What the company does
The company provides radiology, clinical laboratory and nuclear-medicine services through public-private partnerships with government hospitals and teaching hospitals, arrangements with private hospitals, strategic partnerships with central-government PSUs and privately operated centres.
At the RHP date, Pramodini disclosed 16 diagnostic centres across 14 cities in Uttar Pradesh, Andhra Pradesh, Karnataka, West Bengal, Haryana/NCR Delhi, Madhya Pradesh and Kerala, where one centre had not commenced operations. It also operates a processing unit-cum-laboratory in Vijayawada. A separate Karnataka cardiac-facility award was excluded from the operating count because its governing MOU was still unexecuted.
Promoters are Dr Chalasani Kuldeep Kumar, Dr Chalasani Kavitha, Chalasani Durga Aashritha, Chalasani Lalithakumari and Sri Ram Medicare Private Limited. The two doctor-promoters bring clinical experience, but promoter, referral and key-person dependence must be assessed alongside board and clinical-governance controls.
The network is operationally concentrated despite its multi-state footprint: radiology supplied 97.05% of FY26 revenue, B2G arrangements 61.46% and Andhra Pradesh 61.90%. Contract continuity, equipment uptime and scan utilisation therefore drive a large portion of economics.
Where the IPO money goes
Three-year financial snapshot
| Year | Revenue | EBITDA | PAT | Net worth | Borrowings | Assets |
|---|---|---|---|---|---|---|
| FY24 | ₹35.23 Cr | ₹15.53 Cr | ₹6.93 Cr | ₹24.75 Cr | ₹11.96 Cr | ₹48.78 Cr |
| FY25 | ₹38.24 Cr | ₹20.97 Cr | ₹11.03 Cr | ₹35.77 Cr | ₹10.81 Cr | ₹56.45 Cr |
| FY26 | ₹62.29 Cr | ₹30.9 Cr | ₹17.38 Cr | ₹53.15 Cr | ₹17.85 Cr | ₹93.62 Cr |
Restated financial information from IPO source materials; rounding may create small differences.
FY26 EBITDA margin
49.61%
Below FY25's 54.83%, but still unusually high and requiring centre-level reconciliation.
FY26 PAT margin
27.9%
PAT increased 57.6% to ₹17.38 crore.
FY26 debt/equity
0.34×
Borrowings rose to ₹17.85 crore as the asset base expanded.
FY26 operating cash flow
₹25.39 Cr
1.46× PAT, helped by a ₹11.38 crore increase in other current liabilities.
Largest-customer share
44.17%
Top ten institutional customers supplied 64.83% of FY26 revenue.
FY26 PPE + intangibles net block
₹44.21 Cr
Year-end carrying amount, not additions. The cash-flow statement reports ₹29.81 crore of net purchases; a further ₹45.15 crore offer-funded equipment plan remained unordered.
Receivables beyond six months
₹5.93 Cr / 34.1%
₹4.97 crore was 6–12 months old and ₹0.96 crore older than one year. The full ₹17.40 crore balance was classified good with no doubtful provision.
Medical-equipment depreciation
WDV / 13 years
The RHP states written-down-value depreciation and a 13-year useful life for medical equipment; FY26 depreciation was ₹7.39 crore.
Capital-goods payables
₹18.29 Cr
This formed most of FY26 other current liabilities; Axis Bank letters of credit of ₹14.31 crore supported MRI and CT equipment vendors.
FY26 radiology share
97.05%
Clinical laboratory supplied 2.37% and nuclear medicine only 0.58% of revenue.
FY26 B2G share
61.46%
PPP revenue was 54.19% and strategic PSU partnership revenue 7.27%; government payment and renewal risk remain material.
FY26 Andhra Pradesh share
61.90%
Down from 84.78% in FY25, but still a majority of revenue despite the multi-state network.
Offer-funded equipment ordered
0%
The RHP says ₹1.1915 crore of advances came from internal accruals, while 100% of the ₹45.1485 crore equipment financed from offer proceeds was still to be ordered.
FY26 diagnostic volumes
4,74,419 tests
Radiology represented 4,24,146 tests, including 1,28,566 MRIs, 1,10,583 X-rays and 97,880 CT scans.
Deployed imaging fleet
8 CT / 7 MRI
The RHP also lists 20 X-ray, 15 ultrasound, one PET-CT, two DEXA and two mammography machines across the network.
Contingent guarantees
₹5.62 Cr
At FY26 the company disclosed ₹0.67 crore of bank guarantees and ₹4.95 crore of guarantees given for group companies.
Professional-indemnity cover
₹90.00 Cr
Five policies in the RHP schedule total ₹90 crore and expire between February and March 2027; scope, exclusions and claim-specific adequacy still need verification.
Promoter ownership bridge
85.71% → 62.64%
Assuming the full 53,50,800-share fresh issue and 5,00,400-share promoter OFS. Fresh shares equal 24.27% of the stated post-offer capital.
Promoter OFS at cap
₹5.9047 Cr gross
Kuldeep Kumar offers 2,14,400 shares for ₹2.5299 crore; Kavitha and Sri Ram Medicare offer 1,43,000 each for ₹1.6874 crore each at ₹118, before their share of offer expenses.
Seller WACA / cap multiple
₹4.25–₹6.99 / 16.9–27.8×
RHP-reported acquisition costs are ₹6.99 for Kuldeep Kumar, ₹6.23 for Kavitha and ₹4.25 for Sri Ram Medicare. These are historical cost disclosures, not operating valuation measures.
Three-year promoter lock-in
44,09,119 shares
Exactly 20.00% of the stated post-offer capital: 22,04,559 shares from Dr Kuldeep Kumar and 22,04,560 from Sri Ram Medicare. The 93,99,958-share excess promoter holding is split equally between two-year and one-year lock-ins.
NSE first-day close
₹121.65 / +3.09%
Official 19 August bhavdata versus the ₹118 issue price; the ₹114–₹125.55 range accompanied 23,48,400 shares and 98.82% delivery.
What stands out
- A more than 25-year corporate history and a network spanning government, private-hospital, PSU and standalone formats provide operating experience across several contracting models.
- FY26 revenue increased 62.9% to ₹62.29 crore, while EBITDA reached ₹30.90 crore and PAT ₹17.38 crore.
- FY26 operating cash flow was ₹25.39 crore, above PAT, while net worth increased to ₹53.15 crore.
- The largest fresh-issue allocation is tied to medical equipment, which can expand service capability if installation, approvals, referrals and utilisation develop as planned.
Key concerns
- FY26 EBITDA margin of 49.61% and PAT margin near 27.9% are unusually high for a service network. Contract accounting, equipment ownership, lease terms, depreciation, consumables and centre maturity need detailed reconciliation.
- The RHP applies written-down-value depreciation and a 13-year useful life to medical equipment. FY26 depreciation was ₹7.39 crore, so reported margins and asset returns remain sensitive to useful-life, residual-value, impairment and replacement assumptions even when the cash purchase has already occurred.
- Partnership centres depend on hospital, government and PSU contracts. Tender terms, minimum service levels, revenue sharing, price caps, renewal, termination and payment delays can materially change centre economics.
- Medical equipment is capital intensive and can become obsolete. Low scan volumes, delayed installation, downtime, imported parts, maintenance contracts or shortages of radiologists and technologists can reduce returns.
- The asset base rose from ₹56.45 crore in FY25 to ₹93.62 crore in FY26, while borrowings increased to ₹17.85 crore. Equipment utilisation and the ₹11.38 crore rise in other current liabilities need monitoring despite strong operating cash flow.
- Diagnostic accuracy failures, radiation-safety breaches, sample mishandling, data leaks or delayed reporting can create clinical, regulatory, litigation and reputational consequences.
- Compliance may include AERB radiation requirements, PCPNDT obligations, biomedical-waste rules and laboratory accreditation or licensing depending on each centre's services and jurisdiction.
- The issue permits spending on an unidentified inorganic acquisition. Until a target, valuation, related-party status and integration plan are disclosed, the capital-allocation outcome is uncertain.
- The OFS does not fund the company, and NSE Emerge shares can have limited liquidity, large tradable lots, market-maker dependence and wide bid-ask spreads.
- All 5,00,400 OFS shares are being sold by three promoters. Their aggregate holding remains controlling at an estimated 62.64% after the assumed full offer, but the seller cash-out and continuing concentration should both be reconciled to the final basis of allotment.
- FY26 operating cash flow benefited from a ₹11.38 crore increase in other current liabilities. The year-end balance included ₹18.29 crore of capital-goods payables backed partly by ₹14.31 crore of letters of credit, so reported cash conversion should be assessed after these equipment obligations are settled.
- Trade receivables were ₹17.40 crore at FY26, including ₹5.93 crore older than six months. Management classified the entire balance as good with no doubtful provision, making subsequent collection from institutional and government counterparties an important impairment test.
- All equipment intended to be financed from the offer proceeds remained unordered at the RHP date. Only ₹1.1915 crore of advances for certain equipment had been paid from internal accruals, while quotations were non-binding and models, vendors and quantities could still change.
- Two group companies operate in radiology or diagnostic services and no non-compete agreement was disclosed. Common business opportunities, referrals, staff, assets and related-party transactions require governance oversight.
- Radiology contributed 97.05% of FY26 revenue, B2G arrangements 61.46% and Andhra Pradesh 61.90%. A modality disruption, government contract change or regional event can therefore affect several concentration layers at once.
- The company had ₹4.95 crore of contingent guarantees for group companies at FY26, in addition to ₹0.67 crore of bank guarantees. These exposures should be tracked alongside the equipment payables and letters of credit already supporting growth.
- The RHP discloses an ongoing Andhra Pradesh High Court writ petition alleging irregular diversion of payments in a government diagnostic-imaging project involving promoters and group company Infer Radiological and Imaging Services. The group company has filed a reply and the matter remains unresolved; the allegation is not a finding.
What to monitor after listing
- Revenue, EBITDA, utilisation and contract tenure by centre, modality and operating model, including the Kerala commissioning schedule.
- Government, PSU, hospital and referral concentration; tender renewals; revenue-sharing terms; collection of the ₹5.93 crore receivable balance older than six months, disputed claims and any impairment allowance.
- Operating cash flow versus PAT, capital expenditure, depreciation, maintenance costs and return on new medical equipment.
- Settlement of capital-goods payables and letters of credit, including the effect on post-listing cash, borrowings and operating cash flow.
- Equipment installation and utilisation against the ₹45.15 crore allocation, including approvals, staffing and downtime.
- Purchase orders, vendor changes, quotation expiry and delivery/installation milestones for every offer-funded machine; no offer-funded equipment had been ordered at the RHP date.
- Radiology, B2G and Andhra Pradesh revenue concentration, with renewal dates, scan volumes, revenue share and receivable ageing for the largest centres and counterparties.
- Clinical incidents, radiation and laboratory compliance, accreditations, renewal and scope of the five-policy ₹90 crore professional-indemnity stack, cyber security and patient-data controls.
- Post-listing liquidity and price stability after the ₹121.65 NSE Emerge close on 19 August, final basis of allotment, acquisition deployment, related-party transactions and promoter remuneration.
- Final OFS allotment by each promoter seller, their post-offer holdings and the actual gross and net seller proceeds after apportioned offer expenses.
- Final depository lock-in schedule after allotment, including the 44,09,119-share three-year promoter block, the two 46,99,979-share excess-promoter blocks and the 23,85,318 non-promoter pre-offer shares.
- Contingent guarantees for group companies, the pending government-project writ petition and any change in common-business or non-compete arrangements.
Valuation context
The RHP confirms 2,20,45,595 post-offer shares. At the ₹118 final issue price, this implies approximately ₹260.14 crore market capitalisation and about 15.0× FY26 PAT of ₹17.38 crore. The ₹121.65 NSE Emerge close on 19 August implies approximately ₹268.18 crore and 15.43× trailing PAT; this is a dated first-day market calculation, not an assessment of fundamental fair value.
The ₹10.41 FY26 EPS produces an 11.3× cap-price P/E because it uses pre-offer weighted shares. Post-offer market capitalisation divided by FY26 profit captures fresh-issue dilution consistently.
At ₹118, the promoter sellers' disclosed weighted acquisition costs imply cap-price-to-cost multiples of approximately 16.9× for Kuldeep Kumar, 18.9× for Kavitha and 27.8× for Sri Ram Medicare. These describe seller economics only; they do not establish the value of the operating business.
The DRHP peer set includes Invicta Diagnostic, Krsnaa Diagnostics and Star Imaging & Path Labs. They differ in scale, public-contract exposure, modality mix, equipment ownership, geography and balance sheets, so headline P/E comparisons are incomplete.
A normalized valuation should use centre-level cash returns after equipment replacement, maintenance, staffing and receivable funding, and should stress-test the FY26 margin rather than extrapolating it mechanically. The ₹29.81 crore FY26 cash purchase of PPE and intangibles and the disclosed 13-year medical-equipment life should be tested separately from the ₹44.21 crore year-end net block.
Pramodini Medicare IPO FAQs
What is the Pramodini Medicare IPO price band?
The stated price band is ₹110–₹118; issue price ₹118. Offer terms should be checked against the final prospectus and exchange notices.
When does the Pramodini Medicare IPO open and close?
The IPO is scheduled to open on 12 August 2026 and close on 14 August 2026. The stated listing date is 19 August 2026 on NSE Emerge.
What is the Pramodini Medicare IPO issue size?
The stated total issue size is ₹69.04 Cr, comprising ₹63.14 Cr of fresh issue and ₹5.9 Cr of offer for sale.
What is the minimum lot for the Pramodini Medicare IPO?
The stated minimum lot is 2400 shares.
What do the latest Pramodini Medicare financials show?
For FY26, the offer documents report revenue of ₹62.29 Cr, EBITDA of ₹30.9 Cr and PAT of ₹17.38 Cr. Read these figures with the cash-flow, leverage and working-capital analysis on this page.
What is a key risk in the Pramodini Medicare IPO analysis?
FY26 EBITDA margin of 49.61% and PAT margin near 27.9% are unusually high for a service network. Contract accounting, equipment ownership, lease terms, depreciation, consumables and centre maturity need detailed reconciliation.
How is the Pramodini Medicare IPO valued?
The RHP confirms 2,20,45,595 post-offer shares. At the ₹118 final issue price, this implies approximately ₹260.14 crore market capitalisation and about 15.0× FY26 PAT of ₹17.38 crore. The ₹121.65 NSE Emerge close on 19 August implies approximately ₹268.18 crore and 15.43× trailing PAT; this is a dated first-day market calculation, not an assessment of fundamental fair value.