Krishna Institute of Medical Sciences has formally commenced operations at its new 350-bed multi-specialty hospital facility located at PES University campus in Electronic City, Bengaluru. The company announced through its subsidiary KIMS Hospital Bengaluru Private Limited that operations began on December 15, 2025.

Hospital Infrastructure and Specifications

The state-of-the-art facility represents a significant addition to Bengaluru's healthcare infrastructure. The hospital's comprehensive specifications include:

Advanced Medical Services

The new hospital offers comprehensive medical care across multiple specialties. The facility provides advanced care in several key areas:

The hospital features cutting-edge technology, experienced specialists, and modern infrastructure designed with a focus on patient comfort and quality care. The facility caters to both critical and routine healthcare needs.

Strategic Expansion in Karnataka

This hospital opening strengthens Krishna Institute of Medical Sciences' presence in Bengaluru and demonstrates the company's commitment to delivering high-quality, accessible healthcare services in Karnataka. With its existing presence in Bengaluru, this expansion further deepens the company's footprint in South India's medical sector.

The Electronic City location positions the hospital strategically to serve the growing healthcare demands of Bengaluru's expanding urban population, particularly in the southern corridors of the city.

Krishna Institute of Medical Sciences reported a robust 23.3% year-on-year growth in revenue for Q2 FY26, reaching INR 965.00 crores. However, the company faced margin pressure due to the ramp-up of newly commissioned hospitals, resulting in a 6.7% decline in EBITDA to INR 208.00 crores and a significant drop in PAT to INR 72.00 crores from INR 121.00 crores in the previous year.

Financial Performance

The company's EBITDA margin contracted to 21.6% in Q2 FY26 from 28.5% in Q2 FY25, primarily due to losses from newly commissioned hospitals. The consolidated EPS for Q2 FY26 stood at INR 1.67, marking a 37.7% year-on-year decline.

Operational Highlights

• IP volume grew by 15.3% year-on-year to 64,288
• OP volume increased by 25.1% year-on-year to 5,92,725
• Average revenue per operating bed rose by 9.8% year-on-year
• Average revenue per patient improved by 7.3% year-on-year

New Hospital Ramp-up

Krishna Institute of Medical Sciences has recently commissioned several new hospitals, including facilities in Thane, Bangalore, and Nashik. The management expects these new facilities to achieve EBITDA breakeven within 12 months of commissioning. Notably:

• Thane hospital is nearing breakeven, with October revenue reaching INR 12.50-13.00 crores against a fixed cost of INR 12.00-12.50 crores per month
• Mahadevapura hospital in Bangalore is showing promising performance, having completed its first liver transplant within 45 days of opening

CGHS Price Hike Impact

The company anticipates a 20% price hike benefit from the Central Government Health Scheme (CGHS), which is expected to positively impact margins from Q4 FY26. This price increase is estimated to contribute an additional INR 10.00-12.00 crores to EBITDA in the next financial year.

Insurance Empanelment Progress

Krishna Institute of Medical Sciences is actively working on insurance empanelments for its new facilities:

• Nashik: 2 out of the top 5 insurance companies empanelled
• Thane: 1 out of the top 5 insurance companies empanelled
• The company aims to complete empanelment with the top 5 insurance companies across new hospitals by Q4 FY26

Future Outlook

Dr. Abhinay Bollineni, Executive Director and CEO, expressed confidence in the ramp-up trajectory of new hospitals and the positive impact of the CGHS price hike. The company maintains its focus on affordable healthcare across markets while expanding its bed capacity and specialty offerings.

Krishna Institute of Medical Sciences continues to invest in advanced medical technologies and is expanding its presence in key markets. The management remains optimistic about achieving sustainable growth and improving profitability as new hospitals stabilize and mature markets continue to perform well.