Star Imaging And Path Lab Ltd

Issue Overview

• Type of issue: SME IPO of Equity Shares.
• Total issue size Rs 55.66 crore; net proceeds revised to Rs 49.67 crore.
• The IPO was fully subscribed.
• Main use of proceeds: working capital, debt repayment, capex, and general corporate purposes.

Utilisation of Proceeds

• Utilisation as per Offer Document; no material deviations.
• End-quarter unutilised funds: Rs 12.51 crore.
• Rs 2.62 crore spent in Q1 FY27 for working capital.
• Working capital: partially utilised and ongoing; other objects fully utilised.
• Unutilised funds parked in sweep FDR and current accounts.

Governance and Compliance

• All required approvals obtained; BSE listing approval noted.
• Funds moved from public to monitoring account; commingling noted.
• CA certificate dated Aug 4, 2026 relied upon.
• Auditor notes no deviations from expenditure.
• No other material events affecting viability reported.

General Corporate Purpose

• GCP used fully prior to Q1 FY27; no new GCP utilisation.

Reporting of dematerialisation/rematerialisation

• Details of dematerialised/rematerialised securities for quarter ended 30 June 2026 furnished to all stock exchanges.

Business overview

• NABL-accredited diagnostics provider across pathology, radiology, cardiology, and neurology.
• Operates 24 centres across Delhi, Uttar Pradesh, and Maharashtra through B2C, B2B, and B2G models.

Operational highlights

• Opened Dwarka B2C centre; project work started, with operations expected by H1 FY27.
• Vikaspuri centre expanded with MRI and CT installation; Tilak Nagar upgraded with 640-slice CT.
• B2B hospital tie-ups increased by 40-45, taking the network above 100.
• Empanelled with Central Government Health Scheme and tied up with RG Hospital.

Financial performance

• FY26 revenue rose 6% to ₹88.5 crore.
• FY26 EBITDA increased 17% to ₹33.2 crore; margin expanded to 37.5%.
• FY26 PAT grew 21% to ₹19.3 crore; PAT margin improved to 21.5%.
• Operating cash flow improved to ₹23.4 crore from negative ₹2.6 crore in FY25.

Capital structure

• Cash and cash equivalents rose to ₹51.5 crore in FY26 from ₹5.1 crore.
• Net debt-to-equity improved to negative 0.3x from 0.6x.
• Long-term borrowings fell to ₹6.6 crore from ₹14.9 crore; short-term borrowings to ₹14.1 crore from ₹17.9 crore.
• IPO proceeds of ₹49.7 crore strengthened equity and liquidity.

Strategy and outlook

• Targets 25-30% year-on-year growth over the coming years.
• Plans to expand PPP models, B2B partnerships, and new centres.
• Will add pathology to radiology-only centres and expand into molecular diagnostics and genomics.
• Focuses on Tier II and III cities with tele-reporting support.

Risks and challenges

• Growth depends on winning PPP tenders and maintaining competitive pricing.
• Expansion requires continued capex and successful commissioning of new centres and equipment.

Governance

• Board includes Chairman and Managing Director Pawan Gupta and two executive directors.
• Presentation was issued for the FY26 earnings call and investor meet.