1. At a Glance
Medi Assist is not your neighbourhood chemist — it’s the corporate brain that decides whether your insurance claim flies like a free bird or dies in the “We regret to inform you” email pile. With ₹746 crore TTM revenue, ₹95 crore net profit, and a P/E of ~41, this health-tech/insurance-tech player is basically the Uber for insurance companies — minus the surge pricing, but with a monopoly-like grip on third-party administration (TPA). Recent moves? A ₹198 crore preferential fund raise and a ₹412.4 crore takeover of Paramount TPA. Translation: they’re not just playing the TPA game anymore, they’re buying the whole board.
2. Introduction
Founded in 2000, Medi Assist sits at the crossroad where health insurance claims meet corporate efficiency and patient impatience. You never meet them until something goes wrong — and then, suddenly, they’re everywhere, like your nosy neighbour but with more documents and less chai.
The Indian health insurance market is booming at double digits, and every insurer needs a claims outsourcing arm that can handle paperwork faster than your family WhatsApp group forwards a fake news story. Medi Assist doesn’t just process claims — it manages hospital networks, runs pre-authorization desks, handles policyholder queries, and ensures insurers don’t bleed money.
In FY25, they clocked ₹723 crore revenue with 21% operating margins. The market? Growing. The competitive moat? Getting deeper, thanks to scale and acquisitions. The risk? Insurance companies could go in-house, or regulators could decide TPAs need more oversight. But until then, Medi Assist is basically the HR manager of your medical bills — strict, efficient, and a little scary.
3. Business Model (WTF Do They Even Do?)
Medi Assist runs a TPA model, which is like being
a middleman in the insurance world, but instead of making shady deals in smoky rooms, they make clinical approvals in fluorescent-lit offices.
Core streams:
- TPA Services for Insurers – Claim processing, policy admin, customer service, hospital tie-ups.
- Employer Health Benefits Management – Handling group health plans for corporates.
- Retail & Public Scheme Support – Working with state and central government health programs.
Money comes from service fees charged to insurance companies — usually a per-policy or per-transaction model. The beauty? Recurring revenue and low customer churn, because switching TPAs is like changing a hospital mid-surgery.
4. Financials Overview
Recalculating P/E:
Latest quarter EPS = ₹3.18 → Annualised = ₹12.72
CMP ₹541 ÷ 12.72 = P/E ~42.5 (a tad higher than Screener’s ~40.4).
FY25 vs FY24:
- Revenue: ₹723 Cr → ₹746 Cr (TTM) (+3%)
- EBITDA: ₹154 Cr → ₹161 Cr (TTM)
- Net Profit: ₹92 Cr → ₹95 Cr
- OPM: Steady at 21-22%
- ROE: 18%
- ROCE: 19%
This is not a “rocketship” growth stock but more of a “bullet train” — steady, reliable, and occasionally upgraded to business class with acquisitions.
5. Valuation
Let’s get nerdy.
Method 1 – P/E Multiple:
Sector average
