Aster DM Quality Care Limited

Aster DM Quality Care Ltd announced upgrades and reaffirmations to its debt instruments by ICRA Limited, removing all ratings from Rating Watch with Developing Implications and assigning a stable outlook. Specifically, ICRA upgraded the long-term ratings for the Fund-based Cash Credit of Rs 19.00 crore and the Fund-based Term Loan of Rs 75.00 crore from [ICRA]AA- to [ICRA]AA(Stable), while reaffirming the short-term rating of [ICRA]A1+ for the Fund-based Others of Rs 12.00 crore and the Long-term/Short-term Unallocated rating of Rs 104.00 crore, upgrading the long-term rating from [ICRA]AA- to [ICRA]AA(Stable). Additionally, ICRA upgraded the Long-term rating to A1+ and reaffirmed the Short-term rating of AA- with a stable outlook, alongside reaffirming several other instruments including the Short-term Fund-based Others of Rs 12.00 crore and the Long-term/Short-term Unallocated of Rs 104.00 crore, and noting implicit support from its parent company.

Aster DM Quality Care Limited announced that the boards of directors of its step-down subsidiaries, KIMSHEALTH Executive Leisure Private Limited ("KEL") and Spiceretreat Hospitality Services Private Limited (“SHSPL”), approved a scheme of amalgamation, with KEL merging into SHSPL, subject to regulatory approvals. The amalgamation, with an appointed date of April 1, 2026, is intended to simplify the group structure and improve operational efficiencies, and will result in the issuance of 13.4391 equity shares of Spiceretreat Hospitality Services Private Limited for every 1,000 equity shares of KIMSHEALTH Executive Leisure Private Limited, based on a valuation report.

Aster DM Quality Care Limited announced that its subsidiary, Chemistry Intermediate Holdings Limited, has acquired a 14.21% stake, or 22,727,584 equity shares, of STS Holdings Limited, a Bangladesh-based healthcare services and training company, for a cost of USD 44,114,339. The acquisition, priced at the equivalent of BDT 273.45 per share, aligns with a Merger Framework Agreement executed on November 29, 2024, and was disclosed in a Scheme of Amalgamation between Quality Care India Limited and Aster DM Healthcare Limited approved by the National Company Law Tribunal on June 19, 2026.

Union (Mauritius) Holdings Limited disclosed creation of an indirect encumbrance over 1,99,80,522 shares, representing 2.29% of the total share capital, of Aster DM Quality Care Limited. The pledge, created on August 24, 2026, was made in favor of DB Trustees (Hong Kong) Limited to secure an existing loan facility of USD 160,000,000 and a new loan facility of USD 50,000,000 availed by Union N.A. Investment Pvt Limited from Barclays Bank PLC and J.P. Morgan Chase Bank, N.A., London Branch.

Union (Mauritius) Holdings Limited disclosed the creation of an indirect encumbrance over its 1,99,80,522 shares, representing 2.29% of the total share capital of Aster DM Quality Care Limited, on August 26, 2026. The pledge, created on August 24, 2026, was made in favor of DB Trustees (Hong Kong) Limited to secure existing loan facilities of USD 160,000,000 and USD 50,000,000 availed by Union N.A. Investment Pvt Limited from Barclays Bank PLC and J.P. Morgan Chase Bank, N.A., London Branch.

Aster DM Quality Care Limited, formerly Aster DM Healthcare Ltd., announced it has approved the termination of the operations and management agreement for Aster G. Madegowda Hospital in Maddur, citing sustained operating losses, and the acquisition of up to 12% equity shares of United CIIGMA Institute of Medical Sciences, an existing subsidiary, for up to Rs 40.93 crore through the exercise of put option rights by minority shareholders, as disclosed in a regulatory filing on August 5, 2026. The company will seek shareholder approval for these actions via Postal Ballot and at its 18th Annual General Meeting scheduled for September 28, 2026.

Aster DM Quality Care Ltd share price inched up 2.54% to Rs 834.6 after the company's net profit plunged by 80.94% to Rs 29.28 crore, while revenue from operations increased 10.85% to Rs 1310.68 crore in Q2FY26 over Q1FY26. The market capitalization of Hospital industry group stocks on BSE stood at Rs 5.07 lakh crore, gaining 4.72%. It has gained 14.12% over last one week and surged by 32.79% in last one month while the market capitalization of Aster DM Quality Care Ltd has marginally improved by 2.79% and 91.61% in the same period respectively. Profit before tax (PBT) of Aster DM Quality Care Ltd stood at Rs 78.08 crore in Q2 FY26, nosediving by 42.77% year-on-year, and tumbling by 52.20% quarter-on-quarter. EBITDA came in at Rs 227 crore, expanding by 30.49% YoY and jumping 15.74% sequentially. Total expenses saw a slight increase of 9.70% to Rs 1115.65 crore in Q2FY26 over Q2FY25. During the quarter, employee benefits expense was at Rs 242.2 crore, registering a growth of 10.10% YoY. For the TTM ended FY26, revenue from operations advanced 11.88% to Rs 4138.46 crore, while net profit surged by 64.50% to Rs 336.69 crore, compared to previous TTM. EBITDA jumped by 58097% to Rs 616.3 crore, and PBT jumped 80.35% to Rs 471.06 crore compared to previous TTM. The company's consolidated net cash flow from operating activities stood at Rs 425.05 crore in FY26, as against Rs 157.81 crore in FY25. Aster DM Quality Care Ltd rallied 42.52% in last one year, significantly outperforming the benchmark BSE Sensex which has softened by 3.20% during the same period.

Aster DM Quality Care Limited announced its financial results for the quarter ended June 30, 2026, reporting revenue of Rs 2,597 crore, a 20% year-over-year increase, with operating EBITDA growing 30% to Rs 576 crore. The company, formed through the merger of Aster DM Healthcare Limited and Quality Care India Limited, also reported an operating EBITDA margin expansion of 170 basis points to 22.2%, and serving 2 million people in its outpatient and inpatient facilities, a 13% increase from the previous year.

Aster DM Quality Care Limited will hold a board meeting on Wednesday, August 5, 2026, to consider and approve the unaudited standalone and consolidated financial results for the quarter ended June 30, 2026, as per Regulation 29 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

Aster DM Healthcare Ltd announced that CRISIL Ratings Limited (“CRISIL”) has assigned a “Crisil AA+/Stable” rating to the Company’s long-term bank facilities amounting to Rs 860.50 crore, and a “Crisil A1+” rating to its short-term bank facilities, also totaling Rs 860.50 crore; these ratings represent an assignment and have been novated from ‘Quality Care India Ltd (QCIL)’ following its merger with the Company, effective July 1, 2026. The rated facilities pertain to long-term bank facilities and short-term bank facilities, with CRISIL providing detailed rationale for the ratings available on its website at https://www.crisilratings.com/en/home/our-business/ratings/company-factsheet.ASDHPL.html and the Company’s website at www.asterqualitycare.com, and there are no enhancements, assignments, or withdrawals beyond the initial assignments.