Narayana Hrudayalaya : Investor Presentation - Q4, FY2021

Investor Presentation

May 2021

Important Disclosure

No representation or warranty, express or implied is made as to, and no reliance should be placed on, the fairness, accuracy, completeness or correctness of such information or opinions contained herein. The information contained in this presentation is only current as of its date. Certain statements made in this presentation may not be based on historical information or facts and may be "forward looking statements", including those relating to the Company's general business plans and strategy, its future financial condition and growth prospects, and future developments in its industry and its competitive and regulatory environment.

Actual results may differ materially from these forward-looking statements due to a number of factors, including future changes or developments in the Company's business, its competitive environment and political, economic, legal and social conditions in India.

This communication is for general information purpose only, without regard to specific objectives, financial situations and needs of any particular person. This presentation does not constitute an offer or invitation to purchase or subscribe for any shares in the Company and neither any part of it shall form the basis of or be relied upon in connection with any contract or commitment whatsoever. The Company may alter, modify or otherwise change in any manner the content of this presentation, without obligation to notify any person of such revision or changes. This presentation can not be copied and/or disseminated in any manner.

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NH at a Glance

As on 31st March 2021

NH's footprint in India

46	Healthcare Facilities	Operational beds
20	Owned / Operated Hospitals(1)	5,442	Beds
1	Managed Hospital(2)	112	Beds
5	Heart Centres(3)	318	Beds
19	Primary Healthcare Facilities(4)	10	Beds
1	Hospital in Cayman Islands	110	Beds

6,725 Capacity Beds

5,992(5) Operational Beds

3.2 mn(6) Average Effective Capital Cost per Operational Bed

30+	Specialities

16,965	Full-time Employees and Associates
	including 3,577 doctors

Kakriyal, Jammu

Delhi NCR

Western Region
4 hospitals	Jaipur
Operational beds: 960

Ahmedabad

Mumbai

Shimoga Bellary

Karnataka Region

Bengaluru

6 hospitals, 4 heart centres

Hospital operational beds: 2,206 Mysore

Heart centres operational beds: 256

Bengaluru has 3 hospitals

Northern Region

3 hospitals Operational beds: 653

Guwahati

Jamshedpur

Raipur

Kolkata

Eastern Region

8 hospitals

Hospital operational beds: 1,735

Primary facilities operational beds: 10

Kolkata has 6 hospitals

1. NH owns the P&L responsibility
2. NH manages 3rd party hospital for Management Fees
3. NH operates 1 heart centre in Chittagong, Bangladesh, St Marthas heart centre was closed in December 2020
4. Includes clinics, information centres, etc
5. In FY21, exited operations at CNH Heart Centre (39 operational beds) wef 1st April 2020 and St Marthas (27 operational beds) in December 2020
6. Based on (Gross Block for Fixed Assets (adjusted for non-cash government grant provision, non-cash financial lease for Dharamshila unit )+ Capital Work in Progress (CWIP)) / Number of operational beds as of March 31st 2021 but excluding
   Managed Hospitals and Cayman facility4

Key Highlights - Q4 FY21….(1/2)

Clinical &

Operational

• RTIICS, Kolkata performed FET (Frozen Elephant Trunk) procedure, first of its kind procedure to be performed in Eastern India
• Narayana Superspeciality Hospital, Howrah successfully performed a novel surgery of a rare tumour involving the roof of nasal cavity and the base of the brain
• Narayana Multispeciality Hospital, Mysore performed cytoreductive surgery & hyperthermic intraperitoneal chemotherapy (CRS+HIPEC) to treat an advanced ovarian cancer case making the facility first such hospital in the region to perform this surgery
• Narayana Superspeciality Hospital, Howrah performed a one of its kind procedure - redo sternotomy followed by arterial switch on a 3-year-old boy
• Narayana Multispeciality Hospital, Barasat performed Bentall Surgery (Aortic valve Replacement & Ascending Aorta Surgery), a rare surgery to treat a patient having aortic dissection, aneurysm ally dilated ascending aorta

Financial

Performance

• Consolidated operating revenues of INR 8,378 mn in Q4 FY21 translating into INR 25,823 mn in FY21
• Consolidated EBITDA of INR 1,499(1) mn in Q4 FY21 at margin of 17.9%, translating into EBITDA of INR 2,1031) mn in FY21 and consolidated PAT of INR 681(2) mn in Q4 FY21 translating into PAT of INR - 143(2) mn in FY21
• Consolidated net debt of INR 4,857 mn as on 31st March 2021, reflecting net debt to equity ratio of 0.43 (Out of which, debt worth US$ 39.1 mn is foreign currency denominated)

1. As per the new accounting treatment for leases per IND AS 116 effective 1st April 2019 which resulted in INR 133 mn and INR 507 mn increase in EBITDA for Q4 FY21 and FY21 respectively
2. As per the new accounting treatment for leases per IND AS 116 effective 1st April 2019 which resulted in INR 11 mn and INR 78 mn decrease in PAT for Q4 FY21 and FY21 respectively

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Key Highlights - Q4 FY21 ….(2/2)

Digital

Initiatives

• Implemented app-based video consultation capability for the doctors through AADI (Athma App for Doctors Insights) and for patients through NH Care
• Launched unified platform for managing schedule, tariffs and bookings for physical and video consultation
• Soft-launchedpay-online feature for patients to allow queue-less payments in select units
• Blood-bankmodule rollout (for in-house Hospital Information System, ATHMA) completed across the group

ESG

Initiatives

• Health City, Bengaluru achieved 95% of its energy needs through captive renewable energy helping save INR 39 mn annually in energy cost
• Energy efficient equipment were procured at RTIICS, MSMC, Ahmedabad & Delhi helping save INR 12 mn annually in energy cost
• Hazard Identification and Risk Assessment (HIRA) completed and under review in all units

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