Park Medi World Ltd (PARKHOSPS) Q2 FY27 Results Analysis: PAT Falls 29%, EBITDA Margin Collapses
Park Medi World Ltd reported Q2 FY27 numbers with revenue of Rs. 511.02 Cr (+24.58% YoY) and PAT growth of -29.21% YoY. Here's a quick read of what worked, what to watch, and what management said.
| Results date | November 13, 2026 |
|---|---|
| Revenue (Q2) | Rs. 511.02 Cr (+24.58% YoY) |
| PAT (Q2) | Rs. 52.19 Cr (-29.21% YoY) |
| EBITDA margin | 19.91% (-757 bps YoY) |
| EPS (Q2) | Rs. 1.26 (-38.54% YoY) |
Quarter Snapshot
Revenue grew 24.58% YoY to Rs.511.02 Cr, but EBITDA margin collapsed to 19.91% (vs 26-27% guided) and owners' PAT fell 29.21% YoY, with H1 tracking only 43% of the FY27 EBITDA guidance and 39.7% of PAT guidance. Earnings quality is the dominant issue: H1 CFO was −Rs.200.35 Cr, debtor days stretched to ~161 against a guided 4-to-3.5-month path, and the company swung to net debt to fund M&A. Meeting FY27 targets requires an H2 EBITDA margin of ~27.6% versus Q2's 19.91%, making the guidance difficult on current run-rate.
Q2 FY27 Expectations vs Results
| Driver | What happened | Verdict |
|---|---|---|
| Revenue "ahead to in-line… volume + ARPOB… late-quarter seasonal assist" | +24.58% YoY, +7.42% QoQ | Played out |
| "Rudrapur consolidates from August 2, adding ~330 beds of inorganic revenue" | Revenue +Rs.35.31 Cr QoQ; materials +50.96% QoQ | Played out |
| Margins "broadly flat to modestly expanding; CGHS flow-through is the swing factor" | EBITDA margin 19.91% vs 26.51% in Q1 | Contradicted |
| "The interest-led PAT-margin expansion dynamic should persist in Q2" | Finance costs +43.53% QoQ (−3.16% YoY) | Contradicted |
| "Cost growth likely stays elevated" | Other expenses +36.71% YoY; employees +29.50% vs revenue +24.58% | Played out |
| "The receivables line is the one to watch" | AR +46.76% since March; debtor days ~161; CFO negative — risk materializing | Played out |
| CGHS/ARPOB quantification; Rudrapur ramp vs Rs.100 Cr yr-1 | Not addressed in the filing — remains open for the call | Not observable |
Read our full results preview.
Management Guidance vs Delivery
| What management said | Where | What happened | Verdict |
|---|---|---|---|
| FY27 revenue Rs.2,080 Cr | Q1 FY27 earnings call | H1 delivered Rs.986.73 Cr (47.4% of target) | Too Early |
| FY27 EBITDA Rs.530 Cr | Q1 FY27 earnings call | H1 delivered Rs.227.82 Cr (43.0%) | Stretch |
| FY27 PAT Rs.360 Cr | Q1 FY27 earnings call | H1 owners' PAT Rs.133.41 Cr (39.7%) | Stretch |
| Blended EBITDA margin 26.7–27% FY27 | Q1 FY27 earnings call | H1 23.09%; Q2 19.91% | Stretch |
| EBITDA margin 26–27% (maintain, open-ended) | Management commentary, Q1 FY27 call | Q2 19.91%; owners' PAT margin 10.21% — for the quarter | Missed |
| Debtor days 4 → 3.5 months | Q3 FY26 earnings call (January 29, 2026) | ~160.7 days at Sep-30-26 (vs ~129 at Mar-31-26) — moving away | Missed |
Key Investment Insights
Key Positives
- Revenue grew 24.58% YoY to Rs.511.02 Cr and 7.42% QoQ
- Rudrapur acquisition (330 beds, 80% of V3 Healthcare for ~Rs.162.84 Cr) consolidated from August 2, 2026, adding inorganic revenue
- 550-bed Prayagraj PPP SPV incorporated September 8, 2026; 28-year O&M agreement for 300-bed Axis Hospital Kanpur effective April 1, 2027
- Standalone revenue grew 48.24% YoY
- Effective tax rate normalized to 28.74% from structurally low 13.8-15.8% prior-year levels
Risk Factors
- EBITDA margin compressed to 19.91% from 27.48% YoY and 26.51% QoQ (~757 bps YoY compression)
- Owners' PAT fell 29.21% YoY and 36.82% QoQ despite 24.58% revenue growth
- H1 CFO was negative at −Rs.200.35 Cr against H1 PAT of Rs.142.97 Cr (CFO/PAT −1.40x)
- Debtor days deteriorated from ~129 to ~161 days, moving away from the guided 4 then 3.5 months path
- Net debt of Rs.185.58 Cr vs net cash of Rs.203.49 Cr in March; finance costs +43.53% QoQ
- H2 requires ~27.6% EBITDA margin and ~20.8% owners' PAT margin to meet FY27 guidance of Rs.530 Cr EBITDA / Rs.360 Cr PAT, vs Q2's 19.91% and 10.21%
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Disclaimer: This results analysis is published for educational and informational purposes only. It is not investment advice, not a recommendation to buy, sell or hold any security.