NephroPlus enters Kazakhstan as Philippines network reaches 55

Nephrocare Health Services Limited entered Kazakhstan in H1FY27 through the acquisition of two Almaty clinics with 34 machines, while NephroPlus expanded its Philippines network to 55 clinics. The multi-market rollout included Saudi home dialysis and Rs 102 crore of capital expenditure, as H1FY27 revenue rose 23.6% to Rs 585.2 crore.

What did NephroPlus acquire in Kazakhstan?

NephroPlus entered Kazakhstan by acquiring two dialysis clinics in Almaty with 34 machines during H1FY27. Management said the two sites provide a starting point to understand local market conditions before it considers scaling the network across Kazakhstan and assesses the wider Central Asian opportunity.

Kazakhstan became NephroPlus's sixth operating market as of September 30, 2026, taking the group network to 570 clinics across six countries. The disclosed footprint comprises India, Nepal, the Philippines, Uzbekistan, Saudi Arabia and Kazakhstan, and international business represented about 47% of H1FY27 revenue.

The Kazakhstan transaction was part of a broader expansion programme combining acquisitions, clinic additions and new-country entry. Management said H1FY27 growth came from new market entries, acquisitions and volumes across established networks, while treatment volumes rose 12.6% year-on-year to 21.01 lakh.

How did NephroPlus expand in the Philippines and Saudi Arabia?

NephroPlus completed 10 acquisitions in the Philippines in H1FY27, taking its network in the country to 55 clinics. The company separately said its capital expenditure programme added 11 clinics in the Philippines, indicating that the half-year expansion included both acquired and newly added locations.

In Saudi Arabia, NephroPlus said its Riyadh clinic had become operational and that home dialysis had commenced in both Riyadh and Jeddah by H1FY27. Saudi Arabia was one of two countries, along with Kazakhstan, where the company opened during the six months ended September 30, 2026.

NephroPlus had also technically qualified for a Saudi Arabia Ministry of Health tender. Management said it was one of 12 providers eligible to bid for four regions and described the tender process as likely to be very competitive, without disclosing a timetable or financial value for the opportunity.

How much did NephroPlus spend on expansion?

NephroPlus spent Rs 102 crore on capital expenditure in H1FY27, according to Chief Financial Officer Prashant Goenka. The spending added 40 clinics in India and 11 in the Philippines, while the group also entered Saudi Arabia and Kazakhstan during the same half-year period.

Management said NephroPlus converted 69% of earnings before interest, tax, depreciation and amortisation, or EBITDA, into cash in H1FY27 and had more than Rs 500 crore of liquidity. The company said those resources would support its plans, while noting that margins and returns can move during the ramp-up of newly entered markets.

The Rs 102 crore investment accompanied network growth to 570 clinics, including the 55 clinics in the Philippines and the two acquired clinics in Kazakhstan. The source does not break down the capital expenditure between India, the Philippines, Saudi Arabia and Kazakhstan, so the allocation to each market was not disclosed.

How did expansion affect NephroPlus financial performance?

NephroPlus reported H1FY27 revenue of Rs 585.2 crore, up 23.6% from Rs 473.5 crore in H1FY26, while adjusted EBITDA increased 15.3% to Rs 134.4 crore. As revenue grew faster than adjusted EBITDA, adjusted EBITDA margin declined 165 basis points to 23.0% from 24.6% a year earlier.

Adjusted profit after tax rose 34.7% to Rs 76.1 crore in H1FY27, and its margin increased 107 basis points to 13.0% from 11.9%. Adjusted EBITDA excludes Rs 3.1 crore of employee stock option plan expenses in H1FY27, while adjusted profit after tax also excludes Rs 7.5 crore of joint-venture losses and Rs 3.1 crore of employee stock option plan expenses.

In Q2FY27, revenue was Rs 303.4 crore, 23.5% above Rs 245.7 crore in Q2FY26, while adjusted EBITDA margin was 22.7% against 27.1%. Management linked the H1FY27 margin movement to investment in clinical talent and network expansion, and said new-market ramp-ups can affect margins and returns.

What operating and clinical initiatives support NephroPlus growth?

NephroPlus delivered 21.01 lakh treatments in H1FY27, up 12.6% from 18.66 lakh in H1FY26, while revenue per treatment increased 9.7% to Rs 2,785 from Rs 2,538. Guest volumes rose 9.6% to 38,814, and these volume and pricing measures accompanied the 23.6% revenue increase.

Second-quarter treatment volume increased 12.0% to 10.70 lakh, while revenue per treatment rose 10.3% to Rs 2,835. The company reported 38,814 guests in Q2FY27, compared with 35,425 in Q2FY26, the same 9.6% year-on-year increase reported for the half year.

NephroPlus launched the NephroPlus International Dialysis Academy, or NIDA, to train nurses from the Philippines and India for international expansion. It is also piloting peritoneal dialysis in Punjab, where nearly 50 guests had been onboarded, while centre-level analysis is examining barriers to twice-weekly sessions and earlier vascular access.

The company said automated off-hours calling collects guest feedback and speeds query resolution, while in-house agents are intended to shorten development and quality-assurance cycles. These technology and clinical initiatives were disclosed alongside the 570-clinic network and the entry into two new countries during H1FY27.

Conclusion

NephroPlus used acquisitions, new clinic additions and service launches to reach 570 clinics in six countries by September 30, 2026. Its Kazakhstan entry began with two Almaty clinics, the Philippines network reached 55 clinics, and Saudi home dialysis started in Riyadh and Jeddah, alongside Rs 585.2 crore of H1FY27 revenue and a 23.0% adjusted EBITDA margin.

The next points to watch are management's assessment and potential scaling of the Kazakhstan network, the Saudi Ministry of Health tender for four regions, and nurse training through NIDA. Management has said new-market ramp-ups may move margins and returns, while NephroPlus reported more than Rs 500 crore of liquidity and 69% EBITDA-to-cash conversion in H1FY27.