Amit Kumar Singh, Chief Executive Officer, Yatharth Hospital & Trauma Care Services Limited

23 Jul 2023 , 06:42 PM

What are the key factors that differentiate Yatharth Hospital from other hospital chains in the market, and how do you plan to capitalize on these strengths in the future?

The first advantage we have is the geographical location where we are operating as of now. Greater Noida, Noida and Noida Extension all three are a very upcoming market, with the population influx, year on year in this region because these are the areas where Asia’s largest airport, film city and other such economic and infrastructure developments are coming in. Second is the excellent connectivity, with the Yamuna Express Way and the Delhi-Meerut Express Way. These two connect to a very huge part of the UP. That increases the catchment area to almost 250-300 km. Patients travel from those regions to our hospitals in a very minimal time. The third advantage we have is the size and scale. The size and number of beds that we are operating at, are the largest in that region. Fourth is the scale and range of services we are providing. So we offer services ranging from internal medicines to organ transplants, that no one else in the region is providing. So that is the competitive edge we have in that region.

How will you deploy the funds raised through the IPO? At present, what is the debt on the company’s books? What will it be after the IPO?

We are raising Rs. 610 crore through our primary issue. As far as deployment is concerned, Rs. 245 crore will be used to retire our bank debt, Rs. 134 crore will be spent towards capex for existing hospitals, where we are going to have a lot of advanced equipment for example radiation oncology for Noida Extension and Jhansi hospital. We are also buying the surgical, orthopaedic robots and upgrading some of the equipment. Then we have around Rs. 65 crore which is unidentified acquisition and the rest for IPO expenses and GCE (General Corporate Expense).

Help us understand your company’s growth strategy.

We have short term and long term strategies that are placed. The first is continuous focus on super speciality treatment and that’s the reason we recently started the organ transplant program. The second is about the Noida Extension and Jhansi, where there is enough bed capacity left, so that is something we will be focusing on. The third is keep on identifying the area where there are demand and supply gaps, so we will be focusing on those areas. The fourth is medical tourism as Asia’s largest airport is going to come nearby one our hospitals. So I think our strategies are very much placed in line to tap those patients.

Is the company looking to expand its geographical presence in the coming years, and which regions are you targeting?

As far as geographical expansion is concerned, primarily we will be focusing only on Northern India as that is where our brand presence is. If you go more micro, we would like to focus on couple of places in the NCR region where we still feel there is a demand and supply gap. Third is we would not shy off going to place like state capitals of the neighboring places like UP. So, we are going to keep on exploring those options.

Can you elaborate on the technological advancements and innovative healthcare services that Yatharth Hospital plans to introduce to enhance patient care and overall operational efficiency?

As a group our emphasis is very much on the advancement in terms of infrastructure and technology.  If you see Rs. 134 crore we are going to spend on new advanced technology and machineries to provide the very super specialized care be it onco or organ transplants or like any robotic surgeries. Secondly we use very advance MIS and various CRM software’s to track operational efficiencies.

With rising competition in the healthcare sector, how does Yatharth Hospital plan to maintain and grow its patient base while providing high-quality medical services?

Healthcare is being driven by a few factors. First is that you need to have excellent clinical minds i.e. doctors who can provide the best of the best treatment. Second is that you need to have excellent infrastructure and technology that supports doctors to provide the best clinical outcomes. Third is patients experience and the fourth is the geography that we are operating in and pricing strategy. So these three four factors if you keep them aligned with the business strategy, then patient will choose you.

Provide a snapshot of your company’s ESG strategy.

Our Company’s ESG guidelines are very much laid down. We follow the Environment friendly practices such as reducing energy consumptions practices, Biomedical waste disposal practices as per CPCB guidelines.

We are also in compliance with all labour laws, having a clear policy on employees’ rights and welfare. We run various community engagement programs where periodically provide free preventive health checks and making them aware on health and hygiene through the health talks delivered by our doctors in neighboring societies, various groups and surrounding villages. I am happy to share that Yatharth group runs the campaign called ‘ Swasth Gaon, Sukhi Gaon ‘ where free health checks and various treatments are being provided in a subsidized rate.

We are focused on Good Governance practices to ensure transparency, accountability and risk management.

Provide an overview on your company’s financial profile.

The last two years have been really good for us, company has grown more than 50% of CAGR from FY21 to FY23. The EBIDTA margins are more than 25%. So our focus is going to be maintaining this.