Dr Lalchandani Labs Ltd Management Discussions.


India has been one of the fastest growing diagnostic and pathology laboratories markets over the past few years. Several factors that are acting as drivers for the market are rise in spendings for health care, increasing awareness of health related concerns, high prevalence of diseases and penetration of health care insurance.

On the basis of the tests performed by various laboratories, the overall India diagnostic and pathology laboratory market has been segmented into radiology and pathology tests by test type. These test types are further segmented on the basis of type of test and source for tests. By source of test, pathology tests have been segmented into blood, urine, stool, and body tissue.

Also, in the developed markets, the diagnostics business is of a B2B kind. The touch point for patients is primarily the hospitals, which in turn outsource their test processing requirements to the laboratories. In India, the diagnostics business is of a B2C kind, as patients here directly approach the pathology labs to get themselves tested. At times, tests are also conducted without a doctors prescription.


Our Company was originally incorporated as partnership firm at New Delhi vide Partnership Agreement dated 15th Day of September, 2011 in the name of Dr. A Lalchandani Pathology Laboratories. Thereafter, the Partnership Firm was taken over by Dr Lalchandani Labs Limited incorporated under the provisions of Companies Act, 2013 vide certificate of Incorporation dated 2nd August, 2017 issued by the Registrar of Companies, Delhi vide agreement dated 31st August, 2017. The Corporate Identification Number of our Company is L85320DL2017PLC321605.

Our Company is formed to set up, engage, collaborate, acquire, purchase, maintain, open collection centers, conduct, manage, administer, own, run laboratories for the purposes of carrying out pathological investigations of various branches of Bio-Chemistry, Hematology, Histopathology, Microbiology, Electrophoresis, Virology, Cytology, other pathological Investigations and Immunoassay, Immuno-Histochemistry, Molecular Pathology, DNA & Genetic Testing etc.

We are a provider of diagnostic and related healthcare tests and services in Delhi/NCR. Through our integrated network, we offer patients and healthcare providers a broad range of diagnostic and related healthcare tests and services for use in core testing, patient diagnosis and the prevention, monitoring and treatment of disease and other health conditions. Our customers include individual patients, hospitals and other healthcare providers and corporate customers.

Diagnostic healthcare testing is an essential element in the delivery of healthcare services, as it provides healthcare service providers with useful information for the diagnosis and treatment of diseases.

We focus on providing patients quality diagnostic and related healthcare tests and services. We believe our focus on the patient as a customer is a critical differentiator in the diagnostic and healthcare industries and, together with what we believe is our brands recognition for quality diagnostic services, results in individuals and healthcare providers choosing us as their diagnostic healthcare service provider.

Our Company, a NABL Accredited Lab has established itself within Delhi/NCR various self-sufficient Labs and multiple collection centers.

Our Company has its own Blood Banking services through its sister concern CPC blood bank founded by Dr A Lalchandani himself in 1987.

Our setup at Greater Kailash-Part 1 is having technology in Diagnostics and boasts of being aesthetically one of the most beautiful diagnostic centers in India offering one-stop complete services such as pathology, X-ray, TMT, Ultrasound, 2D-echo, Doctor Consultations, Medical Fitness Examinations etc.

We have recently set up a new lab and a diagnostic centre at Punjabi Bagh New Delhi to cater customers from the West Delhi region.



Segment Sales (in figures) . Sales (in %)
B2B Sales 4,68,25,340.00 76.71
B2C Sales 1,42,13,380.00 23.29
Total 6,10,38,720.00 100


Since our company deals with provision of services of a pathology lab and a diagnostic centre, this section is not applicable to our company.


There are many aspects in the diagnostics industry in our country which provide huge growth opportunity. These are-

Corporate Health Check ups
Consistently increasing sample load at main lab strengthens negotiation with suppliers to give better prices for reagents improving costing and better profit margins
Increasing B2C presence
Lack of customer centricity in many labs
Lack of awareness of quality parameters in consumers is an opportunity for Good Labs like us to take charge in awareness campaigns for building good reputation with consumers.


Few VC funded Online Startups eroding prices in market with negative cash flows and discount funded strategies.
B2B clients such as Hospital Lab management businesses not reliable as key position changes in hospital may influence change of lab vendors OR the hospital may choose to bring departments in-house.
Low Barriers to entry
; Lack of regulation and licensing of Labs and lack mandatory quality norms hampers opportunities for quality labs.
Highly competitive market with presence of both local and national players everywhere
Highly price sensitive market.
Lack of awareness of quality parameters to differentiate between labs


Company Experience of 32 years with highly experienced staff retained
Good Personal Brand Name of Dr A Lalchandani in Delhi/NCR
Strong ties with many hospitals, doctors and nursing homes
Customization of services for greater customer satisfaction
Home Collection of Samples across Delhi/NCR
Good customer follow up in dormant Stages reminders for periodic health check-ups
Good Online & Social Media presence in South Delhi currently
Good Word of mouth from Doctors network about Dr Lalchandani labs Limited
Nimble organization & management eager to adopt and change to respond to changing needs of market and customers.
Personal Touch and active involvement of Founder and chief pathologist Dr Arjan Lalchandani
Management is young and enterprising and open to explore all business opportunities with open mind.
Highly Customer centric and constantly thinking of improving user experience.


Dr Lalchandani Labs Limited is a player in the diagnostics sector. The diagnostics business is a healthcare service delivery business, and thus the role of human resources is pivotal in providing excellent quality service to the customers.

The Company business has been constantly growing since the start of its business in the year 2017. Accordingly, the human resources has to be commensurate with the size and growth of the business. As per company HR policy, it has been employing suitable no. of employees from time to time of requisite qualifications and experience and requisite expertise in respective fields. The focus around the enhancing the productivity of employees. The growth in business was achieved with marginal increase in workforce strength. This was achieved by active redeployment of resources, introducing multi-taskers and job enlargements.


The Company has an adequate internal control system in place with systems for segregation of duties, access controls and other relevant control practices.

Our board of Directors ensure efficient conduct of business and adhere to the policies of the company thereby ensuring maintenance of timely and reliable accounting records and disclosures.


Except for the historical information contained herein, statement in this discussion which contains words or phrases such as ‘will, ‘would, ‘indicating, ‘expected to etc., and similar expressions or variations of such expressions may constitute ‘forward-looking statements. These forward looking statements involve a number of risks, uncertainties and other factors that could cause actual results to differ materially from those suggested by forward-looking statements.

These risks and uncertainty includes, but are not limited to, our ability to successfully implement our strategy, future business plans, our growth and expansion in business, the impact technological implementation as well as other general risks applicable to the business or industry. The company under takes no obligation to update forward looking statements to reflect events or circumstances after the date thereof. These discussion and analysis should be read in conjunction with the companys financial statements included herein and notes thereto.


The lockdowns and restrictions imposed on various activities due to COVID 19 pandemic have posed challenges to all the businesses of Dr Lalchandani Labs Limited (the "Company"). Lockdown guidelines issued by Central / State governments mandated closure of the operations and other forms of public transport. This has resulted in temporary shutdowns of our operation. With the lifting of the partial lockdown restrictions, the Company has started the operation as per the government prescribed guidelines, after establishing thorough and well rehearsed safety protocols. The Company expects the demand for its services to pick up albeit at a slower pace once lockdown is lifted and recovery in business. The Company has assessed the potential impact of Covid-19 on its capital and financial resources, profitability, liquidity position, ability to service debt and other financing arrangements, supply chain and demand for its services. Various steps have been initiated to raise finances from banks and institutions for working capital needs and the Company is in a comfortable liquidity position to meet its commitments. The Company has also assessed the potential impact of Covid-19 on the carrying value of property, plant & equipment, right of use assets, intangible assets, investments, trade receivables, inventories, and other current assets appearing in the financial statements of the Company. In developing the assumptions and estimates relating to the future uncertainties in the economic conditions because of this pandemic, the Company as at the date of approval of these Financial statements has used internal and external sources of information and based on current estimates, expects to recover the carrying amounts of these assets.

The impact of the global health pandemic may be different from that estimated as at the date of approval of these financial statements and the Company will continue to closely monitor any material changes to future economic conditions.