Max India Limited

Investor Release

Quarter and Nine months ended December 31, 2016

Disclaimer
This release is a compilation of financial and other information all of which has not been
subjected to audit and is not a statutory release. This may also contain statements that are
forward looking. These statements are based on current expectations and assumptions that are
subject to risks and uncertainties. Actual results could differ materially from our expectations and
assumptions. We do not undertake any responsibility to update any forward looking statements
nor should this be constituted as a guidance of future performance.
Max India Key Highlights
1 Merger Update : Applications filed with CCI, SEBI and IRDA, IRDAI expressed reservation on
proposed structure; representations made, structure is fully compliant; response from
IRDAI expected by Feb17. Filing with NCLT thereafter. Expected completion Q4FY18.

2 Max Healthcare : Robust revenue growth of 23% to Rs. 1,939 Cr in 9MFY17 despite
slowdown in last 2 months due to demonetization

3 Max Healthcare : EBITDA grows at a strong 34% to Rs. 203 Cr. in 9MFY17; margins
improve by ~ 103 bps to 11.0%

4 Max Bupa: Gross Premium grows 23% to Rs 401 Cr in 9MFY17. Bank of Baroda has
been ramped up to 47 regions (out of 74) with presence in all 13 zones

5 Max Bupa : Losses (excluding one-off items) reduce significantly to Rs. 18 Cr in 9MFY17
from Rs. 52 Cr in 9MFY16

6 Antara : Dehradun community set to commence operations by Q4FY17; Possession

letters have been issued

1
MHC Network* (Financial Snapshot Q3 & 9MFY17)
Gross revenue for the quarter at Rs 639 Cr grows 16% y-o-y, demonetisation
impact felt across locations
Revenue Pathology -B2B launched in May16 (250+ tie-ups); B2C launch in Q417
Avg. Revenue/Occupied Bed day across network in Q3FY17 improves to Rs
42,815, grows 7% y-o-y

Q3FY17 EBITDA at Rs. 63 Cr, grows 17%, driven by 194 bps improvement in
margins from new hospitals (to 6.7% in Q3FY17), however impacted by lower
revenue due to demonetization.

Q3FY17 EBIDTA Margin improvement moderated to 26 bps to 10.5% (Q3FY16

10.3%) because of revenue shortfall impacting Gross Margin
Profitability
9MFY17 EBITDA at Rs. 203 Cr, grows 34% y-o-y. 9MFY17 EBITDA margin
improved by 103 bps to 11.0% (9MFY16 - 10.0%)

9MFY17 PBT at Rs 9 Cr vs Rs 7 Cr in 9MFY16, despite increase in interest cost by

Rs 35 Cr on borrowings to part finance two acquisitions

3 Maximiser quality projects selected for ASQ International Team Excellence

Award and Awards, 2016
Accolades Won ABP News Healthcare Leadership Award 2016 for Best Green Hospital
Patparganj; Best Customer service and Use of Six Sigma in Healthcare

*The above results are for MHC Network of hospitals and includes results for Max Super Specialty Hospital, Saket, unit of Devki Devi
Foundation, Max Super Speciality Hospital, Patparganj, unit of Balaji Medical and Diagnostic Research Centre & Saket City Hospital unit of
Gujarmal Modi Hospital & Research Centre;
2
 MHC Network* Performance Dashboard (Q3 & 9MFY17)
Rs Cr
Quarter Ended Y-o-Y Nine months Ended Y-o-Y
Key Business Drivers
Dec-16 Dec-15 Growth Dec-16 Dec-15 Growth
a) Financial Performance
Revenue (Gross) 639 549 16% 1,939 1,581 23%
Revenue (Net) 602 529 14% 1,850 1,523 21%
Direct Costs
Material Cost 147 138 6% 466 410 14%
Clincian Payout 47 41 16% 149 123 21%
Contribution 408 351 16% 1,235 990 25%
Contribution Margin^ 67.8% 66.2% 157 bps 66.8% 65.0% 177 bps
Indirect Costs
Personnel Cost 206 173 20% 611 491 24%
Other Indirect overheads 107 93 16% 330 266 24%
HO Costs 31 31 1% 91 81 13%
EBITDA 63 54 17% 203 152 34%
EBITDA Margin^ 10.5% 10.3% 26 bps 11.0% 10.0% 103 bps
Finance Cost 34 31 9% 103 68 52%
Cash Profit 30 23 27% 100 84 20%
Depreciation 32 28 13% 92 76 20%
Profit /(loss) before tax (2) (5) 59% 9 7 16%
b) Financial Position
Net Worth 1,106 1,071 3%
Net Debt 1,091 1,048 4%
Tangible Fixed Assets - Gross Block 2,014 1,918 5%
*The above results are for MHC Network of hospitals and includes results for Max Super Specialty Hospital, Saket, unit of Devki Devi Foundation, Max
Super Speciality Hospital, Patparganj, unit of Balaji Medical and Diagnostic Research Centre & Saket City Hospital unit of
Gujarmal Modi Hospital & Research Centre; ^ on the basis of net revenue 3
 MHC Network* Performance Dashboard (Q3 & 9MFY17)
Quarter Ended Y-o-Y Nine months Ended Y-o-Y
Key Business Drivers
Dec-16 Dec-15 Growth Dec-16 Dec-15 Growth
a) Patient Transactions (Nos in lacs)
Inpatient Discharges 0.46 0.42 8% 1.44 1.21 20%
Day care Procedures 0.11 0.09 26% 0.36 0.23 58%
Outpatient Footfalls 15.07 13.47 12% 48.56 40.23 21%
Total 15.64 13.98 12% 50.37 41.67 21%

b) Average Inpatient Operational Beds 2,352 2,298 2% 2,342 2,272 3%

c) Average Inpatient Occupancy 68.8% 69.5% -61 bps 72.7% 71.7% 105 bps

d) Average Length of Stay (days) 3.26 3.24 -0.4% 3.24 3.21 -1.0%

e) Average Revenue/Occupied Bed Day (Rs) 42,815 40,130 7% 41,370 40,805 1%

f) Other Operational Data

Physicians 2,677 2,643 1%
Employees 8,467 7,331 15%
Customer Base (in lacs) 34.2 28.3 21%

*The above results are for MHC Network of hospitals and includes results for Max Super Specialty Hospital, Saket, unit of Devki Devi Foundation, Max
Super Speciality Hospital, Patparganj, unit of Balaji Medical and Diagnostic Research Centre & Saket City Hospital unit of
Gujarmal Modi Hospital & Research Centre; ^ on the basis of net revenue 4
 MHC Network* Performance Dashboard (Q3 & 9MFY17)
Unit Quarter Ended Y-o-Y Nine months Ended Y-o-Y
Key Business Drivers
Dec-16 Dec-15 Growth Dec-16 Dec-15 Growth
Mature Hospitals*
a) Financial Performance
Revenue(Net) Rs. Cr 340 338 1% 1,068 1,013 5%
EBITDA Rs. Cr 45 49 -8% 147 139 6%
EBITDA Margin % 13.3% 14.6% -125 bps 13.8% 13.7% 7 bps
b) Average Inpatient Operational Beds No. 1,128 1,095 3% 1,117 1,095 2%
c) Average Inpatient Occupancy % 69.9% 74.5% -459 bps 75.1% 75.2% -15 bps
d) Average Revenue/Occupied Bed Day Rs. 50,001 46,564 7% 48,467 46,316 5%
e) Return on Capital Employed (Annualised) % 17.0% 16.8% 17 bps 19.2% 16.8% 239 bps
New Hospitals^
a) Financial Performance
Revenue(Net) 254 188 35% 765 500 53%
EBITDA Rs. Cr 17 9 2x 57 17 3.4x
EBITDA Margin % 6.7% 4.7% 194 bps 7.5% 3.4% 409 bps
b) Average Inpatient Operational Beds No. 1,224 1,203 2% 1,225 1,177 4%
c) Average Inpatient Occupancy % 67.9% 64.2% 370 bps 70.5% 67.2% 337 bps
d) Avg. Revenue/Occupied Bed Day Rs. 35,134 31,790 11% 33,800 32,399 4%
e) Return on Capital Employed (Annualised) % 0.7% -2.3% 293 bps 1.1% -2.9% 409 bps
*The above results are for MHC Network (Saket West, Panchsheel, Gurgaon, Noida, Pitampura) and includes results for Max Super Specialty Hospital, Saket, unit of Devki Devi
Foundation and Max Super Speciality Hospital, Patparganj, unit of Balaji Medical and Diagnostic Research Centre
^ The above results are for Shalimar Bagh, Mohali, Dehradun, Bathinda, Vaishali & Saket City hospital unit of Gujarmal Modi Hospital & Research Centre

5
Max Bupa (Financial Snapshot Q3 & 9MFY17)
Gross Written Premium (GWP) for Q3FY17 grows 24% to Rs. 140 Cr. driven by 30%
growth in renewals and 14% growth in new sales (impacted by demonetisation)

Average premium realisation (B2C segment) for Q3FY17 at Rs 7,048 increases 4%

Urban lives-in-force crosses 1.2 million, 296K lives covered in Q3FY17

Revenue
Conservation ratio (B2C segment) for Q3FY17 improves by 260 bps to 85%

Market share at 4.2%; moved 2 ranks to 8th amongst private players

MBHI won Indias Most Valuable and Admired Health Insurer 2016 award by
Pharma Leaders an annual recognition to honor excellence in healthcare sector

Net loss at Rs 9 Cr for the quarter in line with PY due to one-off items. Without
Profitability these one-offs, Normalised loss at Rs 2 Cr in Q3 vis-a-vis Rs 12 Cr in PY
/ Others
B2C claims ratio for the quarter improved to 53.9% v/s 58.8% in Q3FY16

Award and MBHI won Indias Most Valuable and Admired Health Insurer 2016 award by
Accolades Pharma Leaders an annual recognition to honor excellence in healthcare sector

6
Max Bupa Performance Dashboard (Q3 & 9MFY17)
Quarter Ended Y-o-Y Nine months Ended Y-o-Y
Key Business Drivers
Dec-16 Dec-15 Growth Dec-16 Dec-15 Growth
a) Gross written premium income
First year premium 50 44 14% 142 123 15%
Renewal premium 90 70 30% 259 202 28%
Total 140 113 24% 401 325 23%
b) Net Earned Premium* 121 102 18% 381 286 33%
c) Net Loss** (9) (9) -4% 9 (48) 118%
d) Claim Ratio(B2C Segment, normalized) 54% 59% 8% 56% 59% 5%
e) Avg. premium realization per life (B2C) 7,048 6,756 4% 6,977 6,794 3%
f) Conservation ratio (B2C Segment) 85% 83% 3% 85% 82% 4%
g) Lives In force in millions (including RSBY) 2.3 2.0 13%
h) Number of agents 15,821 11,975 32%
i) Paid up Capital 926 876 14%
* Earned Premium higher by Rs 18 Cr in 9MFY17 and lower by Rs 9 Cr in Q3FY17 to change in Unearned premium accounting from 1/365
method to 50% of net written premium
** Normalised Loss before one-offs adjustments is Rs 18 Cr in 9MFY17 vs Rs 52 Cr in 9MFY16 and Rs 2 Cr in Q3FY17 vs Rs 12 Cr in Q3FY16

7
Disclaimer
This presentation has been prepared by Max India Limited (the Company). No representation or warranty, express or implied, is made and
no reliance should be placed on the accuracy, fairness or completeness of the information presented or contained in the presentation. The
past performance is not indicative of future results. Neither the Company nor any of its affiliates, advisers or representatives accepts liability
whatsoever for any loss howsoever arising from any information presented or contained in the presentation. The information presented or
contained in these materials is subject to change without notice and its accuracy is not guaranteed.

The presentation may also contain statements that are forward looking. These statements are based on current expectations and
assumptions that are subject to risks and uncertainties. Actual results could differ materially from our expectations and assumptions. We do
not undertake any responsibility to update any forward looking statements nor should this be constituted as a guidance of future
performance.

This presentation does not constitute a prospectus or offering memorandum or an offer to acquire any securities and is not intended to
provide the basis for evaluation of the securities. Neither this presentation nor any other documentation or information (or any part thereof)
delivered or supplied under or in relation to the securities shall be deemed to constitute an offer of or an invitation.

No person is authorised to give any information or to make any representation not contained in and not consistent with this presentation
and, if given or made, such information or representation must not be relied upon as having been authorised by or on behalf of the Company
any of its affiliates, advisers or representatives.

The Companys Securities have not been and are not intended to be registered under the United States Securities Act of 1993, as amended
(the Securities Act), or any State Securities Law and unless so registered may not be offered or sold within the United States or to, or for
the benefit of, U.S. Persons (as defined in Regulations S under the Securities Act) except pursuant to an exemption from, or in a transaction
not subject to, the registration requirements of the Securities Act and the applicable State Securities Laws.

This presentation is highly confidential, and is solely for your information and may not be copied, reproduced or distributed to any other
person in any manner. Unauthorized copying, reproduction, or distribution of any of the presentation into the U.S. or to any U.S. persons
(as defined in Regulation S under the Securities Act) or other third parties ( including journalists) could prejudice, any potential future
offering of shares by the Company. You agree to keep the contents of this presentation and these materials confidential.

8
 MAX INDIA LTD.
Max House, Okhla, New Delhi 110 020
Phone: +91 11 26933601-10 Fax: +91 11 26933619
Website: www.maxindia.com