Krsnaa Diagnostics Shares Surge 11% After Securing 15-Year Punjab PET-CT Deal

Krsnaa Diagnostics shares rose by more than 11% on Wednesday following the company's announcement that it has secured a 15-year contract to operate PET-CT diagnostic facilities in Punjab. The deal marks the company's formal entry into the specialized oncology imaging segment, a move management described as a measured expansion of its existing diagnostic portfolio.

The project, awarded by the Department of Health and Family Welfare, Government of Punjab, through the Punjab Health Systems Corporation, will be executed under a Public-Private Partnership (PPP) model. Krsnaa Diagnostics will operate under a Design, Build, Finance, Operate, Maintain and Transfer (DBFOT) structure across four selected government hospitals. The company confirmed that all tender requirements have been met following a Letter of Award issued on August 14, 2026.

While Krsnaa has historically maintained a cautious stance toward the PET-CT segment, the company stated that rising demand for advanced cancer diagnostics and the opportunity to leverage its existing government partnership infrastructure prompted the decision to enter the market. This expansion is intended to diversify the company's revenue streams beyond its traditional diagnostic operations.

The 15-year concession agreement does not carry a fixed-value contract structure. Instead, the company will operate on a cash-based revenue model where earnings are directly tied to the volume of PET-CT scans performed and the applicable user charges. Krsnaa Diagnostics noted that this framework provides long-term revenue visibility and cash flow stability over the duration of the concession.

Market data indicates that the stock, which hit an intraday high of ₹597.95 on September 17, 2026, has experienced significant volatility over the past year. Despite the recent surge, the share price remains approximately 33% below its 52-week high of ₹891.80 recorded in September 2025. Technical indicators show the stock trading above six of its eight key simple moving averages, though it remains below its 150-day and 200-day averages, reflecting mixed momentum. The company currently maintains a market capitalization of approximately ₹1,829 crore, with a P/E ratio of 17.85 and a P/B ratio of 1.77.