August 19, 2020 Shalby/SE/2020-21/47 The

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August 19, 2020 Shalby/SE/2020-21/47 The August 19, 2020 Shalby/SE/2020-21/47 The Listing Department Corporate Service Department National Stock Exchange of India Ltd BSE Limited Scrip Code : SHALBY Scrip Code: 540797 Through : https://www.connect2nse.com/LISTING/ Through : http://listing.bseindia.com Sub.: Annual Report of 16th Annual General Meeting of the members of the Company scheduled on Monday, September14, 2020 Ref : Our letter no. Shalby/SE/2020-21/41 dated August 10, 2020 Dear Sir/Madam, In continuation of our above referred letter and in compliance with the Regulation 34(1) of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015 ("LODR Regulations"), we are submitting herewith the Annual Report of the Company for the financial year 2019-20 along with Notice containing the business to be transacted at the 16th Annual General Meeting scheduled on Monday, September 14, 2020 at 3:30 p.m. through Video Conferencing (VC) / Other Audio Visual Means (OAVM) in accordance with the relevant circulars issued by the Ministry of Corporate Affairs and Securities & Exchange Board of India from time to time. Annual Report of the Company for the financial year 2019-20 alongwith the Notice of the 16th AGM is being sent through electronic mode only to those members whose e-mail addresses are registered with the Company/Depositories in accordance with MCA circulars and SEBI circulars. The Annual Report for FY 2019-20 including Notice of 16th AGM is available in the investor section of our website at www.shalby.org. Kindly take the same on your records. Thanking You, Yours sincerely, For Shalby Limited Jayesh Patel Company Secretary & Compliance Officer Mem. No: ACS14898 Encl: as above ANNUAL REPORT 2019-20 Fit for the Future 26 years of serving Corporate Information Board of Directors Chief Financial Officer Dr. Vikram Shah CA Prahlad Rai Inani Chairman & Managing Director CA Shyamal Joshi Company Secretary Non-Executive Director Jayesh Patel Dr. Ashok Bhatia Statutory Auditors Non-Executive Director T. R. Chadha & Co. Dr. Umesh Menon Chartered Accountants Independent Director Mr. Tej Malhotra Internal Auditors Independent Director Pricewaterhouse Coopers P. Ltd. CA Sujana Shah Independent Director Bankers HDFC Bank Limited Audit and IDFC Bank Limited Risk Management Committee Kotak Mahindra Bank Limited Dr. Umesh Menon, Chairman Yes Bank State Bank of India CA Shyamal Joshi, Member Mr. Tej Malhotra, Member CA Sujana Shah, Member Registrar & Transfer Agent KFin Technologies Private Limited Nomination and Selenium Tower B, Plot 31 - 32, Remuneration Committee Financial District, Nanakramguda, Serilingampally Mandal, Dr. Umesh Menon, Chairman Hyderabad - 500 032, Telangana, India CA Shyamal Joshi, Member Phone: +91- 40 - 67162222 CA Sujana Shah, Member +91- 40 - 33211000 E-mail: [email protected] Stakeholder Relationship Committee Registered & Corporate Office CA Shyamal Joshi, Chairman Shalby Limited Dr. Umesh Menon, Member Shalby Multi-Specialty Hospitals, Dr. Vikram Shah, Member Opp. Karnavati Club, S. G. Highway, Ahmedabad - 380 015 Corporate Social Responsibility CIN: L85110GJ2004PLC044667 Committee Phone: +91 - 79 - 4020 3000 CA Sujana Shah, Chairperson Fax No: +91 - 79 - 4020 3120 CA Shyamal Joshi, Member E-mail: [email protected] Dr. Umesh Menon, Member Website: www.shalby.org Stories Inside 02-41 CORPORATE OVERVIEW 02 Fit for the Future 04 Shalby at a Glance 08 Our Global Footprint 09 Awards and Accolades Fit for 10 Chairman and Managing Director’s the To view this report online, Future Message please visit: www.shalby.org 12 The Year in Numbers 14 The Future of the Healthcare Industry 18 Patient-centricity Paves the Way for Continued Progress 43-105 106-234 20 Investing in Future-ready Capabilities 23 Shalby Academy: Supporting the Healthcare Industry STATUTORY FINANCIAL 24 Department of Orthopaedics 25 Department of Cardiac Sciences REPORTS STATEMENTS 26 Department of Critical Care and General Medicines 43 Management Discussion and Analysis 106 Standalone 27 Shalby Cancer and Research Institute 28 Department of Neurosciences 54 Directors’ Report 171 Consolidated 29 Nephrology & Urology: Kidney 84 Corporate Governance Report Diseases and Kidney Transplant 98 Business Responsibility Report 235 Notice Centre 30 Dental, Implantology & Cosmetic Surgery Forward-looking statements/ Cautionary statement 31 Department of GI, Hepatobiliary In this Annual Report, we have disclosed forward-looking information to enable investors comprehend and Bariatric Surgery Liver Diseases our prospects and take informed investment decisions. This report and other statements – written and Liver Transplant Centre and oral – that we periodically produce/publish, may contain forward-looking statements that set out 32 Investing in Human Capital and anticipated results based on the management’s plans and assumptions. We have tried wherever possible Technology to identify such statements by using words such as ‘anticipates’, ‘estimates’, ‘expects’, ‘projects’, ‘intends’, 34 Patient Testimonials ‘plans’, ‘believes’ and words of similar substance in connection with any discussion of future performance. We cannot guarantee that these forward-looking statements will be fully realised, although we believe 36 Employee Testimonials we have been prudent in our assumptions. The achievement of results is subject to risks, uncertainties 37 Partner Testimonials and even inaccurate assumptions. If known or unknown risks or uncertainties materialise, or if underlying 38 Giving Back to Society assumptions prove inaccurate, actual results could vary materially from those anticipated, estimated or projected. We undertake no obligation to publicly update any forward-looking statements, whether as a 40 Board of Directors result of new information, future events or otherwise. Fit for the Future Shalby Limited is famed for providing high-quality, cost- effective healthcare services. Through our growing network of multi-specialty hospitals in India providing tertiary and quaternary services at affordable costs, we are changing the paradigm of healthcare delivery. We are also reaching out through our outpatient clinics across the country and at select overseas locations, to bring new hope to thousands of patients. Shalby Multi-Specialty Hospitals 02 FIT FOR THE FUTURE CORPORATE OVERVIEW CORPORATE Our innovative business model, which twines superior healthcare services with affordability, has not only REPORTS STATUTORY been right for people needing care, but has also been right for growing our business. The trust that we have earned for our services and the solid foundation that we have built sets the stage for an even more exciting and dynamic future. We believe a critical component of our future growth is our team of best-in-class doctors and healthcare experts. We continue to attract and retain top medical professionals with our excellent industry reputation and by providing superior facilities with advanced technology and equipment. Our unwavering focus on pursuing a multidisciplinary approach and establishing consistent clinical protocols further empowers us to elevate clinical performance and enhance patient outcomes. Within our hospitals, we have also broadened our capabilities beyond our niche segment of Orthopaedics, by setting up new specialties such as Cardiac Science, Oncology, Dental & Cosmetics Implantology, Neurology FINANCIAL STATEMENTS and Nephrology, among others. Our wide range of super-specialty services positions us well to meet the future demand for private healthcare services, driven by the higher prevalence of non-communicable diseases along with rising disposable income and deeper insurance penetration. While exceeding expectations in patient care, we remain committed to maintain our own organisational health. We are setting up new hospitals through a calibrated expansion strategy. Additionally, in new geographies, we are pursuing an asset-light model of expansion through a franchise route, hospital management contracts and outpatient clinics. To drive operational efficiencies, we are leveraging technology and lean practices. By keeping both capital investment and operating expenses low without compromising on quality, we have struck a resounding balance between the humane facet of healthcare and the commercial element of business. Our ‘fit for the future’ business model is underpinned by our strong balance sheet. Our net cash surplus status means that we can move ahead with confidence in growing our business and creating long-term value for all our stakeholders. Our results this year are further evidence of our operational and financial fitness. We achieved 10.3% growth in total patient count, 12.1% growth in In-patient count, and 7% increase in revenues. It is how we know, from our patients, customers, medical team, other employees, and stakeholders, that we are truly fit for the future. 03 Annual Report 2019-20 Shalby at a Glance Shalby is world-renowned for its Joint Our team of dedicated healthcare Shalby Limited Replacement Centre with over 0.1 million professionals is committed to delivering joint replacements performed till date. We patient-centric care through a professional (Shalby) is one of are a market leader in the procedure of and ethical approach. Our network of India’s leading multi- joint replacement surgeries, with a strong multi-specialty hospitals in India spans 11 brand recall. In our endeavour to provide units and is backed by a strong network of specialty hospital holistic healthcare services under one outpatient clinics in India
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