Rainbow Childrens Medicare Ltd logo

Rainbow Childrens Medicare Ltd

RAINBOW NSE

Key Fundamentals

SmallcapHospitalsHealthcare Services
Market Cap
₹14,907 Cr
Volatility
Moderate
P/E Ratio
51.91
EBITDA
₹588 Cr
Return on Equity
16.92%
Debt to Equity
0.54
Book Value
₹164.36
EPS
₹21.23
52W High
₹1,610
52W Low
₹1,084

Insights

Beta

AI-extracted from concalls & annual reports · figures as reported, with sources

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44 extracted metrics + investor summaries across FY15–FY26.

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Tapetide Score

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Technical Indicators

Key Insights

Strengths

1
  • Company's median sales growth is 22.8% of last 10 years

Weaknesses

1
  • Stock is trading at 9.11 times its book value

Growth Rate

Revenue Growth
11.49%
Net Income Growth
15.27%
Cash Flow Change
6.07%
ROE
2.17%
ROCE
-6.86%
EBITDA Margin (Avg.)
-2.49%

AI Analysis — Bull vs Bear

Anthropic anthropic claude-opus-4.6 5d ago
AI opinion · based on fundamentals
Risk medium

Rainbow Childrens Medicare is a specialized pediatric and perinatal hospital chain with a market cap of approximately ₹14,950 crore, trading at a PE of 51.9x. The company has delivered a 10-year sales CAGR of 22% and expanded bed capacity by ~50% over FY20-25 to 1,935 beds (reaching 2,435 by Q4 FY26), while maintaining EBITDA margins around 31-32% in FY26. However, profit growth has decelerated to a 3-year CAGR of just 6% and the stock trades at 9x book value with a debt-to-equity of 0.54.

Bull Case 8
  • Strong long-term revenue growth with 10-year compounded sales CAGR of 22% and TTM sales growth of 18%, reflecting consistent demand for specialized pediatric care
  • Significant capacity expansion from 1,935 beds in FY25 to 2,435 beds by Q4 FY26, with a target of 2,715 beds by FY27-28, providing a clear visible growth runway
  • Healthy EBITDA margins of 32% in FY26, with management guiding margins to remain above 25% even during expansion phases
  • FY25 full-year revenue grew 16.9% YoY to ₹1,516 crore, demonstrating consistent top-line momentum
  • ARPOB (average revenue per occupied bed) increased 15% YoY to ₹57,396 in Q2 FY26, indicating improving revenue intensity per bed
  • Niche positioning in pediatric and perinatal care with limited listed competition, creating a differentiated moat in a growing segment
  • Geographic diversification into new cities including Bengaluru, Guwahati, Warangal, and Rajahmundry, expanding from its Hyderabad base to 23 hospitals across 9 cities
  • Q4 FY26 revenue grew 24% YoY to ₹459.9 crore and net profit jumped 36.7% YoY to ₹77 crore, showing accelerating momentum
Bear Case 8
  • Stock trades at 51.9x PE and 9.02x price-to-book, a steep premium that leaves limited room for execution missteps
  • Compounded profit CAGR has decelerated sharply to just 6% over 3 years versus 44% over 5 years, indicating margin pressure from expansion costs
  • Occupancy rate dropped to 52% in Q2 FY26 from 60% in Q2 FY25, suggesting new bed additions are diluting utilization metrics
  • Debt-to-equity stands at 0.54 with total debt of ₹734 crore in FY25, which could rise further with aggressive expansion plans
  • Dividend yield of just 0.24% offers negligible income return to shareholders at current valuations
  • Stock price declined 4% over the past 1 year (CAGR), underperforming broader market indices despite revenue growth
  • ROE has moderated to 16% in the last year from a 5-year average of 19%, reflecting dilution from capital deployment into new beds yet to mature
  • Seasonal volatility in patient volumes can cause significant QoQ swings, as seen in Q1 FY27 EBITDA margin declining 282 bps QoQ to 28%

This is AI-generated analysis, not financial advice. Do your own due diligence.

AI News Digest

Anthropic anthropic claude-opus-4.6 19h ago
Positives 6
  • Strong Q1 revenue up 33% Jul 30

    Q1FY26 consolidated revenue rose 33.2% YoY to ₹4,699.85 million with PAT of ₹625.40 million, up 16.2% YoY.

  • ₹90 Cr Mumbai hospital planned Jul 29

    Definitive documents executed for a new 100-bed children's and women's hospital in Malad, Mumbai, with estimated project cost of ₹90 Crore.

  • 64% stake in Nellore hospital Aug 14

    Completed acquisition of 64% partnership interest in Super Prime Medical Care LLP for ₹19.84 Cr, adding 70 beds in Andhra Pradesh.

  • New 50-bed Guntur hospital Jul 29

    ₹15 crore investment to establish a 50-bed women's and children's hospital in Guntur, AP, targeting September 2026 commissioning.

  • ESG rating upgraded to Strong Jul 23

    CRISIL ESG assigned a Core ESG rating of 73 for FY 2025-26, upgrading Rainbow from 'Adequate' to 'Strong' category.

  • ₹3.5 per share dividend declared Jul 29

    28th AGM concluded with ₹3.5 per share dividend for FY26 and re-appointment of key directors approved.

Neutral 2
  • Q1FY27 earnings call recording released Jul 31

    Audio recording of Q1FY27 earnings call held on July 31, 2026, covering financial and operational performance for quarter ended June 30, 2026.

  • Earnings call date announced Jul 23

    Scheduled earnings conference call for July 31, 2026 to discuss Q1FY27 results.

TL;DR: Rainbow Childrens Medicare is executing an aggressive multi-city expansion strategy with new hospitals in Mumbai, Guntur, and Nellore while delivering strong top-line growth of 33% YoY. Financial performance is solid with healthy profitability and improving ESG credentials. No visible headwinds in recent news flow. The growth trajectory looks positive as bed capacity additions across AP and Maharashtra should drive revenue in FY27-28.

Quarterly Results

  Jun 2023Sep 2023Dec 2023Mar 2024Jun 2024Sep 2024Dec 2024Mar 2025Jun 2025Sep 2025Dec 2025Mar 2026Jun 2026
Sales
287
333
336
341
330
417
398
370
353
445
445
460
470
Expenses
199
215
218
236
236
270
264
255
249
296
298
315
335
Operating Profit
88
118
118
106
94
147
134
115
104
149
147
145
135
OPM %
31%
35%
35%
31%
28%
35%
34%
31%
29%
33%
33%
31%
29%
Other Income
8
8
9
13
12
11
13
15
20
8
11
4
13
Interest
15
13
14
17
18
18
18
18
18
19
20
20
21
Depreciation
25
27
28
32
34
35
35
34
34
36
40
41
42
PBT
56
85
85
69
53
105
94
77
71
102
98
87
84
Tax %
25%
26%
26%
26%
26%
25%
27%
27%
25%
26%
24%
10%
26%
Net Profit
42
63
63
51
40
79
69
57
54
76
74
78
63
EPS in Rs
4.04
6.2
6.12
5.02
3.89
7.77
6.76
5.55
5.27
7.41
7.14
7.59
5.96
Figures in ₹ Crores

Profit & Loss

  Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024Mar 2025Mar 2026TTM
Sales
169
234
321
402
543
719
650
974
1,174
1,297
1,516
1,703
1,820
Expenses
128
204
266
332
391
519
485
666
774
865
1,022
1,155
1,245
Operating Profit
41
30
55
69
151
201
165
308
400
432
494
548
575
OPM %
24%
13%
17%
17%
28%
28%
25%
32%
34%
33%
33%
32%
32%
Other Income
10
16
11
10
8
10
10
19
31
37
51
42
35
Interest
3
3
3
4
42
48
46
56
58
63
77
82
81
Depreciation
9
18
22
28
60
69
73
83
90
112
138
151
159
PBT
38
24
41
47
58
93
56
187
282
295
330
358
371
Tax %
35%
28%
24%
22%
22%
41%
29%
26%
25%
26%
26%
21%
Net Profit
25
17
31
36
45
55
40
139
212
218
244
282
290
EPS in Rs
26.74
18.22
33.78
8.25
10.14
12.68
9.1
14.7
20.77
21.38
23.97
27.4
28.1
Div. Payout %
7%
11%
7%
12%
10%
16%
0%
14%
14%
14%
13%
13%
Figures in ₹ Crores

Balance Sheet

  Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024Mar 2025Mar 2026
Equity Capital
9
9
9
44
44
44
44
94
102
102
102
102
Reserves
166
275
308
307
317
350
391
498
958
1,157
1,367
1,547
Borrowings
22
24
26
24
476
501
529
592
570
765
764
891
Other Liabilities
34
41
55
73
89
123
116
112
140
146
145
236
Total Liabilities
231
349
399
448
926
1,019
1,081
1,296
1,771
2,170
2,377
2,775
Fixed Assets
78
123
174
296
702
702
772
858
931
1,253
1,398
1,756
CWIP
35
31
7
12
23
43
29
6
23
20
28
79
Investments
7
2
6
0
3
10
18
22
58
308
571
404
Other Assets
111
194
212
140
199
265
262
409
759
590
380
535
Total Assets
231
349
399
448
926
1,019
1,081
1,296
1,771
2,170
2,377
2,775
Figures in ₹ Crores

Cash Flow

  Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024Mar 2025Mar 2026
Operating
26
17
36
48
127
170
143
224
329
321
396
420
Investing
-20
-107
-33
-42
-117
-117
-83
-175
-465
-226
-268
-259
Financing
-7
93
-1
-7
-9
-52
-61
-44
143
-102
-118
-147
Net Cash Flow
-1
3
1
-2
2
2
-1
4
7
-7
10
14
Free Cash Flow
-35
-46
-21
-103
42
96
67
162
188
-32
250
204
CFO/OP
95
88
79
88
94
95
102
93
103
95
97
95
Figures in ₹ Crores

Ratios

  Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024Mar 2025Mar 2026
Debtor Days
11
10
16
14
24
22
25
15
16
20
19
22
Inventory Days
39
35
48
36
32
55
36
28
43
53
52
67
Days Payable
121
107
142
151
197
202
190
121
182
180
170
162
Cash Conversion Cycle
-72
-62
-79
-100
-141
-124
-130
-78
-123
-107
-100
-73
Working Capital Days
-35
-36
-28
-31
-26
-18
-17
-16
73
43
19
8
ROCE %
22%
11%
14%
14%
16%
16%
11%
23%
24%
19%
19%
17%

Shareholding Pattern

As of Jun 2026
Promoters 49.84%
DIIs 22.56%
FIIs 16.03%
Public 10.41%
Others 1.16%
Total 100.00%
  Dec 2021May 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024Jun 2024Sep 2024Dec 2024Mar 2025Jun 2025Sep 2025Dec 2025Mar 2026Jun 2026
Promoters
63.70%
49.83%
49.83%
49.83%
49.83%
49.83%
49.83%
49.83%
49.83%
49.83%
49.88%
49.85%
49.85%
49.85%
49.85%
49.85%
49.84%
49.84%
49.84%
FIIs
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
21.63%
22.32%
24.04%
24.78%
25.11%
25.12%
23.69%
23.59%
21.85%
19.23%
17.24%
16.03%
DIIs
0.00%
6.35%
6.55%
10.26%
13.90%
15.38%
15.35%
15.40%
15.62%
14.76%
13.80%
13.83%
13.87%
15.31%
15.44%
17.46%
19.49%
21.13%
22.56%
Government
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
Public
0.00%
19.03%
15.87%
13.24%
13.75%
13.29%
13.04%
11.92%
11.03%
10.40%
10.74%
10.40%
10.38%
10.34%
10.32%
10.06%
10.49%
10.70%
10.41%
Others
36.30%
24.79%
27.75%
26.67%
22.52%
21.50%
21.78%
1.22%
1.21%
0.97%
0.80%
0.80%
0.77%
0.79%
0.79%
0.78%
0.95%
1.10%
1.16%
No. of Shareholders
146
2,43,189
1,66,064
91,530
79,224
75,611
74,690
79,187
80,471
77,152
78,557
77,524
78,764
79,092
80,320
81,134
88,809
88,561
89,305

Documents

Frequently Asked Questions about Rainbow Childrens Medicare Ltd

What does Rainbow Childrens Medicare Ltd do?
Rainbow Children's Medicare Limited operates a multi-specialty pediatric, obstetrics, and gynecology hospital chain in India. The company offers a wide range of services such as newborn and pediatric intensive care, pediatric multi-specialty services, pediatric quaternary care, obstetrics, and gy...
Where is Rainbow Childrens Medicare Ltd (RAINBOW) listed?
Rainbow Childrens Medicare Ltd is listed on the Indian stock exchanges. It is listed on NSE: RAINBOW and BSE: 543524. You can view its live share price, financials, and ratios on Tapetide.
Which sector does Rainbow Childrens Medicare Ltd belong to?
Rainbow Childrens Medicare Ltd operates in the Healthcare Services sector within the Hospitals industry. Sector classification helps investors compare companies affected by similar economic conditions and regulatory changes.
What is the market capitalisation of Rainbow Childrens Medicare Ltd?
Rainbow Childrens Medicare Ltd has a market capitalisation of approximately ₹14906.85 Cr. Based on this, it is classified as a Mid Cap stock.
What is the PE ratio of Rainbow Childrens Medicare Ltd?
The Price-to-Earnings (PE) ratio of Rainbow Childrens Medicare Ltd is 51.91. The PE ratio compares a company's share price to its earnings per share and is commonly used to assess whether a stock is overvalued or undervalued relative to its peers.
What is the 52-week high and low of Rainbow Childrens Medicare Ltd?
Over the past 52 weeks, Rainbow Childrens Medicare Ltd has traded between a low of ₹1,084 and a high of ₹1,610. This range helps investors understand the stock's price volatility and recent trading levels.
Does Rainbow Childrens Medicare Ltd pay dividends?
Yes, Rainbow Childrens Medicare Ltd has a dividend yield of 0.24%. Dividend yield indicates the annual dividend income relative to the share price. A consistent dividend history can signal financial stability.
What is the Return on Equity (ROE) of Rainbow Childrens Medicare Ltd?
Rainbow Childrens Medicare Ltd has a Return on Equity (ROE) of 16.92%. ROE measures how effectively a company uses shareholders' equity to generate profits. A higher ROE generally indicates better capital efficiency.
How can I research Rainbow Childrens Medicare Ltd on Tapetide?
On Tapetide, you can view Rainbow Childrens Medicare Ltd's live share price, quarterly results, profit & loss statements, balance sheet, cash flow, key ratios, shareholding pattern, technical indicators, analyst ratings, and forecasts — all on a single page without needing to sign up.

Company Information

Rainbow Children's Medicare Limited operates a multi-specialty pediatric, obstetrics, and gynecology hospital chain in India. The company offers a wide range of services such as newborn and pediatric intensive care, pediatric multi-specialty services, pediatric quaternary care, obstetrics, and gynecology. [1] It is country’s largest pediatric hospital chain with 16 hospitals spread across 6 cities.[2]

Listed 2022-05-10
Face Value ₹ 10
Issued Size 10,15,59,156

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