Global Economy
The global economy remained resilient in 2025, with GDP growth estimated at 3.4%, supported by steady expansion across major emerging and developing economies despite persistent geopolitical and trade-related uncertainties. Inflation moderated across most regions, enabling central banks to gradually ease monetary policy, while governments balanced fiscal discipline with targeted investments to strengthen infrastructure, foster innovation and enhance longterm economic competitiveness. Private-sector investment remained healthy, particularly in technology-led sectors, accelerating digital transformation and productivity across industries.
Global GDP growth is expected to moderate to 3.1% in 2026, as persistent geopolitical conflicts, evolving trade policies, supply chain disruptions, and commodity price volatility continue to weigh on global economic growth and business sentiment. The healthcare sector continue to benefit from sustained investments in healthcare infrastructure, digital health, medical technology and research & development, as governments and private healthcare providers remained focused on improving access, enhancing quality of care and strengthening health system resilience. These structural trends continued to reinforce the long-term growth outlook for the global healthcare industry.
Indian Economy
In CY2025, India remained as one of the worlds fastest growing major economies with real GDP growth estimated at around 7.6% reaffirmed Indias position as one of the worlds fastest- growing major economies, with real GDP growth estimated at around 7.6%. Despite persistent global uncertainties, the Indian economy remained resilient, supported by robust domestic demand, sustained public investment and stable macroeconomic fundamentals. Rising disposable incomes, continued urbanisation, improving digital connectivity and a favourable policy environment further strengthened the countrys long-term growth outlook. Inflation remained largely under control during the year, enabling a gradual easing of monetary policy, while continued government focus on infrastructure development and capital expenditure helped reinforce investment activity and economic momentum.
These macroeconomic tailwinds provided a favourable backdrop for the healthcare sector. Favourable demographics, increasing health awareness, rising health insurance penetration and the growing burden of non-communicable diseases (NCDs), particularly cancer, continued to drive demand for quality and specialized healthcare services. At the same time, increasing investments in healthcare infrastructure, digital health and medical technology, coupled with greater emphasis on preventive healthcare and early diagnosis, continued to strengthen the healthcare ecosystem.
Government initiatives aimed at expanding healthcare infrastructure, strengthening public health systems, broadening insurance coverage and accelerating digital health adoption further supported the sectors long-term growth. While rising healthcare costs, availability of skilled clinical talent and evolving regulatory and reimbursement frameworks remained key sectoral challenges, Indias structural healthcare demand, supported by improving accessibility, technological advancements and rising healthcare investments, continued to reinforce a positive long-term outlook for the healthcare sector, particularly oncology.
India Healthcare
Indias healthcare sector continues to witness strong growth, driven by increasing demand for quality healthcare services, rising health awareness, higher public and private investment, and improving access to care. Supported by favourable demographics, the expansion of private hospitals into Tier II and III cities, and continued government initiatives, the industry is well positioned to sustain its long-term growth trajectory.
The Indian healthcare delivery market was estimated at approximately T7.0 trillion in FY2025, driven by sustained demand for routine healthcare services, elective procedures and outpatient consultations. High-acuity specialties such as oncology, critical care, neurology and orthopaedics are expected to maintain strong growth momentum.
Government programs such as Ayushman Bharat are expanding insurance coverage and strengthening healthcare delivery infrastructure, particularly for vulnerable sections of society. The private sector is simultaneously investing in capacity expansion, advanced technology adoption, and service quality improvement.
Despite the rapid growth of private hospitals, the Indian hospital industry remains largely fragmented, with organized private hospital chains representing only about 20% of the market in FY2025. Increasing patient expectations, improving affordability, and continued investment in modern healthcare infrastructure and clinical excellence will continue to drive the shift from unorganized providers to established private hospital networks.
Healthcare Delivery Market Outlook
Looking ahead, the sector is poised for strong medium-term growth, supported by deeper penetration of health insurance, expanding digital healthcare solutions, and continued public- private collaboration. However, challenges persist, including workforce shortages, uneven access to quality care between urban and rural regions, and the need for robust data governance as digital adoption accelerates. Addressing these gaps will be essential to building a robust, inclusive, and technology-enabled healthcare ecosystem in India.
The Indian healthcare delivery market is projected to grow at a 10-12% CAGR between FY2025 and FY2030, reaching ^11.2-12.2 trillion by FY2030. During this period, the OPD segment is expected to grow at a CAGR of 8-10%, while the IPD segment is projected to expand at a CAGR of 10.5-12.5%, reflecting sustained demand for specialised and tertiary healthcare services.
Note: IPD indicates inpatient department at government and private hospitals, while OPD indicates outpatient department at private hospitals, government hospitals and private clinics. Source: Crisil Intelligence - March 26
Healthcare Segments
Indias healthcare sector comprises hospitals, pharmaceuticals, diagnostics, medical devices, health insurance, telemedicine, clinical research, and medical tourism. The sector is witnessing steady growth, supported by favourable demographics, rising healthcare awareness, increasing health insurance penetration, higher disposable incomes, and a growing focus on preventive healthcare.
Hospitals remain the largest segment of the healthcare ecosystem, with private hospitals accounting for nearly 70% of the market. Their strong position is underpinned by continued investments in capacity expansion, advanced medical technology, and specialised clinical capabilities. Other segments including pharmaceuticals, diagnostics, medical devices, insurance, and digital healthcare continue to evolve alongside the hospital industry, enhancing access to quality care and supporting the overall growth of Indias healthcare ecosystem.
Indias Hospital Industry - Growth Drivers
Shortage of Quality Beds: Improving healthcare infrastructure remains a key priority for India. The country continues to face a significant shortage of hospital beds, with an estimated 16 beds per 10,000 population in FY2025 (approximately 14 beds per 10,000 outside metropolitan cities), well below the global average of 33 beds per 10,000 and several emerging economies such as Brazil (25), Thailand (24), and Vietnam (25). While metro cities account for around 22% of the countrys hospital beds, nearly 78% are located in non-metro regions, where access to high-quality healthcare infrastructure remains limited. Rising health awareness, urbanization, increasing disposable incomes, and growing demand for specialized care are expected to drive sustained investment in expanding quality hospital capacity across the country.
Increasing Urbanization and Health Awareness: Increasing urbanization, income levels, health awareness and improving literacy levels, are expected to drive higher utilization of healthcare services across India. As access to quality healthcare expands and awareness of preventive screening and curative treatments improves, more patients are likely to seek timely medical intervention. This is expected to increase both inpatient hospitalisation rates and outpatient visits, supporting sustained growth in demand for organized healthcare services.
Ageing Population Driving Healthcare Demand: Indias elderly population is expanding rapidly, driven by improving life expectancy and demographic shifts. The population aged 60 years and above is projected to increase from approximately 157 million in 2024 to 191 million by 2030, representing a net addition of 34 million elderly individuals in just six years. This demographic transition is expected to increase the prevalence of chronic diseases and age-related health conditions, driving sustained demand for hospital services, specialised treatments,
and long-term healthcare. As a result, the ageing population is expected to remain one of the key structural growth drivers for Indias healthcare sector.
Growing Health Insurance Penetration: Health insurance penetration in India has increased from 35% in FY2019 to 41% in FY2024, driven by a growing middle class, higher awareness, government initiatives, and wider employer-provided health coverage. The gradual shift from out-of-pocket spending to insurance-backed healthcare is improving affordability, reducing financial barriers, and encouraging greater utilization of hospital services, including elective procedures. As insurance penetration continues to rise, it is expected to support sustained growth in the hospital sector while increasing the share of institutional payers in the healthcare ecosystem.
Expansion into Tier II and Tier III Cities: Private healthcare providers are increasingly expanding into Tier II and Tier III cities to address the significant gap in quality healthcare infrastructure. Rising incomes, improving health awareness, increasing disease burden, and growing demand for specialised medical care are creating attractive growth opportunities in these underserved markets. This expansion is expected to improve access to quality healthcare while supporting the long-term growth of the organized hospital sector.
Emergence of Telemedicine - Virtual healthcare services are becoming mainstream, enabling patients to consult doctors remotely through video calls, mobile apps, and online platforms. Telemedicine not only bridges the urban-rural healthcare gap but also offers cost savings, convenience, and faster access to medical advice, particularly in remote areas.
Expansion of Ayushman Bharat Coverage & Provider Network
The expansion of public health coverage under Ayushman Bharat - PMJAY continues to drive formalization of healthcare demand, particularly in Tier-2 and Tier-3 markets. Increasing empanelment of hospitals and deeper penetration of government-funded insurance schemes are improving affordability and access to treatment, thereby supporting volume growth across specialties, including oncology.
Push Toward Early Cancer Detection Programs
There is also a growing policy emphasis on early detection and preventive care, particularly for non-communicable diseases such as cancer. Initiatives led by the National Cancer Registry Programme (ICMR) are strengthening screening efforts for breast, cervical, and oral cancers, especially through integration with primary healthcare systems. This is expected to improve diagnosis rates and gradually shift treatment toward earlier- stage interventions, enhancing outcomes and expanding the addressable patient base.
ONCOLOGY OVERVIEW
Global Cancer Scenario
Cancer continues to be one of the worlds most significant public health challenges, with its burden rising steadily across both developed and emerging economies. According to the World Health Organization (WHO), there were an estimated 20 million new cancer cases and 9.7 million cancer-related deaths globally in 2022. Approximately 53.5 million people were living within five years of a cancer diagnosis, highlighting the growing need for long-term treatment, survivorship care, and supportive healthcare services.
The global cancer burden is projected to rise significantly over the coming decades. WHO estimates that more than 35 million new cancer cases will be diagnosed annually by 2050, representing a 77% increase compared with 2022 levels. This sharp increase is primarily driven by population growth, ageing demographics, and greater exposure to lifestyle and environmental risk factors associated with socioeconomic development. Tobacco use, alcohol consumption, obesity, unhealthy lifestyles, and air pollution continue to be among the key contributors to the increasing incidence of cancer worldwide.
While meaningful progress has been made in cancer awareness, early diagnosis, treatment modalities, and patient care, access to quality oncology services remains highly unequal. Significant disparities continue to exist in cancer outcomes between high- and low-income countries, as well as across regions within individual countries, reflecting differences in healthcare infrastructure, access to timely diagnosis, availability of advanced therapies, and affordability of treatment.
The rising incidence of cancer, coupled with improving life expectancy and growing demand for specialised oncology care, underscores the urgent need for continued investment in cancer prevention, early detection, advanced treatment capabilities, and comprehensive care delivery models across the globe.
The global oncology drugs market was valued at USD 256.5 billion in 2025 and is projected to reach USD 697.6 billion by 2034, growing at a CAGR of 11.8%. Growth is being driven by the rising incidence of cancer worldwide, supported by ageing populations, lifestyle-related risk factors, and increasing exposure to environmental pollutants. Continued innovation in cancer treatment, including targeted therapies, antibody-drug conjugates (ADCs), and combination regimens integrating immunotherapy with targeted therapies is significantly improving clinical outcomes and expanding treatment options. These advancements are expected to remain key drivers of sustained growth in the global oncology therapeutics market.
Source:htt.ps://www.fort.unebusinessinsights.com/oncologv-
India Oncology Scenario
Cancer continues to be one of Indias fastest-growing noncommunicable diseases (NCDs), with its incidence rising steadily over the past decade. According to the Indian Council of Medical Research (ICMR) and the National Cancer Registry Programme (NCRP), India recorded over 1.6 million new cancer cases in 2024, and the lifetime risk of developing cancer is now estimated at one in nine. Driven by an ageing population, changing lifestyles, increasing urbanisation and improved diagnostic capabilities, the countrys cancer burden is expected to rise further over the coming decades.
India is projected to record the worlds third-highest number of new cancer diagnoses, after China and the United States, highlighting the growing need for accessible, high-quality oncology care. The increasing disease burden is expected to drive sustained demand for specialized cancer hospitals, advanced diagnostics, precision oncology, radiation therapy and multidisciplinary treatment approaches. At the same time, greater emphasis on early detection, screening programmes, technological advancements and personalized therapies is reshaping cancer care, reinforcing the need for continued investments in oncology infrastructure and clinical capabilities across the country.
While lung, throat, stomach, and esophageal cancers are most common among men, breast and cervix uteri cancers are on the rise among women in India. Incidences of breast cancer have also touched alarming proportions.
Top 5 States with Cancer Burden (2021-2025)
| State | Estimated increase in Cases |
| Uttar Pradesh | +20,037 |
| Bihar | + 11,701 |
| Maharashtra | +11,559 |
| West Bengal | + 10,667 |
| Tamil Nadu | +9,753 |
| Uttar Pradesh | +11,056 |
| Bihar | +6,528 |
| Maharashtra | +6,370 |
| West Bengal | +5,880 |
| Tamil Nadu | +5,293 |
Source: ICMR-NCRP (link )
Reported vs Real Incidence
In 2022, an estimated 19-20 lakh new cancer cases were reported in India. However, experts suggest that the real incidence is 1.5-3 times higher than registry data due to:
• Under-reporting in rural and semi-urban areas
• Limited cancer registry coverage
• Lack of access to diagnostics in early stages
• Social stigma and low health-seeking behaviour
Key Drivers of Rising Incidence
1. Population Growth & Ageing - Indias population over age 50 is expected to grow substantially, and cancer risk increases sharply with age.
2. Lifestyle Risk Factors - Tobacco use (both smoking and smokeless), alcohol consumption, processed foods, obesity, and air pollution contribute to a growing share of cancer cases.
3. Increased Awareness & Screening - Public health campaigns, celebrity advocacy, and greater access to diagnostics are identifying more cases than before.
4. Affordability & Access - Expansion of government health schemes such as Ayushman Bharat, along with increased insurance penetration, is enabling more people to seek diagnosis and treatment.
5. Relapse-driven Cases - Improvements in survival rates mean more patients are living longer, but some face cancer recurrence, adding to the burden.
Advancements in Cancer Diagnosis and Treatment
India has witnessed significant advancements in cancer diagnosis and treatment, driven by rapid adoption of innovative technologies and evolving clinical practices. The increasing use of genomic-guided therapies and immunotherapy, including checkpoint inhibitors, has transformed treatment outcomes by enabling more targeted and personalized care. In parallel, emerging modalities such as CAR-T cell therapy are offering curative potential in select hematological cancers, marking a significant breakthrough in advanced oncology treatment.
Advancements in diagnostics are also improving early detection and treatment monitoring. Techniques such as liquid biopsy are enabling non-invasive cancer detection and real-time assessment of treatment response, while artificial intelligence is enhancing diagnostic accuracy and supporting clinical decisionmaking. Imaging technologies such as multiparametric MRI continue to improve precision in cancer detection and staging.
Radiation oncology has seen notable innovation with the introduction of advanced technologies such as MR-LINAC and adaptive radiation therapy, which allow real-time imaging and treatment adjustments, improving precision and minimizing damage to surrounding tissues. In addition, theranostics is emerging as a promising approach that combines targeted diagnostics with therapy, particularly in treating specific tumor types with high precision.
Surgical oncology has also evolved with the increasing adoption of robotic and minimally invasive techniques, leading to improved patient outcomes and faster recovery. These advancements are complemented by the use of multidisciplinary tumor boards and precision oncology approaches, which ensure personalized treatment planning based on individual patient profiles.
Overall, India is at the forefront of adopting advanced, patientcentric oncology treatments, with continued innovation across diagnostics, therapeutics, and care delivery models significantly improving outcomes and expanding access to high-quality cancer care.
Key Challenges in Cancer Care Delivery in India
| Key Challenge | Summary |
| Late Diagnosis | A significant proportion of cancer cases in India are diagnosed at advanced stages due to low awareness, inadequate screening, and delayed referrals, reducing the likelihood of successful treatment. |
| Limited Access to Quality Cancer Care | 75% of Indian Healthcare is private and only 175 of 500+ districts have Comprehensive Cancer Centers (CCC). |
| Access to comprehensive oncology services remains concentrated in metropolitan cities, leaving patients in Tier II, Tier III, and rural regions underserved. | |
| Shortage of Oncology Infrastructure | Under penetration of screening equipment - 5CT/mm population in India compared to 40 in high income countries |
| India continues to face a shortage of dedicated cancer hospitals, radiotherapy equipment, PET-CT scanners, and specialized treatment facilities relative to the growing disease burden. | |
| Workforce Constraints | There is a shortage of trained oncologists, oncology nurses, pathologists, radiologists, and allied healthcare professionals, impacting timely diagnosis and treatment. |
| Affordability of Treatment | Cancer treatment remains expensive, and despite improving insurance penetration, out-of-pocket expenditure continues to be high for many patients, particularly for advanced therapies. |
| Regional Disparities | Significant differences exist in healthcare infrastructure and access between urban and rural areas, resulting in unequal treatment outcomes across regions. |
| Limited Focus on Prevention & Screening | Organized screening programs for common cancers such as breast, cervical, and colorectal cancer remain limited, leading to missed opportunities for early detection. |
| Rising Cancer Burden | Population ageing, lifestyle changes, tobacco use, obesity, pollution, and increasing life expectancy continue to drive higher cancer incidence, placing additional pressure on healthcare infrastructure. |
| Adoption of Advanced Therapies | While precision oncology, immunotherapy, and targeted therapies are improving outcomes globally, access remains constrained by affordability, infrastructure, and reimbursement challenges. |
| Continuity of Care | Cancer treatment often requires multidisciplinary care, rehabilitation, and long-term follow-up, but integrated care pathways are still evolving across much of the country. |
India Cancer Industry Projected Growth
Indias cancer care market is poised for strong long-term growth, driven by the rising incidence of cancer, an ageing population, increasing disease awareness, improving health insurance penetration, and expanding access to specialised oncology services. Continued investments in dedicated cancer hospitals, advanced diagnostics, radiotherapy infrastructure, precision oncology, and innovative therapies are further accelerating market expansion. According to industry estimates, the Indian oncology market is expected to expand from INR 255 billion in 2024 to INR 535 billion in 2030, growing at a CAGR of approximately 12-13%. It is also expected to drive demand for organised cancer care, particularly across underserved Tier II and Tier III cities, creating significant long-term opportunities for specialised oncology providers.
Oncology
The Company is the largest provider of cancer care in India under the "HCG" brand. It owns and operates comprehensive cancer diagnosis and treatment services (through radiation therapy, medical oncology and surgery). As of March 31, 2026, our HCG network consisted of 22 comprehensive cancer centres, including 1 centre in Africa. Each of our comprehensive cancer centres offers, at a single location, comprehensive cancer diagnosis and treatment services including radiation, medical oncology and multidisciplinary approach to cancer care across our HCG network, wherein specialist physicians from various disciplines collaborate to provide the best course of treatment for each patient. Our freestanding diagnostic centres and our day care chemotherapy centre offer diagnosis and medical oncology services, respectively.
We follow a multidisciplinary approach to cancer care across our HCG network, wherein specialist physicians from various disciplines collaborate to provide the best course of treatment for each patient. This allows us to share and develop best practices, build clinical expertise and adopt standardized protocols for diagnosis and treatment, thereby improving the quality of our cancer care services. We believe that as a result, we can better serve our patients and ensure consistent clinical outcomes.
In our HCG network, our specialist physicians adopt a technology- focused approach to diagnosis and treatment. For instance, we use advanced technologies, including molecular pathology and molecular imaging for accurate diagnosis and staging of cancer, which enable us to decide upon the appropriate course of treatment for each patient. We believe that owing to the relationships we enjoy with such medical technology vendors and pharmaceutical and biotechnology companies and our involvement with them in the areas of research and development, we have been able to introduce in
India and adopt across our HCG network the latest advances in technology relatively early.
For instance, we were among the first healthcare providers in India to standardize molecular diagnostics technologies, including genomic testing and molecular imaging, including 128 slice PET-CT scans in the diagnosis and staging of cancer, as well as to introduce high intensity flattening filter free mode radiotherapy, stereotactic and radiosurgery and robotic radiosurgery, in the treatment of cancer in India. We were also the first healthcare provider in India to perform computer assisted tumour navigation surgery. We believe this gives us a distinct advantage relative to our competitors in delivering high quality and standardized cancer care to our patients. We also utilize targeted nuclear medicine therapies as well as advanced radiation treatments to minimize side effects and improve the outcome of treatments. By ensuring that we adopt these diagnostic and treatment technologies throughout our HCG network, we can provide consistent quality of care to all patients.
Given the large number of patient cases treated across our HCG network, we believe that we can efficiently utilize our equipment, technologies and human resources, thereby deriving economies of scale. Furthermore, efficiently utilise our equipment, technologies and human resources, thereby deriving economies of scale.
Through the adoption of a centralised drug and consumables formulary, we can lower the overall cost of drugs and consumables. We believe that our business model is scalable and when combined with efficient utilisation of resources, it enables us to operate within a competitive cost structure.
HCG key differentiators:
1) Clinical outcomes a major driver in selecting doctor/hospital; survival rate a lead indicator of clinical outcome: A Patient chooses a hospital based on clinical outcomes which are different in different hospitals based on the in-depth practice (specialization, sub-specialisation), research, machines, technology, tools, knowledge sharing, domain expertise and various such factors. One does not decide hospital on basis of multi-speciality or single speciality.
HCG is the largest oncology focused hospital which does extensive research on cancer care which allows it to stay one step ahead compared to other hospitals. Based on the sheer volume that HCG caters our belief is that the clinical outcomes at HCG should be far superior compared to other hospitals when it comes to oncology and has higher success ratio/survival rate matters in case of oncology which is one of the major driving forces when it comes to selecting HCG.
2) Sub-specialization is need of the hour: With ever increasing complexity of cancer and need for accurate treatment there are various sub-specializations which have emerged. There are over 50 different types and sub-types of cancer each requiring unique treatment & know-how. HCG has highest number of oncologists (400+) in the country with various sub-specialist oncologists which is a determining factor to choose hospital.
3) Largest tumour-board in India: Tumour board is a unique approach whereby group of oncologists meets every week to discuss critical case and decide what treatment needs to be given to a particular patient considering various factors. This helps in enhancing the accuracy level and outcome levels are far better. HCG has the largest tumour board in India which is a key differentiating factor.
4) Pioneers of research in India: Very few institutes like HCG and Tata memorial in India are focused on R&D and academics. HCG has been at the forefront of Research and Development when it comes to cancer research. HCG till date has published close to1030 research papers.
5) All modalities under one roof: Most of the multi-speciality hospitals have one department for oncology but they lack comprehensive cancer care centres. HCG has dedicated 21 comprehensive cancer care centres in India and 01 in Kenya which provides all modalities (diagnostics, radiotherapy, medical, surgical oncology) under one roof.
6) Largest gene sequencing in the country (Genomics Lab): HCG has taken a leadership role in genomics-driven tumour boards and gene-profiling. This has given insights into patientcentric approach, particularly for advanced and recurring tumours, not only from India, but from Africa and Middle East,
making HCG a destination for cancer care. This approach helps in better outcome and indirect more patient referrals.
Precision Diagnostics
Triesta Sciences is an integrated speciality diagnostics vertical of HCG with end-to-end capabilities in precision medicine through proprietary analytics, clinical research, genomic technologies, assay development and validation and a network of laboratories offering a broad menu of tests.
Triesta Sciences is a one- stop solution for oncology diagnostics, Genomics (Next Generation sequencing based diagnostics), biomarker and translational research, laboratory services, and clinical research services for several hospitals across India with a focus on innovation, quality and accuracy for better diagnosis and prognosis of Cancer.
Triesta offers proprietary data analytical engines for research and clinical applications for genomic testing and offers hospital laboratory management services by way of establishing and operating laboratory within the hospital premises. It also provides clinical reference laboratory services in India with specialization in oncology, rare diseases and reproductive health and its offerings include molecular diagnostic services and genomic testing. Triesta central reference laboratory is in Bengaluru and is accredited by NABL in India, as well as by CAP for quality assurance of laboratory tests performed. Additionally, Triesta offers research and development services to pharmaceutical and biotechnology companies in the areas of clinical trial management and biomarker discovery and validation and is led by a team of specialist oncopathologies, molecular biologists and clinical researchers.
As part of clinical diagnostics, Triesta offers precision tests like Inherited Cancer Risk Analysis, Tumour Mutation Analysis for Precision Treatment, Liquid Biopsy Analysis for Precision Treatment, Response Monitoring, and Early Detection of Relapse, in addition to an entire gambit of traditional tests.
Multi-speciality
HCG operates three multi-speciality hospitals, under "HCG" brand in Ahmedabad, and Rajkot, in the state of Gujarat and one in Hubli in the state of Karnataka.
HCG Multispecialty in Ahmedabad, Rajkot and Hubli are tertiary care hospitals with 115, 134 and 188 operating beds respectively, as of March 31, 2026. These hospitals provide comprehensive inpatient and outpatient treatments. Their key specialties include cardiology, neurology, orthopaedics, gastroenterology, urology, internal medicine and pulmonary and critical care. Suchirayu Health Care Solutions Limited, in Hubli, is a multi- speciality quaternary hospital. With 188 operational beds and capacity to go to 267 beds, the hospital offers state of the art facilities and infrastructure in the region.
Hospital Network HCG Network In India
As of March 31, 2026, we operate a network of 22 comprehensive cancer centres and 3 multi-specialty hospital across ten states in India and 1 centre in Nairobi, Kenya. All of these centres are owned and operated by the Company, with some of the centres in joint- venture with oncologists or healthcare groups where majority ownership is with the Company.
The following table sets out our existing comprehensive cancer centres and multi-specialty hospital and their facilities and service offerings:
| Location of the comprehensive cancer centre | Commencement of operation (calendar year) | Number of Operational beds 3 | Number of RT-LINACs | Number of OTs | Number of PET- CT scanners |
| Karnataka | |||||
| Bengaluru - double road | 1989 | 52 | 1 | 3 | |
| Shimoga 1 | 2003 | 56 | 1 | 3 | |
| Bengaluru - Kalinga Rao Road | 2006 | 250 | 3 | 7 | 3 |
| Hubli | 2008 | 40 | 2 | 2 | 1 4 |
| Gulbarga | 2016 | 50 | 1 | 2 | |
| Gujarat | |||||
| Ahmedabad1 | 2012 | 165 | 2 | 9 | 1 |
| Baroda 1 | 2016 | 109 | 1 | 5 | 1 |
| Bhavnagar | 2018 | 110 | 1 | 3 | |
| East India | |||||
| Ranchi | 2008 | 75 | 1 | 3 | 1 |
| Cuttack | 2008 | 165 | 2 | 3 | 1 |
| Kolkata 1 | 2019 | 78 | 2 | 4 | 1 4 |
| Maharashtra | |||||
| Nashik 1 | 2018 | 174 | 3 | 8 | 1 |
| Borivali1 | 2017 | 87 | 2 | 5 | 1 |
| Nagpur1 | 2017 | 83 | 2 | 4 | 1 |
| South Mumbai | 2019 | 38 | 2 | 2 | 1 |
| Andhra Pradesh | |||||
| Vijayawada | 2009 | 200 | 1 | 4 | 1 4 |
| Ongole | 2012 | 79 | 1 | 2 | |
| Vishakhapatnam | 2016 | 127 | 2 | 5 | 1 |
| MGCHR1 | 2024 | 196 | 2 | 4 | 1 |
| Others | |||||
| Kenya 1 | 2016 | 15 | 1 | 1 | |
| Jaipur | 2018 | 100 | 2 | 3 | 1 |
| Indore | 2023 | 48 | 1 | 3 | |
| Multi-speciality hospitals | |||||
| HMS, Ahmedabad | 2007 | 115 | 6 | ||
| Suchirayu, Hubli1 | 2011 | 188 | 5 | ||
| Rajkot1 | 2018 | 134 | 5 | ||
| Total | 2,734 | 36 | 100 | 18 |
Notes
1. Operated through our Subsidiary.
2. Our comprehensive cancer centre located at Kalinga Rao Road in Bengaluru and HCC at Ahmedabad is our centre of excellence.
3. Number of operational beds include both census and non-census beds.
4. We utilize PET-CT of our partner.
5. As of March 31, 2026, we also have a freestanding diagnostic centre in Chennai equipped with PET-CT scanners.
6. 2 LINACs installed and operated at MSR University (Bangalore) and diagnostic center (Chennai) in collaboration with partner
HCG Hebbal North Bangalore Facility Launched in May 2026
The Company strengthened its oncology network with the launch of HCG Cancer Hospital, Hebbal, a comprehensive cancer care facility with a capacity of up to 132 beds, significantly enhancing access to advanced oncology services in North Bengaluru.
The facility also marks a significant milestone in precision oncology with the installation of Karnatakas first Elekta Unity MR-Linac, one of the worlds most advanced radiation therapy platforms. By combining high-resolution MRI imaging with a linear accelerator, the technology enables real-time adaptive radiation therapy with exceptional precision, improving treatment accuracy while minimizing exposure to surrounding healthy tissue and advancing the standard of cancer care in the region.
The hospital bridges a critical gap in the region by providing personalized, patient-centric cancer care closer to home, while offering the advanced technology, multidisciplinary expertise, and clinical capabilities required to manage complex cancer cases. It integrates comprehensive cancer diagnosis, treatment, and supportive care under one roof, reinforcing HCGs commitment to delivering world-class oncology services.
Divestment on Milann (Fertility Business)
Subsequent to the close of the financial year, the Board of Directors, at its meeting held on May 19, 2026, approved the divestment of the Companys entire equity shareholding in BACC Health Care Private Limited ("BACC"), which operates the fertility and reproductive healthcare business under the "Milann" brand, to Inviga Healthcare Fund I and its nominee (collectively, the "Buyer"), for an aggregate consideration of H37,64,44,788, subject to agreed deductions and adjustments under the Share Purchase Agreement ("SPA"). The consideration is payable in two tranches, comprising H28,23,33,591, representing 75% of the aggregate consideration, payable upon completion of the transaction, and the balance H9,41,11,197, representing 25% of the aggregate consideration, payable within 18 months from the date of execution of the SPA. The deferred consideration is neither conditional nor contingent. This strategic realignment is expected to enhance operational focus, strengthen capital allocation, and support HCGs long-term growth strategy as Indias leading specialized oncology provider.
Risks and Concerns
Risks are an integral part of any enterprise, and effective risk management remains critical to sustaining growth, profitability, and long-term value creation. The healthcare sector in India continues to evolve, with increasing consolidation, regulatory oversight, and changing payer dynamics. Against this backdrop, the Company continuously monitors its risk landscape and strengthens its risk management framework to address emerging challenges.
Our results of operations may be influenced by several external and internal factors, many of which are beyond our control. These include macroeconomic conditions, changes in government policies and pricing regulations, evolving competitive dynamics, delays in project execution, challenges in obtaining regulatory approvals, and availability of skilled human resources and capital. Variability in these factors may impact the timing and performance of new centre launches and overall business growth.
The Companys growth strategy involves partnerships and selective acquisitions. Our ability to identify suitable opportunities, maintain strong relationships with partners, and successfully integrate acquired businesses is critical. Any disruption in partnership arrangements or challenges in executing acquisitions could impact our expansion plans and operational performance.
Our business is also exposed to risks related to payor mix and collections. A portion of our revenues is derived from third- party payors, including government schemes and insurance providers. Delays in collections, disallowances, or changes in reimbursement policies may impact cash flows and profitability. The Company continues to strengthen its revenue cycle management processes to mitigate such risks.
The healthcare sector remains highly competitive, with both specialized and multispecialty providers expanding their oncology capabilities. Our ability to maintain clinical excellence, enhance patient outcomes, strengthen brand positioning, and attract and retain high-quality clinical talent will be key to sustaining our competitive advantage.
The Companys operations are dependent on its leadership team, key clinicians, and skilled workforce. The ability to attract, retain, and develop talent—particularly in specialized oncology disciplines remains critical to delivering consistent quality of care and executing our growth strategy.
We also evaluate the recoverability of goodwill and intangible assets arising from past acquisitions. Any adverse developments impacting the performance of acquired businesses may result in impairment charges, which could affect reported earnings.
Given that a part of our operations is conducted through subsidiaries, our financial performance is also dependent on their ability to generate sustainable earnings and cash flows. Any underperformance at the subsidiary level may impact consolidated financial results.
Our capital structure relies on a balanced mix of internal accruals, debt, and equity. Any constraints in accessing timely financing or changes in borrowing costs could impact our investment plans and financial performance.
Overall, while the Company continues to operate in a dynamic and evolving environment, it remains focused on strengthening its enterprise risk management framework, with continuous monitoring of operational, financial, regulatory, and strategic risks. This approach enables us to proactively identify risks and implement mitigation strategies, ensuring resilience and longterm sustainability.
Financial and Operating Highlights Overview
HCG (the Company) entered the Financial Year 2025-26 ("Fiscal Year" or "FY") with a sharpened strategic focus on its core oncology platform, continued ramp-up of recently added centres and disciplined capital allocation. During the year, the Company strengthened its balance sheet through a rights issue and initiated the divestment of its fertility business (Milann, operated through BACC Healthcare Private Limited), while continuing to expand network capacity and adopt next-generation cancer- care technology. Supported by improved occupancy levels, addition of beds and capacity, deeper penetration in Tier-2 and Tier-3 markets. Revenue from operations for FY 2026 grew by 14.44% over FY 2025, profit before exceptional items and tax grew by 25.50%, and the Group delivered underlying operating performance ahead of the prior year, before the recognition of an exceptional impairment loss in respect of the fertility business classified as held for sale and the non-recurring impact of the new Labour Codes.
Change in control during the year
On 30 May 2025, Hector Asia Holdings II Pte. Ltd. (along with persons acting in concert, collectively the "Acquirers") acquired 51.59% of the diluted voting share capital of the Company at a price of ^ 445 per share, resulting in a change in control of the Company. The change in control was preceded by the exit of the erstwhile promoter group and was accompanied by a reconstitution of the Board of Directors. The change in control has been accounted for in accordance with the requirements of applicable accounting standards and the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. Pursuant to the change in control, the new promoter has also continued to support the Groups strategic priorities of strengthening its oncology platform, expanding capacity, and the disposal of non-core businesses.
Separately, and as disclosed in the notes to the consolidated financial statements, a bonus payment of INR 483.00 million was paid directly by Aceso Investment Holdings Pte. Ltd, the erstwhile promoter, to certain identified employees of the Group on 30 May 2025. As the Company was not a party to this arrangement and had no financial obligation in respect thereof, the said payment has no accounting impact in the consolidated financial statements.
Overview of key regions South Cluster
South cluster operated 9 comprehensive cancer centres and 1 multi-speciality centre. The cluster is anchored by our Centre of Excellence at Bengaluru - Kalinga Rao Road and the Vizag Hospital and Cancer Research Centre (VHCRPL). During FY26, the cluster continued to drive volume growth, deepen sub-specialisation and expand high-end clinical programmes, including precision oncology and advanced radiation therapy. The cluster was further strengthened with operationalization of North Bangalore facility in May26, with capacity up to 132 beds and equipped with state-of-the art MR-LINAC technology.
VHCRPL, acquired in October 2024, reflects the full-year consolidation (51% stake acquired in October 2024), compared to a partial year in FY 2025. Subsequent to the year-end, on 13 April 2026, the Company completed the acquisition of the additional 34% equity stake in VHCRPL for a consideration of INR 1,545.02 million, thereby deepening control over this fastgrowing platform. As at 31 March 2026, the Groups binding commitment in respect of this additional stake was carried as a forward liability of INR 1,542.67 million under other financial liabilities, in accordance with Ind AS 103. The MGCHRI center in Vizag, acquired in FY 2025 continued to ramp up volumes through the year.
West Cluster
The West cluster comprises of 9 comprehensive cancer centres (Ahmedabad, Baroda, Bhavnagar, Jaipur, Borivali, South Mumbai, Nagpur, Nashik and Indore) and 2 multi-speciality units (Ahmedabad, Rajkot). The cluster continues to be the biggest contributor to consolidated revenue, with sustained growth across oncology, supported by improving case mix and capacity
utilisation. HCG continues to selectively invest in advanced radiation technology, medical oncology capacity and clinical capabilities across the cluster. Furthermore, brownfield bed additions have been initiated at Ahmedabad and Bhavnagar as part of the Groups medium-term capacity expansion plan.
East cluster
The East India cluster comprises of 3 comprehensive cancer centres (Kolkata, Cuttack, Ranchi). The cluster continued its growth trajectory in FY 2026, supported by ramp-up at the Kolkata centre, deeper specialist coverage, expanding clinical tie-ups and patient out-reach. Brownfield bed additions are underway at Cuttack and Ranchi over the next 24 months.
International (Kenya)
Our centre in Nairobi, Kenya recorded strong growth during the year, supported by improved capacity utilisation, and continues to anchor our presence in Africa.
Milann - fertility business classified as held for sale
Milann is one of Indias leading IVF brands, with a focus on clinical excellence, training and education. During the year ended 31 March 2026, the Board of Directors committed to a plan to divest the Companys entire equity interest in BACC Healthcare Private Limited, and the business has accordingly been classified as a disposal group held for sale as at 31 March 2026 in accordance with Ind AS 105. The fertility business does not represent a separate major line of business or a geographical area of operations of the Group and has therefore not been classified as a discontinued operation; its results continue to be included within the Groups results from operations until the date of disposal. Milanns revenue from operations was INR 604.54 million in FY 2026 compared with INR 577.74 million in FY 2025.
On 19 May 2026, subsequent to the year-end, the Board approved the sale of the entire equity interest in BACC to Inviga Healthcare Fund I and its nominee, a related party, for a consideration of INR 376.44 million, subject to working capital adjustments and customary closing conditions. Of the agreed consideration, INR 282.33 million is payable upfront and the balance INR 94.11 million is payable within 18 months from the date of sale. An impairment loss of INR 319.11 million was recognised during the year on remeasurement of the disposal group to the lower of carrying amount and fair value less costs to sell, allocated to goodwill, and presented as an exceptional item.
Financial Performance
The financial statements of HealthCare Global Enterprises Limited and its subsidiaries (collectively referred to as "HCG" or the "Group") and its joint venture have been prepared in compliance with the Indian Accounting Standards ("Ind AS") as prescribed under Section 133 of the Companies Act, 2013 read with the Companies (Indian Accounting Standards) Rules, as amended from time to time.
The discussion herein below relates to the consolidated statement of profit and loss for the year ended 31 March 2026, the consolidated balance sheet as at 31 March 2026,
and the consolidated cash flow statement for the year ended 31 March 2026. The consolidated results are more relevant for understanding the performance of HCG. In accordance with the Companies (Indian Accounting Standards) Rules, 2015 of the Companies Act, 2013, HCG adopted Indian Accounting Standards (Ind AS) for preparation of its financial statements from April 1, 2016. Significant material accounting policies used for the preparation of the financial statements are disclosed in the notes to the consolidated financial statements for the year ended 31 March 2026.
As disclosed above, the fertility business has been classified as a disposal group held for sale at the year-end in accordance with Ind AS 105 and its results continue to be reported within the Groups results from operations; accordingly, the consolidated statement of profit and loss for FY 2026 includes the results of the fertility business (Milann/BACC), and the comparatives have not been restated.
Statement of profit and loss - summary
| Particulars | FY 2026 (INR Million) | % of Revenue from Operations | Growth vis-avis FY 2025 | FY 2025 (INR Million) | % of Revenue from Operations |
| REVENUE | |||||
| Revenue from operations | 25,384.29 | 100.00% | 14.44% | 22,181.36 | 100.00% |
| Income from government grant | 69.76 | 0.27% | 47.98% | 47.14 | 0.21% |
| Other income | 249.89 | 0.98% | (28.22%) | 348.14 | 1.57% |
| Total income | 25,703.94 | 101.26% | 13.85% | 22,576.64 | 101.78% |
| EXPENSES | |||||
| Purchases of medical and non-medical items | 7,016.78 | 27.64% | 18.88% | 5,902.16 | 26.61% |
| Changes in inventories | (93.80) | (0.37%) | (2.46%) | (96.17) | (0.43%) |
| Employee benefits expense | 3,786.04 | 14.91% | 7.11% | 3,534.75 | 15.94% |
| Finance costs | 1,765.67 | 6.96% | 14.24% | 1,545.61 | 6.97% |
| Depreciation and amortisation expense | 2,441.71 | 9.62% | 15.53% | 2,113.44 | 9.53% |
| Other expenses | 10,087.23 | 39.74% | 11.89% | 9,014.92 | 40.64% |
| Total expenses | 25,003.63 | 98.50% | 13.58% | 22,014.71 | 99.25% |
| Profit before share of profit of JV, exceptional items and tax | 700.31 | 2.76% | 24.63% | 561.93 | 2.53% |
| Share of profit of joint venture | 14.60 | 0.06% | 89.36% | 7.71 | 0.03% |
| Profit before exceptional items and tax | 714.91 | 2.82% | 25.50% | 569.64 | 2.57% |
| Exceptional items - (loss) / gain | (445.81) | (1.76%) | n.m. | 0.00 | 0.00% |
| Profit before tax | 269.10 | 1.06% | (52.76%) | 569.64 | 2.57% |
| Tax expense | 41.37 | 0.16% | (49.11%) | 81.30 | 0.37% |
| Profit for the year | 227.73 | 0.90% | (53.36%) | 488.34 | 2.20% |
| Profit attributable to owners of the Company | 137.55 | 0.54% | (69.03%) | 444.10 | 2.00% |
| Profit attributable to non-controlling interests | 90.18 | 0.36% | 103.84% | 44.24 | 0.20% |
Revenue
Revenue from operations
Revenue from operations increased by INR 3,202.93 million, or 14.44%, from INR 22,181.36 million in FY 2025 to INR 25,384.29 million in FY 2026. The increase was primarily attributable to increased patient footfalls, addition of beds and capacity, the full-year consolidation of the Vizag Hospital and Cancer Research Centre Private Limited (VHCRPL) (which was
consolidated only with effect from October 2024 in the prior year), and improving case mix across the network.
Revenue from operations of INR 25,384.29 million in FY 2026 includes revenue of INR 604.54 million (FY 2025: INR 577.74 million) from the fertility business (Milann) classified as held for sale at year-end. The oncology, precision diagnostics and multi-speciality businesses therefore generated revenue of INR 24,779.75 million in FY 2026 compared with INR 21,603.62 million in FY 2025, a year-on-year growth of 14.70%.
Region-wise revenue (including income from government grant)
The region-wise breakdown of operating revenue (revenue from operations together with income from government grant) for FY 2026 and FY 2025 is set out below.
| Region | FY 2026 (INR Million) | FY 2025 (INR Million) | YoY Growth |
| South - Karnataka, Andhra Pradesh and others | 9,950 | 8,757 | 13.62% |
| West - Gujarat, Maharashtra and others | 11,330 | 9,910 | 14.33% |
| East India | 2,830 | 2,551 | 10.94% |
| International - Kenya | 740 | 433 | 70.90% |
| Milann - fertility business classified as held for sale | 604 | 578 | 4.50% |
| Revenue from operations and income from government grant | 25,454 | 22,229 | 14.51% |
Notes: Figures rounded to the nearest INR million.
All regions registered year-on-year growth in revenues during FY 2026. The South cluster continued to be anchored by sustained growth at our Centre of Excellence in Bengaluru - Kalinga Rao Road, alongside ramp-up at the VHCRPL and MGCHRI centres in Andhra Pradesh. The West cluster benefited from continued momentum across the Gujarat and Maharashtra centres, supported by capacity additions and improving case mix. The East India cluster recorded steady growth, led by deepening clinical capabilities at the Kolkata centre. Our international centre in Nairobi, Kenya recorded particularly strong growth, supported by improved case mix and capacity utilisation.
As at 31 March 2026, 4 of our centres generated monthly revenue of more than INR 100 million, 14 centres generated between INR 50 million and INR 100 million per month, and 6 centres generated less than INR 50 million per month.
Income from government grant
Income from government grant represents amortised deferred income earned under the Export Promotion Capital Goods (EPCG) scheme. It increased to INR 69.76 million in FY 2026 from INR 47.14 million in FY 2025, reflecting the impact of additional EPCG benefits recognised during the year.
Other income
Other income decreased by INR 98.25 million, from INR 348.14 million in FY 2025 to INR 249.89 million in FY 2026, mainly due to lower miscellaneous income recognised during the year, partially offset by gain of Rs. 70 million relating to the trade receivables acquired through a business combination on account of changes in fair value of these receivables.
Expenses
Total expenses increased by INR 2,988.92 million, or 13.58%, from INR 22,014.71 million in FY 2025 to INR 25,003.63 million in FY 2026. The increase in cost of consumption, employee benefits expense and other operating expenses is in line with the growth in revenue and operations and the full-year impact of recently added capacity.
Cost of consumption
Cost of consumption comprises expenses related to purchases of medical and non-medical items and changes in inventories. Cost of consumption increased by INR 1,116.99 million and stood at INR 6,922.98 million in FY 2026, up from INR 5,805.99 million in FY 2025. Cost of consumption as a percentage of total revenue (including government grants and other income) was 26.93% in FY 2026 compared with 25.72% in FY 2025, reflecting the mix shift towards more drug-intensive medical oncology and targeted therapies.
Employee benefits expense
Employee benefits expense increased by INR 251.29 million, or 7.11%, from INR 3,534.75 million in FY 2025 to INR 3,786.04 million in FY 2026. The increase was attributable to the full-year impact of head-count addition at VHCRPL and other emerging centres, annual increments, and continued investment in clinical talent. As a percentage of revenue from operations, employee cost moderated from 15.94% to 14.91%, reflecting operating leverage. The incremental impact of the new Labour Codes on gratuity and compensated absences for the year (aggregating INR 126.70 million) has been presented separately as an exceptional item and is therefore not included within employee benefits expense above.
Finance costs
Finance costs increased by INR 220.06 million, or 14.24%, from INR 1,545.61 million in FY 2025 to INR 1,765.67 million in FY 2026. The increase was primarily on account of higher average debt during the year, including borrowings drawn for funding ongoing brownfield capacity expansions, and higher interest on lease liabilities arising from new leases, partially
offset by lower closing debt following the deployment of rights issue proceeds.
Depreciation and amortisation expense
Depreciation and amortisation expense increased by INR 328.27 million, or 15.53%, from INR 2,113.44 million in FY 2025 to INR 2,441.71 million in FY 2026. The increase reflects the full-year impact of the Vizag consolidation, capitalisation of brownfield additions completed during the year (including the Ahmedabad Cancer Centre), addition of advanced radiation and imaging equipment across the network, and incremental right-of-use asset depreciation arising from new leases.
Other expenses
Other expenses increased by INR 1,072.31 million, or 11.89%, from INR 9,014.92 million in FY 2025 to INR 10,087.23 million in FY 2026. The increase was mainly on account of higher medical consultancy charges in line with the addition of clinical talent across new centres, higher usage of radiation equipment on pay-per-use arrangements, marketing and brand-building spends, and higher loss allowance on trade receivables. Overall, other expenses constituted approximately 40% of revenue from operations, broadly in line with the prior year.
Profit before share of profit of JV, exceptional items and tax
Profit before share of profit of joint venture, exceptional items and tax for FY 2026 stood at INR 700.31 million compared with INR 561.93 million in FY 2025, an increase of 24.63%, reflecting healthy underlying operating performance and the benefit of operating leverage as recently added capacity continues to ramp up.
Share of profit of joint venture
Share of profit of joint venture represents the Groups share of results from its joint venture in Kenya. The Group recorded a share of profit of INR 14.60 million in FY 2026 compared with INR 7.71 million in FY 2025.
Exceptional items
Exceptional items in FY 2026 amounted to a net loss of INR 445.81 million (FY 2025: Nil), comprising the following:
• Impairment loss of INR 319.11 million recognised on remeasurement of the Milann disposal group to the lower of carrying amount and fair value less costs to sell, allocated to goodwill in accordance with Ind AS 105; and
• Incremental impact of the new Labour Codes of INR 126.70 million, comprising INR 104.30 million in respect of gratuity and INR 22.40 million in respect of compensated absences.
Tax expense
The Group recorded current tax of INR 197.61 million and a deferred tax credit of INR 156.24 million in FY 2026, resulting in a net tax expense of INR 41.37 million for the year. The corresponding figures for FY 2025 were current tax of INR 286.63 million and a deferred tax credit of INR 205.33 million, resulting in a net tax expense of INR 81.30 million.
Profit for the year
Profit for the year (post tax, before adjusting for non-controlling interests) was INR 227.73 million in FY 2026 compared with INR 488.34 million in FY 2025. The reduction is primarily attributable to the exceptional charges of INR 445.81 million recognised during the year. Excluding the exceptional charges, the underlying profit before tax (at INR 714.91 million in FY 2026 versus INR 569.64 million in FY 2025) reflects a year-on-year growth of 25.50%.
Profit attributable to owners and non-controlling interests
Profit attributable to non-controlling interests was INR 90.18 million in FY 2026 compared with INR 44.24 million in FY 2025, primarily reflecting the full-year contribution from VHCRPL. Net profit for the year attributable to owners of the Company was INR 137.55 million in FY 2026 compared with INR 444.10 million in FY 2025.
Earnings per share
Basic earnings per share for FY 2026 stood at INR 0.97 compared with INR 3.17 in FY 2025. Diluted earnings per share for FY 2026 was INR 0.96 compared with INR 3.12 in FY 2025.
Note: Earnings per share for the comparative year has been retrospectively adjusted for the bonus element in respect of the Rights issue.
Assets
Total assets increased by INR 3,792.94 million from INR 35,432.36 million as at 31 March 2025 to INR 39,225.30 million as at 31 March 2026, primarily on account of higher cash and bank balances following the rights issue, additions to property, plant and equipment relating to brownfield capacity expansion and new equipment installations. The increase was partially offset by depreciation, the impairment of goodwill recognised on the Milann disposal group.
Assets included in the disposal group held for sale amounted to INR 667.11 million as at 31 March 2026 (31 March 2025: Nil).
Consolidated balance sheet - Assets
| Particulars | As at 31 March 2026 | As at 31 March 2025 |
| Non-current assets | ||
| (a) Property, plant and equipment | 13,927.95 | 12,689.18 |
| (b) Capital work-in-progress | 185.65 | 247.56 |
| (c) Right-of-use assets | 6,483.64 | 6,941.12 |
| (d) Goodwill | 3,875.91 | 4,299.50 |
| (e) Other intangible assets | 328.68 | 489.07 |
| (f) Investments in equity accounted investee | 68.15 | 43.09 |
| (g) Financial assets | ||
| (i) Investments | 70.66 | 70.03 |
| (ii) Other financial assets | 823.89 | 704.69 |
| (h) Deferred tax assets (net) | 399.18 | 249.93 |
| (i) Other tax assets (net) | 1,074.19 | 855.38 |
| (j) Other non-current assets | 635.40 | 404.84 |
| Total non-current assets | 27,873.30 | 26,994.39 |
| Current assets | ||
| (a) Inventories | 598.18 | 530.23 |
| (b) Financial assets | ||
| (i) Trade receivables | 4,207.01 | 4,008.96 |
| (ii) Cash and cash equivalents | 5,360.48 | 2,358.71 |
| (iii) Bank balance other than cash and cash equivalents above | 48.68 | 1,118.26 |
| (iv) Loans | 33.63 | 26.96 |
| (v) Other financial assets | 112.86 | 49.84 |
| (c) Other current assets | 324.05 | 345.01 |
| Assets included in disposal group held for sale | 667.11 | - |
| Total current assets | 11,352.00 | 8,437.97 |
| TOTAL ASSETS | 39,225.30 | 35,432.36 |
Property, plant and equipment increased from INR 12,689.18 million as at 31 March 2025 to INR 13,927.95 million as at 31 March 2026. The increase is on account of net additions during the year, partly offset by depreciation and the reclassification of PPE relating to the Milann disposal group to the held-for-sale line on the balance sheet.
Capital work-in-progress decreased from INR 247.56 million as at 31 March 2025 to INR 185.65 million as at 31 March 2026, primarily on account of the capitalisation of assets pertaining to brownfield projects completed during the year.
Right-of-use assets decreased marginally from INR 6,941.12 million as at 31 March 2025 to INR 6,483.64 million as at 31 March 2026, on account of depreciation, termination of certain leases and reclassification of ROU assets of the Milann disposal group to the held-for-sale line, partly offset by new leases entered into during the year.
Goodwill decreased from INR 4,299.50 million as at 31 March 2025 to INR 3,875.91 million as at 31 March 2026. The reduction reflects (i) the impairment loss of INR 319.11 million on goodwill allocated to the Milann disposal group on remeasurement to fair value less costs to sell, and (ii) reclassification of the residual goodwill attributable to the Milann disposal group to the held-for-sale line.
Other intangible assets decreased from INR 489.07 million as at 31 March 2025 to INR 328.68 million as at 31 March 2026, primarily on account of amortisation during the year.
Inventories on the face of the consolidated balance sheet stood at INR 598.18 million as at 31 March 2026 compared with INR 530.23 million as at 31 March 2025, in line with the growth in operations. Inventories of INR 25.86 million relating to the Milann disposal group have been separately presented within "Assets included in disposal group held for sale" as at 31
March 2026; gross Group inventories before this reclassification amounted to INR 624.04 million.
Trade receivables increased to INR 4,207.01 million as at 31 March 2026 from INR 4,008.96 million as at 31 March 2025. Cash and cash equivalents increased to INR 5,360.48 million as at 31 March 2026 from INR 2,358.71 million as at 31 March 2025, reflecting the deployment of the unutilised portion of rights issue proceeds in current accounts pending application.
Liabilities and Indebtedness
Total liabilities decreased marginally from INR 25,531.90 million as at 31 March 2025 to INR 25,123.21 million as at 31 March 2026, primarily on account of lower current borrowings following the deployment of rights issue proceeds for debt reduction, partially offset by the classification of liabilities of the Milann disposal group as held for sale (INR 344.43 million).
Total equity increased from INR 9,900.46 million as at 31 March 2025 to INR 14,102.09 million as at 31 March 2026, primarily on account of the proceeds from the rights issue completed during the year, proceeds from exercise of employee stock options, and the profit attributable to owners and non-controlling interests for the year, partly offset by the cash settlement of certain vested employee stock options (described under "ESOP cash settlement" below).
Consolidated balance sheet - Equity and Liabilities
| Particulars | As at 31 March 2026 | As at 31 March 2025 |
| Equity | ||
| (a) Equity share capital | 1,493.03 | 1,394.16 |
| (b) Other equity | 11,826.67 | 7,830.25 |
| Equity attributable to owners of the Company | 13,319.70 | 9,224.41 |
| Non-controlling interests | 782.39 | 676.05 |
| Total equity | 14,102.09 | 9,900.46 |
| Non-current liabilities | ||
| (a) Financial liabilities | ||
| (i) Borrowings | 5,991.86 | 6,045.84 |
| (ii) Lease liabilities | 7,599.82 | 7,750.86 |
| (iii) Other financial liabilities | 699.53 | 634.00 |
| (b) Provisions | 252.57 | 214.34 |
| (c) Deferred tax liabilities (net) | 23.44 | 35.35 |
| (d) Other non-current liabilities | 384.48 | 387.33 |
| Total non-current liabilities | 14,951.70 | 15,067.72 |
| Current liabilities | ||
| (a) Financial liabilities | ||
| (i) Borrowings | 3,112.19 | 3,976.47 |
| (ii) Lease liabilities | 649.65 | 599.04 |
| (iii) Trade payables | ||
| - Total outstanding dues of micro enterprises and small enterprises | 55.90 | 41.38 |
| - Total outstanding dues of creditors other than micro and small enterprises | 3,454.48 | 3,301.21 |
| (iv) Other financial liabilities | 1,896.69 | 1,959.20 |
| (b) Other current liabilities | 388.35 | 366.97 |
| (c) Provisions | 233.83 | 193.54 |
| (d) Current tax liabilities (net) | 35.99 | 26.37 |
| Liabilities included in disposal group held for sale | 344.43 | - |
| Total current liabilities | 10,171.51 | 10,464.18 |
| Total liabilities | 25,123.21 | 25,531.90 |
| TOTAL EQUITY AND LIABILITIES | ^^>39,225.30 | 35,432.36 |
Borrowings
A significant portion of the Groups liabilities comprises noncurrent borrowings and lease liabilities. Non-current borrowings amounted to INR 5,991.86 million as at 31 March 2026 (31 March 2025: INR 6,045.84 million) and current borrowings amounted to INR 3,112.19 million as at 31 March 2026 (31 March 2025: INR 3,976.47 million). Non-current lease liabilities amounted to INR 7,599.82 million as at 31 March 2026 (31 March 2025: INR 7,750.86 million) and current lease liabilities amounted to INR 649.65 million as at 31 March 2026 (31 March 2025: INR 599.04 million).
Total borrowings (current and non-current, excluding lease liabilities) decreased from INR 10,022.31 million as at 31 March 2025 to INR 9,104.05 million as at 31 March 2026.
This reduction was achieved despite incremental borrowings drawn during the year for funding brownfield expansions, with deployment of rights issue proceeds towards repayment of working capital driving the net reduction. A portion of our outstanding indebtedness continues to be denominated in foreign currency (US Dollar and Euro denominated equipment vendor loans, and Kenya-based working capital and term loans), with the balance denominated in Indian Rupees.
Separately, in respect of the binding commitment to acquire an additional 34% equity stake in VHCRPL (completed subsequent to year-end on 13 April 2026), a forward liability of INR 1,542.67 million has been recognised under other financial liabilities (current) as at 31 March 2026 (31 March 2025: INR 1,401.34 million).
Borrowings detail
| Particulars | As at 31 March 2026 | As at 31 March 2025 |
| Non-current | ||
| Secured - Term loans from banks | 5,841.49 | 5,875.06 |
| Unsecured - Deferred payment liabilities | 36.18 | 132.81 |
| Unsecured - Loans from others | 114.19 | 37.97 |
| Total non-current borrowings | 5,991.86 | 6,045.84 |
| Current | ||
| Secured - Term loans from banks | 1,167.57 | 916.78 |
| Secured - Loans repayable on demand from banks (bank overdraft) | 1,783.32 | 2,829.34 |
| Unsecured - Deferred payment liabilities | 161.30 | 155.35 |
| Unsecured - Loans from others | - | 75.00 |
| Total current borrowings | 3,112.19 | 3,976.47 |
| Total borrowings | 9,104.05 | 10,022.31 |
Summary of cash flow statement
| Particulars | For the fiscal year ended 31 March 2026 | For the fiscal year ended 31 March 2025 |
| Net cash generated from operating activities | 3,470.87 | 3,171.09 |
| Net cash (used in) investing activities | (1,774.70) | (4,877.52) |
| Net cash generated from / (used in) financing activities | 2,406.76 | (424.38) |
| Net increase / (decrease) in cash and cash equivalents | 4,102.93 | (2,130.81) |
Cash generated from operating activities
For the fiscal year ended 31 March 2026, profit before tax was INR 269.10 million and operating profit before working capital changes was INR 4,214.67 million. After adjusting for working capital movements (including the ESOP cash settlement disclosed below), cash generated from operations was INR 3,789.03 million, and after income taxes paid of INR 318.16 million, net cash generated from operating activities was INR 3,470.87 million, compared with INR 3,171.09 million in FY 2025, reflecting strong underlying cash conversion.
Cash used in investing activities
Net cash outflow in investing activities was INR 1,774.70 million in FY 2026 (FY 2025: INR 4,877.52 million), primarily relating to acquisition of property, plant and equipment aggregating INR 2,920.99 million across capacity expansion and new equipment
installations, partially offset by net proceeds from fixed deposit movements and interest received. The prior year outflow had also included the upfront consideration for the VHCRPL acquisition.
Cash generated from / (used in) financing activities
Net cash generated from financing activities was INR 2,406.76 million in FY 2026 (FY 2025: net outflow of INR 424.38 million). During the year, proceeds from issue of equity shares aggregated INR 4,488.51 million, which comprised (a) the rights issue of 8,294,566 equity shares of INR 10 each at an issue price of INR 512 per share aggregating INR 4,246.82 million (gross) and INR 4,198.53 million (net of share issue expenses of INR 48.29 million); and (b) proceeds of INR 241.69 million from the exercise of employee stock options during the year. These inflows were partially offset by net repayments of long-term borrowings, repayment of principal portion of lease liabilities of INR 466.22 million, interest paid on lease liabilities of INR 842.85 million and other interest and borrowing costs of INR 826.87 million.
Cash settlement of certain vested employee stock options
During the year, pursuant to shareholder approvals and in the context of the change in control of the Company, the Group settled certain vested employee stock options through a one-time cash payment aggregating INR 580.80 million in respect of 1,619,741 vested options voluntarily surrendered by the option holders. The settlement has been accounted for as a transaction with equity holders and routed through retained earnings, and is reflected within working capital movements in the consolidated statement of cash flow.
Key Ratios
| Ratio | For the fiscal year ended 31 March 2026 | For the fiscal year ended 31 March 2025 |
| Ratio - Leverage | ||
| Debt / Equity | 0.68 | 1.09 |
| EBITDA / Interest * | 2.54 | 2.74 |
| Ratio - Profitability | ||
| Operating Profit Margin % ** | 18.35% | 17.46% |
| Net Profit Margin % | 0.54% | 2.00% |
| Debtors turnover ratio | 6.18% | 6.38% |
| Interest Coverage Ratio | 2.85% | 2.63% |
| Return on Equity % | 1.22% | 5.08% |
| RoCE % | 6.63% | 7.66% |
| Return on Net Worth % | 1.03% | 4.81% |
| Ratios - Operations | ||
| Inventory Turnover Ratio | 12.27 | 12.13 |
| Current Ratio | 1.12 | 0.81 |
| Ratio - Per Share | ||
| EPS - Basic (INR) | 0.97 | 3.17 |
| EPS - Diluted (INR) | 0.96 | 3.12 |
Reported Net Profit Margin and Return ratios for FY 2026 are impacted by the exceptional charges recognised during the year, including the impairment loss on the Milann disposal group classified as held for sale and the impact of the new Labour Codes. Excluding these exceptional items, these metrics would be broadly in line with the prior year. Earnings per share for the comparative year has been retrospectively adjusted for the bonus element in respect of the Rights issue.
Notes to key ratios
*EBITDA includes other income
**Operating profits includes other income and income from govt. grants
Disclosure of Accounting Treatment
The financial statements of the Company have been prepared in accordance with the Indian Accounting Standards (Ind AS) notified under the Companies (Indian Accounting Standards) Rules, 2015 and Companies (Indian Accounting Standards) (Amendment) Rules, as applicable, read with Section 133 of the Companies Act, 2013. The disposal group comprising the Milann fertility business has been classified as held for sale in accordance with Ind AS 105 - Non-current Assets Held for Sale and Discontinued Operations. The disposal group does not constitute a discontinued operation, and its results have therefore continued to be reported within the Groups results from operations for FY 2026.
Credit Rating
The long-term credit rating of HCG for FY 2026 has been retained at A (+) by ICRA (an associate of Moodys Investors Service). The ‘A rating signifies an adequate degree of safety regarding timely servicing of financial obligations. The outlook on the long-term rating is Stable, reflecting the Groups strengthened balance sheet following the rights issue and continued operational growth across the network.
Operating Highlights
Beyond the financial performance metrics, the Group recorded the following operating highlights for the year ended 31 March 2026 across the continuing oncology, precision diagnostics and multi-speciality businesses:
• Total network capacity stood at approximately 3,100 beds, with 2,734 operational beds as at 31 March 2026. The spare capacity of approximately 400 beds at existing centers to be operationalized in next 3-4 years.
• In-patient admissions across the continuing network grew approximately 12% year-on-year, supported by stronger referrals, higher case complexity and improved occupancy.
• Average revenue per patient (ARPP) across the continuing network rose approximately 3% year-on-year, reflecting improving case mix and adoption of advanced diagnostics and therapy modalities.
• Centre maturity profile: 4 centres generated monthly
revenue of more than INR 100 million, 14 centres
in the INR 50-100 million per month range, and 6 centres below INR 50 million per month —
indicating substantial headroom to drive organic growth.
• Approximately 200+ additional beds are planned over the next 24 months across Bengaluru, Cuttack, Ranchi and Vizag as part of expansion programme as part of the brownfield expansion programme.
• The Company completed a rights issue during the year, with net proceeds deployed primarily towards debt reduction and selected capacity additions.
• The North Bangalore facility with upto 132 beds,
equipped with MR-LINAC technology, commenced operations in May26.
• Triesta Sciences continued to expand its precision oncology and genomics testing menu and renewed its NABL and CAP accreditations during the year, reinforcing its position as the Groups integrated precision diagnostics platform.
Internal Control System and Their Adequacy
At HCG, management has the overall responsibility to design, implement and monitor an effective process and control environment aligned to the inherent risk profile of the organisation. Management is responsible for the identification, evaluation and management of significant risks. The Company has institutionalised a framework to focus on key risks that might impact achievement of business objectives. The framework entails a structured process to identify, assess and monitor risks and initiate suitable mitigation strategies for effective risk management. The Board monitors exposure to these risks with the assistance of various committees and senior management.
The internal control framework is designed to manage and mitigate the risks faced by the Company. The Company has designed and implemented an entity-level control framework setting the control philosophy and principles which guide the organisations policy and operating process framework. As part of the overall governance mechanism around financial reporting and as stipulated under the Companies Act, 2013, an Internal Controls over Financial Reporting (ICoFR) framework has been institutionalised, and the adequacy and operating effectiveness of internal controls affecting financial reporting is assessed by management.
The internal control framework is supplemented with an internal audit programme that provides an independent view of the efficacy and effectiveness of the process and control environment and supports a continuous improvement programme. The internal audit programme is managed by an Internal Audit function with direct reporting to the Audit and Risk Management Committee of the Board. The Audit Committee
reviews the adequacy and effectiveness of the Companys internal control environment and monitors the implementation of internal audit observations.
Enterprise Risk Management
HCG operates in a business environment characterised by increasing competition and market uncertainties, and is exposed to a number of risks in the ordinary course of business. Risk management activities at HCG are not aimed at eliminating all risks, but rather at helping to identify and assess the risks the Company encounters in its daily business. This allows the Company to manage risks efficiently, take informed decisions, exploit available opportunities and thereby enhance value for the Company and its stakeholders.
Risk Management Framework
The Risk Management framework has been developed and approved by senior management in accordance with the business strategy. The key elements of the framework include Risk Strategy, Risk Structure, Risk Portfolio, Risk Measuring & Monitoring, and Risk Optimising. The implementation of the framework is supported through criteria for risk assessment and categorisation, a risk escalation matrix, and risk forms and MIS. The overall objective of the risk management process is to optimise the risk-reward relationship.
Risk Categorisation, Measurement and Monitoring
Risk categorisation across strategic, operational, financial, regulatory and reporting buckets helps prioritise risks across the enterprise. The Risk Management Committee of the Board considers a number of factors during risk identification and assessment. Periodic risk reviews are conducted to re-examine the risks recorded on the risk assessment repository, ensure that current assessments remain valid, and review the progress of risk-reduction actions. Risk communication and escalation are embedded across the organisation, with the Risk Management and Steering Committee (RMSC) providing half-yearly updates to the Chairman and Board of Directors on key risks and the status of mitigation plans.
Risk Management Organisation
A robust organisational structure for managing and reporting risks is in place, supported by clearly defined, non-overlapping
roles and responsibilities. The Risk Management and Steering Committee comprises key personnel nominated from Operations, Finance, Compliance, Legal, Procurement & Pharmacy, IT, HR, and Quality Control & Audit.
Monitoring Quality of Patient Care
Monitoring the quality of our patient care continues to be a prominent focus. The Group embraces patient feedback, selfexamination and peer review as the foundation for delivering high-quality patient care in a safe environment. Internal audits are carried out by members of our staff at each cancer centre on a half-yearly basis, based on the standards set out by NABH. External audits are carried out by NABH at our Centre of Excellence in Bengaluru and at HMS, while Triestas central reference laboratory in Bengaluru continues to be accredited by NABL in India and CAP for quality assurance of laboratory tests performed.
Each cancer centre has committees responsible for quality control, including hospital infection control committees, pharmacy and therapeutics committees, employee grievance committees and ethics committees. AERB conducts audits at our cancer centres relating to quality assurance of radiation equipment, radiation safety and adequacy of skilled manpower at each centre. HCG has also developed case-specific clinical protocols for the majority of oncology cases seen across the HCG network, supporting standardised, high-quality care.
Clinical Excellence
Clinical excellence is the core premise around which our healthcare operations are structured. The Group continues to deliver high standards of clinical outcomes across our oncology, precision diagnostics and multi-speciality verticals. Standardised clinical protocols for diagnosis and treatment of cancer have enabled us to manage the large volume of patient cases across the HCG network with consistent clinical outcomes. The five- year survival rate for breast cancer patients at the HCG network is comparable to U.S. benchmarks.
The Department of Clinical Excellence at HCG has been instrumental in synergising clinical functions across all HCG hospitals. The Department drives uniform documentation standards, treatment protocols and clinical pathways; maintains a centralised cancer registry, biorepository and clinical repository; supports R&D activities and investigator-initiated trials; documents outcomes; develops clinical audit standards across departments; and develops clinical forms. Research leveraged with genomics has ushered in an era of precision medicine at HCG, with biorepository specimens and the accompanying clinical repository providing a strong foundation for novel drug-target research.
Human Resources
The Human Resources (HR) function at HCG is driven by the mission to help HCGians realise their potential — to develop, grow and achieve their purpose, build the right culture and capabilities to enable us to serve our patients, and make HCG the best place to work for passionate, innovative people who want to make a difference. As at 31 March 2026, the number of permanent employees was 6,759 (31 March 2025: 6,736), reflecting capacity additions across the network.
We continue to attract and retain highly skilled specialist physicians on account of our reputation for clinical excellence, our technology-focused approach, the exposure and experience we provide in clinical best practices, and the training programmes we offer for ongoing development. Several of our specialist physicians have received accolades and awards in recognition of their contribution to their respective fields.
Our learning and development team continuously monitors learning needs across the organisation. At our Centre of Excellence in Bengaluru, we offer Diplomate of National Board medical residency programmes for radiation oncology, medical oncology and pathology, in affiliation with the National Board of Examination. We also offer a range of certificate medical and nursing courses on oncology, a paramedical course on advanced radiotherapy technology, a laboratory research course, and various other medical and non-medical courses for our employees.
Forward Looking Statement
Except for the historical information contained herein, statements in this discussion contain certain "forward-looking statements". These forward-looking statements generally can be identified by words or phrases such as "aim", "anticipate", "believe", "expect", "estimate", "intend", "objective", "plan", "project", "will", "will continue", "will pursue" or other words or phrases of similar import. Similarly, statements that describe our Companys strategies, objectives, plans or goals are also 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 such statements. These risks and uncertainties include, but are not limited to, our ability to successfully implement our strategy, future business plans, our growth and expansion, the impact of any acquisitions and divestments (including the proposed divestment of the fertility business classified as held for sale as at 31 March 2026, and the acquisition of the additional 34% stake in VHCRPL completed subsequent to the year-end), our financial capabilities, technological implementation and changes, the actual growth in demand for our services, cashflow projections, our exposure to market risks, and other general risks applicable to the business or industry.
The Company undertakes no obligation to update forwardlooking statements to reflect events or circumstances after the date hereof. These discussions and analysis should be read in conjunction with the Companys financial statements included herein and the notes thereto.
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