The COVID-19 tsunami hit the Indian shores towards the end of March 2020. Within aweek the entire nation went into a stringent lockdown to battle the global pandemic. Wefound ourselves peculiarly being the first and last line of defense against unknownscrouge.
Very swiftly we needed to set up infrastructure and processes for large-scale COVID-19testing alter the hospital infrastructure to create isolation zones ensure the safety ofour 25000+ healthcare and contract workers provide living spaces to our staff on thehospital premises and nearby hotels. In addition we also needed to procure a largequantity of protective & diagnostic equipment secure our supply chain for essentialmedicines and provisions during a period of extreme scarcity and disruption and writeclinical protocols for the treatment of a novel and highly infectious disease. Mostimportantly we had to build courage across our ranks to perform roles none of us wastrained for. And all this was needed to be done in a matter of days.
OUR RESPONSE TO COVID-19
Our teams took up these challenges on a war footing and worked tirelessly to servethousands of patients. They showed great tenacity agility and tremendous resiliencewhile fighting the pandemic. They did so in an uncertain environment at an unimaginablerisk to themselves and their family members working in high viral load environmentsputting themselves at fatal risk and risk-taking the virus home to their near and dearones.
Our topmost priority while battling COVID-19 remained the health and safety of ourpatients and staff. We rapidly implemented stringent infection control measures so thatthe hospitals don't become infection hotspots. I am proud to highlight that we were thefirst to publish the COVID-19 Clinical Guidelines online for the industry to adopt. Wewere the first private players to volunteer flagship hospitals in Delhi and Mumbai for thecare of COVID-19 patients one of the first private labs to start COVID-19 testing thefirst ones to conduct convalescent plasma therapy trials for critically ill patients andthe first ones to launch a unique
home isolation care service. Across our network we worked closely with the State andCentral Governments and initiated a comprehensive response plan to address various issuesarising from the pandemic. We trained our nurses frontline workers and doctorsextensively to use the specialised equipment and the ever-evolving treatment guidelines tomanage COVID-19 patients. We commenced over 45+ clinical research projects around themanagement of COVID-19 to help understand and treat the disease better many of which havebeen path-breaking and helped organisations worldwide to understand the virus better.
TAKING CARE OF OUR PEOPLE
To ensure the safety of our healthcare workers we ensured an uninterrupted supply ofhigh-quality personal protection kits (PPE's). Despite these precautions over 750 of ourhealthcare workers fell sick each one of whom was treated at our hospitals. We madearrangements for their stay at the hospitals and nearby hotels to ensure the safety oftheir families and loved ones. With access to vaccines in January 2021 we commenced anextensive vaccination drive for our healthcare workers and have since fully vaccinated allour staff. Our staff responded magnificently; the team morale remained consistently highhad very low attrition and witnessed extraordinary team spirit throughout thesechallenging days.
With COVID-19 induced lockdowns and disruptions we realised that a sizeable chunk ofour patients could not access our services at the hospitals. Thus we significantlystrengthened our digital presence and our Max@Home services to cater to their needs. Wesaw a large number of our patients using our teleconsultation services delivered through anew app. For the anxious relatives of patients we introduced an innovative feedback andmonitoring system allowing us to keep them informed about the progress being
* As on July 31 2021
made by the patients. The Max@Home team used technology to remotely support and monitorover 2800* patients at their homes.
COVID-19 and the resultant restrictions including the stringent lockdown brought agreat deal of misery especially to the weaker sections of society. We reached out toextend a helping hand. We treated ~2.35 Lakh indigent citizens free of charge over theyear. In addition during the lockdown we opened our kitchens and served over ~3.0 Lakhnutritious meals to Migrants besides distributing free medicines to shelter homes.
THE COVID-19 OUTCOMES SO FAR
We have so far treated over 33000* COVID-19 patients in our hospitals.
We also managed over 1150* patients in hotels which were converted into COVID-19facilities. The Max@ Home team supported over 2800* patients at their homes. We conductedover ~6.4* Lakh RT-PCR tests and vaccinated over ~13.2* Lakh people across the country.Max Healthcare earned a reputation of being one of the finest institutions in the countryfor the treatment and management of COVID-19.
THE FINANCIAL HIGHLIGHTS
While we battled COVID-19 on all fronts we also implemented structural cost-savingprograms leading to improved margins and COVID-19 related temporary cost reductionsresulting in conserving cash and absorption of losses during the uncertain period.
Concurrently the company also achieved other important milestones such as implementinga successful merger Listing and successful QIP.
Although the overall revenue de-grew by 11% (INR 3881 Crore) through our efforts weensured the network operating EBITDA grew by 8% and stood at INR 636 Crore. The operatingmargins grew 290 bps YoY to 17.5%.
The Radiant Life Pvt Ltd and MHIL merger was approved in June followed by a successfullisting on the Bombay Stock Exchange and National Stock Exchange.
Later in the year the company completed a successful fund raise of INR 1200 Crorethrough a Qualified Institutional Placement (QIP). We have received interest from domesticand international marquee investors.
THE WAY AHEAD
The COVID-19 battle is far from over. We will further build on our learnings andsuccesses since March 2020 and keep up our fight against the pandemic. We intend tocontinue our engagement in the vaccination drive across the country to help vaccinate asmany fellow citizens as possible.
On the business end we will continue to focus on optimising capacity utilisation atour existing facilities and improving channel mix to increase ARPOB enhance case mixembark upon our envisaged brownfield expansions scale up our capital light adjacencieslike Max Lab and Max@ Home and explore inorganic growth opportunities. In addition weintend to pursue our strategy to unlock value in the retail pathology business.
I am very grateful to all our clinical teams for their dedication and commitment tofighting COVID-19.
They displayed great courage tenacity agility and resilience throughout the year toface an unprecedented challenge. I must also thank my fellow board members and thecompany's leadership team for their guidance support and efforts.
|Mr. Abhay Soi |
|Chairman & Managing Director |