Krsnaa Diagnostics Limited announced its Q4 and FY25 results in an earnings conference call on May 13, 2025.
FY25 revenue grew by 16% to ₹71.72 crore, driven by increased awareness, patient volumes, and pricing efficiency.
EBITDA rose by 34% to ₹19.58 crore, with margins expanding by 370 basis points to 27%, reflecting strong operating leverage.
Net profit grew by 37% to ₹7.76 crore, highlighting a disciplined approach to cost and productivity.
The company served over 19 million patients and conducted over 61 million tests during the year.
Revenue growth was lower than the aspired 20-25% due to delays in site handovers for Maharashtra CT MRI projects and the early conclusion of the BMC project.
The company chose not to pursue the new BMC tender due to revised conditions and budgetary caps.
The company is focusing on capital discipline and quality of revenue, rationalizing exposure in certain regions with disproportionate receivables.
The retail strategy has gained momentum, with a 4x increase in touchpoints across 4 states.
The company is executing on five major priorities: expanding PPP leadership, growing integrated diagnostic offerings, driving sustainable profitability, accelerating retail footprint, and leading on quality with accreditations.
Krsnaa is optimistic about the future, focusing on building a healthcare platform for the next decade.
Mitesh Dave, Group CEO, highlighted the strong growth potential in the retail diagnostics business under the RPL brand, driven by increasing demand for home collection services, preventive diagnostics, and digital solutions.
RPL is scaling its retail footprint across Maharashtra, Punjab, Assam, and Odisha, leveraging the company's PPP infrastructure.
Pawan Daga, CFO, mentioned that Q4 FY25 revenue stood at ₹18.61 crore, a 12% year-on-year increase.
EBITDA for Q4 FY25 stood at ₹5.42 crore, a 23% year-on-year increase with a margin of 29%.
The board has recommended a dividend of ₹2.75 per share.
The company holds gross debt of ₹16.55 crore and cash and cash equivalents of ₹17.60 crore.
Receivables stand at 128 days, primarily due to transitional delays in Himachal Pradesh and Karnataka. The company expects systematic improvement in payments with the rollout of digitized payment infrastructure.
Yash Mutha (MD) mentioned that the company is carefully showing the realistic numbers and the market is not slowing down. The government wishes to have more than 2,000 radiology centers and the company is just a few hundred. The company is very selective and calibrated in terms of showing realistic numbers.
When asked about the revenue potential from the retail venture by FY27, Mitesh Dave (Group CEO) said that it is a little too early to give the outlook because the entire business and structures and systems are getting into place. But with the initial one year centers or the touch points that have been formed up, the company has laid down across India in the 4 states, these are pretty promising.
The interest component with Medikabazaar and United Imaging partnership is 7% annually.