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Aster DM Quality Care’s material subsidiary, KIMS Health Care Management, has approved the construction of a new block

ICICIdirect Research 01 Sep 2026 DISCLAIMER

News:  Aster DM Quality Care’s material subsidiary, KIMS Health Care Management, has approved the construction of a new block and optimisation of existing hospital facilities at KIMSHEALTH Hospital, Trivandrum, Kerala, entailing an investment of approximately ₹134.4 crore. The expansion will add around 184 beds to the existing capacity of ~795 beds, taking total capacity to ~979 beds on or before May 2028. Existing capacity utilisation is ~596 beds, with FY26 occupancy of ~75%. The investment will be funded through 70% debt and 30% equity and is aimed at expanding healthcare capacity, addressing space constraints, facilitating expansion of key specialties, enhancing patient experience and strengthening healthcare infrastructure in Trivandrum.

View: As the mentioned capacity addition is brownfield in nature, this will help in improving the footfalls and hence occupancy quicker than a new Greenfield capacity. This also falls in-line with the management's aspiration to improve  consolidated margins to 23-24% as the EBITDA breakeven can also be achieved quicker.

Impact: Positive

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