Yatharth Hospital & Trauma Care Services 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.

Yatharth Hospital & Trauma Care Services Ltd trades at ₹966, in a confirmed uptrend and 23 weeks into that stage. That is +21.9% against its own 200-day average. It sits at 94% of a 52-week range of ₹551 to ₹991. On relative strength it has been ahead of the NIFTY 500 on a trailing-13-week view for 3 straight weeks.

Today the stock is in a confirmed uptrend — week 23 of stage 2, confirmed. At ₹966 it trades +21.9% versus its 200-day average and sits at 94% of its 52-week range (₹551–₹991).

Against the market, two honest reads. Cumulative: over the last 3.1 years the stock moved +193% while the NIFTY 500 moved +36% — ahead of the index over the full window. Recent form: on a trailing-13-week view the stock has been ahead for 3 straight weeks — 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

Yatharth Hospital & Trauma Care Services Ltd's story is not scored yet against the markers our research file set on 22 August 2026. Where it sits in its own cycle: CONTRACTION_WITH_EARNINGS_EXPANSION_NEAR_PEAK. Our fortnightly research layers last read it on 22 August 2026.

Our read, 22 August 2026. Capacity is converting into revenue, but the investment case depends on new hospitals narrowing their profit drag while management restores credibility on expansion timing.

From the numbers. The weekly PE is above its median and the deterministic normalized read lowers, but does not reverse, the premium. The operating cycle is in contraction while earnings are expanding; the multiple curve is near peak and…

From the price. Price stage 2, week 23 — above its 200-day line, relative strength rising.

From the research. Capacity is converting into revenue, but the investment case depends on new hospitals narrowing their profit drag while management restores credibility on expansion timing.

🚨 Where they disagree. The weekly PE is above its median and the deterministic normalized read lowers, but does not reverse, the premium. The operating cycle is in contraction while earnings are expanding; the multiple curve is near peak and the normalized valuation verdict is fairly priced. The valuation case therefore depends on a confirmed utilization-led margin recovery rather than a claim of cheapness.

What is proven. Capacity is converting into revenue, but the investment case depends on new hospitals narrowing their profit drag while management restores credibility on expansion timing.

What is not proven yet. The thesis breaks if Model Town does not reach operational breakeven in the stated second-half FY27 window while the consolidated margin remains at the recent level or lower.

🚨 What would change our mind. The thesis breaks if Model Town does not reach operational breakeven in the stated second-half FY27 window while the consolidated margin remains at the recent level or lower.

Layer 1 read, 22 August 2026 — KEEP. Beds are filling and the profit is operating, not accounting — but depreciation eats it and promoters keep selling. Sales jumped 52.3% to ₹393 crore in the June 2026 quarter while profit rose only 7.1% to ₹45 crore. I checked whether the profit was being propped up by non-operating income, as the automated screen alleged, and it is the opposite: operating profit rose 44% while other income fell from ₹9 crore to ₹4 crore, and the whole shortfall is the depreciation and interest on hospitals that are open but not yet full — which is exactly what management said on the 11 August call. The catch is that you pay 45.5 times earnings for that wait, management has already missed its own bed-expansion timetable, and the founders have sold 10.7 percentage points of the company over two years with no explanation on…

What would change Layer 1’s mind. Model Town still loss-making at the Q4 FY27 print while consolidated margin stays at 23% — that is the timeline’s own break condition and driver D2’s kill-switch. A third promoter step-down below 55.8%, or a quarter where other income climbs back above 15% of pre-tax profit while operating margin slips under 23%, would do it just as fast.

Layer 2 read, 22 August 2026 — ADVANCE. Sector support is strong, but Yatharth must turn new beds into profit before it earns size. June revenue rose from ₹258 crore to ₹393 crore, while profit rose from ₹42 crore to ₹45 crore because expansion added interest and depreciation. The external sector check is supportive—TAILWIND and IDEAL_TROUGH_SETUP—but the elevated multiple means Model Town breakeven, not re-rating, must create the next leg.

What would change Layer 2’s mind. Failure of Model Town to reach operational breakeven in the stated second-half FY27 window while consolidated margin stays at or below the recent level would flip ADVANCE to DROP.

Layer 3 read, 22 August 2026 — BENCH. The hospital growth is real, but promoter selling and missed expansion timing make funding premature. Promoter ownership fell from 66.54% to 55.80% across two steps, and 9.59% of promoter holdings remained pledged. Management has one recorded MISS on the 5,000-bed timetable and Model Town breakeven is still only guidance; this aligns with Timeline risks R2 and R1. The nine-category web sweep found no HIGH or MEDIUM financial threat, so BENCH comes from the management-stress test, not an invented external crisis.

What would change Layer 3’s mind. A further promoter holding reduction below 55.80% without a filed explanation would turn WATCHLIST into FAIL and flip BENCH to DROP.

The test written in advance. The thesis breaks if Model Town does not reach operational breakeven in the stated second-half FY27 window while the consolidated margin remains at the recent level or lower. — the thesis as written as stated by the next result.

The test written in advance. Model Town ramp delay — Model Town ramp delay Model Town operational breakeven by Q4 FY27. by the next result.

The test written in advance. Expansion-timetable credibility — Expansion-timetable credibility First brownfield beds commissioned within the stated fifteen-to-eighteen-month window. by the next result.

What the company does. Jun 2026 revenue rose 52.3% year on year while PAT rose 7.1%, showing that higher depreciation and interest absorbed much of the operating gain. The current valuation is above the weekly median, while normalized earnings reduce rather than eliminate the premium; execution therefore matters more than a multiple re-rating. The key observation is whether Model Town reaches operational breakeven in the stated second-half window and whether the revised capacity timetable becomes internally consistent.

🚨 What the surface reading misses. The surface reading is: PAT growth is modest relative to revenue growth. The research reads it further: Operating profit increased, but higher interest and depreciation after expansion reduced PAT conversion.

🚨 What the surface reading misses. The surface reading is: A PE above the median appears expensive. The research reads it further: The deterministic normalized read places trailing PE at the 80th percentile and normalized PE at the 65th percentile because normalized EPS is above trailing EPS; normalization reduces but does not reverse the valuation premium.

Lever 3 · Management change — BUILDING. The latest call frames the next earnings leg as filling existing beds and raising utilization. What proves it keeps working: Utilization of installed beds. It stops working if New-unit IPD volumes fail to rise while census beds continue to expand.

Lever 1 · Operating leverage — BUILDING. Ramp losses are the main bridge between reported margin and mature-unit economics. What proves it keeps working: New-hospital loss reduction. It stops working if Model Town remains loss-making beyond the stated second-half FY27 breakeven window.

Lever 2 · Value-added mix — BUILDING. Higher ARPOB from specialty care and lower government exposure can improve realizations as hospitals mature. What proves it keeps working: Specialty and private-pay mix. It stops working if Specialty additions do not lift ARPOB or new-hospital payer mix reverts toward the group average.

Lever 8 · Demerger or value unlock — BUILDING. Brownfield beds and the Gurugram facility provide future capacity, but dates and capital intensity need verification. What proves it keeps working: Brownfield and Gurugram pipeline. It stops working if Construction timing slips again or the capacity plan requires materially more debt than stated.

Sources: our stock research file (22 August 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.

Yatharth Hospital & Trauma Care Services Ltd reported ₹393 Cr of revenue in the Jun 26 quarter, +52.3% year on year. That is the 11th straight quarter of year-on-year growth. Over 9 years it has compounded at 37.0% a year. The last full year, FY26, came in at ₹1,207 Cr. The last four reported quarters add to ₹1,334 Cr.

FY26 revenue came in at ₹1,207 Cr (+40.3% on the year), capping 9 years at 37.0% compound. The latest quarter (Jun 26) printed ₹393 Cr, +52.3% year on year — the 11th consecutive quarter of year-over-year growth.

Pace check: the last four quarters averaged +43.5% growth against the decade's 37.0% — the current year is running faster than its own long-run rate.

Acceleration check: trailing-twelve-month revenue grew +43.9% over the last 4 quarters against +35.4%/yr over the last 8 — accelerating; TTM profit +22.5% vs +18.0%/yr — accelerating.

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.

Yatharth Hospital & Trauma Care Services Ltd's operating margin is 23.0% in the Jun 26 quarter, −2.0 percentage points against the same quarter a year ago. Across 10 fiscal years the operating margin has ranged 22.0% to 32.0%. The current quarter sits inside that band.

Why this happened. The latest call reports a lower adjusted drag after excluding New Delhi and Faridabad Sector 20, and links the gap to ramp-up. PAT conversion should improve only if the stated breakeven timetable is met and depreciation and interest stabilize.

The latest quarter's operating margin is 23.0%, −2.0 pp against the same quarter a year ago. Across 10 fiscal years the operating margin has ranged 22.0%–32.0%.

🚨 Why the margin moved: operating margin went −1.7 pp year on year while gross margin went +3.1 pp — the loss 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.

Yatharth Hospital & Trauma Care Services Ltd earned ₹45.0 Cr of net profit in the Jun 26 quarter, +7.1% year on year. It is the 11th consecutive quarter of growth. Full-year FY26 profit was ₹170 Cr. The 9-year compound rate is 56.6%. That is 11.5% of the quarter's revenue. The same quarter a year earlier earned ₹42.0 Cr.

Jun 26 profit was ₹45.0 Cr, +7.1% year on year — the 11th consecutive quarter of growth. On the full year, FY26 printed ₹170 Cr (+29.8%), and the 9-year compound rate is 56.6%.

Why profit moved: revenue contributed +52.3% and the margin −2.0 pp — the quarter was revenue-led despite a thinner margin.

Pace comparison, last four quarters: profit +24.5% vs revenue +43.5%. Profit is growing slower than sales — costs are eating the growth before it reaches 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 85% of Yatharth Hospital & Trauma Care Services Ltd's reported profit arrived as operating cash — the cash follows the profit. In FY26 that was ₹205 Cr of operating cash against ₹170 Cr of profit. After ₹613 Cr of capital spending, ₹−408 Cr was left as free cash.

FY26: operating cash of ₹205 Cr against reported profit of ₹170 Cr, leaving free cash of ₹−408 Cr after ₹613 Cr of capital spending. Across the last 3 fiscal years the conversion rate is 85% 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 85%: the cash cycle tightened 88 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 7.1× 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).

Yatharth Hospital & Trauma Care Services Ltd's cash conversion cycle runs −26 days in FY26, down from 62 days in FY21. Capital spending ran ₹1,227 Cr over the last 3 years. At FY26 sales of ₹1,207 Cr each day of that cycle holds about ₹3.3 Cr, so roughly ₹−86.0 Cr sits inside the business at any moment.

FY26: debtors at 113 days, inventory at 32 days — roughly 1.1 months of stock waiting to sell; that is where the cash sits while it waits — for a full cycle of −26 days, tighter than FY21's 62.

The full loop: cash goes out to suppliers and production on day 0; stock waits 32 days to sell; customers pay about 113 days after that; and suppliers themselves are paid at 171 days — netting out to the −26-day cycle.

In money terms: at FY26 sales of ₹1,207 Cr, each day of the cycle holds about ₹3.3 Cr — so the −26-day loop keeps roughly ₹−86.0 Cr sitting inside the business at any moment.

On the investment side: capital spending of ₹1,227 Cr over the last 3 fiscal years against ₹174 Cr of depreciation — the company is building well ahead of wear-and-tear. Capital work-in-progress stands at ₹102 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.

Yatharth Hospital & Trauma Care Services Ltd earns a ROCE of 12% in FY26. That is up from a trough of 6% in FY19. A return-on-invested-capital spread against the cost of capital is not computable from what is held here. The wiring behind it is 14.1% net margin on 0.53× asset turns.

FY26 ROCE is 12%, recovered from a FY19 trough of 6% — the full ladder below shows the fall and the climb, undoctored.

Why the return is what it is — the wiring (FY26): 14.1% net margin × 0.53× asset turns × 1.28× balance-sheet leverage ≈ 9.6% on equity. Margin does its share; 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 4.5% on reported income across 14 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.

Yatharth Hospital & Trauma Care Services Ltd carries ₹264 Cr of borrowings against ₹1,780 Cr of equity in FY26, a debt-to-equity of 0.15. Operating profit covers the interest bill 42×. Over 5 years borrowings went from ₹193 Cr to ₹264 Cr. Capital spending ran ₹1,227 Cr across the last 3 of those years.

FY26: borrowings of ₹264 Cr against equity of ₹1,780 Cr — a debt-to-equity of 0.15. Operating profit covers the interest bill 42×. Over 5 years borrowings went from ₹193 Cr to ₹264 Cr while capital spending ran ₹1,227 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 4.5% on reported income across 14 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.

Promoters cut 10.7 points of Yatharth Hospital & Trauma Care Services Ltd over 8 quarters, the biggest move on the register. That takes promoters to 55.8% of the company. Domestic institutions moved +1.4 points over the same window, to 10.8%. The register is read on the four disclosed classes only; nothing is inferred between filings.

Why this happened. Census beds increased and management describes material activation headroom across the network. Faridabad reached EBITDA breakeven in nine months and Agra delivered above 20% EBITDA in its first full integrated quarter, but Model Town remains the slower ramp.

The register over the last two years — Promoters: −10.7 points over 8 quarters to 55.8%; Domestic institutions: +1.4 points over 8 quarters to 10.8%; Foreign institutions: +0.7 points over 8 quarters to 5.6%.

🚨 Why the register moved: promoters drove it (−10.7 points), absorbed on the other side by domestic institutions (+1.4 points) — distribution into the market’s bid.

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.

Yatharth Hospital & Trauma Care Services 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 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.

Yatharth Hospital & Trauma Care Services Ltd trades at 51.4× P/E, at the pricey end of its own range (95th percentile). Its long-run median P/E is 38.9×, measured across 3.1 years of weekly readings. This places the multiple against the stock’s own record, and says nothing about what the business is worth.

Why this happened. Management states brownfield commissioning is planned within the stated window and Gurugram is scheduled for the first quarter of FY28. This is a capex inflection point only if beds are commissioned on time and utilization follows.

Today's P/E of 51.4× is at the pricey end of its own range (95th percentile), against a long-run median of 38.9× measured over 3.1 years of weekly readings. This is a comparison against the stock's own history — not a claim about what it is worth.

Why the multiple sits where it does: over the past year annual EPS moved +34.3% against a +25.5% price move — earnings outran the price, pushing the multiple DOWN its own range.

The price move, decomposed: over 3y, of the +38.6%/yr price move, ~+23.3%/yr came from earnings growth and ~+15.3 pp from the multiple (expanding). The split is the honest approximate (price return minus earnings growth); it makes the rally itself visible instead of hiding it behind the percentile.

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 and its quarterly curve, which only the second data source carries, are not drawn on this page: its two data sources disagree by up to 4.5% on reported income across 14 comparable periods. A figure two sources cannot agree on is not drawn — the gap is a decision, not missing data.

What the price assumes This reading works the multiple backwards. It asks one question: what yearly rate of profit growth is a buyer at the market price already paying for? The number is the growth rate that makes eleven years of profit — six years growing, then five fading — add up to that day's market price, once each year is discounted at 11% a year.

Solved at its 24 August 2026 price, Yatharth Hospital & Trauma Care Services Ltd was paying for profit growth of about 27.0% a year. Profit itself has compounded 56.6% a year over the past 9 years. Today the market pays 51.4× P/E, the 95th percentile of its own 3-year range.

What the two numbers say together. The multiple is full against its own past, and the growth the price is paying for is below what this company has actually delivered.

How to hold this number: it is a reading of one day's price, taken on 24 August 2026, not a running figure — every other number on this page, the multiple included, is read off the live quote as of 11 September 2026. A higher price is paying for more growth and a lower price for less, so it moves whenever the price does, and this page does not restate it between measurements.

Stage: Mixed 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).

Yatharth Hospital & Trauma Care Services Ltd reads as mixed on its fundamental arc. Mixed — the growth curves are steadily positive, but ROCE at 12.0% is below the 15% bar this page requires to call it Consistent. The read is built from 8 quarters across 4 curves, on partial evidence.

Why it matters: when the curves disagree, the per-curve reads above matter more than any single verdict.

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.

A partial read: at least one curve is short, or the returns curve is not the computed quarterly series — hold the stage word a little more loosely.

4-Factor Sector Score

54.9/100 — rank 9 of 19 in Hospitals · 82% evidence confidence

Yatharth Hospital & Trauma Care Services Ltd scores 54.9 out of 100 against the 19 companies it is compared with in Hospitals, ranking 9. Balanced evidence: keep at normal research priority and require another comparable period before raising conviction.

The four contributions add to the total exactly: 18 + 11.9 + 7.7 + 17.3 = 54.9. 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 Yatharth Hospital & Trauma Care Services Ltd's management promised, set against what actually arrived — 4 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.

5,000-Bed Expansion Timeline Is Unreconciled · 11 August 2026. In May 2026, management described the 5,000-bed target as a three-year objective, while the Feb 2026 call distinguished between announcing the capacity within three years and deploying it over four to five years. The Aug 2026 call now gives both a five-year timeline and a materially faster estimate of approximately 2.5 years, creating significant uncertainty for capacity, capex, and valuation assumptions.

CGHS Rate Revision Benefit Is Not Reconciled · 11 August 2026. Prior calls quantified the CGHS rate revision benefit at approximately 5% of overall revenue, with more than 3% flowing through to EBITDA. In Aug 2026, management instead described a 1-2% impact and an approximately 2% increase in revenue from the government business, without reconciling whether the denominator or the expected group-level benefit has changed; this difference is material for FY27 revenue and margin models.

Agra Hospital ARPOB Targets Dropped · 26 May 2026. The Nov 2025 and Feb 2026 calls explicitly guided that the newly acquired Agra hospital would achieve an ARPOB of INR30,000 or greater, targeting this range by the next quarter in the Feb 2026 call. In the May 2026 call, actual ARPOB remained stagnated at INR26,000-27,000, yet management framed this as "quite good" without acknowledging or reiterating the previous >INR30,000 target.

Brownfield Expansions Quietly Delayed · 26 May 2026. In the Nov 2025 call, management confidently projected that the Greater Noida and Noida Extension capacities would be available to utilize in 15 to 18 months. However, the May 2026 call revealed that only basic construction had begun. Management shifted to an open-ended timeline citing a reprioritization of beds in other regions, while contradictorily claiming they did not deliberately slow the project.

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

Frequently asked questions