Gujarat Kidney And Super Speciality Limited Makes Strong Debut with 5.26% Premium, Lists at ₹120.00 Against Solid Subscription

Gujarat Kidney and Super Speciality Limited, incorporated in 2019 specialising in multispeciality healthcare services including secondary and tertiary care operating seven multispeciality hospitals and four pharmacies across Gujarat with total bed capacity of 490 beds, approved capacity of 455 beds, and operational capacity of 340 beds including Gujarat Kidney and Superspeciality Hospital, made a strong debut on BSE and NSE on December 30, 2025. After closing its IPO bidding between December 22-24, 2025, the company commenced trading with a premium of 5.26% opening at ₹120.00 and touched ₹123.00 (up 7.89%).

Gujarat Kidney And Super Speciality Limited Listing Details

Gujarat Kidney launched its IPO at ₹114 per share with minimum investment of 128 shares costing ₹14,592. The IPO received solid response with subscription of 5.21 times - retail investors at 19.04 times, QIB at 1.06 times, NII at 5.73 times.

First-Day Trading Performance

Listing Price: Gujarat Kidney opened at ₹120.00 representing premium of 5.26% from issue price of ₹114.00, touched high of ₹123.00 (up 7.89%) and low of ₹114.50 (up 0.44%), with VWAP at ₹118.27.

Growth Drivers and Challenges

Growth Drivers:

Exceptional Growth Trajectory: Revenue increased 637% and PAT surged 454% between FY24 and FY25, exceptional ROE of 36.61%, ROCE of 37.65%, RoNW of 36.61%, outstanding PAT margin of 23.61%, exceptional EBITDA margin of 41.12%, minimal debt-to-equity of 0.15.

Specialized Healthcare Platform: Pre-eminence in renal sciences with established sub-superspecialities in urology, operates seven multispeciality hospitals with 490 beds total capacity, comprehensive services including secondary care and tertiary care super speciality surgical procedures.

Strategic Positioning: Asset-light business model with focus in central region of Gujarat, ability to attract and retain skilled experienced medical professionals, track record of operating and financial performance through inorganic growth strategy.

Challenges:

Valuation Concerns: Extreme price-to-book of 22.62x, post-issue P/E of 41.59x appears elevated for healthcare sector, operates in highly competitive and fragmented multispeciality hospital segment.

Operational Risks: Asset-light business model based on inorganic growth and lease rents creating execution risks, significant promoter dilution from 99.10% to 71.45%, concentration in central Gujarat region limiting geographic diversification, ₹87.44 crore for unidentified acquisitions creating uncertainty, vulnerable to healthcare regulations and insurance reimbursement policies.

Utilisation of IPO Proceeds

Hospital Acquisitions: ₹77.00 crore for proposed acquisition of Parekhs Hospital at Ahmedabad, ₹12.40 crore for part-payment of purchase consideration for already acquired Ashwini Medical Centre, ₹10.78 crore for acquisition of additional shareholding in subsidiary Harmony Medicare Private Limited at Bharuch.

Capacity Expansion: ₹30.10 crore for funding capital expenditure requirements towards setting up new hospital in Vadodara, ₹6.83 crore for buying robotics equipment for Gujarat Kidney & Super Speciality hospital in Vadodara.

Debt Repayment: ₹1.20 crore for full or part repayment and prepayment of certain outstanding secured borrowings.

Inorganic Growth: ₹87.44 crore for funding inorganic growth through unidentified acquisitions and general corporate purposes.

Financial Performance

Revenue: ₹40.40 crore for FY25, exceptional growth of 637% from ₹5.48 crore in FY24, reflecting rapid expansion through hospital acquisitions and increased patient volumes across multispeciality services.

Net Profit: ₹9.50 crore in FY25, phenomenal growth of 454% from ₹1.71 crore in FY24, demonstrating dramatic improvement in profitability though analyst questions sustainability given boosted margins.

Financial Metrics: Exceptional ROE of 36.61%, minimal debt-to-equity of 0.15, outstanding PAT margin of 23.61%, exceptional EBITDA margin of 41.12%, extreme price-to-book of 22.62x, post-issue EPS of ₹2.74, P/E of 41.59x, net worth of ₹25.71 crore, and market capitalisation of ₹910.95 crore representing strong listing premium of 5.26% touching 7.89% high despite analyst concerns about greedy pricing and margin sustainability.