Medikabazaar targets 40% annual growth as turnaround gains traction

After reporting an 80% revenue jump and EBITDA positivity in Q2FY26, Medikabazaar plans 40% annual growth over the next three years, even as it navigates a high-profile boardroom dispute

Medikabazaar, one of India’s largest medtech and B2B healthcare supply platforms, which has been engulfed in a full-blown boardroom battle, is charting out a business turnaround plan, targeting over 40 per cent annual growth over the next 2-3 years.

 

The company has already returned to profitability. In Q2FY26, the revenues grew by 80 per cent year-on-year (Y-o-Y) to ₹580 crore and most importantly, became Ebitda positive. Last financial year, Medikabazaar reported a revenue of ₹1,670 crore, with losses of ₹150 crore, and this financial year, it is targeting a revenue of over ₹2,200 crore, with an Ebitda of ₹25 crore.

 

 

CEO Dinesh Kumar Lodha, who joined the company about a year ago during a challenging phase, told Business Standard that they had set a goal of “hyper-growth with profitability” a year back.

 

As a part of this plan, they shut down some loss making verticals (like value procurement optimiser), expanded market categories, including cardiac care and imaging, strengthened field force (has 450 people today and targets 550-600 people eventually), secured pan-India exclusive brand rights to improve pricing control, started scaling own-brand products for margin expansion, as well as focused on tech-led supply-chain efficiencies.

 

“Medikabazaar expects to maintain over 40 per cent annual growth over the next 2-3 years, targeting Ebitda margins of 4 to 7 per cent,” Lodha said.

 

Meanwhile, the company is also eyeing expansion in generic medicines and exports. Lodha said that generic medicines are a high-demand area and affordability remains a major challenge in India, especially in Tier-II and Tier-III cities.

 

“We are working with multiple OEMs to bring in high-quality generic brands that can help hospitals reduce costs,” he added.

 

“Through our Medikabazaar Business Solutions (MBS) model, hospitals typically achieve 8-10 per cent cost savings on procurement. For generics, the cost advantage is even higher, around 30-40 per cent cheaper than branded medicines,” he added.

 

Medikabazaar is also focusing on exporting its branded products and building an international team. It has teams in China, Dubai, and Africa. It is focusing currently on the African market. “Own-brand products are expected to close FY26 at ₹100 crore, with strong growth ahead,” he added.

 

The company has been in news for a boardroom battle involving serious allegations of financial mismanagement and fraud, which first surfaced following an anonymous whistleblower complaint in late 2023. A subsequent forensic audit had flagged major discrepancies which led to the ouster of co-founder and former CEO Vivek Tiwari in August 2024. In response to these financial misstatements, a group of the company’s Series C investors— including Creaegis and HealthQuad— filed a substantial indemnity claim against the company, seeking approximately ₹279 crore (around $33.5 million) in damages, reflecting the alleged misreporting during their funding round.

 

The dispute has since intensified into multiple legal actions, presenting two highly conflicting narratives. On one side, the current board and investors have filed a police complaint with the Delhi Economic Offences Wing, accusing former CEO Vivek Tiwari of orchestrating a financial fraud worth over ₹100 crore, involving cheating, forgery, and creating fictitious transactions. On the other side, Tiwari has vehemently denied all allegations, retaliating by filing his own police complaint, alleging a massive ₹264 crore fraud and a “corporate coup” orchestrated by the board and foreign investors to unlawfully dilute the founders' stake and strip them of their rights.

 

Provisions for legacy issues have been made and audited, Lodha claimed. “We have made provisions for all the earlier issues. These have been accounted for in our financials and audited as part of the standard process. More importantly, we are now on a solid growth and profitability path. From that perspective, the business is firmly on track toward becoming a strong and well-governed organisation,” he said.

 

“We deny the misleading allegations against the company, its management and shareholders by its former CEO Vivek Tiwari. Tiwari has been involved in malicious and fraudulent activities, including those related to financial mismanagement and financial fraud. There are criminal proceedings ongoing against him and he has not been able to secure bail in these matters,” he further added.

 

He added that they have already taken the legal recourse and it is inappropriate to comment on the same as the matter is subjudice.

 

“Over the last 18 months, under the new management team and board leadership, the company has established strong governance and integrity in its operations,” he added. 

Meanwhile, Vivek Tiwari, former CEO, Co-founder & Promoter of Medikabazaar clarified: "My complaint with EOW Mumbai was filed before Delhi FIR was registered. Currently there are no discussions or talks with any of the alleged board members. I have complete faith in our judiciary and remain confident that justice will ultimately be served."