At a Glance
Indraprastha Medical (Apollo Delhi) isn’t your average hospital stock. It’s a cash-rich, debt-free, 30% ROE machine that has doubled investors’ money in the last year. With steady earnings, rising margins, and government + Apollo backing, this JV is quietly becoming a multibagger in scrubs.
1. 🎬 Introduction with Hook
You know that friend who’s lowkey jacked but never flexes? That’s Indraprastha Medical.
While all the Fortis, Max, and Apollo stocks are out here screaming valuations like it’s a FOMO rave, this Delhi-based hospital JV is spitting cash, paying dividends, and doubling share price quietly.
Oh, and it has 30% ROE, a P/E of 27, and has zero debt.
You sure this is a hospital stock and not an IT company from the 2000s?
2. 🏥 WTF Do They Even Do? (Business Model)
Straightforward:
- It runs two hospitals in NCR:
- Sarita Vihar (718 beds) – the flagship Apollo hospital in Delhi
- Noida (46 beds) – satellite unit
- It operates as a JV between Apollo Hospitals (22%) and Delhi Govt (26%)
- Offers 52 super-speciality departments including cardiology, oncology, transplant, neuro, and robotic surgery.
Basically, the company runs the “Apollo brand” in Delhi & Noida region, but with public-private partnership stability.
3. 💰 Financials – Profit, Margins, ROE
| Metric | FY21 | FY22 | FY23 | FY24 | FY25 |
|---|---|---|---|---|---|
| Revenue (₹ Cr) | 613 | 888 | 1,099 | 1,245 | 1,356 |
| Net Profit (₹ Cr) | 2 | 59 | 86 | 124 | 161 |
| OPM (%) | 7% | 14% | 14% | 16% | 18% |
| ROE (%) | 3% | 29% | 30% | 30% | 30%+ |
💡 From ₹2 Cr profit in FY21 to ₹161 Cr in FY25?
That’s a 5,950% increase.
Not even Zomato can claim this without selling biryani in space.
4. 📊 Valuation – Is It Cheap, Meh, or Crack?
- P/E: 27.7
- EV/EBITDA: Likely 14–16x (very reasonable)
- Price to Book: 7.47 (a bit high, but ROE justifies)
- Market Cap / Sales: 3.3x (fair)
Let’s just say this is the only hospital stock that looks like it belongs on Screener, not Tinder.
Compare to:
| Stock | P/E |
|---|---|
| Apollo Hospitals | 74.5 |
| Fortis | 69.4 |
| Narayana | 53.7 |
| Max | 110 |
| Indraprastha | 27.7 ✅ |
So yes, it’s basically Apollo on a budget.
5. 🔥 What’s Cooking – News, Triggers, Drama
- 🧠 Investor Meets: Engaging with mutual funds in June 2025 – trying to go big league
- 🏥 Occupancy & OPM: Consistently improving margins every quarter
- 💰 Dividend Track: Regular ~30% payout, now trending lower due to capex
- 🔍 No acquisitions, no flashy expansions – just consistent execution
- 💊 Healthcare demand in NCR: Chronic lifestyle issues = permanent customers 🫀
6. 💳 Balance Sheet – How Much Debt, How Many Dreams?
| Metric | FY21 | FY22 | FY23 | FY24 | FY25 |
|---|---|---|---|---|---|
| Debt (₹ Cr) | 3 | 5 | 2 | 34 | 33 |
| Reserves (₹ Cr) | 181 | 234 | 288 | 386 | 505 |
| Debt/Equity Ratio | ~0 | ~0 | ~0 | 0.08 | 0.06 |
🧠 Essentially debt-free.
🧠 Capex-funded mostly through internal accruals.
Apollo Delhi doesn’t dream big. It just builds slowly and delivers.
7. 🧾 Cash Flow – Sab Number Game Hai
| Metric | FY25 |
|---|---|
| CFO (Operating) | ₹157 Cr |
| CFI (Investing) | -₹111 Cr |
| CFF (Financing) | -₹46 Cr |
| Net Cash Flow | ~Zero |
Free cash flow machine, even after maintenance capex and dividends.
It’s a hospital that runs like a D-Mart. 💸
8. 📉 Ratios – Sexy or Stressy?
| Metric | FY25 |
|---|---|
| ROE | 30.0% |
| ROCE | 39.0% |
| OPM | 18.0% |
| EPS | ₹17.6 |
| Dividend Yield | 0.93% |
| Debtor Days | 20 |
| CCC | -163 days 😮 |
Yes, negative cash conversion.
Patients pay in advance, suppliers get paid late. Legendary hospital finance.
9. 🏦 P&L Breakdown – Show Me the Money
| FY25 (₹ Cr) | Amount |
|---|---|
| Revenue | 1,356 |
| EBITDA | 244 |
| Depreciation | 44 |
| Interest | 6 |
| PBT | 216 |
| Tax (26%) | 55 |
| Net Profit | 161 |
➡ Net Profit Margin = 11.9%
➡ EBITDA Margin = 18%
All signals go: Clean, Scalable, Non-dilutive.
10. ⚔️ Peer Comparison – Who Else in the Game?
| Stock | P/E | ROE (%) | OPM (%) | M.Cap (₹ Cr) |
|---|---|---|---|---|
| Indraprastha | 27.7 | 30.0 | 18.0 | 4,453 |
| Apollo Hospitals | 74.5 | 19.1 | 13.9 | 1,07,769 |
| Max Healthcare | 110 | 12.7 | 26.3 | 1,24,484 |
| Fortis | 69.4 | 10.2 | 20.4 | 58,505 |
| Narayana Hruday. | 53.7 | 24.5 | 23.3 | 42,779 |
So yeah. Indraprastha is the cheapest, highest ROE stock among peers.
11. 🧑⚕️ Misc – Shareholding, Governance
- 🏛️ Promoters: 51% (Apollo + Delhi Govt)
- 💸 FIIs + DIIs: ~6.5%
- 🤝 Public: 42.5% (retail-heavy)
- 🧑⚖️ Governance: Stable, no scandals, regular director rotations
- 📉 No dilution, no debt-fueled expansion, no PE circus
12. 🎯 Fair Value (FV) Range
Let’s assume:
- FY26 Net Profit = ₹185 Cr (15% growth)
- P/E Valuation Band = 25x – 35x
Fair Market Cap Range = ₹4,625 Cr to ₹6,475 Cr
➡ Fair Value Range = ₹505 – ₹705/share
(Current price = ₹486)
⚠️ So it’s in the fair zone, with mild upside from here IF growth sustains.
13. 🧠 EduInvesting Verdict™
“If Fortis is the drama queen, and Apollo is the CEO’s son… Indraprastha is the smart cousin who just became CFO.”
📈 5-Year CAGR of 29% in profits
📉 Valuation 50% cheaper than peers
🛡️ Cash-rich, debt-free, stable operations
🏥 No franchise hype – only franchise fundamentals
Verdict:
✅ Underhyped Apollo spin-off with actual profitability? We stan.
🧘 Sit back, sip chai, let this one compound quietly.
✍️ Written by Prashant | 📅 July 2, 2025
Tags: Indraprastha Medical Corporation, Apollo Hospitals JV, Hospital Stocks, Healthcare, ROE Stocks, Delhi Healthcare, EduInvesting
