KIMS Hospital Q2 operating revenue rises 39.9% to Rs 1,344 crore

Krishna Institute of Medical Sciences Limited reported Q2 FY27 consolidated revenue from operations of Rs 1,344 crore, up 39.9% year on year and 14% quarter on quarter, as inpatient volumes rose 27% to 81,668 and average revenue per operating bed increased 14.9% year on year.

What drove KIMS Hospital revenue growth in Q2 FY27?

KIMS Hospital’s Q2 FY27 operating-revenue growth came from higher patient volumes as well as higher revenue per operating bed and per patient. Inpatient, or IP, volumes reached 81,668, up 27% year on year and 12.7% quarter on quarter, while outpatient, or OP, volumes increased 23.3% year on year and 11% quarter on quarter to 731,010.

Revenue intensity also increased in Q2 FY27. Average revenue per operating bed rose 14.9% year on year and 2.3% quarter on quarter, while average revenue per patient increased 9.9% year on year and 1.2% quarter on quarter. The operating metrics indicate that both patient activity and revenue generated from each patient and operating bed contributed to the Rs 1,344 crore result.

KIMS Hospital reported total revenue of Rs 1,363 crore in Q2 FY27, Rs 19 crore above revenue from operations. Consolidated earnings before interest, tax, depreciation and amortisation, or EBITDA, were Rs 279 crore, up 34% year on year and 16.3% quarter on quarter, while the EBITDA margin was 20.5%, compared with 20.1% in Q1 FY27 and 21.7% in Q2 FY26.

How did KIMS Hospital profitability change in Q2 FY27?

KIMS Hospital reported profit after tax of Rs 76 crore in Q2 FY27, compared with Rs 37 crore in Q1 FY27 and Rs 72 crore in Q2 FY26. Consolidated earnings per share for the period ended September 30, 2026, were Rs 1.8, which management said was 8.5% higher year on year.

On a pre-Ind AS basis, with Ind AS referring to Indian Accounting Standards, consolidated EBITDA was Rs 250 crore, up 24.7% year on year and 12.7% quarter on quarter. Pre-Ind AS EBITDA excluding other income was Rs 232 crore, an increase of 17.9% year on year and 12.6% quarter on quarter.

The 20.5% reported EBITDA margin rose 0.4 percentage points from Q1 FY27 but was 1.2 percentage points below Q2 FY26. Revenue from operations grew 39.9% year on year, faster than the 17.9% increase in pre-Ind AS EBITDA excluding other income, while management cited costs from new facilities and clinical programmes in specific clusters.

What is affecting KIMS Hospital cluster margins?

KIMS Hospital said Telangana revenue increased from Rs 623 crore in Q1 FY27 to Rs 700 crore in Q2 FY27, with a large share of the growth coming from Kondapur and Secunderabad. Management said the Telangana EBITDA percentage declined, although absolute EBITDA increased quarter on quarter, and only one quarter of the Kondapur hospital’s commissioning was included in Q2.

Management said Kondapur’s revenue rose by at least 70% in three months compared with the old facility and that the unit had no losses despite higher fixed costs. Management expects the facility’s margin to return to about 30% over the next three to four quarters as revenue ramps up; this is management’s expectation, not a consolidated margin forecast.

In Andhra Pradesh, management attributed Q2 FY27 margin pressure to the launch of oncology programmes in Vizag and Anantapur, where fixed costs were initially higher. It also recorded a Rs 8 crore provision for doubtful debt related to government business, which management said could be reversed in Q3 if the payment is received, while expecting oncology-programme costs to normalise over the next two to three quarters.

How is KIMS Hospital expanding its network and beds?

KIMS Hospital acquired a 51% stake in Sarvottam Health Care Private Limited, which operates the 183-bed Trust Hospital in Kakinada, for Rs 80 crore. The facility will be known as KIMS Trust Hospital. It also acquired a 6% stake in the 316-bed Ushahkal Abhinav Specialty Hospital in Sangli, Maharashtra, for Rs 15 crore.

KIMS Hospital identified KIMS Kompally in Secunderabad, with 225 beds, and KIMS Sikhara in Guntur, with 150 beds, as acquisitions to be completed over time when internal resources are comfortable. The transcript did not give a transaction value or completion date for either facility.

KIMS Hospital also entered operating-and-management agreements for Arete Hospitals in Gachibowli, Hyderabad, and Westfort Hospital in Thrissur, Kerala, each with 300-bed capacity. In Maharashtra, management said Thane had about 75 unoperational beds and Nashik had close to 150, with activation planned as each facility ramps up.

What capacity and collaborations did KIMS Hospital add?

KIMS Hospital doubled KIMS Saveera Hospital in Anantapur to 500 beds from 250 beds, with the upgraded facility inaugurated on November 1, 2026. The expansion includes a comprehensive oncology block and a mother-and-child block with neonatal-care facilities for maternal, newborn and paediatric services.

KIMS Hospital said it advanced an agreement with NHS University Hospitals of Liverpool for research, clinical collaboration, education and training. The transcript gave no financial value, commencement date or revenue target for that agreement. Cash and cash equivalents, including short-term deposits and mutual-fund investments, stood at Rs 420 crore on September 30, 2026.

Conclusion

KIMS Hospital’s Q2 FY27 outcome combined 39.9% growth in revenue from operations with double-digit gains in both IP and OP volumes and higher revenue per operating bed. Profit after tax increased to Rs 76 crore from Rs 37 crore in Q1 FY27, while the EBITDA margin improved sequentially but remained below the 21.7% recorded in Q2 FY26.

The next disclosed milestones are the expected three-to-four-quarter ramp-up at Kondapur, the projected two-to-three-quarter normalisation of Andhra Pradesh oncology-programme costs, and a possible Q3 reversal of the Rs 8 crore doubtful-debt provision if government payments arrive. Management also plans to activate unused beds in Thane and Nashik as demand increases.