Vijaya Diagnostic Centre Limited (NSE: VIJAYA) Q4 2025 Earnings Call dated May. 12, 2025
Corporate Participants:
Unidentified Speaker
Narasimha Raju — Chief Financial Officer
Giren Dalal — Assistant General Manager
Analysts:
Unidentified Participant
Amey Chalke — Analyst
Anshul Agrawal — Analyst
Alekhya — Analyst
Chirag — Analyst
Sumit Gupta — Analyst
Gaurav Kedia — Analyst
Rishi Mody — Analyst
Harshal Patil — Analyst
Presentation:
operator
Ladies and gentlemen, good day and welcome to the Vijaya Diagnostic Center Ltd. Q4FY25 conference call hosted by JM Financial. As a reminder, all participant clients will be in the listen only mode. And there will be an opportunity for you to ask questions after the presentation concludes. Should you need assistance during the conference call, please signal an operator by pressing Star then zero on your touchstone phone. I now hand the conference over to Mr. Amay Chalke. Thank you. And over to you sir.
Amey Chalke — Analyst
Hi. Thank you. Good evening everyone. I am on behalf of JM Financial. Welcome you all on the POQ FY25 earnings conference call of Widow Diagnostics at the outset. I thank the management of Vijaya for giving this opportunity to host the call. I’m looking forward to have insightful interaction on the quarterly earning and the outlook here on this today from the company we have with us Suprita Reddy, Managing Director and CEO, Mr. Shiva Rama Raju, Vice President Operations and Mr. Giren Dala, Assistant General Manager Strategy and Investor Relations. I now hand over call to the management for their opening remarks.
Over to you ma’ am.
Giren Dalal — Assistant General Manager
Thank you Amay for hosting the call. Good evening everyone and thank you for joining us today. I will begin my address with the updates on our expansion plans. I’m happy to announce the successful launch of six hubs in the last two months. Two each in Pune, Bengaluru and West Bengal. Additionally, the execution of three more hubs. In West Bengal is progressing as planned and expected to commence operations within the next three to four months. We have also finalized leases for two hubs in tier 2 locations of AP and Telangana which are scheduled to become operational in H2FY26. With the recent launch of two very large state of the art hub centers and two spokes and phones, combined with our investment in cutting edge technology, we are confident that this will enhance the visibility of the Vijaya PH brand in Pune market. We are now well positioned to establish a distinct identity and gain strong traction in this region going forward.
We have ventured into Bengaluru market with the launch of operations at both our hub centers in April. Given the strong potential of the market, we’re actively looking at a few more strategic locations for our hub expansion to strengthen our presence in this region. In continuation, to update on the leadership team, we have recently onboarded a CTO who comes with 25 plus years of experience in leading technology driven companies and his addition strengthens our capabilities and is likely to help fast track our IT initiatives. In addition, we have also made a few more mid to senior level areas across business functions to support our parallel expansion into new geographies.
Now I quickly take you through the financial performance for the current quarter of the 12 month end date 31st of March 2025. The consolidated revenue for the current quarter stood at an INR of 173 crores reflecting a growth of 12% at a console level and a 13% growth being driven organically. Once again majorly driven only by test volumes. EBITDA for the current quarter today 69 crores as compared to 63 crores in the corresponding quarter in the previous year the EBITDA margin stood healthy at 39.8% in the current quarter. The profit are set for the current quarter stood at 35 crores with a margin of 20%.
Coming to the full year performance the consolidated revenue stood at around 681 crores reflected an impressive year on year growth rate of 24% with a 19% growth being organic contribution. EBITDA today 273 crores registering a year on year growth of 24%. EBITDA margin stood healthy at 40.1% and PAC was 143 crore with a margin of 21%. After a strong performance in FY25, we had a promising start to the new financial year with a notable increase in both the footfall and revenue across the network. Moving forward, our key areas of focus would be stabilization of the newly launched hubs and building strong brand equity in these new geographies, commissioning additional new hubs in West Bengal and Co geography, investment in technology and strengthening our talent pool across critical departments.
With that I would like to conclude my address and request the moderator to open the line for the Q and A session.
Questions and Answers:
operator
Thank you very much. We will now begin the question and answer session. Anyone who wishes to ask a question may press Star then one on your touchstone telephone. If you wish to remove yourself from the question queue, you may press Star then. Two participants are requested to use handsets while asking a question. Ladies and gentlemen, we will wait for a moment while the question queue assembles again. To register for a question, Please press star then 1. Our first question comes from the line of Anshul Agarwal from mk. Please go ahead.
Anshul Agrawal
Hi, thank you for the opportunity. I hope I’m audible.
Narasimha Raju
Yeah, you’re out of business so I.
Anshul Agrawal
Have a few questions. First question, is there any particular reason why our gross margins have contracted despite strong growth in wellness in the current quarter?
Narasimha Raju
Actually it is because of wellness. Because I think Wellness has contributed 15% of our revenue. And generally wellness, whenever wellness grows, you’ll see some contraction gross margin. Right. Because this wellness is at a disputed price. So. So that’s one of the primary reason. And yes, to a certain extent not a significant value. Some value has increased because of the increase in the input cost.
Anshul Agrawal
Okay. What I wanted to check was is this on the back of any rupee depreciation which could reverse in the coming quarters or should we structurally consider this to be the new normal in gross margin?
Narasimha Raju
So you should structure it to be a new normal. Right. And it is because. Majorly because of wellness. And since there is an increase in the input cost like we were discussing in the last two, three quarters. Right. So we have expected there will be increase in the. Not just for the rupee revision but multiple other reasons. That’s happening in international trade. Right. So that is the reason there is an increase. But with wellness generally Q4 generally we see the higher contribution coming from wellness. But again if wellness comes to 14% then the cost margin will improve a little bit.
Anshul Agrawal
Got it. My second question is on the hubs that we had commissioned in November at Nizamabad. So have you broken even in Nizamabad? And Ongoal. And Ongoal.
Narasimha Raju
Ongoal. In fact two months back from the last three months the revenue is crossing the break even. Right. In terms of Nizamabad we launched soft launch were happening. Now the actual launch of Himalaya happened in December.
Anshul Agrawal
Is it just me or I can’t. The voice is echoing at Sivasan.
Giren Dalal
So Nizamabad was launched formally in December. And what has happened also is Nizamabad was only functioning with high end imaging and black bulb for almost two to three months. Because it was awaiting the PCP and DT license. It has still not come in fact. And we still anticipate that as promised it will break even in the first year from whenever we started operations. And Ongoal has broken even a couple of months back.
Narasimha Raju
Yes. And Nizamabad also Anshul. So it is almost closer to break even. So maybe in a quarter’s time that should break even.
Anshul Agrawal
Great. Do we have any targets Ma’ am or Siva for the new hubs that we have commissioned in Pune, Bangalore for breakeven.
Giren Dalal
So the Pune centers. We’ve opened the two centers that is Ambegaon and Kalyani Nagar. Ambegaon has become operational from April. Kalyani Nagar. Even though it is ready and can start operations, we are waiting on starting ops because the team is under training and we’re starting to build a team for Pune separately. So probably another week to 10 days you will see Kalyani Nagar open for operations. Both of these centers, as mentioned earlier will break even in a year of opening. Likewise for Bangalore and Kolkata.
Narasimha Raju
So like we guided before Anshul, all. The centers
Giren Dalal
outside of Telangana and ap we normally take a buffer of two months or three months. That’s why one year is what we say. But even though the target is to get them up and running in the. First few months,
Anshul Agrawal
it’s perfect. So the break even targets are intact. A question on the Bengaluru market. So what will be our go to market strategy here? Because you know this seems like a more corporate hospital friendly market versus probably Pune. And any comments on pricing out here? Will it be similar to what we charge in Kolkata or Hyderabad? How should we look at it?
Giren Dalal
If you ask me, this market probably is not at all like Pune. Pune is more the corporate kind of market. And Bengaluru has a lot of standalone integrated centers. You look at the largest lab layers been Anand for ages now. So they are independent players region wise. Also keeping the traffic, the congestion and all of that in mind. So these two centers that we’ve chosen in fact are two different corners of Bangalore. It’s also to test out whether our go to market strategy in Hyderabad works likewise in Bangalore and I should definitely say that it’s looking very positive.
Both are running, both are operational. We’re very confident on a one year break even here. And the pricing is more like Hyderabad and definitely not like Pune or West Bengal.
Anshul Agrawal
Great, thanks for the comments. One more question ma’ am, while you know, with the bunching up of these new hubs, can we expect a slightly steep dip in margins in FY26 with a possible recovery in 27?
Narasimha Raju
So like we said before Anshul, so first 2 to 3 quarters till the time these centers break in. And like we also said there are three more hubs that are going to come in Kolkata in four to five months time and then two in Andhra and Telangana. We should see some dip to the extent of, you know, 1 to 2% on the EBITDA front. But as we move forward, these centers will start contributing to the revenue and then the next set of centers will, I think by end of FY26 we should be back to our regular margins.
Anshul Agrawal
This one if I can squeeze in. Given the nature of lease accounting and due to these hub additions, do we expect deposition and amortization expenses to outpace the growth of the growth by which our network is expanding in the next two years.
Narasimha Raju
For the first two to three quarters at least you will have that. And I think once the centers break even, I think will be more or less sorted. But for first two, three, two to three quarters, you’ll have them.
Anshul Agrawal
Other questions, I’ll fall back in queue. Thank you so much.
operator
Thank you. Our next question comes from the line of Alikya from Athena Investments. Please go ahead.
Alekhya
Hello. Am I audible?
Narasimha Raju
Yes,
Alekhya
yes. Thanks for the opportunity. So my question is as we see hub additions. So what’s your capex plans in FY26?
Narasimha Raju
Yeah, so as we just said, so we are going to. We have already opened five centers even though there are six centers. One center technically fell at the fag end of March. So which was accounted in the last financial year. But considering the other five that we opened now and then five more which we are going to open. So you should roughly see a number closer to say 145 to 150 crore. Kind of a capex for this financial year.
Alekhya
So do we have any plans in entering into dialysis kind of businesses?
Narasimha Raju
No, as of now, purely into only diagnostics.
operator
Thank you. Next question comes from Chirag from Q. Keynote capitals. Please go ahead.
Chirag
Yeah, thank you for the opportunity. I would like to know what is the mix of revenue for FY25 in pathology? Could you just differentiate between gender, routine and specialty test?
Narasimha Raju
So first coming to radiology and pathology it is more or less in the same. Like across the quarters we are seeing pathology anything between 62 to 65 and radiology from 35 to 38. So at a year level, more or less, it is in the same, it was in the same mix coming to routine and specialized. You know, like we always say, the definition differs across, you know, player to player. Right. But considering our own definition of specialized and routine within radiology, 35%. So 20% is from advanced radiology and 15% is from the basic radiology. But again within basic radiology you have few advances.
But going by our definition, I’m telling you these numbers coming to pathology, out of the 65%, you know, close to 15, 20% is specialized in. The rest is routine. But again this definition differs from player to player.
Chirag
It would be great if you can just explain your definition once.
Narasimha Raju
So basically anything that comes, you know, in volume that we do on a daily basis, like your fasting, thyroid, lipids, hormones, everything, all of that comes under basic for us, that is.
Giren Dalal
And anything about uppers of an AMH or a fertility panel, histopathology, all of that gets categorized as special because few.
Narasimha Raju
Players even consider thyroid hormones as specialist. But we consider them to be basic.
Chirag
Fair enough, Fair enough. My second question is related to understanding that we are still on the trajectory to think that we would be growing at 1516 percentage CAGR for the next three years.
Narasimha Raju
Yes, absolutely. Yes.
Chirag
And this is, this is mix of volume and a percent of 1% of 2% value growth, correct?
Narasimha Raju
Yeah, 2.1 to 2% of value growth and the 6 volume.
Chirag
And could you, could you just give some comment or highlight how things are panning out in the industry at this moment? What kind of growth the industry has and because of CapEx, are we outpacing the growth? Could you just highlight that point?
Narasimha Raju
So coming to the growth of the industry, again, different research reports give different numbers. So the number that we keep hearing, you know, which we are not very sure is about 11 to 12% is something that we hear from multiple research firms, right? Definitely. If you see the last one year of growth for Vijaya, it is not just the new centers of the capacity edition, even the old older ones, you know, we’ve seen double digit growth from the, you know, even the older lot. Right. I think coming to Vijaya the the best strategy even if you take for Hyderabad or the outside Hyderabad.
Right. One thing is the centers that we are launching are breaking even ahead of the timeline of our targeted timeline. And also the existing centers within Hyderabad. While you know every year we can that Hyderabad gets mature but within Hyderabad, you know we’re reaching market share here on year. If you take layer number 2, 3, 4 of Hyderabad they are not growing at the pace of we not adding any capacity in last two years in Hyderabad. You know, they are growing at a much faster pace than them. I think it’s the capacity that we have built, the quality that we are delivering, the name we have built.
Right. So these are helping us to grow at a faster pace. And also because you have the entire gamut of diagnostic services.
Chirag
Right. Just one more question. From understanding perspective of industry apart from brand and accredited labs, what are the ways for a company like Vijaya to make sure that they keep on gaining market share into a new region? Is it just to do with the technology or is it something else too? And secondly being a leader in Hyderabad, I just wanted to understand what is the way for us to keep defending the kind of market share we have from the players who have been in the marketplace. Some of the Pan India players are focusing to get into southern markets now as they are trying to tap the new market so just wanted to know how can we make sure to defend our market share?
Narasimha Raju
See, so basically if you see, right. So you know that three, four important basically parameters for our business, right. One, we have to make the customer who is paying us happy. It’s basically they’re coming for a diagnostic service with trust. But at the same time the way you maintain your centers, one, you’re giving them very good infra then the technology, then the kind of doctor talent you have. Because all, all this will help us in churning out a quality report. So ultimately and when this report goes to a clinician, even a clinician has to trust the report, right? So when you are basically taking care of everything and then pricing it same like the market, I think that is something which we were doing for years and that you know, allowing us to gain that market share year on year.
Right. And it is basically you have everything under one roof. That is the basically the differentiator for which year. So, so that’s one of the reason when we are venturing into geographies, newer geographies, like if you take the example of Tirupati, even though it is part of Andhra Telangana, it is much closer to Chennai. And by the time we went into Tirupati there were already about 7 to 10 MRI machines. What made us stand out? Because you are giving quality. To give quality you need equipment and doctors, good doctor talent pool and technicians. The kind of infra you are providing.
Nobody else in the market is providing that. And on top of that you’re not charging anything extra. You’re just matching the market. Right. This is allowing us to, you know, basically gain that name and you have everything. You have few players in radiology, few in pathology, but we are delivering both. So it’s a convenience for the patient. So I think since you’re able to, you know, take care of all these things, that is allowing us to grow at much faster pace.
Chirag
Fair enough. Thank you. Thank you. I’ll join back the team.
operator
Thank you. Before we take the next question, a reminder to all the participants. If you wish to register for a question, please press star then one. Our next question comes from Sumit Gupta from Centrum. Please go ahead.
Sumit Gupta
Hi. Am I audible?
Narasimha Raju
Yeah, you’re audible.
Sumit Gupta
Hi, good evening and thank you for the opportunity. What volume work can we expect from the addition of the new hubs?
Narasimha Raju
So Sumit. So whenever we add hubs. So initially the trend that we have seen in the past is that we start off very well with advanced radiology and slowly the other volumes get built. Right. So basically what we expect is that the growth in this current financial again some 3 to 4% of the growth from the new centers because we just launched these centers and existing centers will give us the rest of the growth.
So you should. But since again these are dominated, this will be dominated because of the advanced radiology. If these centers grow gives us a 4% contribution, the overall growth you may expect the volume to be somewhere around 2 to 3% in the current financial year because they may do good number but the volume initially will be lower. It is because of the advanced radiology. They pick up and then slowly the other volume gets built.
Sumit Gupta
Okay, regarding the EBITDA on the standalone basis and like like it is nearly flat on a sequential basis and just 7% growth on wherever basis.
So like majority the growth is coming from the PH side. So just want to understand on that. And what were the margins this part of our pH?
Narasimha Raju
The margins for PH during this quarter were close to 29%.
Sumit Gupta
Okay.
Narasimha Raju
And you know if you look at this quarter and including last quarter we had stated that there is a GST regulation, right? So because of that the impact has been close to 0.3%. So basically Sumit this quarter if you look the number will look slightly off because there is one off expenditure which we charge to the P and L.
Otherwise the margins are closer to 35%. And this was because you know Pune, the expenditure has started for this new centers, right? So we have taken people training, all that is hitting the P and L but the revenue has not actually started. So if you exclude that one off expenditure and if you see the EBITDA for Q4 it was closely. It was close to 35. In the earlier quarters it was about 39 to 40. But because of the incremental cost on hiring of new talent for this new upcoming centers, you have seen that because the balance sheet size itself is very.
It generates only about 1112 crores. Now all of a sudden we’ve added two hubs and two spokes. Right? So I think we should give 2 3/4 time to see the actual, you know, EBITDA for pool and coming to the general at a company level EBITDA Sumit I think because we have also added resources at corporate level. We have taken multiple digital IT initiatives where we have moved servers to physical to cloud and some significant investments we have done on digital marketing which was not the case earlier. Right. In spite of incurring all this expenditure, the EBITDA is intact because of the leverage that we are getting from the existing network.
Sumit Gupta
Right. So going forward For PH in particular, the margins would decline or like how should we see the trajectory of pH?
Narasimha Raju
Yeah. So optically it will slightly off. Because as on date is.
Sumit Gupta
I’m sorry, sir, you’re not audible. The voice is being offered.
Narasimha Raju
So.
Sumit Gupta
No, sir,
operator
even right now there is a. Which comes.
Narasimha Raju
Is it okay. Now
operator
this is. This is better, sir. Yes.
Narasimha Raju
Right. So what I was saying. So basically if you see Pune, right. 95% of the revenue comes from feed center. Three hubs and three spokes. Right. And you know, all of a sudden we’ve added two hubs and two spokes. That means we have increased the capacity almost closed by 70, 75%. Right. So obviously initial days the cost will kick in. But the revenue will take some time. Right. Optically you see physical as a standalone center.ph as a standalone company for next 2, 3 quarters. Optically the EBITDA will look low. But otherwise I think we have to wait for that one year where these.
Giren Dalal
Centers will start stabilized and also the hubs stabilize. And then you’re probably going to see normalization happen then.
Narasimha Raju
Yes.
Sumit Gupta
So by FY27 we can see stabilization and improvement in margins as well as returns.
Narasimha Raju
Yes. But if you see company, Vijaya company as a whole, it will not impact much. Like we said, you know, for this year in the first two to three quarters you may have the trip of 1 to 2% on account of all the six are starting at a time.
Sumit Gupta
Understood. Thank you.
operator
Thank you. Your next question comes from the line of Gaurav T from Antique. Please go ahead.
Gaurav Kedia
Hi, good evening. Any reason for the lower year on year growth for the quarter on the revenues, we’ve been growing upwards of 20%. Excluding pH, be it test volumes or overall revenues. This quarter growth has slowed down a bit. So any insights into that?
Narasimha Raju
Yes. So if you see like this at the earlier level, I think excluding behaves organically with grown by close to 18%. Right. And yes, Q4 was slightly soft. In fact, you know, within Q4, if you basically break up in three months, you know, several one month which has pulled on entire average. So particular month we have grown only a single digit which has pulled down the entire quarter average.
Gaurav Kedia
Sorry, sorry, sir. Again, it’s not very, you know, clear. I’m not following you clearly.
Narasimha Raju
Is it clear now?
operator
No, sir. Again, there is the same magnetic disturbance which is.
Giren Dalal
Can you hear me now?
operator
No, ma’ am. It is still there.
Narasimha Raju
What about now?
operator
So this is slightly better.
Narasimha Raju
Slightly better, right?
operator
Yes.
Narasimha Raju
So basically in Q4, Feb was one month which was softer. Right. Which has pulled down the entire quarter average. You know, generally Q2 and Q4 for healthcare are a better quarters. Right. And generally what we have seen in the past is that Feb, in spite of being only 28, 29 days doing a better revenue than Jan. That was the trend in the past, but for different reasons. The season was slightly off. Sometimes healthcare is all about seasonality and that happened only in the month of Feb. So while we tried to see reasons for that but we don’t have any concrete reason, was low.
And it was also attributed to both the festivals and other events that happened across India. But otherwise, you know, if you see again from April, right post Q4, the numbers are intact.
Giren Dalal
You know, there’s an incremental increase in both football across all of the centers in Hyderabad and rest of Telangana. So Feb was a month which was. Also odd to us. But like Shiva has mentioned it, it was purely seasonal and a lot of factors affecting it. It was also a time when there was a lot of travel, the Kumbh Mela and lots of things happening but did not see numbers coming in through the month.
Gaurav Kedia
Sure, sure. Thank you. If we look at, you know, overall FY25 revenue growth, you know, regional split and outside of, you know, Hyderabad and you know, and the non core markets excluding pH, you know, we’re seeing revenue growth of only 5%. You know, for FY25 which you know, kind of is, you know, low given our penetration and you know, all the other initiatives we’re taking. Were there any one offs in this as well? You know, probably Kolkata and Tokyo or some other reasons.
Narasimha Raju
Oh, Gaurav. In fact, so if you see other than ph, even the, you know, other than Hyderabad, if you take rest of ap, Telangana and even that’s for that matter, Kolkata. Right. If you club all that together excluding PH and Hyderabad, it is upwards of 20% the growth rate, the contribution is 5%. Contribution is 5%. Yes.
Giren Dalal
The growth is upwards of 25%. Almost.
Gaurav Kedia
Okay, okay. Maybe that’s comfort. Yeah. Thank you. So you know, we’re adding largely hubs this year. You know, do we expect know they would break even in three to four quarters? Any insights? You know, what can be the planned expansion for FY27? Significantly higher number of spokes and you know, significant lower number of hubs there.
Giren Dalal
It also depend on the job, you see, because if you look at Bangalore, you’ve opened two hubs in two extreme corners of the city. And until Bangalore gets a minimum of seven to eight hubs, you cannot connect them with spokes. So Bangalore would probably Take longer to open up spokes compared to East India. Kolkata will definitely see a lot more spokes come up in 27 because they’ve already opened three now VIP plus two more and you’re opening another three coming up. So another two hubs will give Calcutta a chance to open UP spokes in 2017.
Pune of course you will see a lot of spokes coming up from now on. After stabilization of these two new hubs that have opened, that’s when we will start opening the spokes in Pune and in rest of ap. Probably you will see more of hubs coming in because after separation there are about three or four more cases market that we’ve not gone into. So those are the four key primary markets that are of interest interest where we will go in and open those hubs. And that is when probably PC traction.
Gaurav Kedia
Thank you for that. Coming to gross margins, are you sharing the split for gross ones for radiology and pathology for Q4?
Narasimha Raju
No, basically we show it as a single number but generally what we see in radiology is like closer to 10%. Right. So 90% is the gross margin is you know the gross margin for the radiology segment and generally for pathology it is anywhere between 86% to 87, 85 to 86%. It doesn’t change much I believe.
Gaurav Kedia
Got it, got it. Last, if, if I may, you know just last question on the balance sheet, you know on the other current financial assets and other current financial liabilities, you know I’m seeing quite a large increase, you know, year on year. What would be the nature of this?
Narasimha Raju
So basically capital greater. So if you see we have opened say three, three hubs in the last financial year and also in fact we have added few of the advanced radiology equipment of an in our existing centers like Gurgaon. And we have added one more MRI in Karnool. Right. We have added a cardio city in Tirupati. So basically with, you know, with, with our vendor we have a different payment option. This part of our negotiation. Right. Where you know we’ll be due for that payment in the next two to three quarters. So that’s the reason you see capital credit of I think close to 17.
Yeah, yeah, yeah. That’s the reason. So that is. So if you see the net cash right on the balance sheet you look the cash is about close to 280 crores. But if you remove this capital creditors and if you see the net cash is close to 200 plus crores.
Gaurav Kedia
Got it.
Narasimha Raju
It’s purely a part of negotiation. That’s All.
Gaurav Kedia
No, that. That’s helpful. No, thank you. Thank you. All the best.
operator
Thank you. Our next question comes from Rishi Modi from Marcellus Investment Managers. Please go ahead.
Rishi Mody
Yeah, hi. Am I audible?
Narasimha Raju
Yes.
Rishi Mody
Yeah. Hi. Might have missed this part. What is the exceptional expense that you have recorded in this quarter?
Narasimha Raju
It’s basically an account of this merger of Medinova with Vijaya.
Rishi Mody
Okay. Okay. All right. Apart from that, on the Hyderabad front, right. So I see we have 10% growth and our wellness business has come to a 20% growth. Y O y just wanted to understand, is there like a. I think you said some Kumbh Mela thing, but apart from that, anything else that flows into that number?
Narasimha Raju
So in terms of wellness, Rishi, there are two reasons here. One, if you take Pune as a geography, right. Slightly. Wellness share is high in Pune. In the last year it’s not fully consolidated. It was only consolidated for three months. This year, you know, we have consolidated for the full year. There is slight effect because of Pune. Because in Pune with the corporates all being present, the wellness portion is upwards of 15% that we do there. And other than that, naturally, with the kind of effort that we are putting digitally, all that the wellness share in the current financial year across the quarters have been little bit further for us in the core geographies, not only just in Hyderabad, even in the tier 2 Geographies of Andhra and Kalangana.
Rishi Mody
No, so. So I meant that till Q3 we were growing healthily, organically at 20 plus 25 plus. That’s come down to 20, you know, EMI in that insurance LED quarter. So that’s why I’m just checking whether there’s anything which is structural in that or it’s just something which we.
Narasimha Raju
Same reason, Rishi. Overall, we have seen the season to be dull. It is across the modalities and also if you see March. Right. So basically the entire festive season, which was supposed to be bit of April, has come into March. The entire season of Ramzan and then you had Ugati everything within March. So we are guessing that because of these reasons the season was slightly dull.
Rishi Mody
Okay. All right. And on the Pune piece, right? Q4 versus Q4 last year, given the split of revenue that you all have provided, my numbers come out to be a decline on a yoy basis. Now some decimal here and there, it might be different, but it’s not grown is the point. I just wanted to understand what like is it something which is intentional and if it is, what’s.
Narasimha Raju
So it was again, conscious decision. We Will. So basically, if you see at the overall year, I think we are at the same with a marginal growth. Right. But in Q4, like you rightly said, there is a dip in the revenue of I think close to 5%. Right. Majority of which I would say almost of it is into because of B2B. We have to, you know, consciously close a few babies B2B tie ups because those were not.
Giren Dalal
We were actually doing a lot of aggregator business, Rishi. And we also gave it some time to understand that market and what kind of business is actually coming in. And when we’re actually only making sure that tests are coming in, payments were becoming an issue. It was a conscious decision to hold off some clients, wait and see. And that’s I think the, the minimal dip that you’re seeing. But that’s a conscious decision that we’ve taken.
Rishi Mody
Okay, so now if we are reducing the B2B spend, should we assume that margins in Pune can go beyond that 39% levels that it has been.
Giren Dalal
You also heard me saying that Pune, the organic six centers that we acquired, have capacity issues. So there are two. The conscious decision of an aggregator business coming in at a lower cost and not getting paid. I’m creating capacity probably for a B2C client to come in. That is one bit we’ll have to wait and watch this quarter. And the second one is definitely try to increase the direct walk in and create some capacity in these geographies since we’re not adding new centers in these places where they already exist. Both of these centers that we put are in areas where there’s no presence of PH earlier.
Rishi Mody
Okay. All right, great. Yeah, that’s it from my end. Thank you.
Giren Dalal
Thank you.
operator
Thank you. Our next question comes from Chirag from Keynote Capitals. Please go ahead.
Chirag
Yeah, thank you for the follow up. I wanted to know what are the breakup for the number of centers. 151 centers that we have. Could you divide it? The number of jobs?
Narasimha Raju
So basically so in about 60.
Giren Dalal
No, not 16. Now
Narasimha Raju
18 centers in Pune. Then you have two in Kolkata according to as on the 31st of March. Right. So you, you have about 127 centers in AP and combined and then one in Karnataka. This is the
Giren Dalal
31st of March.
Giren Dalal
Yeah.
Narasimha Raju
Okay.
Chirag
So earlier we used to give it Hyderabad and rest of India. Could you just divide that?
Narasimha Raju
Hyderabad is closer to 94, 95 centers. So the rest are from other than AP and Telangana.
Chirag
Got it, got it. My second question is what are our thoughts related to branding spin for the coming years? Is it like an Absolute number in your mind, any ballpark or is it, would it be variable? The revenue that we are doing, it.
Giren Dalal
Depends on the geography also because if we are looking at geographies where we are opening centers in Calcutta, I don’t think digital works in places like Krishna Nagar and Barasat which are typically outskirts of Calcutta whereas Pune you will see a lot of digital spend happening. It depends on the geography, the clientele, the age group. Even in Hyderabad, amongst these 95 centers, there are different ways of marketing that we try to do. There are certain areas where we only market wellness. There are certain areas where we do a lot of diabetic camps. So it depends on the geography.
Probably cannot put an exact number to it but depends on where we’re going.
Chirag
And last one from my side, could you let me know what is the size of a phlebotomist and how much revenue, how much collection of the in bacteria do we do from home collection?
Narasimha Raju
So in home collection we 2.2.6% is the revenue that we get from the home collection. At the overall revenue which will be almost close to 4% of our pathology revenue. Coming to Phlebotomist we have two teams.
Giren Dalal
If you’re asking, the home collection team is completely different from our in house phlebotomy team. In house phlebotomy team is almost, yeah, more than 600. We wouldn’t know the exact number and home collection team would be around.
Chirag
Thank you. Thank you.
operator
Thank you. Our next question comes from the line of Arshal Patel from Mirai Asset Capital Markets. Please go ahead.
Harshal Patil
Good evening sir and thank you for the opportunity. So just have two questions more from an understanding perspective. So we’ve been mentioning about commissioning quite a lot of hubs recently in the past two months and a few lined up over the next two to three months. So sir, my question was basically at what point in time after setting up the hubs would you probably take up or start thinking about setting up the spokes in those respective areas?
Narasimha Raju
So again like ma’ am just said, so it depends on the geography, right? So in Kolkata we already have two hubs present and then we just launched two more and they’re going to launch another three. It all depends on the geography. So now Kolkata from next year will give us a chance to put spokes because already two centers got stabilized. Whereas for a geography like Bangalore, we just ventured into that market. We launched two hubs in two different corners of the city. We’ll have to add a few more. You’ll see spokes only after two Years.
Yeah. And in coming to. Because already it’s an acquired network. Right. Because they have that mix of hubs we have launched recently. Two hubs and two spokes parallel. Right. It all depends on the geography. Right. And our presence in that geography. Sure.
Harshal Patil
Got that. So just second thing would be with respect to our growth thing. So we’ve been alluding to like you know, 1 to 2% of a growth going ahead probably driven by pricing action or volumes. I believe that would be more based on an assumption of a favorable case mix that would drive the growth. So that’s one thing. But if I could kind of just analyze about the revenue per test over the past two years has been almost like kind of a flattish thing that we are reporting. So is there a contemplation of any pricing action apart from the inflation or the case mix that would be driving the overall revenue for test or something like that?
Narasimha Raju
So basically like you rightly said, it’s a function of, you know the earlier, at least in the last two days is a function of more of case mix and very little bit of pricing. But the only reason why you are seeing the, you know, the average relation per test to be flat was because the capacity that we have added in the last two to three years was more in tier two locations where the pipe driving is slightly lower than what we see in Hyderabad. Right. But going forward, you know, you’re seeing the capacity building in cities like, you know, Bangalore and Calcutta where the pricing is more or less in line with Hyderabad.
Slightly, you know, 5% here and there when compared to Hyderabad. Right. And coming to the price increment. Yes, definitely. You know, this year we’ll take a price increment. But again, again only price if you see it will not be more than 1,2% of the total revenue. But since like we also mentioned the input cost of few of the consumables have increased. That’s the reason we have seen a margin we will take rising increase on flu test. But you know.
operator
Sorry to interrupt sir, there is a magnetic disturbance coming from the line again. It’s still there.
Harshal Patil
Still.
operator
No sir, it is still there. Sir, the disturbance is still there. What I’ll do is I can disconnect and I can reconnect your line. Just give me.
Narasimha Raju
No problem.
operator
Ladies and gentlemen, please stay connected while we reconnect the management. It Sam Deming. Ladies and gentlemen, we have the line for the management reconnected. Yes sir. Please go ahead.
Narasimha Raju
So is it clear now?
operator
Yes sir, it is clear now.
Narasimha Raju
Yeah, right. Yeah. So basically we are we are going to take certain price increase but it will be close to 1 to 2% of our total revenue. It is not a major increase and it is only for some certain tests.
Harshal Patil
Okay, Got that sir. So sir, ideally the price increase of 1 to 2% would be complementing the possible changes due to case mix also.
Narasimha Raju
Yeah.
Harshal Patil
Would that be a right assumption?
Narasimha Raju
So case mix more or less will be the same only because, yes, you’ve opened more hubs. You may see slight increase in average realization per test because of the advanced radiology. But otherwise, you know otherwise in terms of the actual case mix in the existing center, that may not change much.
Rishi Mody
Okay, thank you sir. That’s it from my sir. All the best, sir.
Narasimha Raju
Thank you.
operator
Thank you. Before we take the next question, a reminder to all the participants. You may press star then one on your touch.