Shalby Limited — PPTs, 30-05-2025: Investor Presentation

1. Financial Highlights:

Consolidated revenue rose 8.4% YoY to ₹270.2 Cr in Q4 FY25, while EBITDA declined 40.4% to ₹26.2 Cr, squeezing EBITDA margin to 9.7% from 17.6% last year. Consolidated PBT turned to a loss of ₹0.7 Cr versus a ₹21.8 Cr profit prior year. Net debt increased to ₹279 Cr; ROCE stood at 7.8%. Standalone revenue edged up 1.7% to ₹214.2 Cr; EBITDA fell 10.9% to ₹38 Cr and PAT decreased 33.7% to ₹15 Cr. Annual consolidated revenue grew 16.9% to ₹1,114.6 Cr, though EBITDA dipped 18.5% to ₹160.2 Cr.

2. Strategic Initiatives & Growth Drivers:

Shalby expands via an asset-light franchise model, diversifying beyond joint replacements into cardiac, oncology, neuro-science, and transplants. Investments in advanced arthroscopic systems and digital platforms aim to improve patient outcomes and reach. Homecare services now operate in 40+ cities, showing rising revenue and patient volume. Capex is focused on operational leverage with goals to double ROCE, backed by new hospital projects in Nashik and Mumbai.

3. Business Developments:

Implant business volumes grew 39.6% YoY with 50% revenue growth in FY25. The US FDA-approved implant unit in California fuels global expansion into Middle East, Latin America, and Asia-Pacific. Franchise network revenue rose 16.1% annually, amid some franchise model consolidation. The Shalby Academy added 595+ students to support talent development.

4. Market Position & Competitive Advantage:

Shalby holds the largest joint replacement volume globally with over 1.75 lakh surgeries, leading in Western and Central India’s multispecialty segment. A mix of owned hospitals, franchises, and homecare delivers diversified revenue streams. In-house implant manufacturing provides supply chain control and cost benefits. The strong brand legacy of Dr. Vikram Shah’s surgical innovations further strengthens differentiation.

5. Investor Implications:

Growth potential is evident from multi-specialty expansion, implant scale-up, and franchise growth, offset by margin pressures and higher net debt. Execution risks around franchise consolidation and competitive environment need monitoring. Operational leverage and technology adoption are critical levers for margin recovery and ROCE improvement, supporting long-term value creation.