MHIL Q2 revenue rises 20% and pre-tax profit climbs 21%

Max Healthcare Institute Limited, referred to as MHIL, reported consolidated revenue from operations of Rs 2,569.21 crore for the quarter ended September 30, 2026, 20% above Rs 2,135.47 crore a year earlier. Profit before tax rose 21% to Rs 540.92 crore, while half-year cash flows show increased acquisition spending and working-capital use.

How did MHIL perform in the September 2026 quarter?

MHIL increased consolidated operating revenue by Rs 433.74 crore year on year to Rs 2,569.21 crore in the quarter ended September 30, 2026. Total income rose to Rs 2,610.11 crore from Rs 2,168.37 crore in the September 2025 quarter, including other income of Rs 40.90 crore against Rs 32.90 crore.

MHIL reported profit before tax of Rs 540.92 crore, compared with Rs 446.03 crore a year earlier. There were no exceptional items in either September quarter, meaning profit before exceptional items and tax was the same as reported pre-tax profit in both periods.

Profit after tax was Rs 414.45 crore, down from Rs 491.30 crore in the prior-year quarter despite the higher pre-tax result. MHIL disclosed that the September 2025 period included a reversal of current tax and a net deferred-tax credit totalling Rs 149.16 crore related to the merger involving Crosslay Remedies Limited.

What changed in MHIL’s costs and half-year earnings?

MHIL’s total expenses rose 20% to Rs 2,069.19 crore in the September 2026 quarter from Rs 1,722.34 crore a year earlier. The increase was lower in absolute terms than the Rs 441.74 crore rise in total income, producing a Rs 94.89 crore increase in quarterly profit before tax.

For the half-year ended September 30, 2026, MHIL reported revenue from operations of Rs 4,935.38 crore, up 19% from Rs 4,163.04 crore in the corresponding 2025 period. Half-year profit before tax rose 15% to Rs 977.23 crore from Rs 846.46 crore, while profit after tax declined to Rs 737.41 crore from Rs 799.27 crore because of the prior-period tax effects.

MHIL operates in one reportable business segment, Medical and Healthcare Services, and one geographical segment, India. Half-year finance income rose to Rs 67.92 crore from Rs 53.01 crore and includes interest on bank deposits, security deposits, loans to other healthcare service providers, income-tax refunds and non-current trade receivables.

How much cash did MHIL generate and invest?

MHIL generated net cash from operating activities of Rs 994.95 crore during the half-year ended September 30, 2026, compared with Rs 797.54 crore in the year-earlier period. Cash generated from operating activities before income tax was Rs 1,158.12 crore, while income-tax payments were Rs 163.17 crore.

Working-capital movements absorbed cash through a Rs 302.54 crore increase in trade receivables and a Rs 14.41 crore increase in inventories. Those movements were partly offset by a Rs 94.32 crore increase in trade payables and other financial liabilities, leaving operating cash flow higher than the comparable half-year.

MHIL used Rs 987.51 crore in investing activities, compared with Rs 945.99 crore a year earlier. Purchases of property, plant and equipment were Rs 589.25 crore, lower than Rs 838.85 crore in the prior period, while acquisition consideration paid, net of acquired cash, increased to Rs 383.83 crore from Rs 3.85 crore.

Financing activities used Rs 116.58 crore, compared with Rs 35.32 crore in the prior-year half-year. MHIL paid Rs 194.37 crore in dividends, while proceeds from non-current borrowings were Rs 425.28 crore and repayments were Rs 213.01 crore; cash and cash equivalents ended the period at Rs 556.71 crore.

What do MHIL’s assets, borrowings and acquisitions show?

MHIL’s consolidated total assets were Rs 18,722.12 crore at September 30, 2026, compared with Rs 17,230.94 crore at March 31, 2026. Property, plant and equipment increased to Rs 6,053.66 crore from Rs 5,628 crore, capital work-in-progress rose to Rs 804.51 crore from Rs 592.24 crore, and goodwill increased to Rs 3,689.20 crore from Rs 3,488.24 crore.

MHIL’s non-current borrowings increased to Rs 2,620.98 crore at September 30 from Rs 2,438.66 crore at March 31, while current borrowings rose to Rs 588.58 crore from Rs 468.16 crore. Total equity, including non-controlling interests, was Rs 11,533.13 crore at September 30, compared with Rs 10,746.63 crore at the previous financial year-end.

MHIL acquired a 58.28% stake in Kalinga Hospital Limited on May 18, 2026 for Rs 297.97 crore. Kalinga Hospital owns and operates a 250-bed, National Accreditation Board for Hospitals and Healthcare Providers-accredited multi-specialty hospital in Bhubaneswar, Odisha, and MHIL subsequently raised its holding to 66.34% through a Rs 87.87 crore rights-issue subscription and the purchase of 50,000 shares from minority shareholders.

MHIL consolidated Kalinga Hospital’s results from May 18, 2026, and stated that its six-month results are therefore not comparable with the corresponding previous period. Separately, MHIL acquired all Class A equity shares of Yerawada Properties Private Limited for Rs 87.92 crore on June 30, 2026, obtaining 100% voting rights in a company that owns a 1.68-acre land parcel in central Pune.

What employee-share plans and dividend actions did MHIL disclose?

MHIL paid a final dividend of Rs 2 per share for the financial year ended March 31, 2026 after shareholder approval on July 30, 2026, with payment made on August 11, 2026. The cash-flow statement records total dividend payments of Rs 194.37 crore in the half-year ended September 30, 2026.

MHIL’s nomination and remuneration committee approved 361,827 stock options on August 13, 2026 under its 2022 employee stock option plan, at exercise prices ranging from Rs 350 to Rs 800 per share. As of September 30, 2026, 8,252,964 options were outstanding, with vesting scheduled no earlier than one year and no later than five years from their grant dates.

MHIL shareholders also approved a performance-linked restricted stock unit scheme on October 19, 2026 through a postal ballot. The scheme permits grants of up to 7,350,000 restricted stock units to eligible employees of MHIL and its subsidiaries under the applicable Securities and Exchange Board of India employee-benefit regulations.

Conclusion

MHIL’s September 2026 quarter combined 20% revenue growth with a 21% increase in profit before tax, while the decline in profit after tax reflected the absence of the merger-related tax reversal and deferred-tax credit recorded in the September 2025 comparison. Half-year operating cash flow rose to Rs 994.95 crore, but acquisition payments of Rs 383.83 crore and higher receivables accompanied the expansion.

The next results will show a fuller contribution from Kalinga Hospital, which has been consolidated only from May 18, 2026, and the effects of the June 30 acquisition of Yerawada Properties Private Limited. MHIL also reported capital work-in-progress of Rs 804.51 crore, outstanding 2022 stock options of 8,252,964, and increased consolidated borrowings at September 30, 2026.