MedLife (M) Q1 2025 earnings summary

Executive summary

• Consolidated pro-forma turnover reached RON 779 million in Q1 2025, up 20% year-over-year, driven by strong demand for medical services and recent acquisitions.

• Pro-forma EBITDA rose 18.3% to RON 116.1 million; operating profit increased 5.3% to RON 44 million.

• Net profit was RON 13 million (pro-forma) but declined to RON 10.6 million due to higher financial costs.

• Acquisitions included Routine Med Group in Tulcea and a majority stake in All Clinic in Moldova, expanding the regional footprint.

• Syndicated loan facility increased by EUR 50 million to EUR 330 million, supporting further acquisitions and organic growth.

Financial highlights

• Pro-forma revenue grew 20.4% year-over-year to RON 779 million; operating expenses rose 21.2% to RON 735.2 million.

• Pro-forma EBITDA margin was 16.1%, up from 15.2% in Q1 2024; net result margin was 1.8%.

• Net cash from operating activities decreased 14% year-over-year, mainly due to working capital changes.

• Cash and cash equivalents increased 25.2% to RON 141.2 million as of March 31, 2025.

• Interest-bearing debt increased to RON 1,750.7 million from RON 1,685.9 million at year-end.

Outlook and guidance

• Focus on strengthening technology leadership in private healthcare through integration of drones, surgical robots, AI, and automation.

• Management expects sufficient liquidity for at least 12 months, supported by the new undrawn EUR 50 million facility.

• Strategy centers on operational efficiency and capitalizing on market opportunities, including further acquisitions.

• Cautious approach maintained due to economic and geopolitical uncertainties, with readiness to intensify investments in genetics, nutrition, sports, and prevention if conditions allow.