#1Ref: MHL/Sec&Legal/2023-24/84 Date: February 02, 2024 To, Head, Listing Compliance Department BSE Limited, Phiroze Jeejeebhoy Towers, Dalal Street, Mumbai - 400 001. Scrip Code: 542650 To, Head, Listing Compliance Department, National Stock Exchange of India Limited Exchange Plaza, Plot No. C/1. G Block, - Bandra Kurla Complex, Bandra (East), Mumbai-400051 Scrip Symbol: METROPOLIS Sub: Intimation of Investor Presentation. Dear Sir/Madam, Pursuant to Regulation 30 of Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015, we are enclosing herewith Investor Presentation for the quarter ended December 31, 2023. You are requested to take the above information on record. Thanking you, Yours faithfully For Metropolis Healthcare Limited Neha Dilip Shah Neha Shah Digitally signed by Neha Dilip Shah Date: 2024.02.02 19:08:25 +05'30' Interim Company Secretary & Compliance Officer Membership No: A51465 Encl. A/a METROPOLIS The Pathology Specialist BLOOD TESTS • DIAGNOSTICS WELLNESS Metropolis Healthcare Limited Registered Office: 4th Floor, East Wing, Nirlon House, Dr. Annie Besant Road, Worli, Mumbai 400018, Maharashtra, India. Corporate Office & Global Reference Laboratory: 4th Floor, Commercial Building-1A, Kohinoor Mall, Vidyavihar (W), Mumbai - 400 070. CIN: L73100MH2000PLC192798 Tel No.: 8422 801 801 Email: [email protected] Website: www.metropolisindia.com#2METROPOLIS The Pathology Specialist Reaching Out RESPONSIBLY Investor Presentation - February 2024#3Safe Harbor METROPOLIS The Pathology Specialist This presentation and the accompanying slides (the "Presentation"), which have been prepared by Metropolis Healthcare Limited (the "Company"), have been prepared solely for information purposes and do not constitute any offer, recommendation or invitation to purchase or subscribe for any securities, and shall not form the basis or be relied on in connection with any contract or binding commitment whatsoever. No offering of securities of the Company will be made except by means of a statutory offering document containing detailed information about the Company. This Presentation has been prepared by the Company based on information and data which the Company considers reliable, but the Company makes no representation or warranty, express or implied, whatsoever, and no reliance shall be placed on, the truth, accuracy, completeness, fairness and reasonableness of the contents of this Presentation. This Presentation may not be all inclusive and may not contain all of the information that you may consider material. Any liability in respect of the contents of, or any omission from, this Presentation is expressly excluded. Certain matters discussed in this Presentation may contain statements regarding the Company's market opportunity and business prospects that are individually and collectively forward-looking statements. Such forward-looking statements are not guarantees of future performance and are subject to known and unknown risks, uncertainties and assumptions that are difficult to predict. These risks and uncertainties include, but are not limited to, the performance of the Indian economy and of the economies of various international markets, the performance of the healthcare industry in India and world-wide, competition, the company's ability to successfully implement its strategy, the Company's future levels of growth and expansion, technological implementation, changes and advancements, changes in revenue, income or cash flows, the Company's market preferences and its exposure to market risks, as well as other risks. The Company's actual results, levels of activity, performance or achievements could differ materially and adversely from results expressed in or implied by this Presentation. The Company assumes no obligation to update any forward-looking information contained in this Presentation. Any forward-looking statements and projections made by third parties included in this Presentation are not adopted by the Company and the Company is not responsible for such third party statements and projections. 2#4Q3FY24 Performance...#5Q3FY24 Performance Snapshot 3. & گاه Q3FY24 Key Highlights METROPOLIS The Pathology Specialist Total Revenue Rs. 291 Crores 2% YoY Core Business* Revenue Rs. 286 Crores 12% YoY Core Business* Patient Vol. 2.83 Mn 9% YoY Core Business* Test Vol. 5.81 Mn 11% YoY Core Business* RPP Rs. 1,009 3% YoY Core Business* RPT Rs 492 1% YoY *Core business excludes revenue for Covid & Covid allied and PPP Contracts (incl. Hi-tech) EBITDA Margin (Before CSR & ESOP) 23.6% Reported EBITDA Margin^ 22.5% ^0.8% impact on account of one-time provision for doubtful debt 4#69MFY24 Performance Snapshot 3. & گاه 9MFY24 Key Highlights METROPOLIS The Pathology Specialist Total Revenue Rs. 877 Crores 1% YoY Core Business* Revenue Rs. 858 Crores 13% YoY Core Business* Patient Vol. 8.62 Mn 9% YoY Core Business* Test Vol. 17.4 Mn 9% YoY Core Business* RPP Rs. 996 3% YoY Core Business* RPT Rs 493 3% YoY *Core business excludes revenue for Covid & Covid allied and PPP Contracts (incl. Hi-tech) EBITDA Margin (Before CSR & ESOP) 24.3% Reported EBITDA Margin^ 23.4% ^0.7% impact on account of one-time provision for doubtful debt 5#7Q3FY24 Key Highlights 01 Core Business* Revenue grew at 12% B2C revenues grew by 15% 02 33 03 B2B revenues grew by 7% 04 Premium Wellness grew@ 15%. Specialized revenue grew @13% Y-o-Y METROPOLIS The Pathology Specialist Core business revenues grew at 12% with 9% Patient volume growth and 3% RPP growth. 11% on account of Test volume & 1% on account of RPT. Revenue were impacted to the tune of 1% on account of floods in Chennai in Q3FY24. B2C revenues grew by 15% for Q3FY24 Y-o-Y with Patient Volume growth of 13% & RPP growth of 2%. B2C revenue in Mumbai grew by 18% on Y-o-Y basis B2B revenues grew by 7% for Q3FY24 Y-o-Y with Patient Volume growth of 5% & RPP growth of 2% B2C Premium Wellness revenue grew at 15% Y-o-Y with test volume growth of 11% Y-o-Y. Revenue from specialized tests grew at 13% Y-o-Y for Q3FY24 with test volume growth of 11% Y-o-Y 05 50 Expanding Network & scaling productivity and profitability 06 90 10 07 Reported EBIDTA margins @ 22.5% Digital Transformation undertaken for Efficiency, Analytics and Customer Service *Core business excludes revenue for Covid & Covid allied and PPP Contracts (incl. Hi-tech) Company has opened 193 centers and 5 labs in Q3FY24 in line with it 90:30 program. In the last 9 months, added presence from 307 towns to 595 towns EBIDTA before network expansion & one time impact taken in Provision for doubtful debt (PDD) on account of Aam Aadmi Mohalla Clinic at 24.5%. Dilution of ~120 bps is on account of Network expansion & 80 bps on account of one-time impact of PDD Witnessed substantial IT deployments aimed at enhancing efficiency and productivity by leveraging data analytics, improving customer service, and refining process management. 6#81a. Core Business Revenue continue to grow by double digit.. Core Business (incl. Hi-Tech) 12% 286 254 762 +13% 858 23 PPP Contracts One of the large PPP Contract ended on 8th February 2023 65 METROPOLIS The Pathology Specialist Covid PCR & Covid Allied Total Revenues -59% 39 2% 16 285 291 -31% 8 1% 866 877 2 0 Q3FY23 Q3FY24 9MFY23 9MFY24 Q3FY23 Q3FY24 9MFY23 9MFY24 Q3FY23 Q3FY24 9MFY23 9MFY24 Q3FY23 Q3FY24 9MFY23 9MFY24 ✓ Core business revenues have been encouraging with 12% Y-o-Y growth for Q3FY24 indicating a growth trajectory going forward ✓ Revenue growth for Q3FY24 has been impacted to the tune of 1% on account of unprecedented floods in Chennai in Dec 2023 ✓ Revenues for Hi-tech grew at mid teen on Y-o-Y basis with margins higher than the company average ✓ Overall revenues growth for Q3 & 9MFY24 has been impacted on account of loss of a large PPP contract in Q4FY23 & dip in revenues from Covid & Allied Testing 7#91b. ... predominantly by Patient Volume growth @ 9% & RPP growth @ 3% Core Business No. of Patient Visits (In Mn.) Core Business Revenue Per Patient (In Rs.) METROPOLIS The Pathology Specialist +9.0% 2.6 2.8 Q3FY23 Q3FY24 +9.4% +3.1% +3.1% 8.6 979 1,009 966 996 7.9 9MFY23 Core Business No. of Tests (In Mn.) +11.0% 5.2 5.8 9MFY24 Q3FY23 Q3FY24 9MFY23 9MFY24 Core Business Revenue Per Test (In Rs.) +9.1% +1.2% +3.3% 17.4 486 492 478 493 15.9 Q3FY23 Q3FY24 9MFY23 9MFY24 Q3FY23 Q3FY24 9MFY23 9MFY24 ✓ Company has witnessed healthy patient volume growth and even higher growth in patient volumes in its core geographies indicating higher market share ✓ Test volumes continues to grow by double digit on a Y-o-Y basis for Q3 FY24 8#102. B2C revenue grew by 15% & B2C revenue in Mumbai grew by 18% Revenue Mix Across Segments METROPOLIS B2C Revenue (Rs. Crs) The Pathology Specialist Revenue Base to 100 19% 12% B2C contributes 53% of the total revenue B2C revenues grew by 15% Y-o-Y with Volume growth of 13% & RPP growth of 2% 47% Q3FY23 Q3FY24 53% 35% 34% B2C revenue in Mumbai grew by 18% 100 B2C B2B Others B2C Routine B2C Semi-Specialized +12.2% 112 100 Q3FY23 Q3FY24 131 15.3% 151 Q3FY23 Q3FY24 B2C Specialized B2C Premium Wellness Total B2C +15.0% 115 100 Q3FY23 Q3FY24 +17.6% 118 100 +17.0% 117 100 Q3FY23 Q3FY24 Q3FY23 Q3FY24 15.3% 115 Q3FY23 Q3FY24 With credibility & strong brand pull build over the years, the Company has witnessed growth across tests segment in B2C markets Volumes and realisation stood strong in B2C markets 6#113. B2B revenue grew by 7% & B2B Specialized revenue grew by 9% Revenue Mix Across Segments METROPOLIS The Pathology Specialist B2B Revenue Mix (Rs. Crs) Revenue Base to 100 19% 12% Q3FY23 47% Q3FY24 53% 35% 34% 100 B2B contributes 35% of revenues for Q3FY24 B2B revenues grew by 7% for Q3 FY24 Y-o-Y with Volume growth of 5% & RPP growth of 2% +7.1% 100 93 Q3FY23 Q3FY24 B2C B2B Others B2B Routine B2B Semi-Specialized B2B Specialized B2B Premium Wellness Total B2B +7.4% 3.1% 107 103 100 100 Q3FY23 Q3FY24 Q3FY23 Q3FY24 +8.9% 109 100 +10.4% 110 100 +7.1% 107 Q3FY23 Q3FY24 Q3FY23 Q3FY24 Q3FY23 Q3FY24 Multiple initiatives undertaken to improve upon service levels: ✓ B2B engagement through digitalization's ✓ Centralised Helpdesk to build strong support system for the B2B clients ✓ Key Relationship Managers and special programmes for Top B2B Clients 10#124a. Premium Wellness revenue grew @ 15% with 11% volume growth Population for Diagnostic Industry Total Premium Wellness Revenue METROPOLIS The Pathology Specialist 94% 6% 15% 42 36 102 +22% 124 ■ Wellness Population ■Illness Population Our focus is to cater to the balance 94% of the population which has potential of wellness testing Q3FY23 Q3FY24 9MFY23 9MFY24 Revenue from Premium Wellness has grown by 15% on Y-o-Y basis & stood at Rs. 42 crs as compared to Rs. 36 crs in Q3FY23 ✓ Contribution from Premium Wellness has increased from 14% in Q3FY23 to 15% in Q3FY24 Our Strategies I Stay A Step Ahead Of Family History of Illnesses TruHealth Active Female Package Full body 16,815 checkup 5500/- 92 Test Parameters Covers tests for Kidney & Heart. Harmones tests and diseases like Anaemia, infection thyroid, diabetes cancer and many more 67% OFF Take Charge Of Your Chronic Illness | For A Lifetime Of Wellness TruHealth Expert Male Package Full body 23,070 checkup 7500/- 103 Test Parameters Covers tests for Lives Kidney, Heart and diseases like cancer, allergy, Diabetes Infection, and so on 67% OFF METROPOLIS The Pho Spac METROPOLIS The Sp Premium Wellness packages with average realisations of over Rs. 2,000 Margin accretive premium wellness packages Upselling Routine testing patients to bundled testing (Wellness packages) Digitally linked upselling for Chronic Patients (Notifications/Pop- up's/Offline outreach) Offset the competition intensity in our B2B Semi- specialised segment Please click here for TruHealth Wellness Packages 11#134b. Specialized Test revenue grew @ 13% with 11% volume growth Offers more than 3,000 specialized tests and uniquely crafted profiles to meet diagnostic requirements of specialists Innovation & test menu expansion is the heart of specialty & each year New tests are added to MHL menu 77 tests added in specialized segment in 9M FY24 Revenue from Specialized tests has grown by 13% on Y-o-Y basis & stood at Rs. 109 crs as compared to Rs. 97 crs in Q3FY23 ✓ B2C Specialized Tests grew by 18% on Y-o-Y basis in Q3FY24 ✓ B2B Specialized Tests grew by 9% on Y-o-Y basis in Q3FY24 Contribution from Specialized tests stood 38% of total test revenue in Q3FY24 ✓ Multiple sub-specialty segments like Gastroenterology, Neurology, Oncology, Nephrology, Pre-Natal tests etc. provided under one roof under the supervision of clinical experts METROPOLIS The Pathology Specialist Divided over multiple subspecialty segments supporting different clinical pathology needs Specialized Tests (Rs. Crs) 97 13% 109 Q3FY23 Q3FY24 12#145a. Expanding Network... from 307 to 595 towns in last 9 months Laboratory Network - MHL Service Network - MHL Hitech Network Hi-Tech Labs Labs +17 labs Rationalization Period 452 centres Hi-tech Centers 192 ARC 175 20 20 20 Third Party PSCs 3,675 63 4,127 115 775 Owned PSCs 141 3,064 754 Laboratory Network 20 Labs 119 124 125 2,731 2,555 704 2,336 598 498 575 172 155 2,936 2,594 1,873 2,105 1,806 1,506 Service Network Owned PSCs - 89 centers METROPOLIS The Pathology Specialist Total Network Lab network Total 192 Service network Total 4,127 20 115 172 4,012 Third Party PSCs - 26 centers MHL Hitech MHL Hitech 255 260 251 255 264 301 FY19 FY20 FY21 FY22 FY23 9MFY24 FY19 FY20 FY21 FY22 FY23 9MFY24 We are on course to add 90 labs & 1,800 service centers by FY25 In the last 9 months, we have added presence from 307 towns to 595 towns ✓ Lab Expansion - Post Apr 22, Company has started 31 labs of which 21 are in new geographies О Focused on Speciality driven B2B business in the new geographies where labs are opened as an entry point Expect to achieve scale in B2B business in 2-3 years of lab opening simultaneously foraying in B2C business with opening of franchise centres ✓ Service Network Expansion - Post Apr 22, Company has added 1063 centres О Increasing marketing activities to create a strong B2C connect focused on specialized testing In 9MFY24, added 52 service network in Hi-tech 13#15METROPOLIS The Pathology Specialist 5b.... with focus on achieving company level margins in 2 years Network Expansion*^ Lab Maturity Cycle 51 labs Period 172 155 141 124 125 119 EBIDTA Margin Profile 0-12 months -5% to -15% FY19 FY20 FY21 FY22 FY23 9MFY24 12-18 months Nil to 5% Labs Added ΝΑ 5 1 16 14 17 18-24 months 5% to 15% EBIDTA Dilution* ΝΑ 0.3% 0.3% 1.0% 1.2% 1.2% Accelerated network expansion strategy adopted FY22 onwards to fuel the future growth 24-36 months 15% to 25% *EBIDTA dilution on account of Network Expansion as per management estimates ^MHL Network excluding Hitech 14#166. Reported EBIDTA Margins @ 22.5% 25.5% -0.4% Q3FY23 Reported EBIDTA EBIDTA dilution on account of Network Expansion in Q3FY24 @1.2% EBIDTA dilution on account of Network Expansion in Q3FY23 @0.8% Net impact on account of dilution 0.4% -1.4% -0.8% -0.4% METROPOLIS The Pathology Specialist 22.5% Dilution on account of Network Expansion Dilution on account of loss of PPP revenue Dilution on account of one time PDD Others Q3FY24 Reported EBIDTA Impact on Margins on account of: Negative operating leverage on account of loss in revenue from a large PPP contract Negligible Covid & Allied Revenue; however related cost from the previous year persist in the system Dilution of EBIDTA margins ~120 bps in Q3FY24 is on account of Aggressive Network Expansion strategy One time impact of ~80 bps on account of Provision for Doubtful Debt (PDD) adjustment Additional Impact on Margins on account of : • Increased cost on Marketing Increased cost on Information Technology Increased cost on customer service Combination of higher productivity of new network, increased utilization of labs, higher operating leverage along with organic growth should result in an uptick in margins from current levels 15#177. Creating a Digital Transformation for business to grow Second generation Point of Sale Platform Registration and Invoicing Platform 2.0 Sales CRM with customizable CPQ to manage dynamic pricing 360-Degree Customer View Enhanced Productivity Rapid Scalability Improved User Experience Business Continuity & Agility Future Ready Architecture METROPOLIS The Pathology Specialist Community Cloud for better life-cycle management Customer Data Platform enabling the 360-degree view of its consumers Personalization Cross Channel Consistency Efficient Patient Case Management Relationship Service Management Opportunity Enhanced Security Efficient Patient Accurate Billing & Management Registration Pricing Reporting & Analysis Metropolis is unique Healthcare Company equipped with "SF CDP, Marketing Cloud, Service Cloud, Sales Cloud, Community Cloud". 16#18Specialized and Premium Wellness revenue contribution continues to grow METROPOLIS The Pathology Specialist Strong Brand Equity across markets & Doctors Trust and Reliance on Metropolis helps us grow our Specialized & Premium Wellness segment faster than the Industry Q3FY23 Q3FY24 Core Business Revenue 14% Volume Mix 3% 3% 15% 47% 36% 53% 40% Value Mix 14% 18% 15% 18% 38% 30% 38% 29% Routine Specialized Semi-Specialized Wellness & Others Specialized (Rs. Crs) 97 Premium Wellness (Rs. Crs) 13% 109 36 +15% 42 Q3FY23 Q3FY24 Q3FY23 Q3FY24 Routine (Rs. Crs) Semi-Specialized (Rs. Crs) 46 40 +13% 52 75 +10% 83 Q3FY23 Q3FY24 Q3FY23 Q3FY24 17#19Diversified Revenue contribution across Geographies METROPOLIS The Pathology Specialist Continue to focus on strengthening the Brand in Focus cities through increase in B2C share while improving the share of Seeding and Other cities through a healthy mix of B2B and B2C driven by large Test menu Focus Seeding Others Q3FY23 Q3FY24 Core Business Revenue Mix 22% 25% C 60% 58% 18% Core Business Revenue Mix North South East 7% 8% West International 51% 4% 7% 8% Q3FY23 Q3FY24 Core Business Revenue Break-up Focus Seeding Others 254 17% 30% 51% 4% +12% 286 165 152 8% 48 45 7% 57 72 28% 30% Q3FY23 Q3FY24 ✓ Core business revenues from focus cities stood at 58% with growth of 8% on a Y-o-Y basis. ✓ Strategy of increasing revenues from non-core geographies is growing well. Core business revenues grew by 28% for other cities on a Y-o-Y basis. 18#20Q3 & 9MFY24 Consolidated Profit & Loss Statement METROPOLIS The Pathology Specialist Profit & Loss Statement (Rs. Crs.) Q3FY24 Q3FY23 Y-o-Y 9MFY24 9MFY23 Y-o-Y Revenue from Operations 291.1 285.5 2.0% 876.7 865.7 1.3% Cost of operations 222.5 208.2 663.4 633.8 EBIDTA (before CSR and ESOP) 68.6 77.2 -11.2% 213.3 231.9 -8.0% EBIDTA (before CSR and ESOP) Margin 23.6% 27.1% 24.3% 26.8% ESOP & CSR Cost 3.1 4.5 8.5 8.2 Reported EBIDTA 65.5 72.7 -10.0% 204.8 223.6 -8.4% Reported EBIDTA (%) Depreciation Other Income 22.5% 25.5% 23.4% 25.8% 25.0 23.1 68.1 65.8 2.3 6.8 6.6 14.0 EBIT 42.8 56.4 -24.2% 143.4 171.8 -16.6% Finance Cost 5.9 8.4 19.2 26.2 Profit Before Tax 36.9 48.0 -23.2% 124.2 145.6 -14.7% Current Tax 9.6 12.1 32.2 35.7 Profit After Tax 27.3 35.9 -23.9% 91.9 109.9 -16.4% PAT Margin 9.4% 12.6% 10.5% 12.7% 19#21Consolidated Balance Sheet METROPOLIS The Pathology Specialist Assets (Rs. Crs.) Sep-23 Mar-23 Equity & Liabilities (Rs. Crs.) Sep-23 Mar-23 Non-current assets 1206.4 1198.8 Equity 1049.4 990.8 Property, Plant and Equipment 145.0 137.2 Equity Share capital 10.2 10.2 ROU Assets Goodwill 171.6 173.4 Other equity 1036.3 978.0 454.7 454.7 Non Controlling Interest 2.9 2.5 Other intangible assets 351.4 355.3 Intangible assets under development 25.5 19.5 Financial Assets Non-current liabilities 209.4 245.9 (i) Investments 1.8 1.8 Financial Liabilities (ii) Loans 0.0 0.0 (i) Borrowings 0.0 28.6 (iii) Other Financial Assets 20.0 16.6 (ii) Lease Liabilities 119.2 125.5 Deferred Tax Assets (Net) 7.3 6.9 (iii)Other Non-Current Liabilities 0.0 0.5 Other non-current assets 0.6 0.5 Provisions 14.7 13.0 Non-current tax assets (net) 28.6 32.8 Deferred tax liabilities (Net) 75.5 78.2 Current assets Inventories 302.7 302.8 Current liabilities 43.6 44.6 250.4 264.9 Financial Assets Financial Liabilities (i) Investments 36.1 13.1 (i) Borrowings 44.0 50.4 (ii) Trade receivables 122.9 121.9 (ii) Lease Liabilities 67.9 61.8 (iii) Cash and cash equivalents 50.9 68.8 (iii) Trade Payables 81.2 93.8 (iv) Bank balances other than (iii) 20.4 24.4 (iv) Other Current Financial Liabilities 13.4 20.3 (v) Loans 0.0 0.0 Other Current Liabilities 24.3 19.6 (vi) Other Financial Assets 7.9 14.1 Provisions 11.4 9.6 Other Current Assets 20.9 15.9 Current tax liabilities (Net) 8.2 9.3 TOTAL - ASSETS 1,509.1 1,501.6 TOTAL - EQUITY AND LIABILITIES 1,509.1 1,501.6 20 20#22Consolidated Abridged Cash flow statement Cash Flow Statement (Rs. Crs) Profit Before Tax METROPOLIS The Pathology Specialist H1FY24 H1FY23 87.3 97.6 Adjustments for Depreciation and other items 60.1 52.6 Operating profit before working capital changes 147.4 150.3 Changes in working capital -16.7 19.7 Cash generated from operations 130.7 170.0 Direct taxes paid (net of refund) -22.1 -32.6 Net Cash from Operating Activities (A) 108.6 137.4 Net Cash from Investing Activities (B) -48.1 22.1 Net Cash from Financing Activities (C) Net Change in cash and cash equivalents -78.4 -155.4 -17.9 4.1 21#23Steady Focus on Balance Sheet continues 31 Debtor Days Mar-23 32 32 Dec-23 OCF to EBIDTA 102% 99% Mar-23 Dec-23 Working Capital Days 17 14 Mar-23 Dec-23 Cash and Cash Equivalents Rs. In Crs 106 89 Mar-23 = WC Days (CA- Cash & Equivalents) - (CL - Lease liabilities - Borrowings) / TTM Sales *365 OCF / EBITDA = CFO before tax / EBITDA Dec-23 METROPOLIS The Pathology Specialist Key Highlights ✓ Debtor days as on Dec-23 stood at 32 days as compared to 31 days as on Mar-23 ✓ Cash & Cash Equivalents stood healthy at Rs. 89 crs as of Dec-23 ✓ Gross debt stood at Rs. 12.7 Crs as of Dec- 23. Plan to repay in by end of year ✓ Working capital days stood at 17 days as compared to 14 days as on Mar-23 ✓ OCF / EBITDA stood at 99% 22#24Metropolis 3.0: Opportunity#25Key Pillars of Metropolis 3.0 Strategy 01. Strengthening the core Increase market share in the core geographies with expanding presence and penetration in newer geographies with Focus on Specialised & Wellness testing 04. Digital Transformation To embark on a digital journey for seamless customer experience on the front end with data science and analytics in the back end. METROPOLIS aking Life 3.0 Up A Notch METROPOLIS The Pathology Specialist 02. Expanding to adjacencies Expanding into adjacencies like basic radiology and allied services 03. Bolt on Acquisition To consider bolt on acquisitions for a strategic entry into a new market and build organic business thereafter 24#26Addressable market is expected to increase to ~Rs. 21K Cr by FY26... Addressable market size FY23 FY26 METROPOLIS The Pathology Specialist CAGR Indian diagnostics market Pathology [OPD + IPD + Government] ~INR 101K Cr Radiology: INR 43K Cr Pathology: INR 58K Cr ~INR 134K Cr Radiology: INR 58K Cr Pathology: INR 76K Cr Excluding Radiology > ~INR 58K Cr IPD: INR 20K Cr OPD: INR 33K Cr Govt: ~INR 5K Cr ~INR 77K Cr IPD: INR 25K Cr OPD: INR 45K Cr Govt: INR 7K Cr 10% Radiology: 10% Pathology: 10% 10% IPD: 8% OPD: 11% Govt: 8% Addressable Market for MHL Consumer shift from Unorganised to Organised Chains Excluding inhouse IPD, Unorganized Inhouse OPD & Government ~INR 15K* Cr Illness: INR 11K Cr Wellness: INR 4K Cr ~INR 21K Cr Illness: INR 14K Cr Wellness: ~INR 7K Cr 12% Illness: 9% Wellness: 21% *IPD estimated 20% outsourced (4k crs) + OPD estimated to be 1/3rd organised (11k) + Government estimated to be NIL = Total Addressable market 15k Crs estimated to grow @ 12% CAGR FY23 - FY26 (21k crs) Metropolis to grow faster than Industry Additional Levers for Accelerated Industry Growth Stringent Regulatory Environment Source(s): Expert interviews, Annual reports, MCA filings, DRHPS, Analyst reports, Management estimates, Praxis analysis Penetration of Insurance in Diagnostics Industry 25#27... Metropolis to grow faster than the Industry Strategy to Win Increase the product suite for Premium Wellness and create a sticky customer base Strengthening the Core and expanding adjacencies to leverage the Brand strength, Customer base and Network Target a Revenue CAGR of mid-teen from FY23 to FY26 Higher reliability of the Metropolis Brand with Specialized Doctor Network METROPOLIS The Pathology Specialist Large Network (including current expansion) to help grow faster in Focus Cities and strengthen the Brand in Seeding and Other Cities স To be most Trusted Consumer Brand KIY + Achieve Pre-Covid Margin Profile + Bolt on Acquisitions to further strategic objectives Be the fastest growing Diagnostics Company within the National Chains Segment 26#28International business Our International Presence METROPOLIS The Pathology Specialist B2B Locations Kenya Zambia Ghana Tanzania Uganda via Franchisee Year of Inception 2013 Year of Inception 2015 Year of Inception 2014 Year of Inception 2018 Year of Inception 2022 9 Labs/Diagnostics Centre 6 Labs/Diagnostics Centre 4 Labs/Diagnostics Centre 3 Labs/Diagnostics Centre 1 Labs/Diagnostics Centre Samples brought at GRL from 10+ Countries including Mauritius 3 Patient Service Centre (PSC's) + 2 Associate Patient Service Centres 2 Patient Service Centre (PSC's) + 3 Hospital in Lab Contracts (HLM's) 4 (PSC's) + 2 Associate Patient Service Centres + 2 Hospital in Lab Contracts (HLM's) 3 Patient Service Centre (PSC's) ✓ International business focuses on specialized testing and is managed by a dedicated team ✓ MHL is one of the largest organized player in the international geographies of its presence ✓ Business is characterized by low investments & higher return profile 1 Patient Service Centre (PSC's . Middle East SAARC Countries 27#29Metropolis - Certified Great Place to Work Great Place To Metropolis is the First Indian Diagnostic Organization for getting Great Place To Work certification. METROPOLIS The Pathology Specialist WorkⓇ Certified FEB 2023 FEB 2024 INDIA EMPLOYEE BRAND- Our Identity Taking Life Up A NOTCH TCH Attributes that Build Our Culture Trust, Openness, Innovation, Compassion & Growth Mindset Communicate Amplify with Talent Community Social Media, Campus, Career Page >>>>>> Great Place To WorkⓇ Certified FEB 2023 - FEB 2024 INDIA TM This is to certify that Metropolis Healthcare Limited has successfully completed the assessment conducted by Great Place to Work® Institute, India, and is certified as a great workplace. This certificate is valid from Feb 2023 to Feb 2024. First Indian Diagnostic Firm Certified Jeshasvinil Yeshasvini Ramaswamy Chief Executive Officer Great Place to Work Institute, India Talent being our Key Differentiator Note: The certificate is valid subject to the terms and conditions agreed to by the Organization. 28#30Metropolis ESG' Goals Well identified ESG Focus Areas and assessments are created as per the materiality matrix based on the GRI, SASB and SDG Frameworks. Our first Business Responsibility Sustainability Report (BRSR) released as part of Annual Report 2022-23. OUR ESG FOCUS AREAS ENVIRONMENT SOCIAL • GOVERNANCE • • • • Emissions and Energy Waste Management Water Management . • Quality of care and patient satisfaction Occupational Employee Health and Safety Employee recruitment, development, and retention Community Development Patient privacy and electronic health records Risk Management • Board Governance, Ethics and Compliance • • · • . Emission Goals for a Greener Tomorrow Carbon Neutrality by 2043 45% reduction in emissions intensity by 2030 METROPOLIS Achieving Zero Waste and Water Neutrality by 2043 Zero waste in offices by 2030 Reduce plastic usage by 50% by 2030. Zero waste to landfill by 2043 Reduction of water intensity by 30% by 2030 Water Neutral by 2043 The Pathology Specialist Fostering Quality, Safety, Diversity and Community Well-being Resolution of 80% of service complaints resolved Y-o-Y by 2028 Achieve ISO 45001 certifications across locations and 100% awareness and training on OHS for all employees. Strengthen the DE&I Program and improve the Diversity/New Hire Ratio By 2028, achieve a gender-neutral workforce with a 50:50 gender balance Manage training by tracking hours, gender, and effectiveness, and implement improvement measures for enhanced retention. Make a positive impact on the lives of 6 lakh direct beneficiaries by 2043. Upholding Integrity, Security, and Compliance Continue to maintain zero year-on-year data breaches ISO 27001 Certification Comprehensive, Annual Risk Assessment and Mitigation Plans Board Diversity - 50:50 by 2028 Zero instances of non-compliance with regulatory requirements Y-O-Y 29 29#31Key ESG Initiatives 2023-24 • • • • • . Emissions & Energy Utilize renewable energy sources (solar, wind, energy saver kits). Conduct energy audits in offices to identify energy- saving opportunities Conduct digital GHG inventories for all Scope 1, 2, and 3 emissions. Equip company-owned vehicles with CNG kits. Launch e-bike initiative for logistics and home visit technicians to reduce costs and carbon emissions. Implement Black-Out Periods twice a year to reduce employee travel. Partner with specialized agencies to reduce carbon footprint and optimize costs. Water & Waste Management Implement water conservation measures (biocakes for urinals, water nozzles • Reduce plastic usage; Use non-toxic, eco-friendly cleaning chemicals. • Treat reagents/sample mixed water in effluent treatment plants. Segregate waste into different bins with barcodes for authorized disposal. Digitally track and report waste generation on a monthly basis. Aim for zero waste to landfill and adopt circular waste management. • • Occupational Employee Health & Safety Partner with educational institutes, establish OHS governance, and clarify roles for OHS professionals. Align annual performance with safety management, involve workers in safety processes, and conduct internal safety audits. Develop SOPs for injury classification, track using GoVEVA, and differentiate between worker and employee incidents. Monitor and report fatalities and assess risks with third-party assistance. Create mitigation plans, offer injury reporting training, and extend it to contractors and suppliers Employee Recruitment, Development and Retention Strengthen the DE&I Program and improve the Diversity/New Hire Ratio; Hiring of differently abled people Drive the LGBTQIA+ campaign for sensitization and awareness. Launch of exclusive program on Women's Leadership HIPO Employees Community Development Implementing planned CSR initiatives for fiscal year 2023-24, including the MedEngage Scholarship Program, Too Shy to Ask (TSTA), Delhi Skill Entrepreneurship University (DSEU), and Preventive Healthcare projects 1 • . METROPOLIS The Pathology Specialist Quality of Care and Patient Satisfaction Actively conduct NPS surveys aiming for a consistent score of 85 with fewer detractors and share results with stakeholders. Assign expert teams to address detractors' concerns from NPS surveys. Monitor and aim to resolve over 80% of complaints within 24 hours using the Service CRM. Our quality team audits closed complaints for compliance. Introduced a 'Rate our Phlebotomist' system for competency assessment. Use of Service CRM to handle complaints and feedback from various sources, nationally and internationally, including PSC, call centers, social media, and email desks. Patient Privacy and Electronic Health Records Partnered with a Consulting firm and initiated the process to achieve Certification in ISO 27001/ 2:2022 and ISO/IEC 27701:2019 during FY 24 for Information Security and Data Privacy. Continue to maintain high ethical standards at all times, protect and secure the data, infrastructure, and identity. 30#32CSR at Metropolis . . . . . METROPOUS foundation METROPOLIS MEDENGAGE NURTURINGTHETALENT mingp NOTCH OP Too Shy to Ask (TSTA) Outreach and Digital Program Metropolis Foundation, the CSR arm of Metropolis Health care limited has partnered with 10 implementation partners for TSTA outreach programme. TSTA outreach impacted 22096 Adolescents, 143 adolescent groups or Kishori manch 473 Teachers in rural and urban Maharashtra Digital Intervention showed 2.5 download and 11000 active users 159 questions from Adolescents was answered by Expert. . MedEngage Programme The MedEngage outreach programme is more holistic through integrating all UG and PG years including Research grant ii) integrating backward areas / aspirational district as notified by Niti-Aayog and supporting for Research Grant MedTalk and Webinar are being regular organized as interactive forum so that young aspiring doctors gain from senior medical maestro. Preventive health Care Project • 1702 TB patients were supported • • with Nutritional support and > 97% adhered to TB medicines 30000 impacted through Anemia awareness 1 + lakh community members are impacted through use of various community tools on diabetes and Anemia. • • • METROPOLIS The Pathology Specialist DSEU*(Delhi Skills Entrepreneurial University) 7 labs fully made functional in DWARKA Campus 800 per year students will benefit from this support Curriculum support was also given to DESU 31#33For further information, please contact: Company: Investor Relations Advisors : METROPOLIS The Pathology Specialist SGA Strategic Growth Advisors Metropolis Healthcare Ltd. CIN L73100MH2000PLC192798 Mr. Rakesh Agarwal - CFO Email Id – [email protected] www.metropolisindia.com Strategic Growth Advisors Pvt. Ltd. CIN U74140MH2010PTC204285 Mr. Shogun Jain / Mr. Sagar Shroff [email protected]/[email protected] +91 77383 77756 / +91 98205 19303 www.sgapl.net METROPOLIS The Pathology Specialist