Hyderabad, 29th January, 2024: Rainbow Children’s Medicare Limited (RCML), India’s leading pediatric multi-specialty and perinatal care hospital chain, announced its financial results for the third quarter and the first nine months ended December 31, 2023.
The company recorded its highest ever Revenue and EBIDTA despite the continued seasonal headwinds. The effect of lower than expected rainfalls and subsequent irregular seasonal variations had an impact on the patient footfalls and occupancy in the current quarter as compared to the same period last year, which was marked with higher footfalls and inpatient admissions as children continued to adapt in post COVID environment.
The operations at hospitals based in Chennai, Vijayawada and Vizag were affected for 10-15 days during the quarter
due to cyclone Michaung which had a devastating impact in parts of Tamil Nadu and Andhra Pradesh.
The company is happy to share that it has commissioned it’s 8th hospital in Hyderabad with 60 beds at Central
Hyderabad, Himayat Nagar. This step has further strength ened company’s Hub and Spoke network with combined 890 beds at Hyderabad.
The Company remains dedicated to the timely execution and initiation of the projects to add 280 beds during the current financial year. The coming months of the current financial year are going to be busy, as the company prepares to commission two new hospitals and an additional block at an existing hospital during this time.
Financials and operational highlights are as follows:
Key Development
- The new hospital in Hyderabad central city, at Himayat Nagar with 60 beds commenced operations on 4
the January, 2024. A separate press release on same has been filed to the exchanges. - Project Status update:
. The expansion for an additional block in Hydernagar with 50 beds in addition to the existing 110 beds is
in concluding stages and will commence operations within this quarter.. New hospitals in Anna Nagar, Chennai (~80 beds) and Sarjapur Road, Bangalore (~90 beds) are in the final stages of development and are expected to commence operations in Q4 FY24.
. Development of the spoke hospital at Hennur, Bangalore (~60 beds) and the regional spoke hospital at
Rajahmundry (~100 beds) is progressing well and will be completed in the next 12-15 months.. For the regional spoke hospital at Coimbatore, the builder has received the government approvals and the project work will commence soon
- The company completed 100% payment to HSVP (Haryana Shahri Vikas Pradhikaran) and received allotment letters for 2 land parcels in Gurgaon in Sector 44 and Sector 56 respectively. The company is working with the government agencies to take possession of these land parcels. Simultaneously the company is in the process of finalizing the architectural designs.
- The Company continued to have strong balance sheet and have cash & cash equivalent, fixed deposits andmutual fund investments aggregating to Rs. 4,947 Mn. as of December 31, 2023, which will be deployed forthe ongoing capex plan of the company. Based on the present cash flow and expected internal accrual in the
coming years, the company expects to complete all the planned capex with internal accruals and balance IPO
funds. - During the quarter, company has spent Rs. 604 Mn. for the capex.
Commenting on the performance for Q3 FY2024 Dr. Ramesh Kancharla, Chairman & Managing Director, Rainbow Children’s Medicare Limited (RCML) said,
“ I’m delighted to announce that our company has showcased a resilient operating and financial performance this quarter. The revenues for Q3 FY24 was Rs. 3,359.6 Mn, which is a growth of 9.6% compared to Rs. 3,064.0 Mn in Q3 FY23. The EBIDTA for Q3 FY24 was Rs. 1,180.9 Mn, which is a growth of 10.6% compared to Rs. 1,067.6 Mn in Q3 FY23 and the PAT for Q3 FY24 was Rs. 625.7 Mn, which is a growth of 7.4% compared to Rs. 582.4 Mn in Q3 FY23.
We have managed to fortify our operations and deliver stable performance despite the continued seasonal headwinds.
Our operating performance reflects our commitment to delivering high quality healthcare to our patients.
We remain dedicated to the timely execution and initiation of our projects and add 280 beds during the current
financial year.
The company continues its unwavering dedication to its mission: to provide outstanding multi-disciplinary pediatric
and perinatal care. We are constantly refining our services to serve our patients.”