Medi Assist Healthcare Services Ltd (NSE: MEDIASSIST) Q4 2025 Earnings Call dated May. 15, 2025
Corporate Participants:
Unidentified Speaker
Satish V N Gidugu — Chief Executive Officer
Sandeep Daga — Chief Financial Officer
Mr. Neeraj Dhwania — Senior Vice President Strategy
Dr. Vikram Chatwal — Chairman and who time Director
Analysts:
Unidentified Participant
Chintan Sheth — Analyst
Nitesh Jain — Analyst
Madhukar Lada — Analyst
Prakash Kapadia — Analyst
Tushar Narwal — Analyst
Prithvish Uppal — Analyst
Chinmay Nema — Analyst
Parimal Mithani — Analyst
Neeraj Shah — Analyst
Presentation:
operator
Ladies and gentlemen, you are connected for the Medi Assist Healthcare Services Limited conference call. Please stay connected. The conference will begin at 6:35. Participants who are connected for the Medi Assist Healthcare Services Limited conference call, please stay connected. The conference will begin at 6:35. Thank you ladies and gentlemen. Good day and welcome to The MEDI assist Q4FY25 results conference call. 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 the conference call, please signal an operator by pressing then zero on your touchtone phone.
Please note that this conference is being recorded. I now hand the conference over to Mr. Neeraj Dhwania, Senior Vice President Strategy. Thank you. And over to you sir.
Mr. Neeraj Dhwania — Senior Vice President Strategy
Thank you. Good evening and a very warm welcome to each one of you to Medi Assist Healthcare Services Limited Earning conference call. As we discussed quarter and year ended 31st March 2025 numbers with you, the results of the company, the press release and the investor presentations have been uploaded to the exchanges and and distributed through our mailing list. We apologize for the delay in doing so by five minutes. Please note any forward looking statements are to be relied upon based on your own judgment and all financial and operating numbers discussed on the call are based on either audited financials or management estimates and hence investors should refer to them only on the basis of uploaded financial statements of the company.
Without further ado, I would now like to hand over the call to Dr. Vikram Chatwal, Chairman and who time Director, Medi Assist Healthcare Services.
Dr. Vikram Chatwal — Chairman and who time Director
Good evening ladies and gentlemen on the call and a very warm welcome to our earnings call today. It is with great pleasure that I’m here with my colleagues. Our CEO Satish Idubu, our CFO Sandeep Dagga and our Senior Vice President Strategy Neeraj Bidwaniya. As I and my colleagues walk you through a quick presentation I believe which has been mailed to you, I would request that those on the call please refer to slides on the attachment in the mail that was sent. As we begin today’s call and before we walk into the FY25 results and Q4 FY24 25 results, I’d like to take this opportunity to once again give you all on this call a sense of where and how our business continues to perform and more importantly from a strategic perspective how the proposition of a TPA evolving into that of a health benefits administrator.
And I believe that we are at that juncture as an organization where we continue to see not only improved operational and financial performance but more importantly I come to you today sharing that the proposition as a business that is part and parcel of the healthcare insurance ecosystem continues to remain strong with clear strategic direction and an increasing role or canvas of services that we as a health benefits administrator offer offer up to the ecosystem. As you all know, we continue to work actively with provider networks, we continue to work actively on the group and retail portfolio and most importantly we work actively with our principals who are insurers on one hand and of course public health schemes under PMJ ay As I think of the business and its role today in enabling the health insurance ecosystem, the big shift that we continue to see as being a differentiator for us as a business is the evolution of us being just historically a claims processing company, a hospital network management company and a customer service company to actually today coming to you as an established organization that is data driven and the core role of data and technology and analytics that we continue to participate in and enhance value across these stakeholders and supporting this data driven analytics backbone is services beyond claims management which include technology services, fraud detection services, network enablement services, international private medical insurance and last of all predictive analytics.
Our continuous engagement through personalized health journeys and digital touch points have truly and continue to become integral to the ecosystem in India. Last of all and most importantly we continue to collaborate and partner with insurers, build preferred provider networks and of course with technology innovators that build integrated outcome focused on the health ecosystem as a whole. Today as a reflection of that strength in technology, machine learning, AI and analytics, we today operate not only within our ecosystem but we have two customers insurers in this case who operate on Medi Assist technology platform. We have 19 insurers who use the Medi Assist network of hospitals and our AI and machine learning offering in terms of automation in claims adjudication, fraud prevention and prediction of cost, we have three customers who today use our capabilities to enable their ecosystems.
All of this is reflecting in the financial performance of the company and as you will see we have expanded the scope not only in our India business but you will also see and hear from our team the expansion in the international private medical insurance market focused again on on India globalizing. In summary, before I hand over, I think your company today has demonstrated and continues to deliver on its promise as a third party administrator while innovating in partnerships, innovating in technology, innovating in member engagement solutions and innovating in adding both inpatient and outpatient services and capabilities to insurers.
With that, I take this opportunity to hand this call over to Satish Giddeboo, our Chief Executive Officer, to walk you through the highlights on the financial performance of the business and specific data points that he’d like to share with you. Over to you, satish.
Satish V N Gidugu — Chief Executive Officer
Thank you Dr. Shepal. Good evening to everyone who’s joined us today. Thank you for your time. The investor presentation has been uploaded. For those of you who have access to it. We are using the same deck and I will read out the pages whenever I’m talking about some of the points so that you have access to it on page five. As we talk about how we fade in terms of growth across key segments within the group business, we continue to be a market leader with 30.3% market share and what really got us here is that our retention has been higher than usual at a 95%.
This is on a combined base of portfolio of Medvantage and Daksha that we’ve integrated now over 10,000 plus corporate accounts. And not just that, some of the Primate and Sahi insurer premiums that we service have actually grown 42% in the group business and all of this leading to our group premiums growing by 12.4% from FY24 to FY25 against the industry group growth rate of 10.5%. Then in retail we have focused on the broader technology led customer first approach to retail, significant work on digital innovation and expanding access and affordability in terms of cash flows for retail policyholders and working very closely with insurers who have significant in house operations by integrating with them on technology network and fraud detection.
This led to our retail book growing by 29.4% from FY24 to FY25 against the industry growth rate of 12.2% and in the IPMI market, International Private Medical Insurance Market our Mayfair entity continues to look at making the most of the opportunity of India in global expansion. Indians traveling abroad and as mentioned in some of the earlier calls, we have a technology platform now for the international private medical insurance business that we have built out and combining that with Nearpair’s access to over half a million providers across 185+ countries, we are able to now deliver significant amount of IPMI services to both global insurers and more importantly many Indian insurers today.
As a result our Mayfair active membership has grown 71% during the period that we are comparing. Lastly, Government the government segment is seeing a lot of action especially with insurance for all vision by the Indian government serving the most vulnerable section of the population, the government attempting to bring multiple categories of beneficiaries under this umbrella. We continue to actively participate in government healthcare span India. We power fairly large scale programs across multiple states and country schemes and even on the government revenues have grown over 24% between FY24 and FY25 and I’m switching to page six and some of this and most of this is backed by our investments in technology to drive scale and leadership.
We continue to invest annually about 5 to 7% of our revenues in technology to build core differentiation and innovation. We processed over 8.9 million inpatient and outpatient teams just in our group and retail business and process any more business and there are three or four distinct offerings that Dr. Vikram alluded to that our tech is actually enabling us to do which is claims management at scale. Our platform today allows us to process almost a core of claims every year across multiple hubs in a teamless mallet and the same platform today is made available in a SaaS model for other insurers to use.
There are two insurers currently operate on our claims management platform and the third area is where we have invested heavily in terms of data analytics and insights leveraging predictive analytics to forecast claims cost, high risk expense use cases and policy level analytics leading to better decision making for insurance companies. And we’ve also taken leadership in enabling compliance requirements for insurers and especially with the regulatory mandates for faster claims processing run towards 100% cashless adoption and delivering cashless optimization and discharges in finite time windows. As you may be aware from our previous calls, we now publish some of our turnaround times in real time on our website.
In terms of how we deliver. Moving. Forward on page seven and some of the other capabilities that we brought in during FY25 using our technology, we spoke about the global platform, the prediction feature resulting in Daksha time discharges which is an innovation which actually completely eliminates the traditional discharge process that’s commonly talked about in the insurance and cashless conjunction. Today over nearly 20,000 patients walk out of the hospital every month even before the bills get generated because we’ve eliminated the discharge process in all of FY25 has delivered over 100,000 such and we then took some of this predictive capability and enabled a prediction tool for out of pocket expenses where we are enabling our membership to plan in a financially prudent manner.
The facility, the kind of room, the kind of procedures that they want to undergo and estimate the out of pocket in each of those scenarios and make an appropriate call from where they want to get a hospitalization plan. And lastly, we’ve also launched a consent feature which is our innovation to improve policyholder experience today in reimbursement. Starting with the reimbursements which will be expanded to all of the same types. Once we approve a claim, we are able to send a detailed provisional approval letter to the member, actually give them a chance to say I’m okay or I need a clarification or help me understand these deductions or I have an additional policy, can you help me use that? So we’re actually enabling those conversations in real time.
And almost 92% of all the claims that we process in the investments today go through this feature with a 55% that are actually acting on those explicitly saying they’re okay to move forward with less than a 5% of those numbers coming back and saying could we have a conversation about this claim before you finalize the outcomes? And this is leading to reduction in cost per claim. This is improving customer satisfaction in our portfolio. Then move to page number 8. Continuing on the investments that we’ve made in the AI space, we focused heavily on fraud based and abuse elimination, more so specifically on the fraud prevention.
We have delivered nearly 400 crores of savings on account of fraud prevention to insurers that we work with in FY24. And that’s over one and a half times the value of the previous year with the exit run rate being much higher. And today our machine learning models are able to evaluate over 150 parameters to extremely reliably detect and flag potentially fraudulent cases. And the other feature that this capability is enabling is allowing us to reduce the number of claims that need to be investigated. Improving member exclusion because our sample sizes are coming down while the outcomes actually moving up.
Moving to page nine. While we did all of this in terms of growth and technology, we have been steadily improving our financial performance as we continue to start to improve the synergies from Raksha and consolidations from 21% to an exit 2425 offered from 1.6 percentage of the margin resulting in over 21.3% margin for FY25. And if I excluded a couple of one timers like some of the transaction costs and one timer which is almost a 40 bit number, this adjusted EBITDA level is approximately 21.7% for FY25. And our revenue per headcount has grown further from 1.38 million to 1.41 million this year and our net cash flow from operating activities was 138 crores.
Moving on to page 11, talk about some of the operational highlights. Our total premium under management crossed the 20,000 mark and we crossed our 10,000 mark back in March 2022. That was three years ago. We have crossed 21,000 mark in group and retail premiums that we administer now and we have improved our market share both in Group and YouTube. Moving on to page 12, some highlights that you probably have already covered in the previous two pages. Our industry growth rate for example in private and Sahi in group was at 1.6% but the premiums that we administered for that cohort grew by about 42%.
As we continue to power many of the private and SAHI insurers get into the group segment and deliver great service that they’re already known for. In the retail sector, our retail has grown at 29.4% against an investing growth of 12.2% and we received the regulatory approval just two days ago to acquire 100% equity shareholding in Paramount Health Services and Insurance TPA Private Limited by our wholly owned subsidiary TPA Private Limited. And. As we move forward we continue to work with NHA and the regulator to enable insurance to transition to National Health Claims Exchange framework and also improving compliance to Master Circular. I will now hand over to Sandeep Daga, our CFO to give you a quick overview of the financial highlights for both Q4 and FY25.
Sandeep Daga — Chief Financial Officer
Thank you Satish and I welcome all the participants. Thank you for joining the call. At this point of time, the financial guidance for Q4FY 2025 total income was 196.6 crore which has a growth of 14.9 percentage over the corresponding years of the previous year. Revenue from contracts with customers excluding other income was 188.9 crore which was equivalent to 13.2 percentage over the same period last year. Revenue from contracts included 13.2 percentage from government business and 5.7 percentage from our international benefits business. EBITDA during the quarter was INR 40.7 Cr which was equivalent to 21.6 percentage on operating revenue and a value wise growth of 10.1 percentage.
Profit for the period was 21.6 Cr which versus the same period last year resulted in a reduction of 15.9 percentage. It was primarily because of the one time ETR benefit which we got during last year because of the Medvantage merger. However this PAC was equivalent to 11 percentage on the total income. Now giving you the Highlights for The full year 2025 total income for the year was 747.1 Cr which was equivalent to a growth of y o y 14.4 percentage over the previous year. Revenue from the contracts with customers was 723.3 cr growing at 14% yy.
This revenue included 11% from the government business and 5.1 percentage from the international benefit business. EBITDA during the year was 154.1 KIA which was equivalent to 21.3 percentage RTM on the revenue and a 15.6 percentage YUI growth over the previous year. Pat profit for the period was 91.6 year which was equivalent to a 28.5% YoY growth on the path of previous year and a margin of 12.3% on total income. Few key highlights from the balance sheet as On 31st of March 2025 the total net cash balance in the books net of borrowing was INR 312.2 Cr.
Network as on date was 552.2 Cr and the return on net worth was 16.6 percentage. The return on capital employed was 18.7 percentage. Revenue for object share counts on the non government business was INR 14.2 lakh. I now hand over the call to neeraj.
Mr. Neeraj Dhwania — Senior Vice President Strategy
Thank you Dr. Satish and Sandeep for giving these highlights. So for the full year as you can see we have had a checkbox on each of the points in terms of growth better than the industry, continuing improvement in profit margins including EBITDA accretion and very very strong cash flow generation. We are holding among the highest cash reserves as on date. With this I would now like to open the call to Q and A.
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 their touchtone phone. 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 Chintan Sheth from G Capital. Please go ahead.
Chintan Sheth
Thank you, thank you for the opportunity and Congress for the recent product numbers and getting the IID approved for Paramount Acquisitions. Hope I’m audible.
Satish V N Gidugu
Yes, sure, yes we can hear so sure.
Chintan Sheth
So my question is on the initial remark from Dr. You know that the evolution of our business from TCA to health benefit Administrator Services and all and we have started getting the inroads, onboarding to installers right now. What are the key KPIs, you know, which we try to understand the business model for that piece of the business which is getting involved. And given that the investments have been already, the data has already been in our system, how should one look at, you know, the cost trajectory if we scale up this business going forward, do we see the, you know, margins, you know, because of the investment we continue to put in that piece of the business and help us understand the business better.
Dr. Vikram Chatwal
Thank you, Chintan. I could get the second part of your question very clearly, but I will, between all of us will attempt to answer it and let me know if there’s anything that use my chest to answer this group. So yes, first of all, I ratify what you just said, that this transition from a pure TPA to a health benefits administrator is real and now. And I think that the best way for you and the listeners on this call to think about it is one that it has allowed us to unbundle our services as an organization.
Historically, we have serviced our partners in a single contract that includes all services as governed under a TPA contract. What we have clearly demonstrated is the unbundling of it and strategic opportunities thereof that get created for the business. Illustratively I talked about two insurers who work and now work on our core claims platform platform called Matrix. Illustratively again I talked about our fraud, waste and abuse with three insurers. And again, illustratively I talked about 19 insurers and the hospital network. So I would think that the unbundling has allowed us to unlock value both to our partners, our customers and most importantly, as we organize ourselves as a business both in India and in the international private medical insurance market, we today don’t go in a singular frame but have the ability to engage to partner and to contact across frameworks.
To the second part of your question, I will ask Neeraj to just respond to this.
Satish V N Gidugu
Thank you, doctor. So Chintan, the second part of the question was will this transition have an adverse impact on the margins? Is that the correct question that you were asking?
Chintan Sheth
So no. Yeah, basically, given that a lot of this unbundling will require our platform to operate separately and in the past we have been mentioning that the investment from resource side and the tech side has been on the continuous process. So how do we see this investment continuing going forward, impacting the margins? And as we scale up and as we ramp up our onboarding of insurance, we will see the benefit accruing at a later stage of the evolution of moving from CPA to sba.
Satish V N Gidugu
So you’re right. We’ve always maintained that we will continue to invest in technology and forward looking opportunities. But as you can hear from Dr. That we have already seen payout from these technologies or investments in the form of insurance companies recognizing the value we bring to the table from these investments. And we are duly able to unbundle these services. And also please note, we are only building on top of most of these services already being captured in our EPA business as a cost aspect. So we do not believe that these investments, first, there is a proven track record of these investments, our ability to monetize them and second is they should be far more accretive than the current business because we are leveraging.
This is pure form of operating leverage for us where the same expenses are. Able to deliver more for us. So that is what we expect in the long term. And I will bring in Dr. Here to add one more point. I think Chintan, I think a good way to think about this for all of you is that all the investments were made for the core business that we run today and that continues to demonstrate better stickiness, greater growth and more insurer participation. What unbundling in a benefits frame allows us to do is to engage with a wider set of stakeholders and customers who are at different stages of evolution of their intrinsic business models. And that a one size fits all is not necessarily the only available contracting template that we have. Thank you for asking us that question, Chintan.
Could we go back to the next question? Should I chip in one more?
Chintan Sheth
Would we come back chintan? Should we just cover the rest?
operator
Thank you. Our next question comes from the line of Nitesh Jain from investech. Please go ahead. Your line is unmuted. Please proceed with your question.
Satish V N Gidugu
Hello.
Nitesh Jain
Am I audible?
Satish V N Gidugu
Yes, you are.
Nitesh Jain
Yeah.
Satish V N Gidugu
Yes.
Nitesh Jain
So first question is on retail premium. I think that number is different on different two different slides. So can you confirm which number is right? Retained PM under management. On slide number 5, the retail premium is around 2092 crores. And I think on slide number 1314, slide number 11 it is around 2341 crores.
Satish V N Gidugu
So the nitesh that 2341 crore is without the adjustment of Raksha premiums on pro rater basis. So that was the reported number on slide 11 for last year. And slide 5 is actually with the footnote that we have mentioned that if we allocate on flow rate basis Raksha premium in proportion to what consolidated revenues we took for that period, then the number would be slightly lower because we cannot take the full consolidation. It was only seven months.
Satish V N Gidugu
Sure, sure.
Nitesh Jain
And second question is that you also spoken about international opportunity. So what is the exact play there? There are business models like Sagility etc. So are we, do we also see a play in that model where they are offering services to healthcare providers outside India?
Dr. Vikram Chatwal
Not at all. Just to make sure that we’re all on the same page, I take you back in time. When we acquired a company called Naysayer, VCare and Nifair. The whole objective was that as India Inc. Globalizes, as Indian insurers globalize, as Indian businesses globalize and the Indian traveler globalizes, there is a need to extend what we do here in India to the global markets. Given that Indians and the Indian diaspora are far and wide today, we continue to believe that as the core business continues to grow, we will see an increased participation on the international private medical insurance market and that we would need to extend these capabilities to other geographies, other networks of hospitals and possibly other global insurance providers.
Our focus although will and continues to remain on India, Indian insurance providers and the offering of Indian health plans with global coverage. I’ll stop at that. Thank you.
Satish V N Gidugu
Sure.
Nitesh Jain
Thank you. That’s very clear. And just lastly, we have been seeing some adoption of health benefit model from the corporates rather than taking insurance globally. That is the prevalent model. So how is there any trend in India and if you can share some numbers there, how it is panning out, that would be useful.
Satish V N Gidugu
Nitesh, if I understand your question is that is the evolution of a self financed or a self funded. Yes, yes program relevant in India. It is still in its nascency. We do have certain partners that have migrated to such programs. But I would still share with you that it is still early for us to give you a view or a comment on how and where this will go and at what pace will the uptake be, if any at all?
Nitesh Jain
Sure. Thank you. That’s it from my side.
Satish V N Gidugu
Thank you.
operator
Thank you. Our next question comes from the line of Prakash Kapadia from Spark pms. Please go ahead.
Prakash Kapadia
Yeah, thanks. Couple of questions from my end. Premium under management for outsourcing historically was I think 50, 55% of the time as you know, group is a much larger percentage and retail is a small pie of the addressable TAM for us. So you know, wanted to understand some of the, you know, changes in terms of product offerings or taking a more holistic approach which you know, we are trying to build and not just claim processing. So is it in the background of in a recent slowdown in the group GDPI segment which is, you know, showing in terms of lower GDPI at 3, 4% now versus earlier growth.
So what is happening in the industry and you know, what kind of organic revenue growth can we continue to see? And you could, you know, give some more insight into how will your monetization of some of the, you know, newer areas which we are trying to focus on, how will it help us in, you know, adding to revenue or what kind of organic growth that could add. So that could be helpful on the revenue side. I think there was an enabling resolution for fundraise. Any updates on the fundraise And I couldn’t see the dividend payout or dividend listing at the board meeting figure.
So these were my question.
Satish V N Gidugu
Thank you. Prakash. This is Satish. I will attempt to answer the first part of your question. So I think Dr. Vikram, when he answered, he clarified. So it’s also about unbundling, right? Historically we required an insurance partner to create a TPA kind of a structure to work with us. And in that TPA model we delivered all of these services as a completely bundled capability. Right. Whether it is fraud prevention, whether it is enabling the cashless network, delivering inflation, reducing inflation and so on and so forth. So one of the things like you said, is that the industry, especially between the vintage and the newer insurance, are at the different stages of evolution and how much they engage with the partners.
And increasingly in the last few years we have seen various models where insurance companies also look at a mix and match or using the best of breach solutions to really deliver policyholder value and the profitability of the portfolio. So our tech has been built to work independently at a component level. We’ve been able to make some investments and today we’re able to deliver, say just the fraud detection as a standalone capability, even though part of the portfolio of claims that we are managing or enable access to our cashless network, even though it’s not for a policyholder for whom I’m the tpa.
So this is where we’ve been able to unbundle a lot of the components and we believe that we’re unlocking value for even those insurers who are currently not in a position to engage in a traditional TPM model. It’s not necessarily in reaction to the current growth rates. And coming back to your question on growth, yes, if you look at the group, there’s a substantial part of group is driven by the employee segment and of Course it does reflect a little bit of the slowdown in the underlying employment growth, the formal employment, especially in those segments that offer health insurance.
It would be unfair for us to say that there is no employment growth. But it is also about the industries, the companies that are actually offering health insurance funds. And among those sections, how has the employment growth been specifically around large predominant employees like it itos. So that’s the market reality today and of course retail. Two reasons why there are numbers are little on the lower side. One, the reported churn in the portfolio, especially in the vintage portfolio given the pricing and the other adjustments. The second of course also the partly the reporting requirements changed by the regulator of the one BY N for a multi year policy.
We are not impacted by the one by N because we’ve always recognized at an annual level. So from an organic and same store growth perspective, we’ve always maintained that our growth rates in group aren’t detailed, will track to or be better than the industry growth rates in the respective segments. And we continue to sort of look at our own growth somewhat.
Prakash Kapadia
So we would continue to outpace industries growth and any sense of you know, the growth trajectory being continuing because you know, unless and until we don’t gain market share or giving, you know, industry women noted in the near term because of these regions and macros. So organic growth beyond a point of time or you know, outperforming the margin would come down. So unless and until you know, industry growth doesn’t pick up, organic growth could be difficult to, you know, get back to 15, 18% which you know, historically we would do. So that’s the context I was trying to understand.
Satish V N Gidugu
Pradesh I would try and answer this simply, slightly simplified fashion, maybe oversimplified, but we are handling about a fifth of the premiums of the industry. There is an 80% that’s out there and in both the models, both the traditional TPM model and also the other models where we believe that we can deliver significant value. Like we delivered 400 crores of savings last year on account of purely preventing faults and it’s not in the debt but nearly 1000 crores of discounts and savings from our cashless that we deliver to our insurance partners. So I think my request would be when you look at our growth, it may or may not be a pure premium and a market share kind of a growth.
It will be more based on the value that we bring to the ecosystem and how we get Indian patriots.
Prakash Kapadia
Anything on the fundraiser.
Satish V N Gidugu
So on the fundraise we have always maintained that it was an enabling resolution at the board and that is valid for 12 months. We haven’t announced any further timing, quantum. Or usage of that. So as and when there is any development on that, we will update the shareholders and the public at large. In terms of dividend, there is a stated commitment on capital allocation. So in the past we have consistently rewarded the shareholders in form of dividend and we continue to be very profitable and cash flow generating. So that intent remains. But at this point the board has deferred the decision on whether we will announce dividend and when and how much. We do have another quarter where we can come back with that detail. So at this point of time we will come back based on how we are able to meet our capital allocation requirements and also the growth investment needs.
Dr. Vikram Chatwal
I think as you are all aware, it’s a great historic moment for us. With conclusion and regulatory consent on Paramount ppa. We are very excited about the partnership and the coming together of the two businesses. As we evaluate that and look at how we need to move forward, we will as a board take a view and we’ll get back to all of you over the coming quarter.
Prakash Kapadia
Lastly, one is data keeping point. Would you have the technology?
operator
Prakash sir, may we request you return to the question queue for the follow up questions. Thank you. Participants, in order to register for a question you may press star then one on your touchstone phone. Our next question comes from the line of Parimal Mithani from Credential Investments. Please go ahead sir.
Parimal Mithani
Thank you for the opportunity. So basically I want to know how do you. How do you differentiate between a claim processing and a new unit, new entity that you have created? If you can help me understand that be much better for. I’m sorry, I’m talking for the first time.
Prakash Kapadia
Hello.
Satish V N Gidugu
The question is not very clear in terms of which entity you are referring to.
Parimal Mithani
My point is you migrated from a claim processing to you know, this platform business and how do you. So how. How do you see yourself going ahead? If you can just help me out the understanding because I think you’re grown by too much of acquisitions and if you can just narrate how it going ahead.
Nitesh Jain
No, I think Satish here I will attempt to answer your question. Maybe there are two or three things maybe that got mixed in that question. I just want to first clarify. We happen to be the market leaders in the TPA business by a very substantial margin over everybody else. We manage a 1/5 50 market in the Pure EPA contracting template. And as part of building this scale and getting to this leadership we have Very significant capabilities, obviously to operate at this scale at various technology components that we believe could also be made available independent of TPA contracts to other insurers.
It’s about unbundling the capabilities that we have built. It’s not a migration away from one business to the other. It is simply an opportunity to add value to insurers who are currently not actively participating in the TPA template. And secondly, from an acquisitions perspective, I think we’ve explained this in some of our past. All of our acquisitions are very specific from an intent perspective. They’re not just only to shore up the top line. We have over since 2015, 16, we’ve acquired four TPAs and there is a fifth TPA approval that we have just received. In those cases, we have acquired a TPA to strengthen our geographic presence, strengthen our relationship with insurers that we didn’t have contacts with.
Now with Paramount, the objective is to build a truly Pan India platform that insurers can rely on for a seamless service delivery. And in fact, to put that in perspective, Raksha Advantage and Mayfair combined with some 10% across that period. But it is more about the strategic intent and plugging gaps or strengthening our ability to serve.
Parimal Mithani
Okay, thank you.
operator
Thank you. Our next question comes from the line of Madhukar Lada from Nuama Wealth Management Ltd. Please go ahead.
Madhukar Lada
Hi, good evening everyone. Just a couple of questions from my side. First, can you give us some sense in terms of a group number of. Lives covered, help us get some idea on volume growth, if we can call it that. Second, I also see that the government, business and international business has also done better in this quarter. So if you could help us understand what’s changing or what’s moving over there and yeah, those would be my two questions. Thanks.
Satish V N Gidugu
Understand. So, you know, historically we’ve not necessarily presented the. Sorry, this is Madhukar. Sorry. Hi, Madhukar. Apologies for the. So lives are hard because the industry does not have uniqueness in the way they report lives. And lives could be duplicated across multiple policies. One of the reasons why we sort of stayed away from publishing lives or a revenue per lives kind of a metric. But if you remember some of our earlier conversations, especially in groups, we had this rule of thumb that for every 100 rupees of same store growth, historically 50% came from life’s growth and the other 50% was equally distributed between benefits, expansion or an inflation related correction.
So that was sort of a rule of thumb. Today, significant amount of the same store growth improved for us has come predominantly from Premium and vintage expansion and very little from the lives growth. While these are not necessarily published from same store growth, from a lives expansion perspective, we are seeing possibly about 50% of what it was compared to Q4 of last year. I mean that’s just more an approximation, just so that you get a sense of where the market is. Retail of course for us is we don’t track the lives because we work with insurers as a portfolio.
Often the lice growth is also subject to the kind of products and the portfolios we manage and how the underlying products and portfolios are growing because we don’t take responsibility for churn in the portfolio that we manage. You get the net lives in the retail business. And lastly on the government and international business. International business, the corporate side of course has a little bit of a slowdown from the large IT IPAs similar to employment slowdown. We did have some of the travel slowdowns, but what has really helped is our recent work that we’ve done with some of the Indian insurers, especially delivering retail with both global benefits and also travel benefits.
We’re beginning to see a lot of work sort of coming from there and we are hopeful that Mayfair will continue to be a growth driver as we continue to integrate into those portfolios. Lastly, on the government side, government as you know, is an L1 kind of process. We’ve always maintained that given the intensity of work and given a significant focus on performance and steep penalties that NHA actually imposes or the state health authority imposes, it was always imperative for us to participate only in those kind of schemes where we could get inundated in a manner that could deliver good quality service.
I’m happy to say that increasingly in the government business there is a focus on the partners ability to serve and the partners scale. And a lot of the government business today runs purely on technology. It’s cashless, it’s electronic. So we do see an opportunity for us to participate more in the government business. Of course we’ll continue to be very opportunistic in what specific schemes we will participate in. Got it.
Madhukar Lada
So if I understand the answer to. The first question more correctly, you mentioned that the number of lives or sort. Of volume growth for you is at. About 50% of the volume growth that was there a year ago. Is that what you meant? Is that what you said?
Satish V N Gidugu
Yeah, directionally that would be fair.
Madhukar Lada
Directionally and earlier it would be roughly. 50, 50, but now it’s like 25%. And then 75% which is what is indicated by the Slower growth rate in. Group pums as well, most likely. And it’s also obviously a function of.
Dr. Vikram Chatwal
Yeah, obviously, right. The headcount is a big function. I’m not saying that a lot of the corporates are expanding benefits actively. We are seeing newer kinds of treatments, newer kinds of benefits, outpatient, flexible benefits sort of coming in into group plan. So that is cushioning a bit. But obviously nothing beats a continuously growing employment number.
Madhukar Lada
Also just Vikram Moduka, just to support what Satish just said, I think, you know, we’ve seen cycles of such shifts between the left and the right pocket when it comes to the group business. There are periods of employment generation and there are periods of benefits expansion. I think all. At best we can collectively read the current frame of reference is that in the recent past period we have seen expansion of benefits driving a majority of what you’ve seen as corporate growth. And it does not in any way become a litmus or a definition for what will happen in the ensuing quarters.
And I’d like you to be aware of that because we’ve seen cyclicality in expansion and contraction between recruitment and expansion of benefits. And so it’s really important to keep that in mind and it necessarily does not become a trend line. I’ll go back to questions please.
Satish V N Gidugu
Thanks.
operator
Thank you. Ladies and gentlemen, in order to ensure that the management is able to address questions from all the participants present in the conference, please restrict your questions to one question each per participant. If you have a follow up question, please rejoin the queue. Our next question comes from the line of Neeraj Shah from Perpetuity. Please go ahead.
Neeraj Shah
Sorry, you’re not audible. Neeraj. Sorry Neeraj, you’re not audible.
Satish V N Gidugu
Sir, not audible. If you’re using a speakerphone, may we request to use the handset please? Yes sir, please go ahead.
Neeraj Shah
Can we connect offline? I know you guys are perpetuating so we can connect offline. Can we move to the next one?
operator
The next question comes from the line of Tushar Narwal from Ambit Capital. Please go ahead.
Tushar Narwal
Yeah, I’m audible. Yes, yeah. Thank you for the opportunity. Actually I wanted to ask regarding yield soon for Q, yield seems to increase. Both quarterly and yearly basis. If you could tell me what led. To this and what would be the ease going ahead?
Satish V N Gidugu
That’s my question. Thanks. So are you referring to the group yields?
Tushar Narwal
Sorry, yes, yes, yes. I think yield for us. Two or three points to understand from yield perspective. One, it’s also a function of the corporates in the mix in a particular quarter and the service levels and the contracts that we have. So it’s not necessarily a constant number because we have, as you are aware, annually renewing contracts. Different contracts renew on different dates within the same year. So it’s one is a mix, the second is in groups. Significant number of groups now offer add on or pop up products which are opt ins for employees.
And these are voluntary and typically not fully priced either from a premium or yield perspective given the lower workloads in that space. So as more and more groups are offering, more and more employees are opting in. So when you blend the premiums optically, it might look like the yields are contracting. Typically it does result in more revenue per life. Third, we internally track significantly on revenue per life and the cost that we have for life. And for reasons I expanded on earlier, we don’t publish the life numbers because lack of uniqueness at the industry level.
So often yield is a means to the end in terms of what is the right kind of premium. Because if you have a 10,000 rupees premium per life, even a 1% fee on it could be 100 rupees of fee per life. And if you have 5,000 rupees per life, you need 2% to get to the same fee per life. So I think what I would like to close with saying our revenue per life kind of, they’ve been measure internally has been stable or growing over the years and that continues to be an important parameter and the way we protect the quality of revenue that we service.
Okay, so do we expect it to grow?
operator
Tushar sir, may we request you return to the question queue for any follow up questions please?
Satish V N Gidugu
Okay, thank you.
operator
The next question comes from the line of Prithvish Uppal from Elara Securities. Please go ahead.
Prithvish Uppal
Yeah, hi, thank you for taking my question. So just wanted to understand once you know the evolution is happening from a pure TPA to a health benefit administrator, is there any change in terms of, for the revenue model from, you know, for how, you know, if you could just help us understand how are we sort of charging, you know, the clients for the fraud detection or the unbundled services? Is it going to be a yield based or is it an annuity kind of a SaaS based, you know, revenue model. And what is the kind of opportunity size that you sort of see here in the fraud detection space? And then for just, you know, post.
That is a data keeping question. If you could split the revenue from contract into retail and group as well, that would be useful. So these are my two questions.
Satish V N Gidugu
So our traditional revenue models as you are aware in the PPA business which is currently still 90% of our elements is C based as a percentage of premium. That has been the preferred historical model. Most of the TPA business continue to be in that model. If you do look at our revenue split. If you looked at government and Mayfair and excluded those. We currently have about 1.5 to 2% of our revenues from technology contracts. These are typically SaaS contracts almost in all cases these are SaaS contracts either as an API access or on a per transaction basis.
And again as we unbundle some of the capabilities and insurers see value these pricing models and our contracts successfully evolve. These are only this but I think it’s best to look at them as a SaaS offering from a technology and the platform perspective. The whole purchasing markets.
Prithvish Uppal
Sure understood that. And what is you know typically the opportunity Prithvish. May we request you return to the question queue for follow up questions. Thank you.
Satish V N Gidugu
Okay.
Prithvish Uppal
I had a second question that I’d also just the split if you could provide that for between group and retail revenue.
Satish V N Gidugu
Prithish. What we do is we provide premium split. We don’t split revenue by the segment. It’s overall we are because we don’t treat group or retail in terms of servicing very differently. In terms of when a claim comes it’s all centralized operations at the back end. So we don’t provide revenue and other details but premium split is provided.
Prithvish Uppal
Okay, sure.
operator
Thank you. Next question comes from the line of Chinmay Nema from Presayan Capital. Please go ahead. Sorry to interrupt sir, your line was breaking. Could you please retry. We are not able to hear you as there is no response from the line of current participants. We will move on to the next question. Our next question follow up question comes from the line of Chintan shed from G Capital. Please go ahead. Your line was not clear initially. Could you.
Chintan Sheth
I think we understood the question. So yes Shintan we’ve had debt on books. We’ve in our balance sheet. If you see our gross cash that is roughly around 460 plus. There’s also one store of working capital limit that we have which we are using for our day to day business. So what we have reported net cash basis and the debt is normal for us in terms of using that capital as we for the paramount acquisitions.
Satish V N Gidugu
Right.
Chintan Sheth
Okay.
Satish V N Gidugu
And second is on the contract liability the closing one the growth since on a VI is a little lower than the business growth we have seen. Right. So we are that that implies like subdued environment continuing going forward. That’s that’s how one should because there’s a lead indicator with internally track right contract liabilities. Just to get a sense of how to look at it. I wouldn’t go as far as saying that it is a big indicator. I understand what you’re asking, but it’s a function of the incoming and the outgoing. If it’s a slower year, obviously there will be a net.
The contract liability is different. And also we had also because of Raksha consolidation impact. I wouldn’t read too much into it at this point. Got it.
Chintan Sheth
Got it.
Satish V N Gidugu
Neera. Thanks. Thanks. That’s all for my.
operator
Thank you ladies and gentlemen. We’ll take that as the last question for today. I now hand the conference over to the management for closing comments.
Dr. Vikram Chatwal
Good evening. Once again I wanted to thank each one of you for having been on the call with us this evening. It’s been an excellent year. As a team, we continue to build, partner and grow in the benefits third party administration market. They are not mutually exclusive themes, but collaborative themes as a business. On behalf of my colleagues and I, I thank you all for being with us and you have a good evening. Take care.
operator
Thank you. On behalf of medi Assist Healthcare Ltd. That concludes this conference. Thank you for joining us. You may now disconnect your lines.