Medi Assist Healthcare Services Ltd (NSE: MEDIASSIST) Q3 2026 Earnings Call dated Feb. 09, 2026
Corporate Participants:
Satish Gidugu — CEO and Whole Time Director
Sandeep Daga — CFO
Analysts:
Cyril Paul — Analyst
Sucrit Patil — Analyst
Ashok — Analyst
Ashutosh Parashar — Analyst
Neil Govarikar — Analyst
Presentation:
operator
Ladies and gentlemen, good day and welcome to the Q3 and 9 months FY26 earnings call for Medi Assist Healthcare Services Limited. As a reminder, all participant lines 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 this conference call, please signal an operator by pressing STAR and then zero on your touchstone phone. Please note that this conference is being recorded. I would now like to hand the conference over to Mr. Cyril Paul from EY Investor Relations Practice. Thank you. And over to you sir.
Cyril Paul — Analyst
Thank you. Good morning everyone and welcome to the Q3 earnings call of Medi Assist Healthcare Services Ltd. The company published its results on February 6th and has uploaded the invasive presentation of the exchanges over the weekend. I trust all of you would have had the chance to go through them before we start. A disclaimer. Some of the statements made in today’s earnings call may be forward looking in nature. Such forward looking statements are subject to risks and uncertainties which would cause actual results to differ from those anticipated. Audiences are cautioned not to place undue reliance on these forward looking statements while making their investment decisions.
On that note, let me introduce you to the management participating with us in today’s earnings call. We have with us Mr. Satish Girgu, CEO and Whole Time Director, Mr. Sandeep Dagga, CFO and other members of the team. Without further ado, I’d like to hand over the call to Satish. Thank you. And over to you Satish.
Satish Gidugu — CEO and Whole Time Director
Thank you Cyril. Morning. Good morning. Very good morning to everyone who’s joined us this morning for the Q3 and nine month FY26 earnings call of Medi Assist. We have an investor presentation that’s uploaded as of last night. And before I begin, I think this presentation will look a little different from the rest of the presentations in the past because we took some time to detail our business in a manner that we believe explains our business the best based on the feedback and all the inputs that many of you have directly or indirectly provided. So we will take some time and walk you through some of the highlights of Q3 and 9 months.
FY26 I will handle the business side and then Sandeep will take over for the financials update. I hope all of you have access. I’m just going to just do a quick page turn to sort of use the press release and the earnings PPT that was already uploaded so quickly. From an overall perspective, if you look at our nine months period, we delivered a fairly strong quarter overall 24% revenue growth impacted a quarter on quarter margin expansion of 154 basis points and we got to a debt free balance sheet and while continuing to improve on our AI powered technology like solutions technology led solutions quickly.
To start with our financial highlights we in Q3FY20 so we presented both x Paramount and consolidated numbers for most of the metrics in the presentation. So I’m on the slide which is financial highlights Q3 and 9 months FY26 the total income grew 9.2% year on year ex Paramount and with Paramount 29.9%. And similarly when revenue from contracts grew almost in line with the overall income, with consolidated revenues from contracts growing almost 29% our EBITDA for inocul 3 went up to 44.9 crores ex Paramount. And the Paramount graph has now come down to fairly negligible amount with consolidated EBITDA still dropping close to 44.6 crores.
And for the nine months FY26 our consolidated total income grew 23.5%. And again revenue from contacts grew in a similar manner. That’s 24% on EBITDA on consolidated basis we delivered 128.9 crores with a 13.8% year on year growth. And the Paramount drag like I stated earlier is becoming more and more negligible with the overall advertising remaining at 126.3 crores and the margin of course amount of 21.7% is still an improvement year on year by you know, 50 basis, 51 basis points. And of course if compared to last year we’re down to about 215 basis points flat due to Paramount integration that’s ongoing right now.
The next page is some of the operational highlights for the nine months period. Our total premiums under management and again just so that we have same understanding, when we report premiums, these are only group and retail premiums. We do not report premiums. In the government business today 19,289 crores of total premium under management which is 21.9% year on year growth and our market share has improved to 21.1%. And the work that we do for private and sahib and retail has also seen an expansion from an overall value perspective and we continue to operate at scale with over 39 crores of lives served annually across all lines of business including public health.
Our provider network continues to get stronger. We’ve added more insurers so now we service 31 domestic insurers including life insurers. And five international insurers and just Medea’s TPA has processed 72.9 lakhs of claims just within the nine months while so this itself is a 22.4% year on year growth, fairly significant compared to the premiums growth as India becomes more and more amenable to launching very high frequency low value benefits like outpatient and flexible benefits. That is significant technology and scale to deliver the increasing incidence. Moving on so some of the business highlights for Q3 and 9 months FY26 our revenues grew at 11% ex Paramount and 24% 9 months year on year.
I’ll skip some of the items that we’ve already discussed but I think what is a couple of key points and we will dive into this later part of the call. The Paramount standalone margins improved almost 557 basis points quarter on quarter. The agile fill pack that is excluding only exceptional items, net of tax Effect is about 46.3 crores for Consolidated and X Paramount about 50.3 crores and we will spend some time on explaining both of these in a later part of this call. Our group and retail market share like I mentioned earlier is only 1.1% and our group market share has seen a significant increase both organically and also due to Paramount acquisition.
We went up to 32.2% in group market share which is a fairly significant 307 basis points with one year improvement. And as mentioned our claims volume that we process continues to be fairly substantial and we’re also proud to sort of report that our cashless percentage both in inpatient and in outpatient continues to significantly go up quarter on quarter. And this is a relentless focus for Medi SS to move all claims to cashless and then significantly reimagine cashless experience. And again we’ll talk about some of these initiatives in the latter part of the call. On the balance sheet front we had a key cash position of 200 crores as of 31st December.
In fact the debt that we reported in September 25th was 243 crores came down to 39.4 crores as of December 25th and it became debt free in January 26th. So fairly strong improvement on the balance sheet front and on the tech revenues front up to tech revenues have grown 81.5% year on year. Multiple pilots are underway with multiple insurers in India and overseas for the tech platform avantgarde, our flagship product for filing and preventing fraud, waste and abuse. Just on the fraud alone, Mavenguard prevented about 400 crores of fraud in this period which is over a 66% growth compared to the last year on Daksha Prime.
Again, one of our very unique initiatives to improve cashless experience where patients are able to get up and walk out of hospital even before the bills are generated. Because our AI engines predict what their out of pocket would be just on the day of admission itself, we’ve been able to expand that to over 35,000 patients per month. There’s no need to wait for a bill to be generated and this is now being accepted by over 6,000 hospitals across the country, demonstrating exceptional amount of trust by the hospitals and the membership in utilizing this service and making a cashless wonderful experience and not a stressful experience.
Lastly on Paramount Integrations we are on track. The technology platform migration is underway. We’ve been able to enable the AI platforms for the clients of Paramount that are migrating to the new stack and all the boards of Paramount MIDI Assist, TPA and Media System Healthcare Services approved slum transfer of RMLPA business through Medias 50 pay effective 1st of February 2026 thereby accelerating the structural integration of these businesses and giving us the ability to run the entire DPA business as one logical entity. We have a few updates by the segment. While we don’t really do a segmental reporting but we thought it would be good to sort of deep dive into each of the revenue contributing segments.
So I’ll quickly go to the next slide which is group updates on Q3 and 9 months FY26 so premiums managed have grown 18.6% from 13,779 crores to 16,377 excluding Paramount and including Paramount they’ve grown 24.4%. Like I said earlier the market share went up to 32.2%. Our total client base on Mediasys TPA is over 11,000 corporates. We will have revised metrics getting reported from the next quarter onwards as we integrate Paramount fully, we continue to hold on to a retention rate of over 94%. We’ve organically added new logos and new corporates and that itself has grown over 94% year on year.
And also at the same time as more and more private and SAHI insurers start to pick up lot more of the group business. We continue to track and improve our work that we do. The work that we do for private and sahib in the group business. So that had about 24.2% growth compared to a 11 odd percent growth that segment itself actually reported. And please note that wherever we are speaking about Paramount in terms of market share of revenues. These are only Paramount’s Q2 and Q3 numbers. Q1 numbers of Paramount prior to consolidation are not part of these numbers.
And within the group when we break down the efficiency that we’re delivering on FWA and nearly 234 crores of the fraud related savings were delivered in the group business itself which as a segment historically has reported or seen very little fraud reporting and we continue to improve the outcomes on the group business and yet sustain the growth same store of growth and the high retention. However, we continue to improve on our differentiators in the group business whether it is integration with the corporate systems, the scale or the enhanced experience and innovation or the outcomes that we generate for the self service.
Our digital platform Maven sees over a million daily users today and significantly improving self serve and experience that our members actually achieve. Moving to the next slide on retail, retail market share is at 5.6% marginal dip from last year. But from a growth perspective ex Paramount there’s a contraction of 4.3%. But including Paramount on the whole we’ve grown a 4.6% over last year. Again the work that we are doing with the private and SAHI insurers that as they continue to grow faster than the market that work has grown at 26.5% year on year whereas they themselves were much slower than this.
From a growth perspective and within the retail business today despite the acquisition of Paramount Private and Sahi Mix within the retail portfolio in a traditional TPA model is 41.9%. And these market share numbers do not include premiums managed through pure technology offerings. This reflects only where we are hired as a TPA to manage the end to end service. The claims platform of course is continuing to gain scale. We are live with three leading private insurers covering over 20,000 crores of their GWP as of reported as of FY25. And of course all of them have a significant retail with over 75% of that business being retail and within the retail segment as you can see on a relatively flat retail growth we were able to deliver 168 crores of savings on FWA compared to the 85 crores that we delivered in the previous years.
Significantly demonstrating the capabilities that mavenguard is accruing every single year. And moving on to the government segment, Government’s contribution to revenue went up marginally to 12.1%. And also considering that both Mediasist and Paramount have been leaders in the government business, the Overall revenue for nine months grew 46.7% and we serve almost 33 crores of members today in the government business. And we presented both the active headcount to the entire group and also the government headcount. Almost a third of our headcount is part of the government business. These are contractual obligations in the way the business is actually set up.
And from a revenue growth perspective on quarter on quarter I am the 9 months FY26 9 months FY26 MediaSyst consolidated from 54.8 crores to 80.4 crores and Medi Assist Xphs has grown from 54.8 to 65.8 crores over the 9 month period. Moving on to the next segment which is the International Benefits Administration we have the revenue has grown 16.3% nine months year on year and international benefits business, the administration business contributes 4.5% to the consolidated revenues today. And couple of interesting updates in this segment we have three new insurer relationships for travelers traveling to and from India which from a funnel perspective gives us the ability to access about 19% of the overseas medical market in India now.
And of course now the next steps are to integrate and convert some of these relationships. From the international clients perspective. We’ve migrated 98% of the customers to our new Matrix based Healthex platform and we’ve also been able to integrate mavenguard capabilities into this platform. In the international business network efficiency matters significantly there are significant costs to network access. We established new partnerships especially in North America leading to improved unit economics around our network access and pricing which eventually will translate to improvement in the bottom lines. And the marine yacht business where we are one of the leaders worldwide.
Just a very strong segment growth and we’ve added 27 new customers in this business. Moving on to a technology update, our revenues on tech both from a quarter on quarter perspective from Q3 of i25 to Q3 of i26 grew 109 point the nine month period. Revenue of technology revenues grew 81.5% and tech we started publishing tech revenues as a percentage of revenues in Q1 before we consolidated Paramount and we still continue to track about 2.3% of our total revenues for the period. And the platform like we said earlier, is live with three leading private insurers and with volume steadily migrating to the platform.
We have multiple pilots of our mavenguard solution underway from insurers and the platform has processed over 77 lakh claims during this period and showing the robustness and the kind of investments that we have made into improving both availability and security during this period and the platform continues to win multiple awards in the relevant portables and quickly going Moving back to some of our AI LED offerings, our mavenguard delivered over 400 crores of real PNL savings for the insurer partners that we work with. What is interesting in this 400 crores is that over 82% is purely identified by system and AI, not depending on any humans or individuals to sample and detect fraud.
66% increase in value of fraud detected year on year over 1800 hospitals were cautioned by us in this period for fraud, waste and abuse based on the findings that the system has actually generated. And what is most heartening for us is reduction in the unnecessary investigations that historically the industry had to perform because our sampling and the conversion rates were not very effective. So We’ve delivered over 630bps reduction in the percentage of claims that are sampled and investigated, thereby improving the policyholder experience significantly because these are genuine policyholders and they didn’t need to answer a call or answer a question.
And we will continue to improve on this metric with the sole objective being that we’re able to detect as much fraud and substantially improve the hit rates so the genuine policyholders rebuild and build trust in the way the health insurance process actually works. And this is also cutting down the end to end turnaround times, especially in the reimbursement claims in line with the IIDA’s mandate to bring down the overall end to end turnaround times for claims trust. Moving on, we launched a provider facing digital platform. We announced this at our Akshay Summit last year in November.
The platform is called Magnum. The idea was to bring some of our AI Linux capabilities that historically we were executing as Medea says in terms of reaching out to members, reaching out to hospitals, facilitating admission time, counseling or facilitating express discharge to client was historically done executed by medeassist. This platform now reimagines that process brings these AI capabilities to a self help mode and the idea is to put the hospital or the provider in a diverse seat because until the point the patient is treated, the hospital is in full control of the experience and then today the control gets transferred to the insurers or the TPAs because that’s where the decision about the cashless sort of gets made.
So the platform by bringing Dr. Prem and the navigator capabilities allows hospitals to take over the experience part on cashless and let patients leave while the billing and the negotiation and the processing becomes a B2B transaction between the hospitals and the payers. So we had a very interesting beta with over 20 hospitals and we’ve improved veteran by removing discharge bottlenecks. We’ve seen fewer escalations and faster settlements. The hospitals have reported a jump in NPS and in these hospitals over 70% of the discharges of our portfolio happened through Raksha prime where nobody had to actually wait for a bill to be generated.
The next page gives a little bit of a deep dive into what Navigator and PHAM actually do for us. Navigator is for people to patients to get an estimate of our pocket expenses even before hospitalization and get a fairly accurate sense thereby making prudent financial choice of choice of hospital, choice of room type. In fact 40% of the members who use this capability have optimized their room choices when they actually got hospitalized. And this what drives transparency and personalized cost forecasting for every hospitalization. And that sharp line comes in when the patients actually have to leave the hospital and the out of pocket amount is predicted on the day of admission itself and the moment the doctor says the patient is good to go home they can pay the predicted out of pocket and then walk over to the hospital.
Today over 15% of all MEDI assist cashless discharges are executed through the pime route across 6000 hospitals and with an average experience rating of 4.75 on 5 and these are the capabilities that are coming back to hospitals on a self help mode through Magnum. Moving on Paramount Updates the integration of Paramount TPA is progressing along expected lines so we happy to report some milestones in technology consolidation. So the platform tech platform consolidation is underway. Significant number of the corporate policies renewing January 26th and beyond successfully migrated to the midi SS stack and running them. There are some of the AI capabilities of Medis are now being made available to the clients migrating to the new tech stack.
Employee benefit expenditure was about 43.1% of revenue earlier as of Q3FY26 which is the 45.4% of Q2FY26 the corporate restructuring as we mentioned the board of directors of the company media says TPA and Paramount TPA have approved a slump transfer of the Paramount TPA business to MEDI SS TPA effective 1st of January. This sort of concludes the equivalent of a formal merger process through a business transfer arrangement and then gives us one logical TPA entity to sort of operate with. And as mentioned earlier we have a quarter on quarter improvement of over 557bps improvement in EBITDA with Paramount margin percentage is moving from minus 6.4% to a minus 0.9%.
And the revenue updates quickly. For the quarter ended the 31st of December and and also for the nine months ended the 31st of December we have provided a stack up offer revenues including and excluding Paramount as mentioned in quarter on quarter we’ve grown 10.7% excluding Paramount and 28.9% including Paramount and similarly in the nine months period we’ve grown 11.1% excluding Paramount and 24% including Paramount and barring retail that we reported from a revenue contraction perspective marginally all other lines of business, especially our Stronghold group and High Margin Tech distance, both have shown a fair bit of improvements year on year and also quarter on quarter.
I will now hand over to Sandeep to quickly walk us through the EBITDA and the PAT and a couple of other financial metrics and then we’ll open up for questions. Thank you again for your attention Sandeep please introduce.
Sandeep Daga — CFO
Thank you Satish and a very warm welcome to all the participants. They become arching during the quarter has been reported at 18.6 percentage which is approximately 154 bips improvement versus the previous quarter Q2 of FY26 excluding Paramount, the Company continues to deliver a Strong margin of 21.8 percentage which is approximately 50bps improvement versus the corresponding period last year. In the current quarter we have delivered a PAT of 34.8 percentage which was after few of the exceptional items. I’ll just quickly walk you through as to what the impact of these three exceptional items which has been reported.
The first one happens to be the CYPR. So during the quarter and the nine months period ended 31st of December, Paramount, which is a material step down subsidiary of the Company, experienced a cybersecurity incident that impacted certain systems and services. The incident was fully contained at the Paramount TPA level and it didn’t affect the Company or any of its other subsidies. The Company had also reported to and intimated the relevant authorities, including the stock exchanges of this particular event. Pursuant to the above, Paramount TP undertook certain security and business continuity measures including engaging with external experts to support system restoration cyber forensic activity.
Towards these measures, the Paramount TPA incurred costs amounting to 3.7 crores up to December 2025. These have been presented as an exceptional item in the Consolidated Financial results. Paramount TPA also has a cyber policy and has launched an insurance claim under its policy for recovery of these eligible costs. The Management, after considering all available information, believes that no additional adjustments are considered necessary in the Consolidated Financial research for this quarter and for the nine month. The second exception impact is arising on account of the Labor Code. As most of you are Already aware, effective 21st of November, the Government of India consolidated 29 labor regulations into 4 labor codes.
These new labor codes has resulted into increase in the provision for the past service benefits of the employees on account of past gratuity and the service costs Based on the requirements of these labor codes and internal management assessment, the actual report which got published and accounting standards guidelines as per icai, the Company has assessed and accounted the estimated incremental impact of roughly 3.3 crore as exceptional item under the consolidated financial reviews. The third one happens to be with reference to a claim received by Medius’s TPA a wholly owned subsidy of the company from one of its insurance customer towards claims disallowed in line with the past practices.
Medius’s TPA made an on account payment to the insurance company pending review and reconciliation of these claims aggregating to 7.1 crore. However, Medi Assist TPA has performed an internal evaluation and assessment basis which the management is of the view that there will be no any there will be no further adjustments towards recoveries of the first advances and is eligible for the full recovery of the advance paid to the customer. Since the discussions with the customers are ongoing and the companies yet to complete the reconciliation on a prudent basis, the Company has made a full provision of INRs 7.1 cr towards the same.
Though Medifast continues to pursue recovery from the customer basis advice from our legal concern, we have made an intimation of the insurance claim under the relevant African policies to safeguard recoveries in the eventuality that there is short or no recovery from the customer concern. So these three impacts had resulted into approximately 14.2 cr. On the overall results going to the next slide, the company has given a estimate of how the nine month path of reported at 34.8 crore. If all the other deviations all the other one time operations which the company has reported during the nine month period.
If we were to tease them out what is the steady state pact is looking like. So that’s a bridge which has been given taking the number from the reported 34.8 to an underlying 76.7 crore. Many of these items are pertaining to on account of other income foregone incurrence of finance charges which was a one time impact during the current financial year and now that the company has become debt free there will be no requirement of the finance charges. In times to come we have seen that during Q2 the Paramount EBITDA was minus 6 percentage and there has been a recovery of 557 bips quarter and quarter in case if the Paramount scales up to the steady run rate of 20 plus EBITDA profile of MEDI assist, what sort of impact it is likely to have on the company’s financials and intangible depreciation and amortization arising on out of the customer relationships.
Because of these impact the reported profit at 34.8 crore moves to 76.7. We believe that most of these adjustments are arising because of the timing differences and will not have an impact going forward as and when the recovery is being made but for the intangible depreciation and amortization which will be there for some more years to come. Going to the next slide, Given the strong balance sheet delivery which talks about 200 crore of free cash flow position and as on date the company has become debt free. The 39 crores of debt which was there on 31st of December has been paid back during January.
The net worth of for the group continues to be happens to be 795.7 crore. The revenue per average headcount on an annualized basis barring the government business continues to be a healthy 14.9 lakhs which is a 5 percentage improvement versus the corresponding period last year. The contract liability has increased to 280.8 crore from 227 crore for the corresponding period last year. It also signals improvement in the new businesses which we have acquired which Satish was mentioning some time back which had a 94 percentage increase year on year. And as I mentioned the company as on date has become Debt free and 39.4 crore has been squared off and paid back to the lenders.
With this I hand over the call back to Cyril. Thank you for your attention.
Cyril Paul — Analyst
Thank you Sandeep and Satish for taking. Us through the performance of the company. We can now open the floor to questions.
Questions and Answers:
operator
Thank you. We will now begin the question and answer session. Anyone who wishes to ask a question may press time one on their touchstone telephone. If you wish to remove yourself from the question queue you may press star and 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. Our first question comes from the line of Sukrit Patil from Eyesight Fintrade. Please go ahead.
Sucrit Patil
Good morning to the team. I have two questions. My first question is looking beyond the commentary given how do you see Medi Assist balancing between expanding partnership with insurers, improving service delivery for customers and protecting the profits as healthcare demand and digital adoption evolves. What will guide your decision making process on which of these areas should get the strongest focus in the coming quarters? Thank you. That’s my first question. I’ll ask my second question after this.
Satish Gidugu
Thank you. If I were to understand your question you’re asking, are you asking the differences, say between the traditional TPA model and the technology led growth? Is that the question?
Sucrit Patil
Yes. And want to understand how do you decide when growth through new partnerships should be the priority or service quality or profit becomes more important? So how do you differentiate between that and along with that, the point you mentioned also same thing.
Satish Gidugu
I think one can’t take a unilateral view that it’s only a quality or a profitability or retention. We are a very significant player in the market. We work with almost all of the insurers that offer health insurance today in some form or fashion. So I think first thing first for us is to be able to work with the entire universe of insurers for players who are participating in improving health insurance and access. Because this country will see a substantial growth in health insurance penetration, it is important for us to be indexed and be the best service provider across all formats of service delivery.
So we obviously continue to evaluate how the market is evolving, what we need to do in each of these segments from an innovation perspective, service quality perspective, and of course in terms of driving efficiency and unit economics at the same time because they all have to be done together, not one after the other. And you’ve seen us, I think the most amount of pride we take is in publishing our retention rates in an annual renewal business where every one of those 11,000 plus corporates has the ability to choose a new EPA every single year. That we’re able to report a steady state 94, 95% retention rate is a testament to how the indexing on the market is extremely important to us.
Having said that, we understand that as the market is evolving, as the products are changing, India is moving from a plain vanilla catastrophic cover only inpatient cover kind of COVID to very high frequency, low ticket outpatient claims, significant amount of personalization, individual flexibility of plans. Suddenly the entire landscape of the frequency and the sizes and the network that is required for these benefits is undergoing a dramatic shift. Especially in the last few years. You must have seen that the number of outpatient claims we process now is more than number of inpatient claims and those kind of shifts require a significant recalibration of tech service models and network and that’s an area where we’ve been largely ahead of the curve.
And today given the nature of how insurance companies have evolved in terms of building things on their own versus using partnerships, different companies are at different stages of evolution. I think the way you should look at us is we don’t have a situation where we don’t have a solution. We are happy to sort of deliver end to end services as a third party administrator for any insurance plan. But at the same time if somebody has investments in technology, we know how to deploy AI on top of their legacy systems or if somebody has an in house team would like to have more control on say a particular retail product, we know how to deliver a network as a service to that that cohort.
I think our strategy is fairly expensive in terms of how we penetrate the insurance market and I think the biggest metric would be how we continue to improve the access in the market share on the whole.
Sucrit Patil
Thank you. My second question to Mr. Daga is as Maddie’s plans for the next few quarters, which financial signals or metrics will be most important in guiding your decision on cost control, working capital and investment across the digital infra? How do you see these levers shaping the company’s ability to protect the margins and deliver sustainable value as the healthcare services business grows? Thank you.
Sandeep Daga
Thank you for your question. We continue to believe in our ability to execute perfectly on all the parameters of backend management of the teams processing on behalf of our customers and with the focus which we are having on the tech SaaS as a revenue model for us, it is imperative for us to make sure that we are able to deliver those promises to the customers because some of these are high margin LED revenue drivers which is going to expand and have a favorable impact on the ebitda. Considering that we have become debt free the capital available for the company to judiciously deploy in services to make a meaningful impact on the customers experiences happens to be the key objective for the execution team over here to drive down a sustainable business model for all stakeholders be it insurance companies, hospitals or the customers. As such.
Sucrit Patil
Thank you and best wishes.
operator
Thank you. A reminder to all participants, you may press star and one to ask a question. The next question comes from the line of Ashok and individual investor. Please go ahead.
Ashok
Hi. First of all congratulations on great Cameroon Quarter especially on the Paramount integration progress and all a big congratulations to the team. So my question is majorly from the technology update side so we know that we have a you know, good amount of AI Stack announced in the previous from it. So which majorly revolves around three categories if I understand correctly. So my first question is on the matrix platform which is a client platform, right. So as far as we know from the previous quarter updates we have a strategic partnership with the Star Health and then the implementation is almost over for the update from the management in the previous call volume so already ramped up to the 40% level and we are expecting full volumes from the Q4.
So given that understanding we come to know that in this presentation we have added two more insurance. So we would like to know some color on that. I mean the names are confidential but we would like to know how big they are. And then some commentary around that. That’s my first question. The second one is on when it comes to the revenue model of the rest of the AA stack which is basically maven God which revolves around FWA like fraud, waste and abuse. So this one what is the revenue model look like? Like you know Matrix platform will know that it is a transaction based fee which you are going to charge to the insurance.
But when it comes to the fwa what is the traction we are seeing from the insurance and what’s the revenue model? And also some commentary around the revenue model. Is there any revenue generation generating opportunity for Magnum which is basically the Russia of prime and navigating? Yeah, these are my broad questions.
Satish Gidugu
Thank you Shrewdish Satish here I’ll attempt to answer your question. So on the platform, interestingly one of the three is a fairly old customer in fact into our fourth year now on the platform with a renewal and then of course we announced our as a separate one. So in all of these, as you rightly pointed out, for a base claims platform it’s a Pure Hosted SaaS product on a per claim or a per transaction kind of pricing. And of course we have a fixed volume, sorry a fixed price contract at our transaction level and in fact we published the volumes as well on the overall platform and also what is actually managed by ourselves. So that should give you a sense of how the volumes are growing. Yes, some of the transformational aspects like a Star rail sort of moving, it’s going well as planned and it is a technology transformation and not just a migration to a system.
So we expect in the next couple of quarters to reach a full volume on that front while on a run rate basis we have reasonably high I think from an overall volume perspective probably in a couple of quarters we should have the full volume sort of kicking in for the other add on products for the Air LED products. It’s potentially likely to be an outcome based, but I think it’s too early for us to sort of comment on that and once we have something concrete we will report. I think this is one of its kind of an offering and ability to start delivering results even without tuning the models and training the models.
But I think we’ll keep you posted as some of these become very concrete. There are new opportunities lastly on Magnum and how the hospital side actually evolves and I think it’s too early at this point. Our core job as a benefits administrator in this country, whether we manage for our membership or we help other insurers manage their membership for cashless, is to substantially improve cashless access and be the best answers in aligning to the regulatory intent of eliminating friction at discharge. In fact, if I sort of take you back to what the IRDI said about a year and a half ago, think it is no longer okay for us to think about when I got all the documents and from there my turnaround time clock actually starts.
But when the patient is ready to leave, how quickly is the patient actually home? When. So that’s the real mindset that the idea actually challenged all of us to think about. In some ways, some of what we’re doing is a response to that. And how do we sort of reimagine the entire cashless experience without actually having to have the typical B2B billing process between the payer and the provider requiring the patient to just sit there and watch and wait. But to answer your question, we do believe that there are efficiencies now that we are generating for the providers and there could at some point be a possibility for us to do something about the efficiencies that we are generating.
But right now the real focus is on completely reimagining the cashless experience first for mediasist membership and then enable this for the entire industry and then see how the providers are also benefiting and how we are able to work with them.
Ashok
Okay, thanks Satish, that helps. So just I will try to summarize my understanding. So it’s basically as of now out of the AI stack, the immediate product which are going to generate the revenue is basically matrix platform which is maybe clients processing and then which is going to generate transaction based. And when it comes to the technology transformation point which you have explained on the Star Health so the fame will apply to the remaining two insurance and then there will be implementation time, then the volume ramp up, then the revenue generation process will kick in. So that is one Understanding I have got based on the explanation on the Matrix platform and FWA is basically outcome based revenue. So that is going to take some time based on a outcome, I mean how much amount we are going to save for the insurance and how you are going to charge out of it. We have to recalibrate and then decide going forward that is that understood. And when it comes to the remaining magnum suite of products so we will be the first ones to bring the superb cashless experience in the entire network and then once we reach to a certain point of efficiency at that point of time we are, we will again recalibrate and then see how we are going to generate some portion of revenues out of that.
Is my understanding correct? Satish?
Satish Gidugu
I think reasonably there, I think on the, on the matrix at least once one insurer is fully on board, what you said is true for two other insurers, not for all three. And of course there are pilots that are happening and then we typically are very conservative in providing forecasts and estimates. So when we have concrete contacts that are executed is when we will update on the next steps on the others.
Ashok
Yeah, great. Really good going on the technology side even we are really excited to see this kind of transformation from TPA model to HBA and all the very best for the future. Thank you very much.
Satish Gidugu
Thank you sir.
operator
Thank you. The next question comes from the line of Ashutosh Parashar from Mirabellis Investment Trust. Please go ahead.
Ashutosh Parashar
Yeah, hi. Thanks for the opportunity. So just a couple of questions. First on the sluggishness in retail premium. So you have alluded it to some reallocation on the PSU part but just wanted a deeper answer on that and to understand when is this likely to get over and then we are going to see the growth in the region premiums come back. And second on the incremental tech and investment for child health integration that you’re doing that had an impact on margin over the last couple of quarters. So wanted an update on that and outlook on the margins if we are over that investment phase.
Satish Gidugu
All right, thank you Ashutosh for that and thank you for your time. So it’s typically a periodic reallocation that happens in some of these portfolios that we run. Typically takes two to three quarters for us to sort of claw back or improve on those numbers. And that’s a typical cycle. But at the same time I think there are two things that I would like you to sort of note from a retail perspective. One is the work, the proportion of the work that we do for Say no allocation based kind of portfolio has moved up to 45% now, which is a fairly significant proportion from an industry perspective.
We continue to improve on that. And second of course is the world is becoming hybrid from a technology and network and FW deployment perspective for what has historically traditionally been in house only product. For especially plain vanilla inpatient retail portfolios that have historically been in house. I suspect there are stores that over a period of time, the way we look at retail will undergo a change. It will eventually become a combination of how much of the market you are enabling and not just policies where we are appointed as TPAs and front ending. However, measuring the market share as a TPA on a standalone basis is important.
So we continue to provide a very transparent, honest view on where we are running as an end to end tpa. But if you look at from a premiums perspective against the 2000 crores of premiums today, we touch as a TPA we have access to over 15,16,000 crores of premiums as in what we called ourselves as an hba. So I think eventually, I think retail growth will be a bit of a hybrid growth and not just in any one specific dimension. And that sort of segues into Start Health and update. I think if without sort of going into specifically any one insurer today, the insurers that are on the platform today have an annual run rate of claims touching closer to 20 lakh claims across.
I think it’s just there’s probably two to three quarters away from getting to 100% run rate of that volume across all of the clients and hopefully add more. So that’s where specifically on insurers on the metrics platform. And we do believe that given that it is a SaaS product and given that it is running as a hosted instance, since these are high margin products, we expect the tech revenues to be margin accretive at a faster clip compared to the core business. Right now of course, tech is about 2.5% of our consolidated revenues. So the immediate real focus is on capitalizing on the ongoing projects both in India and outside.
In fact, we have a version of Metrix which we internally call as healthex for the international private medical insurance industry. Very significant interest levels from some of the markets outside India in just leveraging the tech capabilities and the AI capabilities. So we’ll continue to double down on, you know, improving pocket penetration from a tech solutions perspective. And like we said in the previous answer to the previous question, hopefully some of these, you know, will also be an outcome based pricing and not just transaction based pricing. But we’ll absolutely keep all of you posted as we make progress.
Ashutosh Parashar
Yeah, thanks Shatish. Just one follow up. Basically on the retail side insurance that you are saying that you are not booking in your premiums but you are handling a lot of work for them and as well as cars. So is the revenue that you’re currently booking for them in line with the volumes that you are undertaking for them or is that something that will kick in more from next year’s perspective? Is that something that we are booking since last quarter, this quarter and next quarter or likely to stay scale up a lot from next year?
Satish Gidugu
I think we have a fair bit of a Runway in migrating the volumes to the platform that is still left. We are not close to completion yet. I think what I will sort of point you to is the numbers that we published on the total volumes on the platform and the volumes that are processed for our own TPA business. We expect that the delta to keep growing until we capture 100% of the volume of all the insurers who are on the platform.
Ashutosh Parashar
Thanks a bit.
Satish Gidugu
Thank you.
operator
Thank you. The next question comes from the line of Neil Goweriker from LFC Securities. Please go ahead.
Neil Govarikar
Good morning to all of you. Congratulations on a great set of members. I had two questions. First is regarding nature of the Exception item of 7 crore. I would appreciate it if you could give me a clarification on it and the nature of how those claims are processing, what’s the timeline for it? And second I was recently made aware of ratings regarding many assist on Google which are fairly up messed. It’s pretty low on under two. The problems noted there were claim processing times to be too slow. Multiple queries are generated. There’s been a big delay. So if you could provide some clarification on these two. I appreciate it. Thank you.
Satish Gidugu
Thank you Neil. Maybe I’ll take the operational question and I will hand over the other item to Sandeep. So we processed over 2728 lakhs of inpatient claims and many more lakhs than that on the outpatient claims. We of course take a lot of pride in both leveraging technology and then being right the first time. In fact if you go to our website when you have a moment, we actually publish in real time the current averages that we see for admissions discharges, our processing times, the call center, the CSAT and the metrics.
So one, obviously we are aware of both the emotional and transactional intensity of the business that we run and we take utmost care and utmost pride in delivering that both using technology and human touch and we continue to have among the lowest cost per claim ratios highest amount of self help and we also believe that when you actually normalize the grievances like the rest of the industry does to 1,000 claims or 10,000 claims, we would have a fairly negligible number of grievances that actually come our way. I take your feedback that what is there are unhappy customers in any industry and I think we need to do a better job of engaging with them on various platforms which we attempt to do.
But we take that as the feedback from your question and then of course we’ll continue to improve on that aspect as well. I think I only urge you to sort of look at the 94% kind of retention in extremely demanding corporate book where they have an opportunity to change the TPA every year because these are annual. I know it’s not a direct answer to your question, but thank you for highlighting this and we value your feedback. Sandeep, would you like to pick up other items o the exceptional items, please?
Sandeep Daga
Sure on the Exception item of 7.1 crore so during the quarter ended 30th of September claim which we received from one of our insurance customer towards claims disallowed for the claims which were alleged to be processed by Mediasys tpa We all are aware that we happen to be the bottommost as far as the food chain of this ecosystem is and in line with the past practices Mediasis TPA made an on account payment to the insurance company pending review, pending reconciliation of this amount of 7.1 Cr in and since then we performed an internal evaluation and assessment basis which we are of the view that those claims were not processed from our system and we are confident and in discussion with the insurance customer for this advance which was paid to the customer to conclude the settlement.
However, considering that Q3 was supposed to have been closed so on a prudent basis we made a full provision amounting to this 7.1 cr towards the net advance paid and disclosed this as an exceptional item. However we also continues to pursue recovery from the customer and we have also made an intimation of this insurance claim under the relevant insurance policies to safeguard the recoveries in the eventuality if there are negative surprises. So one way or the other this is likely to get settled. However it might take a bit of time but we have a strong case on this side.
Neil Govarikar
Okay, thank you very much for this. I just would like to know what steps are we taking to ensure that something like this doesn’t happen because 7 crore may not seem like a big amount currently, but should the claim be even lot higher, it will impact margin significantly. So are we taking any steps to safeguard this from happening?
Sandeep Daga
Yes. So to thank you to the internal controls and the audit mechanisms are already there and have been put in place and we continue to leverage technology to make sure that those type of aberrations or exceptions, if any, are getting caught on the fly rather than someone pointing it out at a afterthought. So some of and we double down our efforts to make sure that these internal controls and audit mechanisms are strengthened with every passing day.
Satish Gidugu
Thank you. Sandeep. I just want to just jump in. Sorry, I’ll jump in for a second. Satish here. Neel, I think it’s very important to clarify the reason why it’s an exceptional item and not part of the standard P and L claims to select is it is. We don’t believe that’s part of our standard errors and omissions therefore, which we fully provide for prudently in pnl. These are things that have happened outside our system and processes. We absolutely value your feedback. And then we’ll also have to expand our procedures to include what happens outside the system. But just want to assure everybody here that this is not something that’s related to our systems. But thank you for your question.
Neil Govarikar
Yeah, thank you very much.
operator
Thank you ladies and gentlemen. That was the last question for today. I would now like to hand the conference over to the management for the closing remarks.
Satish Gidugu
Thank you so much. Thank you everyone for joining the call this morning. I hope that the new format of the deck and the disclosures will give you a little more insight into how we are thinking about the business and what’s important from both from a management and the business perspective. As we sort of move forward, our main focus continues to be on in improving further on Paramount integration, accelerating it. We believe majority of the structural aspects of the integration are sort of complete. It’s now about disciplined execution for the next two to three quarters and really sort of get back to our core EBITDA margins and we’ll continue to double down on our tech deployments and sort of acquiring new customers on the tech business both in India and outside and hopefully add a revenue line that’s meaningful enough both from a growth perspective and also from a margin perspective.
And it’s been a very exciting quarter for us in terms of how we’ve also been able to strengthen our balance sheet and gives us the opportunity to really speed up some of these initiatives on the tech front and be ready for anything that comes our way. Thank you again for your time. We hope we’ll see you in the quarter. Thanks.
operator
Thank you, sir. Ladies and gentlemen, on behalf of Medi Assist Healthcare Services Ltd. That concludes this conference call. Thank you for joining us, and you may now disconnect your lines.