KMC Speciality - KMC Speciality

📊 BSE: 524520 🏢 Hospital 📅 Last Updated: 11/13/2025 15:25

💰 Financial Performance

Revenue Growth by Segment

Mother and Child Care services grew 26% YoY in Q2 FY26. Total revenue from operations for Q2 FY26 reached INR 74.9 Cr, representing a 33.2% increase from INR 56.2 Cr in Q2 FY25. Annual revenue for FY25 grew 30.7% to INR 231.6 Cr from INR 177.2 Cr in FY24.

Geographic Revenue Split

100% of the entity's operations are situated in Trichy, Tamil Nadu, across two hospital blocks. The parent group serves a broader market across Chennai, Trichy, Bengaluru, Salem, Hosur, and Tirunelveli.

Profitability Margins

Net Profit Margin (PAT) for Q2 FY26 was 14.0%, more than doubling from 6.9% in Q2 FY25. Profit Before Tax (PBT) margin improved significantly to 19.4% from 9.4% YoY, driven by higher volumes and a better revenue mix.

EBITDA Margin

EBITDA margin for Q2 FY26 was 29%, a substantial increase from 22.9% in Q2 FY25. Total EBITDA earned increased by INR 9.1 Cr, representing 70% YoY growth.

Capital Expenditure

Net cash used in investing activities was INR 50.94 Cr in FY25, a significant increase from INR 4.45 Cr in FY24, primarily reflecting the investment in operationalizing the new 200-bed hospital block.

Credit Rating & Borrowing

Not disclosed in available documents; however, the company reported a net cash outflow from financing activities of INR 2.30 Cr in FY25.

⚙️ Operational Drivers

Raw Materials

Medical consumables, pharmaceuticals, and surgical supplies. While specific % of total cost is not disclosed, 'Supply chain management' is identified as a material issue for business continuity.

Capacity Expansion

Current installed capacity is 450 beds, comprising a 250-bed legacy block and a newly operationalized 200-bed block focused on Mother & Child care.

Raw Material Costs

Not disclosed as a specific percentage of revenue, but the company identifies the availability of raw materials and supplies as a material risk to operations.

Manufacturing Efficiency

Efficiency is maintained through the 5S Model Hospital Certification and NABH standards. The expansion of EBITDA margins to 29% indicates high operational efficiency in the new 200-bed facility.

Logistics & Distribution

Not applicable as a healthcare service provider; patients visit the hospital locations directly.

📈 Strategic Growth

Expected Growth Rate

22%

Growth Strategy

Growth is driven by the operationalization of the new 200-bed Mother & Child care block and the expansion of high-end specialty programs including Neuro Science and Transplants (85+ Bone Marrow and 42+ Liver transplants completed). The company leverages its 25-year group legacy to increase patient volumes.

Products & Services

Tertiary healthcare services including Mother and Child care, Paediatrics, Neuro Science, and Organ Transplant programs (Liver and Bone Marrow).

Brand Portfolio

Kauvery Hospital, KMC Speciality Hospitals.

New Products/Services

The new Mother & Child care services segment contributed to a 26% growth in its specific revenue stream during Q2 FY26.

Market Expansion

Expansion is focused on the Trichy region through the new 200-bed block, while the parent group expands its footprint across South India.

Strategic Alliances

The company is a 75% subsidiary of Sri Kauvery Medical Care (India) Limited, benefiting from group-level procurement and branding.

🌍 External Factors

Industry Trends

The healthcare industry is shifting toward specialized tertiary care and accredited hospital chains. KMC is positioned to capture this through its NABH-certified facilities and 22% historical CAGR.

Competitive Landscape

Competes with other multi-specialty hospital chains in South India, distinguishing itself through specialized Mother & Child and transplant services.

Competitive Moat

Sustainable advantages include NABH and ISO 27001:2022 certifications, a 25-year brand legacy, and high entry barriers for specialized transplant programs.