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    Metropolis Healthcare Q4 FY26 earnings call

    METROPOLIS
    Healthcare·14 May 2026
    Management Summary

    Metropolis Healthcare delivered a strong Q4 and FY26, with MHL Group revenue growing 23.6% to INR 1,646 crores and organic revenue growth of 13.7%, surpassing guidance. The company achieved significant margin expansion, with organic EBITDA margins improving by 140 bps to 25.9% for FY26. Strategic focus on digital engagement, genomics, and operational efficiency, including lab consolidation and network expansion, is driving sustainable growth and profitability.

    Highlights

    5

    • MHL Group revenue for FY26 reached INR 1,646 crores, growing 23.6% year-on-year.

    • Organic revenue growth for FY26 was 13.7%, better than the stated guidance of 12-13%.

    • Organic EBITDA margins expanded by 140 basis points to 25.9% for FY26.

    • Q4 FY26 MHL Group revenue stood at INR 425 crores, reflecting a 23% year-on-year growth.

    • Core Diagnostics integration successfully moved from negative 2% EBITDA to high-single-digit EBITDA in Q4 FY26.

    What Changed2

    vs Q1 FY27

    Guidance items8 → 9 (+1)Risks discussed2 → 3 (+1)

    Key financials

    Single quarter

    10 metrics
    1. 01MHL Group Revenue₹425 Cr+23%YoY
    2. 02MHL Group EBITDA Margin25.4%
    3. 03MHL Group PAT₹51 Cr+75%YoY
    4. 04Organic Revenue Growth14.7%
    5. 05Organic EBITDA Margin27.2%

    Segment breakdown

    FY26 GrowthQ4 FY26 Growth
    Organic B2C Revenue14.0%14.7%
    Organic B2B Revenue13.3%14.7%
    MHL Group B2C Revenue19%20%
    MHL Group B2B Revenue31%28.0%
    Organic TruHealth21%20%
    MHL Group TruHealth27%—
    Organic Specialty16%17%
    MHL Group Specialty32%—
    Heatmap· 2 shared metrics

    Capital allocation

    4
    high confidence
    CategoryHeadline
    Capex

    ₹65 crores

    Dividend

    ₹1/share (interim)

    M&A

    Core Diagnostics

    acquisition · integrated

    M&A

    Dehradun, Agra, and Kolhapur acquisitions

    acquisition · integrated

    Guidance & targets

    9
    CategoryTargetPriority
    Revenue
    Revenue CAGR
    14-15%
    		High
    Profitability
    Group EBITDA Margin
    27-28%
    		High
    Profitability
    EBITDA Margin Improvement
    125-150 bps
    		High
    Volume
    Patient Volume Growth
    8-9%
    		High
    Mix
    Specialty Contribution
    around 40%
    		Medium
    Mix
    TruHealth Contribution
    beyond 25%
    		Medium
    Network
    Mini Hubs
    100
    		High
    Network
    Lab-to-Center Ratio
    1:35
    		High
    Productivity
    Center Productivity
    20%
    		High

    What to watch in Q1 FY27

    5

    EBITDA Margin Improvement

    Next fiscal year
    CurrentFY26 Organic EBITDA Margin 25.9%
    Target125-150 bps improvement

    Why it matters

    Key indicator of operational efficiency and profitability growth as guided by management.

    So we'll definitely be looking at about 125 to 150 bps improvement in the coming year.

    Risks & concerns

    3
    RiskSeverity

    Competition from unorganized players and online players

    Management believes the market is shifting towards organized, trusted players due to emphasis on quality and scientific expertise. — Analyst acknowledged

    medium

    Quality of available M&A assets not meeting standards

    The company remains selective in M&A due to concerns about asset quality, focusing on strategic fit and right pricing. — Management acknowledged

    low

    Deep discounting by health tech companies impacting unit economics

    Metropolis differentiates its digital acquisition strategy from deep discounting models, focusing on brand strength and customer lifetime value. — Management downplayed

    low

    Q&A highlights

    8

    “this mid-teens growth, 14% to 15% that we've guided for the next 3 years, is obviously a combination of volume, RPP increase, as well as some price increase, and that's the breakup of it.”

    Clarifies the components of the 3-year revenue growth guidance, indicating a balanced approach between volume, RPP, and potential price increases.

    asked by Tausif from BNP

    2 min read6 chapters

    Detailed Narrative

    01

    Strong Financial Performance in Q4 and FY26

    Metropolis Healthcare reported robust financial results for Q4 and FY26. MHL Group revenue for FY26 reached INR 1,646 crores, marking a 23.6% year-on-year growth, with Q4 FY26 revenue at INR 425 crores, up 23%. Organic revenue growth for FY26 was 13.7%, surpassing the stated guidance of 12-13%. This growth was supported by healthy patient volume growth of 12% for the MHL Group and 7.5% organically for FY26.

    02

    Significant Margin Expansion Driven by Operational Efficiency

    The company achieved substantial margin improvement, with organic EBITDA margins expanding by 140 basis points to 25.9% for FY26. Q4 FY26 organic EBITDA margin stood at 27.2%. This was attributed to better operating leverage, a stronger specialty and wellness mix, productivity gains, integration synergies from acquisitions, and ongoing efficiency initiatives across the network, including lab platform upgrades and vendor consolidation.

    03

    Strategic Focus on Genomics and Digital Engagement

    Metropolis is deepening its capabilities in genomics, anchored by two CAP-accredited genomic labs in Gurgaon and Bombay, and expanding access through B2C and B2B channels. Digital engagement is a key driver, with digital channels now contributing 25% of revenue, up from 0% three years ago. The company is leveraging its Metropolis app, website, and customer data platform to enhance customer acquisition and lifetime value.

    04

    Network Expansion and Productivity Enhancement

    The company added 490 centers in FY26, bringing the total network to over 5,000 collection centers across more than 750 towns and 212 labs. The lab-to-center ratio improved from 20:1 to 24:1, with a target to reach 1:35 over the next three years. Metropolis plans to establish 100 'mini hubs' over the next three years, upgrading 50 existing centers and setting up 50 new ones, to offer basic radiology and other services, with an estimated capex of INR 30-40 lakh per hub.

    05

    Capital Allocation and Shareholder Returns

    Metropolis incurred a capex of INR 65 crores in FY26, focusing on targeted network addition, specialty test expansion, technology upgrades, and digital capabilities. The company successfully integrated Core Diagnostics, moving it from a negative 2% EBITDA to a high-single-digit EBITDA in Q4. The board recommended an interim dividend of INR 1 per share and completed a bonus share issue in March '26, reflecting strong financial health and commitment to shareholder value.

    06

    Future Outlook and Growth Drivers

    Management guided for a 14-15% CAGR in revenue over the next three years, with an EBITDA margin target of 27-28%. This growth is expected to be driven by 8-9% patient volume growth and 5-6% realization improvement. The company aims to increase the contribution of its Specialty division to around 40% and TruHealth packages beyond 25% in the coming years, leveraging its scientific expertise and trusted brand to capture market share in a maturing diagnostics landscape.

    This is an AI-generated summary of a publicly available earnings call transcript.