How has been the historical performance of Medi Assist Ser.?

Revenue and Profit Growth

Over the four-year period ending March 2025, Medi Assist Ser. has seen its net sales rise steadily from ₹393.81 crores in March 2022 to ₹723.32 crores in March 2025. This represents an impressive compound growth trajectory, with the company nearly doubling its top line in just three years. The absence of other operating income indicates that the revenue growth is primarily driven by core business activities.

Operating profit before depreciation and interest (PBDIT excluding other income) also increased from ₹91.22 crores in March 2022 to ₹154.11 crores in March 2025, maintaining a healthy operating margin around 21%. Including other income, operating profit rose to ₹177.87 crores in the latest fiscal year, up from ₹109.43 crores three years prior. This steady improvement underscores effective cost management alongside revenue expansion.

Profit before tax (PBT) showed some fluctuations but overall improved from ₹80.69 crores in March 2022 to ₹111.79 crores in March 2025. Profit after tax (PAT) followed a similar pattern, increasing from ₹63.47 crores to ₹91.60 crores over the same period. The consolidated net profit rose from ₹64.22 crores in March 2022 to ₹90.88 crores in March 2025, reflecting a solid bottom-line growth despite some volatility in tax expenses and exceptional items.

Cost Structure and Margins

The company’s expenditure excluding depreciation rose from ₹302.59 crores in March 2022 to ₹569.21 crores in March 2025, largely driven by increases in employee costs and other expenses. Employee costs nearly doubled from ₹155.68 crores to ₹305.86 crores, reflecting investment in human resources to support growth. Other expenses also rose significantly, indicating expanded operational activities.

Despite rising costs, Medi Assist Ser. has maintained a stable operating profit margin, with a slight dip from 23.16% in March 2022 to 21.31% in March 2025. The PAT margin showed a decline from 16.12% to 12.66% over the same period, suggesting some pressure on net profitability possibly due to higher interest and depreciation charges.

Balance Sheet Strength and Asset Growth

The company’s total assets have expanded substantially from ₹592.71 crores in March 2022 to ₹1,144.57 crores in March 2025. This growth is supported by increases in both non-current assets and current assets. Net block, representing fixed assets, more than tripled from ₹78.61 crores to ₹254.15 crores, signalling significant capital investment. Intangible assets under development also increased, indicating ongoing investments in technology or intellectual property.

Current assets rose from ₹427.30 crores to ₹751.38 crores, with notable increases in current investments and sundry debtors, reflecting enhanced liquidity and business scale. Shareholder’s funds strengthened from ₹337.13 crores to ₹541.47 crores, supported by rising reserves, which grew from ₹257.83 crores to ₹468.27 crores, highlighting retained earnings accumulation.

Liabilities have also increased, with total liabilities nearly doubling from ₹592.71 crores to ₹1,144.57 crores. The company took on long-term borrowings for the first time in March 2025, amounting to ₹13.32 crores, and short-term borrowings rose sharply to ₹136.75 crores. Other long-term liabilities and current liabilities also expanded, reflecting the company’s growing operational scale and financing needs.

Cash Flow Analysis

Medi Assist Ser. has generated positive cash flow from operating activities consistently, with ₹138 crores in March 2025, up from ₹64 crores in March 2022. Cash flow after changes in working capital also improved, indicating efficient working capital management despite some fluctuations. However, cash flow from investing activities has been negative, reflecting ongoing capital expenditure and investments, reaching an outflow of ₹218 crores in the latest year.

Financing activities showed a positive inflow of ₹112 crores in March 2025, contrasting with outflows in previous years, likely due to new borrowings. The net cash inflow was ₹32 crores in March 2025, improving from a slight outflow in the prior year. Closing cash and cash equivalents increased to ₹83 crores, supporting the company’s liquidity position.

Summary and Outlook

In summary, Medi Assist Ser. has exhibited strong historical financial performance characterised by robust revenue growth, expanding profitability, and a strengthening balance sheet. The company’s investments in fixed and intangible assets, alongside rising reserves, indicate a focus on sustainable growth. While margins have slightly compressed, the overall financial health remains solid with positive cash flows and improved liquidity.

Investors should note the increased borrowings and liabilities as the company scales, which may impact financial risk profiles. Nonetheless, the consistent upward trajectory in earnings per share and book value per share reflects value creation for shareholders over the years. Medi Assist Ser.’s historical performance suggests a well-managed enterprise poised for continued expansion in the healthcare services sector.

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