom line deteriorate despite revenue growth?
p. 8
“We do not see our bottom line to worsen off from here rather we are confident to see a better bottom line in the subsequent quarter also”
Amit Kumar, page 8 of the filed PDF · View the filing
Management said a forex gain in the prior quarter was not repeated, causing losses to appear larger.
Answered by Amit Kumar
Asked by Rajakumar: Was the quarter-on-quarter jump in losses due to a one-off?
p. 8
“the earlier quarter had some impact of the forex gain which was of the FOREX which had been otherwise in the current quarter”
Amit Kumar, page 8 of the filed PDF · View the filing
Management said this is a conservative accounting call and will be reconsidered once profitability improves.
Answered by Amit Kumar
Asked by Rajakumar: Why is deferred tax asset not being recognized on US MedTech losses?
p. 8
“On to the US MedTech operation that is an accounting call on a conservative basis we are not recognizing a DTA currently but as soon we see the profitability improving we would reconsider and re-evaluate it out”
Amit Kumar, page 8 of the filed PDF · View the filing
Management cited forex impact and flat US sales volumes, alongside cost initiatives expected to reduce cash flow requirements and drive double-digit margins.
Answered by Shanay Shah
Asked by Kashish Thakur: What is driving weak MedTech EBITDA despite 53% YoY revenue growth, particularly in the US?
p. 8
“a large part of the profitability decline has been because of the foreign exchange changes in terms of the dollar to INR”
Shanay Shah, page 8 of the filed PDF · View the filing
Management said the margin pressure from new doctors and specialties is temporary and reiterated an estimate of margin improving to upward of 20% for the year.
Answered by Amit Kumar
Asked by Kashish Thakur: What caused the standalone hospital margin decline despite improved occupancy, and can FY27 EBITDA margin guidance be reiterated?
p. 9
“The pressure on the EBITDA margin is temporary because we have deployed new doctors and new specialties which had come in”
Amit Kumar, page 9 of the filed PDF · View the filing
Management said occupancy is expected to reach 30% by Q3/Q4 and PBT positive by around Q3-end or Q4.
Answered by Amit Kumar
Asked by Kashish Thakur: What are aspirations for Shalby International occupancy and EBITDA margin, and timeline to breakeven?
p. 10
“we are not only EBITDA positive this time we have posted a 7% EBITDA”
Amit Kumar, page 10 of the filed PDF · View the filing
Management said the hospital segment has moved to a lower tax regime of about 26% and group ETR has fallen to 47%, with further benefit expected from Gurgaon's carried-forward losses.
Answered by Amit Kumar
Asked by Kashish Thakur: What tax rate can be expected for FY27?
p. 10
“we have already transited to the new tax scheme with a lower tax rate of about 26% from earlier of 35% in the previous year”
Amit Kumar, page 10 of the filed PDF · View the filing
Management pointed to reduced capex requirements and Gurgaon's EBITDA turnaround as levers, expecting ROCE to reach 11-13% in 1-2 years; Mumbai discussions are ongoing with trustees.
Answered by Amit Kumar
Asked by Kashish Thakur: What are the levers and timeline to double consolidated ROCE, and how is Mumbai expansion progressing?
p. 10
“we would expect that to fall in the within industry standard from 1 to 2 years from here which is between 11% to 13%”
Amit Kumar, page 10 of the filed PDF · View the filing
Management described the downgrade as a procedural assessment with an improved stable outlook, and said the new facility is a replacement of existing debt at a lower cost, not new debt.
Answered by Amit Kumar
Asked by Tripti Shukla: What drove the ICRA rating downgrade and how is the recent Kotak working capital facility being managed?
p. 11
“it's just a replacement at an efficient cost which is about 30 basis points lower to our average”
Amit Kumar, page 11 of the filed PDF · View the filing
Management said the government share increase follows rate renewals and reviews, and described process and automation improvements to manage collections.
Answered by Amit Kumar
Asked by Tripti Shukla: Is the shift toward government payer mix temporary, and how is the cash conversion cycle being protected?
p. 11
“our share of the government scheme has increased but this also follows the renege renewal and review of the rates which we get from the government”
Amit Kumar, page 11 of the filed PDF · View the filing
Management said the plan is not yet finalized, and funding will be assessed via debt or internal accruals once finalized, without further investment infusion into other hospital units.
Answered by Amit Kumar
Asked by Tripti Shukla: What is the expected capex outlay for the Mumbai Asha Parekh Hospital expansion and how will it be funded?
p. 12
“we do not expect further investment infusion of the debt into hospitals, importantly not on our MedTech and our hospital in Gurgaon”
Amit Kumar, page 12 of the filed PDF · View the filing
Risks flagged
Foreign exchange fluctuations impacting MedTech profitability
p. 8
“a large part of the profitability decline has been because of the foreign exchange changes in terms of the dollar to INR”
Shanay Shah, page 8 of the filed PDF · View the filing
US MedTech regulatory changes take significant time to implement
p. 9
“any changes that we have to make within this segment where it concerns the US FDA and other regulatory bodies it takes about 6 to 9 months or one year often to make these changes”
Shanay Shah, page 9 of the filed PDF · View the filing
Underperformance of certain hospital units due to doctor staffing gaps
p. 7
“There had been few units which had underperformed including Surat and Indore where the active work is on to recruit the right set of the doctors and the closure of discussions are underway”
Amit Kumar, page 7 of the filed PDF · View the filing
SAT US entity EBITDA marginally negative
p. 5
“At the SAT US level, the EBITDA had been marginally negative during the quarter at a standalone level”
Amit Kumar, page 5 of the filed PDF · View the filing
Longer receivable time associated with government payer mix affecting cash conversion cycle
p. 12
“this is a complex process and for that matter we had already deployed and revisited our process to secure our cash conversion cycle”
Amit Kumar, page 12 of the filed PDF · View the filing
Generated by claude-sonnet-5. Source: the transcript as filed with BSE. We link to the exchange's copy; we do not host transcripts. Parakho is a data and screening tool, not an investment adviser — nothing here is a recommendation to buy, sell or hold.