Nephrocare Health Services Limited (NephroPlus) delivered robust financial performance in Q3FY26, demonstrating strong growth momentum across its dialysis network operations. The company's latest investor presentation reveals significant expansion in both treatment volumes and revenue generation, reinforcing its position as Asia's largest dialysis service provider.

Strong Financial Performance in Q3FY26

The company reported impressive financial metrics for the quarter and nine-month period ended December 31, 2025:

For the nine-month period, NephroPlus achieved revenue of ₹733.2 crore compared to ₹536.6 crore in the previous year, representing a 36.6% increase. The adjusted EBITDA for 9MFY26 reached ₹175.4 crore, up 52.1% from ₹115.3 crore in the corresponding period.

Operational Excellence and Network Expansion

NephroPlus continues to expand its comprehensive dialysis network, currently serving 36,550 guests across multiple geographies. The company operates 470+ clinics in India spanning 290+ cities across 25 states, maintaining a 50%+ market share in the Indian organized dialysis market.

Key operational highlights include:

• Treatment volume growth of 17.7% YoY in Q3FY26
• International revenue contribution increased from 29.5% to 41.1%
• 77% of clinics located in Tier 2/3 cities in India
• Maintained asset-light model with ~52% clinics under revenue-sharing arrangements

International Market Presence

The company has successfully scaled its operations internationally, becoming the only Indian dialysis network to achieve significant global presence:

The international expansion has contributed to improved revenue per treatment metrics, with the favorable mix shift towards higher-priced international markets resulting in a 17% uplift in revenue per treatment.

Strategic Growth Drivers

NephroPlus benefits from multiple growth tailwinds in the dialysis industry, including the chronic and recurring nature of treatment requirements, significant under-penetration in target markets, and increasing government reimbursements. The company's asset-light model provides scalability advantages with lower capital requirements compared to other healthcare specialties.

The management highlighted the company's focus on clinical excellence, with protocols and advanced technology driving quality outcomes. NephroPlus maintains various accreditations and certifications, reinforcing its commitment to healthcare standards across its network.

Financial Strength and Margins

The company demonstrated strong margin expansion, with adjusted EBITDA margins improving by 190 basis points to 24.3% in Q3FY26. The scalable India platform continues to drive superior margins and return on capital employed (ROCE), which reached an annualized 24.7% for FY26.

NephroPlus maintains a diversified revenue model across captive clinics (272 units), public-private partnerships (180 units), and standalone facilities (67 units), providing operational flexibility and risk mitigation across different market segments.

Nephrocare Health Services Limited has disclosed a significant international expansion move through its step-down subsidiary's acquisition of dialysis center assets in the Philippines. The transaction, executed on January 26, 2026, represents the company's continued growth in the Southeast Asian healthcare market.

Transaction Overview

Nephrocare Health Care Services, Philippines Inc., a step-down subsidiary of Nephrocare Health Services Limited, has acquired dialysis center assets from Dialysis Center of Cauayan Inc. (DCCI) for a total consideration of PHP 37,721,600. The acquisition covers identified assets relating to a dialysis center located in Cauayan, Philippines.

Agreement Structure

The acquisition involves two key agreements that facilitate both immediate operational continuity and long-term asset transfer:

• Asset Transfer Agreement (ATA): Covers the acquisition of identified dialysis center assets for the total consideration amount
• Memorandum of Agreement (MOA): Establishes joint operation arrangements during the interim period while operating license and accreditation transfer processes are completed

The MOA ensures uninterrupted patient care services during the transition period, demonstrating the company's commitment to maintaining healthcare delivery standards.

Regulatory Compliance

The transaction does not constitute a related party transaction, as the seller DCCI has no relationship with Nephrocare's promoter group or group companies. The purchaser, being a step-down subsidiary, maintains the corporate structure while executing the international expansion strategy.

Strategic Implications

This acquisition strengthens Nephrocare's presence in the Philippines dialysis market, adding operational capacity in Cauayan. The transaction structure, combining asset acquisition with interim joint operations, ensures seamless integration while regulatory approvals are processed. The company has made the disclosure information available on its website at www.nephroplus.com , maintaining transparency with stakeholders regarding this international expansion initiative.