Healthvista India Limited Company Review – Key products, finance, management team, strategic insights

Healthvista India Limited

Healthvista India Limited operation

Healthvista India Limited was founded in 2013 by Ganesh Krishnan, & Meena Ganesh. The company started as a private limited on May 25, 2013. The company converted into a public limited company on June 18, 2022, and changed the name to ‘Healthvista India Limited’.

The registered and Corporate Office of the company is No. 69/B, 1st Cross, 1st Stage, Domlur Layout, Bengaluru 560 071, Karnataka, India. As of March 31, 2022, the company has 40 offices across India, entered into agreements with 63 hospitals, 80 corporates, eight insurers, and 11 insurance third-party administrators to provide out-of-hospital healthcare services to their patients, employees, and insured customers, respectively.

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Healthvista India Limited Subsidiaries company:

Healthvista India Limited has three direct subsidiaries and one indirect subsidiary. Inmedica Health Private Limited, Portea Medical Private Limited, and Take care Technology Private Limited are direct subsidiaries of the company. Medybiz Pharma Private Limited is the indirect subsidiary engaged in the business of manufacturing, importing, exporting, wholesale trading, marketing, and distributing pharmaceuticals products, medical equipment, drugs, and devices.

Healthvista India Limited Key Products & Services

Healthvista India Limited is an out-of-hospital healthcare provider in India. The company occupies 21% of the market share in the organized out-of-hospital healthcare market in FY2021. The company operates under the well-established brand name “Portea”. Healthvista India Limited offers out-of-hospital healthcare services including primary care, geriatric (elderly) and palliative (end-of-life) care, intensive care unit (“ICU”) care, post-operative and post-hospitalization care, chronic care, mother and baby care and cancer care, all at home. The company also distributes specialty pharmaceuticals and “point of care” medical equipment for sale and rent as well.

Their products and services are broadly acclaimed and acknowledged for their high performance and modest cost. Among portea services, the company offers Doctor Consultation, Nursing, Physiotherapy, Trained Attendant, Elder Care, Mother & Baby Care, Lab Tests, Medical Equipment, Speciality Pharma, and Critical Care all at the comfort of your home.

Healthvista India Limited Founders and Management team

Ganesh Krishnan and Meena Ganesh are the founder promoters of the company. Both hold 23.86% of the total Shareholding which is 150,000 equity shares as of December 31, 2021. Ganesh Krishnan holds a bachelor’s degree of science in mechanical engineering from the University of Delhi. He also has a post-graduate diploma in management from the Indian Institute of Management, Calcutta.

Meena Ganesh is the Chairperson and Non-Executive Director of Healthvista India Limited. She holds a bachelor’s degree of science in physics from the University of Madras. Meena also holds a post-graduate diploma in management from the Indian Institute of Management, Calcutta. Before this assignment, she worked with Pearson India Education Services Private Limited as the chief executive officer and managing director. She also associated with companies like Tesco and NIIT.

Vaibhav Tewari is the Chief Executive Officer and Whole-time Director of the Company. He holds a bachelor’s degree in technology in chemical engineering from the Indian Institute of Technology, Kanpur. Vaibhav also has a post-graduate diploma in management from the Indian Institute of Management, Kolkata. Before joining the company, he worked with Microland Limited as a chief marketing officer.

Healthvista India Limited Financial snapshot

Healthvista India Limited recorded negative growth in total revenue from the operation. Total revenue from the operation has gone down 11.5% from INR 1441.78 million in FY 2019 to INR 1275.95 in FY 2021. The total income decreased by 12.8% from INR 1494.82 million in FY 2019 to INR 1303.89 million in FY 2021. Though the total expenses decreased from INR 2211.62 million in FY 2019 to INR 1674.04 million in the year 2021, the company has been at a loss for the last three years reported in DRHP filed with SEBI.

Earnings per share have been negative during the same period. Total borrowing of the company has gone up by 7.5% from INR 6539.31 million in FY 2019 to INR 7032.79 million in FY 2021. These numbers are not in good shape, which prompts us to invest in the company.    

All amounts in INR Million
(Year ended March 31)
Revenue from operations1,441.781,505.491,275.95
Total income1,494.821,620.551,303.89
Total expenses2,211.622,099.761,674.04
Loss after tax-717.61-480.10-370.15
Earnings Per Share-Diluted-11.39-7.63-5.88
Cash and cash equivalents at the end of the period19.1639.1824.18
Debt-Equity Ratio1.081.041.03
Return on Equity Ratio0.130.080.06
Return on Capital employed-2.28-7.59-12.94
Return on investment Percentage11.007.005.00
Total Borrowing6,539.316,741.997,032.79
Source: DHRP document file by Healthvista India Limited

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Healthcare Industry Outlook

The total market size of the Indian healthcare industry is around US$ 257 billion in 2020. The healthcare market in India has grown by a CAGR of 14.54% from US$ 99 billion in 2013 to reach US$ 257 billion in 2020. The market is expected to grow at a CAGR of 20.5% to reach US$ 870 billion by 2027.

Among the major segments of the industry, the Pharmaceuticals and biotechnology segment captures over 40% of the market share. While hospitals and clinics have over 33% of the market, about 17% of the market is captured by the health insurance, ePharma, and Teleconsultation segment. Less than 25% of the healthcare market is catered for Medical Devices, Diagnostics, Out-of-Hospital Healthcare services, and others.

Out-of-Hospital Healthcare services market

The overall Out-of-Hospital Healthcare services market currently comprises 2% of the healthcare market. The market is expected to reach US$ 15.87 billion by 2027 from US$ 6.03 billion in 2021. While the overall Out-of-Hospital Healthcare services market will grow by a CAGR of 17.5% during 2021–2027, the organized sector will grow with a 32% CAGR for the same period. Healthvista products and services fall under this segment of the market. That reflects a strong opportunity for the company in the future in this segment. However, many existing and established players are present in the market that compete with Healthvista.

Healthvista India Limited Strategies and Outlook

The company places significant importance on attracting, recruiting, retaining, and training physicians and other healthcare personnel, and paramedical personnel. Healthvista collaborates closely with partners registered with the National Skill Development Corporation to hire skilled nursing staff sourced from across India.

The company also engages in various marketing initiatives to build brand awareness. Portea Medical unveiled the Brand Mascot ‘Chiron’ the healthcare Angel in April 2022. This is an initiative to assure clients to keep all their health woes at bay for the users. The launch of Chiron, the first mascot of its kind in the country, also helped the company to revamp its logo.

In addition, Portea Medical joined hands with Colive, BCD to launch the country’s first rental retirement retreat called Vanaprastha.  This adds a much-needed touch of medical security to the retired people in the country. Portea is also planning to expand to 100 cities by March 2023 from just over 30 cities in the country.  

Apollo healthcare is the leading company in this segment. It has its own diagnostics centers in hospital infrastructure and deep expertise. Portea and HCAH are enabling these services through their vendor partners. Care24, TriBeCa Care, and India Home Healthcare are some of the other players in this market.

Though Healthvista is in the right industry with a lot of opportunities in the market, the company faces strong competition from well-established and experienced players. Out-of-Hospital Healthcare services in India may not be affordable to the mass due to lower per-capita income. However, increasing awareness about healthcare needs among millennia will improve this market.