Park Medi World Ltd

Price story Before the numbers, the tape. A stock price moves through four repeating seasons: a flat base (stage 1), an advance (2), a top (3), a decline (4). Where the price sits in that cycle frames everything below.

Park Medi World Ltd trades at ₹281, in a confirmed uptrend and 28 weeks into that stage. That is +24.2% against its own 200-day average. It sits at 91% of a 52-week range of ₹145 to ₹295. On relative strength it is currently behind the NIFTY 500 on a trailing-13-week view (5 weeks and counting).

Today the stock is in a confirmed uptrend — week 28 of stage 2, confirmed. At ₹281 it trades +24.2% versus its 200-day average and sits at 91% of its 52-week range (₹145–₹295).

Against the market, two honest reads. Cumulative: over the last 8 months the stock moved +82% while the NIFTY 500 moved −1% — ahead of the index over the full window. Recent form: on a trailing-13-week view the stock is currently behind (5 weeks and counting; last ahead the week of 2026-07-10) — the ribbon below is that same metric, week by week.

What would end the trend, mechanically: two Friday closes in a row below the 200-day line. That is the exit rule — no debates.

Story check

Park Medi World Ltd's story is not scored yet against the markers our research file set on 17 May 2026. Where it sits in its own cycle: IPO_EARLY_STAGE. Still open: 850 beds commissioning in FY27 (Panchkula already live; Naraina Q2, Kanpur later) will hold blended EBITDA margins below 26% for 2-3 quarters as new hospitals run at sub-30% occupancy.

Our read, 17 May 2026. A capital-light Tier-2 hospital rollout compounding at 20%+ on a near-zero debt balance sheet — CGHS tailwind and capacity doubling still ahead.

From the numbers. Only 3 quarters of post-IPO listed history. PE cycle INSUFFICIENT_DATA. Current PE 40.9x on TTM EPS — reasonable for 20-25% growth hospital with near-zero debt and strong cash generation. DII holding 8.95% (up from…

From the price. Price stage 2, week 28 — above its 200-day line.

From the research. A capital-light Tier-2 hospital rollout compounding at 20%+ on a near-zero debt balance sheet — CGHS tailwind and capacity doubling still ahead.

🚨 Where they disagree. Only 3 quarters of post-IPO listed history. PE cycle INSUFFICIENT_DATA. Current PE 40.9x on TTM EPS — reasonable for 20-25% growth hospital with near-zero debt and strong cash generation. DII holding 8.95% (up from 8.58% in Dec 2025). FII 0.86% (down from 1.28%) — early days of institutional coverage. Promoter 82.89% stable — no post-IPO selling.

What is proven. A capital-light Tier-2 hospital rollout compounding at 20%+ on a near-zero debt balance sheet — CGHS tailwind and capacity doubling still ahead.

What is not proven yet. 850 beds commissioning in FY27 (Panchkula already live; Naraina Q2, Kanpur later) will hold blended EBITDA margins below 26% for 2-3 quarters as new hospitals run at sub-30% occupancy.

Layer 1 read, 19 July 2026 — KEEP. Hold the hospital starter — real self-funded 20% compounder, but management keeps quietly missing its own guidance. The business is intact: PAT +27%, 26% EBITDA, and near-zero debt with ₹352 Cr cash funding the doubling to 5,460 beds without dilution, plus a CGHS rate tailwind from Q2-FY27. But this is a Silver, validation-FAILED timeline (8 unverified claims) and management posted three unacknowledged FY26 misses — beds -300, ROCE/ROE -300bps, and capex +54% over guide. Held at P2: thesis survives, credibility does not fully.

What would change Layer 1’s mind. Blended EBITDA margin falling below 22% for two consecutive quarters while new hospitals ramp (the Timeline's own falsification), OR a fourth unacknowledged guidance miss on the Q1-FY27 concall — either turns the operating-leverage thesis and the management-trust question from a P2 caveat into a damage exit.

Layer 2 read, 19 July 2026 — ADVANCE. Held hospital-rollout starter; sector focus + self-funding ramp keep the thesis intact — but institutions are fleeing a capacity flood. Park is an early-cycle Tier-2 hospital compounder whose FY27 bed ramp is fully self-funded — operating cash flow runs 1.39x profit and net debt is near zero (Rs 28 Cr debt vs Rs 352 Cr cash) — and its sector sits IN_FOCUS with a TAILWIND and a 'real growth' early-cycle read. The external stress test surfaces one genuine drag: money is leaving the sector (-1.74pp over two quarters) exactly as the industry floods in capacity (capex +39%, CWIP +79%), a CAPACITY_RISK cell that pressures future blended margins but does not break Park's own cash-backed thesis, so we hold the starter and hand the supply-glut watch to L3.

What would change Layer 2’s mind. Blended EBITDA margin falling below 22% for two consecutive quarters as new beds ramp WHILE the sector capacity-flood keeps compressing occupancy pricing — that would turn CAPACITY_RISK from a watch into a confirmed thesis break and flip ADVANCE to DROP.

Layer 3 read, 19 July 2026 — BENCH. Disciplined balance sheet but weak guidance honesty, no valuation cushion, and a failed-validation timeline — bench, don't deploy. Park's capital discipline is real (gross term debt cut from Rs 425 Cr pre-IPO to Rs 28 Cr) but its forecasting honesty is weak — three guidance misses across two concalls, none proactively flagged [C020/C021/C022], so mgmt is WATCHLIST. With a P2 tag, no valuation margin (MoS -10.2%), a 92%-government payer concentration, and a FAILED timeline validation (8 unverified claims), there is no case to spend a slot here ahead of the batch's P1 — bench and let the FY27 bed ramp and payer-mix diversification prove out.

What would change Layer 3’s mind. A clean next concall where management proactively owns the three FY26 misses and delivers the FY27 bed/margin guide (proving forecasting honesty), plus payer-mix moving toward 70-30 to de-risk the CGHS single-lever — that would flip WATCHLIST->PASS and re-open DEPLOY. Conversely a confirmed governance/RPT event would escalate to FAIL/DROP.

The test written in advance. New Hospital Ramp Drag — Margin Dilution During Scale-Up — New Hospital Ramp Drag — Margin Dilution During Scale-Up Blended EBITDA margin per quarter — below 22% for two quarters = thesis degradation by the next result.

The test written in advance. Management Guidance Reliability — Three Consistency Failures in Two Concalls — Management Guidance Reliability — Three Consistency Failures in Two Concalls Q1 FY27 concall: does management provide explicit reconciliation on the three FY26 guidance misses? by the next result.

The test written in advance. Government Receivable DSO — Working Capital Locked at 129+ Days — Government Receivable DSO — Working Capital Locked at 129+ Days Quarterly debtor days trend — any increase above 140 days signals deterioration by the next result.

What the company does. FY26 closed with revenue +21%, PAT +27%, EBITDA margin 26% — largest-ever 610-bed expansion executed with only Rs 28 Cr gross debt remaining. Capacity doubling to 5,460 beds by March 2028 at Rs 34-35 lakh per bed (3x below peer benchmarks) funded entirely from Rs 329 Cr annual operating cash flow. CGHS 15% rate hike flows into 92% of payer base from Q2 FY27; payer-mix shift from 80-20 to 70-30 government-private adds a structural second leg.

Lever 7 · Consolidation — BUILDING. Funded capacity doubling to 5,460 beds by March 2028 at Rs 34-35 lakh/bed — 3x below peers — with full Rs 500 Cr capex funded by operating cash and existing bank balance. What proves it keeps working: Capacity Expansion (610 beds FY26 done; 1,500 beds FY27-28 pipeline). It stops working if Blended EBITDA margin per quarter — below 22% for two quarters = thesis degradation.

Lever 3 · Management change — BUILDING. 15% CGHS rate hike on 4,500-5,000 line items feeding into 92% of debtors; management guides conservative 5-6% net consolidated revenue impact from Q2 FY27 for nine months. What proves it keeps working: CGHS Rate Hike (15%) — Regulatory Tailwind on 92% Payer Base. It stops working if Blended EBITDA margin per quarter — below 22% for two quarters = thesis degradation.

Lever 2 · Value-added mix — BUILDING. 56.9% revenue from tertiary/quaternary (+316 bps YoY); ARPOB Rs 28,000 (+7% FY26); robot-assisted procedures and transplant volumes at record highs. What proves it keeps working: ARPOB Mix Shift — High-End Specialty Deepening. It stops working if Blended EBITDA margin per quarter — below 22% for two quarters = thesis degradation.

Lever 1 · Operating leverage — BUILDING. Revenue +21% FY26 translated to PAT +27% and operating cash Rs 329 Cr — leverage is real on the 3,000-bed base while new beds ramp. What proves it keeps working: Operating Leverage on Base Hospitals. It stops working if Blended EBITDA margin per quarter — below 22% for two quarters = thesis degradation.

Sources: our stock research file (17 May 2026) · quarterly results through Jun 26 · the company’s own earnings calls. The story check is re-scored every results season; the record below never changes.

Revenue Revenue is the top line: everything the company billed its customers in the period.

Park Medi World Ltd reported ₹476 Cr of revenue in the Jun 26 quarter, +19.3% year on year. That is the 3rd straight quarter of year-on-year growth. Over 5 years it has compounded at 17.0% a year. The last full year, FY26, came in at ₹1,679 Cr. The last four reported quarters add to ₹1,756 Cr.

Why this happened. The core engine. FY26 added 610 beds (Bathinda 250 + Agra 360) — largest single-year addition in company history — bringing total to 3,610 beds. Panchkula 350 beds commissioned April 10, 2026 (first quarter FY27 contribution). FY27 adds 850 beds total: Panchkula 350 (done), Naraina Delhi 200 (Q2 FY27), Kanpur 300. FY28 adds 1,000 beds. Total Rs 500 Cr capex over 2 years fully funded: Rs 350 Cr from operating cash + Rs 100 Cr bank balance. Brownfield acquisitions break even in 4-6 months (Bathinda: PAT positive month one). Greenfield: EBITDA positive year 1, PAT positive 12-15 months. Capital efficiency creates real moat — competitors cannot replicate at this cost.

FY26 revenue came in at ₹1,679 Cr (+20.4% on the year), capping 5 years at 17.0% compound. The latest quarter (Jun 26) printed ₹476 Cr, +19.3% year on year — the 3rd consecutive quarter of year-over-year growth.

Pace check: the last four quarters averaged +22.3% growth against the decade's 17.0% — the current year is running faster than its own long-run rate.

Operating margin Operating margin is what is left of every ₹100 of sales after running the business, before interest and tax. It is the cleanest read on pricing power and cost control.

Park Medi World Ltd's operating margin is 26.0% in the Jun 26 quarter, +0.0 percentage points against the same quarter a year ago. Across 6 fiscal years the operating margin has ranged 25.0% to 40.0%. The current quarter sits inside that band.

Why this happened. Case mix shift is structural: cardiology, oncology, neurology, orthopedics deepening as Park becomes the go-to tertiary referral in tier-2/3 North India. FY26: 150+ kidney transplants, 4,700+ PTCAs, 12,000+ cardiovascular procedures, 2,600+ robotic joint replacements. ARPOB trajectory: Rs 25,500 → Rs 26,200 → Rs 28,000 (FY24→FY25→FY26). Oncology revenue growing from 5% to 6.5% of mix. Management is not relying solely on ARPOB — emphasizes capital efficiency, vendor management, and expense-to-revenue discipline as the primary margin lever.

The latest quarter's operating margin is 26.0%, +0.0 pp against the same quarter a year ago. Across 6 fiscal years the operating margin has ranged 25.0%–40.0%.

Why the margin moved: operating margin went +0.2 pp year on year while gross margin went +1.5 pp — the gain came mostly from the gross line: input costs and pricing.

Net profit Net profit is what survives every cost, interest and tax — the number EPS, dividends and book value all grow from.

Park Medi World Ltd earned ₹89.0 Cr of net profit in the Jun 26 quarter, +34.8% year on year. It is the 3rd consecutive quarter of growth. Full-year FY26 profit was ₹274 Cr. The 5-year compound rate is 7.9%. That is 18.7% of the quarter's revenue. The same quarter a year earlier earned ₹66.0 Cr.

Jun 26 profit was ₹89.0 Cr, +34.8% year on year — the 3rd consecutive quarter of growth. On the full year, FY26 printed ₹274 Cr (+28.6%), and the 5-year compound rate is 7.9%.

Why profit moved: revenue contributed +19.3% and the margin +0.0 pp — the quarter was revenue-led, with the margin roughly flat.

Pace comparison, last four quarters: profit +32.7% vs revenue +22.3%. Profit is growing faster than sales — fixed costs are being spread over a bigger base, and each extra rupee of revenue drops more to the bottom line.

Cash flow — the router The P&L says what was earned; the cash-flow statement says what actually arrived. Operating cash flow (CFO) against profit is the cleanest lie detector in the accounts.

Over the last 3 fiscal years 139% of Park Medi World Ltd's reported profit arrived as operating cash — the cash follows the profit. In FY26 that was ₹329 Cr of operating cash against ₹274 Cr of profit. After ₹559 Cr of capital spending, ₹−230 Cr was left as free cash.

FY26: operating cash of ₹329 Cr against reported profit of ₹274 Cr, leaving free cash of ₹−230 Cr after ₹559 Cr of capital spending. Across the last 3 fiscal years the conversion rate is 139% of profit.

Cash-flow readings here are annual — that is the resolution our series carries, so this section moves once a year.

Why conversion sits at 139%: the cash cycle tightened 79 days between FY21 and FY26 — cash that used to wait in the cycle now reaches the bank sooner.

Router verdict: the bigger cash user is investment — capital spending ran 6.2× depreciation over three years, so the next section's job is to check what that build-out is buying.

Where the cash goes Working capital is the cash tied up between paying suppliers and getting paid: debtor days (customers owe), inventory days (stock waits), and the cash conversion cycle (the whole loop, in days of sales).

Park Medi World Ltd's cash conversion cycle runs −2 days in FY26, down from 77 days in FY21. Capital spending ran ₹1,062 Cr over the last 3 years. At FY26 sales of ₹1,679 Cr each day of that cycle holds about ₹4.6 Cr, so roughly ₹−9.0 Cr sits inside the business at any moment.

FY26: debtors at 129 days, inventory at 4 days — roughly 0.1 months of stock waiting to sell; that is where the cash sits while it waits — for a full cycle of −2 days, tighter than FY21's 77.

The full loop: cash goes out to suppliers and production on day 0; stock waits 4 days to sell; customers pay about 129 days after that; and suppliers themselves are paid at 134 days — netting out to the −2-day cycle.

In money terms: at FY26 sales of ₹1,679 Cr, each day of the cycle holds about ₹4.6 Cr — so the −2-day loop keeps roughly ₹−9.0 Cr sitting inside the business at any moment.

On the investment side: capital spending of ₹1,062 Cr over the last 3 fiscal years against ₹171 Cr of depreciation — the company is building well ahead of wear-and-tear. Capital work-in-progress stands at ₹123 Cr (FY26) — capacity paid for but not yet earning.

The synthesis: the cash is going into capacity, not disappearing into the cycle — the question becomes whether the new capacity earns.

Return on capital Return on capital employed (ROCE) is the profit the whole business earns on all the money in it — equity and debt together. It is the single best test of whether growth creates value or just size.

Park Medi World Ltd earns a ROCE of 19% in FY26. A return-on-invested-capital spread against the cost of capital is not computable from what is held here. The wiring behind it is 16.3% net margin on 0.60× asset turns.

FY26 ROCE is 19%.

Why the return is what it is — the wiring (FY26): 16.3% net margin × 0.60× asset turns × 1.39× balance-sheet leverage ≈ 13.6% on equity. Margin is doing the heavy lifting; leverage is modest — this is an earned return, not a borrowed one.

The quarterly return curves and the return-on-invested-capital overlay, which only the second data source carries, are not drawn on this page: its two data sources disagree by up to 16% on reported income across 5 comparable periods. A figure two sources cannot agree on is not drawn — the gap is a decision, not missing data.

Debt Debt-to-equity says how much of the business is funded by borrowings; interest cover says how many times operating profit pays the interest bill. Low and high, respectively, is the safe corner.

Park Medi World Ltd carries ₹364 Cr of borrowings against ₹2,022 Cr of equity in FY26, a debt-to-equity of 0.18. Operating profit covers the interest bill 8×. Over 5 years borrowings went from ₹292 Cr to ₹364 Cr. Capital spending ran ₹1,062 Cr across the last 3 of those years.

FY26: borrowings of ₹364 Cr against equity of ₹2,022 Cr — a debt-to-equity of 0.18. Operating profit covers the interest bill 8×. Over 5 years borrowings went from ₹292 Cr to ₹364 Cr while capital spending ran ₹1,062 Cr in just the last 3 — part of the build-out is riding on borrowed money.

The total-debt and debt-to-equity series, which only the second data source carries, are not drawn on this page: its two data sources disagree by up to 16% on reported income across 5 comparable periods. A figure two sources cannot agree on is not drawn — the gap is a decision, not missing data.

Ownership Who owns the stock, quarter by quarter: promoters (the controlling owners), foreign and domestic institutions, and the public. Steady accumulation by people close to the numbers is a signal; a quiet register is also an answer.

No holder of Park Medi World Ltd moved a full percentage point over the last two years — the register is quiet. The register is read on the four disclosed classes only; nothing is inferred between filings.

Why this happened. CGHS covers central government employees — 92% of Park's debtor base. The 15% hike announced percolates through ECHS, Railways, and state boards with a lag. Partial FY26 flow-through already occurred; full Q2 FY27 onwards. Management's 5-6% net nine-month guidance is intentionally conservative (per prior call they guided 7.5% when hike was 12-15% and ultimately outperformed). Park is structurally the largest beneficiary in the tier-2/3 North India segment. Medical disallowance stable at 9% (industry 12-15%) does not erode the gain.

The register over the last two years — .

Safety line The Z-score estimates how far a company sits from balance-sheet distress — above roughly 3 is safe, below roughly 1.8 is the danger zone. It was built for manufacturers, so it is not applied to banks and lenders.

Park Medi World Ltd: the Z-score is not available for this stock, so we say so rather than invent one. It is a distance-to-distress estimate from the balance sheet, not a forecast of failure. The debt, cash-flow and return sections above carry the balance-sheet evidence this page does hold, and each of them states its own reporting date.

The safety line in one sentence: the Z-score is not available for this stock, so we say so rather than invent one.

Valuation P/E is the price of ₹1 of annual profit: how many rupees the market pays for each rupee the company earns in a year.

Park Medi World Ltd trades at 43.8× P/E, at the pricey end of its own range (70th percentile). Its long-run median P/E is 38.5×, measured across 0.7 years of weekly readings. This places the multiple against the stock’s own record, and says nothing about what the business is worth.

Today's P/E of 43.8× is at the pricey end of its own range (70th percentile), against a long-run median of 38.5× measured over 0.7 years of weekly readings. This is a comparison against the stock's own history — not a claim about what it is worth.

Put together: the multiple is full against its own past, so the story rests on the earnings line underneath it, not the multiple.

The PEG ratio, which only the second data source carries, is not drawn on this page: its two data sources disagree by up to 16% on reported income across 5 comparable periods. A figure two sources cannot agree on is not drawn — the gap is a decision, not missing data.

Stage: No read Every business sits somewhere on a fundamental arc, and this page names the spot before anything else. The last twelve quarters of revenue, profit and EPS growth — plus the return the business earns on its capital — are read as curves: Deteriorating (the curves are falling), Turning around (a trough has just formed and the last few quarters lift off it), Improving (the climb off the trough is sustained), Consistent (steadily positive with healthy returns), Topping out (still high but decelerating from the peak). When the curves genuinely disagree the read is Mixed; too little history is No read. CAGR (compound annual growth rate) is the smooth yearly pace that turns the starting value into the latest one — the fairest way to compare growth across different time spans. Read the columns together: if the 1-year number towers over the 10-year, recent growth is running hotter than the long-run trend. A dash means that window is not held, or the base year was a loss (where a growth rate is not meaningful).

Park Medi World Ltd reads as no read on its fundamental arc. Under eight usable quarters on the growth trio — not enough history for an honest trajectory read. The read is built from 4 quarters across 1 curve, on partial evidence.

Why it matters: with too little history, an honest page says so instead of guessing a trajectory.

One or more growth curves carry a base-effect spike — a large year-on-year move off a near-zero or loss-making comparable quarter. Those spikes are capped before the classifier reads the trajectory, and shown pinned on the chart, so a single distorted quarter does not drive the stage call.

Return readings here are annual, not quarterly — read as level and direction only; they can confirm the growth curves but never drive the stage on their own.

Fewer than eight usable quarters on the growth curves — this page will not guess a trajectory from a stub of history.

4-Factor Sector Score

52.9/100 — rank 7 of 7 in Hospitals/Medical Services · 38% evidence confidence · provisional, ranked below fully-evidenced peers

Park Medi World Ltd scores 52.9 out of 100 against the 7 companies it is compared with in Hospitals/Medical Services, ranking 7. Fill the missing evidence before acting; the ranking is deliberately pulled toward neutral.

The four contributions add to the total exactly: 17.6 + 15.3 + 10 + 10 = 52.9. This is the SAME number shown on the sector comparison — it is computed once, for the whole peer set, and read here.

What would change it: The read weakens if profit growth turns negative or margin improvement reverses while sector-relative strength deteriorates.

Said versus delivered

What Park Medi World Ltd's management promised, set against what actually arrived — 3 tracked promises on the record. Read straight from the company’s own earnings calls. A promise that slipped stays on this page after it is met.

🚨 FY26 Year-End Bed Capacity Target Missed · 13 May 2026. In the Jan 2026 call, management explicitly guided that FY26 would close with approximately 3,910 beds by adding 660 beds to the then-current 3,250-bed network, with the Panchkula greenfield (300 beds) set to commission in the first week of March 2026. The May 2026 call reveals FY26 ended at 3,610 beds as of March 31, 2026, approximately 300 beds short of guidance, because the Panchkula facility slipped into FY27 and was only commissioned on April 10, 2026. Management celebrated FY26 capacity addition as the largest single-year expansion in company history without acknowledging the miss relative to the Jan 2026 target.

🚨 ROCE and ROE Outlook Reversed Despite IPO Already Completed · 13 May 2026. In the Jan 2026 call, management described ROCE and ROE as strong in the 21% range and expected them to increase going forward. FY26 full-year actuals came in at ROCE 18% and ROE 20%, a meaningful step down from this characterization. In the May 2026 call, management attributed the shortfall to IPO-related equity infusion; however, the IPO had already been completed well before the Jan 2026 call - that call was itself described as the company's maiden post-IPO earnings call - making it difficult to accept IPO dilution as an explanation for a guidance miss on a factor that was fully known at the time the prior outlook was communicated.

FY26 Capex Materially Exceeded Prior Guidance · 13 May 2026. In the Jan 2026 call, management guided total FY26 capex at approximately 280 crores, specifically covering the Agra acquisition at 245 crores and the remaining Panchkula construction spend of about 35 crores. The May 2026 call disclosed that actual FY26 capex and acquisitions totaled 430 crores, a 150-crore or approximately 54% overshoot versus guidance. The incremental spend was attributed to the Naraina IBC acquisition and equipment upgrades, neither of which was flagged or quantified in the Jan 2026 capex guidance, leaving investors with a materially understated picture of FY26 capital deployment and no interim revision to expectations.

Every quote above is taken word for word from the company’s own earnings calls.

Frequently asked questions