IPO update: Krishna Institute of Medical Sciences

Krishna Institute of Medical Sciences (KIMS) came out with its IPO on June 16, 2021. Value Research's analysis of the IPO can be found here. In this follow-up article, we focus on the IPO's performance, post-IPO events and changes in its valuations since then. Our analysis of the IPO While giving the company a score of 19 out of 28, we deliberated on various strengths and weaknesses. This hospital chain predominantly focuses on just two states (Telangana and Andhra Pradesh). It treats patients in Tier-II and Tier-III places at affordable prices and is still able to generate a high return on capital because of its high operating leverage and a large volume of patients. Although we expressed concern about the effect of the second wave of the pandemic, which would affect high-margin surgeries, we also highlighted that the company had superior financials, owing to its low working-capital cycle, strong balance sheet, diversified treatments and high Return