Yatharth Hospital & Trauma Care Services Ltd Management Discussions

Economy

Global Economy

The global economy demonstrated resilience through 2025 despite persistent trade tensions, elevated policy uncertainty and geopolitical disruptions. Growth was supported by private-sector adaptability, technology-led investment, fiscal and monetary support and relatively favourable financial conditions. However, the recovery remained uneven, with emerging market and developing economies continuing to face structural and external challenges.

Entering 2026, the global economic outlook has become more challenging. The escalation of conflict in the Middle East has disrupted energy markets, increased commodity prices and added renewed inflationary pressures. The World Bank projects global growth to moderate from 2.9% in 2025 to 2.5% in 2026, while the IMF projects growth of 3.1% in 2026, assuming the conflict remains limited in duration and scope.

Inflation, which had been moderating, is expected to experience renewed pressure in 2026. The World Bank estimates global inflation could rise to 4.0%, compared with 3.3% in 2025, driven primarily by higher energy and commodity prices. The IMF similarly expects global headline inflation to rise modestly in 2026 before resuming its declining trajectory in 2027.

Against this backdrop, the global economy remains exposed to downside risks arising from prolonged geopolitical tensions, energy-market disruptions, trade fragmentation, tighter financial conditions and elevated uncertainty. At the same time, continued investment in technology, productivity and infrastructure provides important avenues for resilience and long-term growth.

Outlook

The global economy is expected to maintain a steady and resilient growth trajectory, with growth projected at 3.1% in CY 2026 and 3.2% in CY 2027. While this remains below the 3.7% average recorded during 2000–2019, the outlook reflects the underlying resilience of economic activity and the ability of businesses and economies to adapt to evolving global conditions. Global headline inflation is also expected to moderate from 4.4% in CY 2026 to 3.7% in CY 2027, supporting greater macroeconomic stability and improving the environment for investment and consumption.

The global growth outlook is supported by continued technology-led investment, increasing adoption of artificial intelligence, productivity improvements and structural reforms. These trends are expected to create new opportunities for innovation, efficiency and sustainable economic expansion across markets.

While geopolitical developments, commodity prices and trade dynamics remain important considerations, the global economy is entering the period ahead with stronger adaptive capacity and multiple growth drivers. Technology, innovation, infrastructure investment and structural transformation are expected to remain key catalystsformedium-termgrowth,creatingaconstructive environment for businesses and emerging markets.

Overall, the outlook remains cautiously optimistic, with moderating inflation, resilient demand and accelerating technological transformation providing a supportive foundation for global economic activity in the years ahead.¹

Indian Economy and Healthcare Industry

Indias economy demonstrated strong resilience in FY 2025–26, supported by robust domestic consumption, sustained investment and broad-based activity across manufacturing and services. Real GDP growth is estimated at 7.6%, reflecting the strength of domestic demand and continued momentum in capital formation and infrastructure development. This favourable macroeconomic environment is creating a supportive backdrop for long-term investments across essential sectors, including healthcare.

Within this broader growth landscape, healthcare is emerging as a structural growth sector, supported by rising healthcare awareness, increasing incidence of lifestyle and chronic diseases, expanding health insurance coverage and growing demand for specialised and quality medical care. The evolving preference for organised, accredited multi-speciality hospitals is encouraging investments in hospital infrastructure, advanced medical technology, specialised clinical capabilities and skilled healthcare professionals.

Government initiatives such as Ayushman Bharat, PM-ABHIM and the Ayushman Bharat Digital Mission continue to strengthen healthcare accessibility, infrastructure and digital integration. At the same time, increasing insurance penetration and the growth of medical value travel are expanding the addressable market for organised healthcare providers. These trends are particularly relevant for hospital networks seeking to expand into high-growth urban and emerging catchment areas.

The opportunity extends beyond existing metropolitan centres. Rapid urbanisation, rising incomes, expanding healthcare awareness and underserved demand in emerging markets are creating significant headroom for new hospital capacity. This is expected to drive continued investment in multi-speciality and super-speciality facilities.

Outlook

The outlook for the Indian healthcare sector remains strong and structurally favourable, supported by rising healthcare awareness, increasing prevalence of chronic and lifestyle-related diseases, expanding insurance coverage and growing demand for specialised and quality medical care. As healthcare increasingly becomes an essential component of household spending and economic development, the demand for organised, accredited multi-speciality and super-speciality hospitals is expected to remain resilient.

The next phase of growth is expected to be driven by capacity creation, deeper clinical specialisation, technology adoption and expansion into underserved and high-growth catchment areas. While metropolitan markets will continue to offer opportunities for advanced and high-value care, emerging urban centres and Tier-II markets are expected to provide significant headroom for hospital expansion. Medical value travel is also expected to emerge as an additional growth avenue for providers with strong clinical capabilities and international referral networks.

Against this backdrop, Yatharth is well positioned to participate in the next phase of Indias healthcare growth. The Group has expanded its network to nine hospitals with more than 2,800 beds, spanning Noida, Greater Noida, Noida Extension, Faridabad, New Delhi, Agra, Jhansi-Orchha and Gurugram. This expanding footprint provides a strong platform to deepen its presence across North India and address diverse patient catchments.

Our expansion strategy remains focused on adding capacity in strategically located markets while strengthening specialised and super-specialised services. Recent investments and acquisitions in Delhi-NCR, including the New Delhi, Faridabad and Gurugram markets, are expected to progressively enhance our scale, clinical capabilities and access to larger urban catchments. The planned development of advanced services, including oncology, transplant, robotic surgery and other centres of excellence, will further support the evolution of our clinical portfolio.

At the same time, our focus remains on disciplined capital allocation and operational integration. We intend to leverage our existing clinical expertise, established brand, technology platforms and talent pool across the expanding network to improve utilisation, enhance patient outcomes and build sustainable long-term value.

We remain confident that the combination of Indias structural healthcare demand and Yatharths expanding footprint, specialised capabilities and investment-led growth strategy will create a strong foundation for the years ahead. Our ambition is clear—to expand capacity, deepen clinical excellence and take specialised healthcare beyond geographical boundaries while remaining firmly committed to quality, accessibility and patient-centric care.

Government Initiatives

National Health Mission

This initiative is aimed at creating community-owned and decentralised healthcare systems to make services accessible, affordable and equitable, with a special focus on protected the underserved population.

National Health Policy

Indias National Health Policy provides a blueprint fortransformingthenationshealthcareframework.

It focuses on building community-driven health systems by equipping local first responders, empowering self-governing bodies and engaging community organisations to improve medical access and disaster.

Pradhan Mantri Ayushman Bharat Health Infrastructure Mission (PM-ABHIM)

PM-ABHIM aims to strengthen healthcare infrastructure through the development of Health and Wellness Centres, critical care hospital blocks and public health laboratories across districts. The mission is focused on enhancing healthcare accessibility, quality and pandemic preparedness across the country.

Ayushman Bharat Scheme

Building on the success of NHM, the Ayushman Bharat Scheme launched in 2018 marked a significant step towards Universal Health Coverage (UHC) in India. The programme integrates preventive, promotive and curative healthcare through four key pillars, AB-PMJAY, Ayushman Arogya Mandirs, Ayushman Bharat Digital Mission (ABDM) and PM-ABHIM.

Medical Tourism

Indias medical tourism industry continued to gain momentum, supported by rising international patient inflows, strong government initiatives and expanding healthcare infrastructure. India recorded 1,31,856 Foreign Tourist Arrivals (FTAs) for medical purposes during 2025, accounting for nearly 4.1% of total FTAs during the period.

The Government of India has been actively promoting medical tourism through initiatives such as the ‘Heal in India programme, e-medical visa facilities and the development of healthcare and wellness tourism infrastructure. The Ministry of Tourism, along with State Governments and healthcare institutions, continues to strengthen Indias positioning as a preferred destination for affordable, high-quality and technology-enabled healthcare services.

Indias medical tourism ecosystem is supported by advanced healthcare infrastructure, skilled medical professionals, internationally accredited hospitals and cost-effective treatment offerings across specialties such as cardiology, oncology, orthopaedics, organ transplants and wellness therapies. The sector is also contributing significantly to the healthcare industry by increasing hospital utilisation, encouraging investments in advanced medical facilities and strengthening Indias global healthcare reputation.

Company Overview

Yatharth Hospitals & Trauma Care Services Limited is a leading multi-speciality and super-speciality healthcare provider with a growing presence across the Delhi-NCR region and neighbouring markets. The Company operates a network of more than 2,800 beds across eight hospitals, spanning Noida, Greater Noida, Greater Noida West, Faridabad, New Delhi, Agra and

Jhansi-Orchha, while further expanding its footprint in Gurugram through a 250-bed hospital. This strategic expansion strengthens the Companys ability to address the growing demand for high-quality, specialised healthcare across North India.

Built around the pillars of talent, trust, technology, service excellence and infrastructure, Yatharth is focused on delivering comprehensive tertiary, quaternary and critical care services. Its hospitals are designed to meet stringent quality and patient-safety standards and are accredited by the National Accreditation Board for Hospitals & Healthcare Providers (NABH). Further reinforcing its commitment to globally benchmarked healthcare, Yatharth Super Speciality Hospital, Greater Noida West has received Joint Commission International (JCI), USA accreditation, recognising its focus on healthcare quality, patient safety and patient-centric care.

The Companys strategically located network enables it to serve diverse and expanding patient catchments across Delhi, Uttar Pradesh, Haryana, Madhya Pradesh and adjoining regions. The recent expansion into New Delhi, Faridabad, Agra and Gurugram further strengthens its regional presence and creates a broader platform for delivering specialised healthcare closer to patients. With a significant critical-care capacity and comprehensive clinical capabilities, Yatharth is well positioned to manage complex and specialised medical requirements.

Technologyandadvancedinfrastructureremainintegral to the Companys clinical capabilities. Its hospitals are equipped with sophisticated diagnostic and surgical technologies, including Philips Azurion catheterisation laboratories, Da Vinci, Mako and CUVIS robotic surgical systems, 1.5 Tesla whole-body MRI, 128-slice CT scanners, endobronchial ultrasound and advanced surgical platforms across multiple specialties. These capabilities enable the delivery of complex procedures and specialised treatments while supporting precision, efficiency and improved patient outcomes.

Behind this infrastructure is a highly skilled team of doctors, nurses, clinicians and healthcare professionals, supported by modern clinical processes and strong governance frameworks. Together, our people and capabilities enable us to deliver care grounded in clinical excellence, transparency, compassion and patient trust.

As Yatharth continues to expand its footprint and clinical capabilities, its focus remains clear: to build a connected, technology-enabled healthcare ecosystem that takes specialised healthcare beyond geographical boundaries while maintaining the highest standards of quality, safety and patient-centric care.

Competitive Strengths

1. Premier Hospital Network Across North India

The Company has built a large healthcare network with over 2,500 beds across 8 hospitals located in major cities such as Noida, Greater Noida, Delhi, Faridabad, Jhansi-Orchha and Agra. This provides Yatharth with strong regional reach, a diversified patient catchments and economies of scale in North India.

2. Advanced Super-speciality Care Capabilities

Yatharth offers a broad portfolio of super-speciality services through dedicated centres of excellence for cardiology, neurosciences, oncology, nephrology and gastroenterology, alongside highly specialised procedures like robotic surgery and organ transplant. Its hospitals are equipped with advanced diagnostics, ICUs, modular OTs and specialised treatment infrastructure, enabling comprehensive tertiary and quaternary care under one roof.

3. Strong Quality and Accreditation Standards

The Company differentiates itself through its emphasis on quality healthcare delivery and patient safety. Its hospitals are NABH accredited, while the Noida Extension facility is JCI accredited, making it the first JCI-accredited hospital in Uttar Pradesh. These certifications strengthen credibility, clinical governance and patient trust.

4. Experienced Doctors and Patient-centric Care

Yatharth highlights its team of highly qualified doctors, specialists and para-medical professionals trained at leading medical institutions. The Company combines clinical expertise with a patient-centric approach focused on transparency, evidence-based treatment, multidisciplinary care and 24/7 emergency support, enhancing treatment outcomes and patient experience.

Performance in FY 2026

Greater Noida Hospital

Yatharth Super Speciality Hospital in Greater Noida is a premier 400-bed tertiary care facility. With 112 critical care beds and nine modular operation theatres, the hospital offers a wide range of super-speciality services, driven by advanced robotics and diagnostics. The hospitals major focus is on delivering comprehensive and contemporary patient care.

Noida Hospital

The hospital in Noida, Uttar Pradesh, operational since 2013, is a 250-bed super-speciality tertiary care hospital. The facility includes four high-end modular operation theatres, an emergency resuscitation and observation unit, 81 critical care beds, a dedicated endoscopy unit and an advanced dialysis unit. Equipped with modern medical technologies such as a 128-slice CT scan, 1.5 Tesla MRI and advanced Cath Lab, the hospital offers healthcare services across 30 specialties.

Noida Extension Hospital

Yatharth Super Speciality Hospital, Noida Extension (Greater Noida West), Uttar Pradesh, is a 450-bed tertiary care hospital with 11 modular operation theatres and 125 critical care beds. The hospital houses several Centres of Excellence and other advanced surgical specialties. Supported by advanced medical infrastructure and patient-centric care standards, the hospital is the first and only hospital in Uttar Pradesh to receive the prestigious Joint Commission International (JCI) accreditation.

Jhansi Orchha Hospital

The Jhansi-Orchha facility is a 305-bed hospital spread across48,562squaremetres.Thefacilityincludes76critical care beds, advanced medical technology and modern infrastructure. The hospital offers healthcare services across specialties and is backed by an experienced team of doctors and paramedical professionals committed to transparency, dedication and quality patient care.

Sector 88, Faridabad Hospital

Yatharth Super Speciality Hospital, sector 88, Faridabad, is a 200-bed state-of-the-art healthcare facility offering preventive, diagnostic and treatment services across more than 30 clinical specialties. Equipped with 70 critical care beds and modern technologies such as the Da Vinci Surgical Robot, orthopaedic robotic systems, advanced cath lab and diagnostic facilities. The hospital focuses on delivering advanced and high-quality patient care.

Model Town, New Delhi Hospital

Yatharth Super Speciality Hospital, Model Town, New Delhi, is a 300-bed tertiary care hospital supported by advanced infrastructure, modern medical technology and a team of experienced specialists. Equipped with state-of-the-art ICUs, modular operation theatres and advanced diagnostic facilities, the hospital focuses on delivering precise, comprehensive and high-quality patient care.

Sector 20, Faridabad Hospital

Yatharth Super Speciality Hospital, Sector 20, Faridabad, is a 400-bed tertiary care hospital equipped with modular operation theatres, critical care units and advanced medical technologies. Supported by technologies such as the Da Vinci Surgical Robot and advanced diagnostic facilities, the hospital focuses on delivering comprehensive and patient-centric healthcare services.

Agra Hospital

Yatharth Super Speciality Hospital, Agra, is a 250-bed super-speciality hospital equipped with modern infrastructure, advanced medical technology and a team of experienced healthcare professionals. Equipped with modern infrastructure, cutting-edge medical technology and a team of experienced doctors.

Financial Analysis

	FY 2025-26	FY 2024-25
Particulars	(In Million)	(In Million)
Revenue	12,072	8,805
EBITDA	2,921	2,254
PAT	1,703	1,306
Operating Expenses	9,151	6,551

 

Particulars (Standalone Basis)	FY 2026	FY 2025	Change (%)	Reasons behind the change
Inventory Turnover	12.75	12.98	1.54%	Due to improved inventory utilisation during the year.
Debt Serving Coverage Ratio	0.68	17.48	96.10%	Due to addition in borrowing in current year.
Current Ratio	4.55	28.24	83.88%	Decreased majorly on account of reclassification of loan revocable from subsidiary companies from current to non current due to change in term of repayment.
Debt Equity Ratio (D/E)	0.14	0.00	100%	There were no borrowings in previous year.
Net Profit Ratio	0.16	0.19	16.09%	Increase in revenue being higher than the corresponding growth in net profit during the year.
Net Capital Turnover Ratio	1.65	0.44	-276.49%	Decreased majorly on account of reclassification of loan revocable from subsidiary companies from current to non current due to change in term of repayment.
Return on Equity (ROE)	0.06	0.08	21.24%	Due to a higher equity base relative to the growth in net profit during the year.

Risk Management

The Company operates in a highly competitive healthcare landscape, with a strong focus on advanced medical technology and quality patient care. Yatharth, through robust risk management and operational discipline continues to address challenges arising from economic uncertainties, inflationary pressures and evolving regulatory requirements.

The Company also prioritises talent retention through continuous training and a supportive workplace culture, recognising the importance of skilled medical professionals in sustaining long-term growth. Despite its established presence in the Delhi NCR, the Company remains conscious of the geographical concentration of its operations.

Outlook

Disclosure of accounting statement

The Company has compiled its financial results for the fiscal year ended March 31, 2026 by the Companies Act of 2013, along with the Institute of Chartered Accountants of Indias relevant accounting standards. Internal control systems and their adequacy At Yatharth Hospitals, the internal control system has been designed to correspond to the size and complexity of the operations and the incremental changes made. All aspects are continuously monitored by the management to provide reasonable assurance that the objectives and prescribed benchmarks are met. We have a robust system for checking the effectiveness and efficiency of the operations, including the reliability of financial reporting and compliance with applicable laws and regulations. It is overseen at several layers including where required by the Committees of the Board. 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. Therefore, through its observations provides an input to the management to support continuous improvement programme. The internal audit program is managed by an Internal Audit function directly reporting to the Audit and Risk Management Committee of the Board.

Cautionary Statement

TheManagementDiscussionandAnalysisreportpresents the Companys objectives, predictions, assumptions and expectations. These might contain predictions as those terms are defined by the applicable laws and rules. It is crucial to remember that the results could differ greatly from what was expected. Important variables that might affect the Companys performance include modifications to tax laws, government regulations, Indian economic conditions and other unanticipated variables.