MedLife (M) Q2 2025 earnings summary

Executive summary

• Consolidated pro forma turnover reached RON 1.57 billion for H1 2025, up 20.3% year-over-year, with 16.2% organic growth and successful integration of acquisitions.

• Pro forma EBITDA rose 21.2% to RON 234.2 million, with a margin of 16.1% (pro forma) and 14.4% (IFRS).

• Growth was driven by high demand for medical testing, imaging, and robotic surgery, with hospitals, clinics, and laboratories showing robust performance.

• Major acquisitions included Routine Med (Tulcea), All Clinic (Moldova), and Medstar (Cluj-Napoca), expanding the network in Romania and Moldova.

• Strategic investments in technology, AI, and genetics, including the launch of an AI assistant, advanced laboratory automation, and Illumina sequencing technology.

Financial highlights

• Revenue reached RON 1,573.96 million, up 20.1% year-over-year.

• Pro forma EBITDA reached RON 234.2 million, up 21.2% year-over-year.

• Operating profit increased 17.7% to RON 92.3 million year-over-year.

• Financial result posted a loss of RON 83.4 million due to RON depreciation against the euro, leading to a pro forma net loss of RON 4.1 million.

• Net cash from operating activities was EUR 100.5 million, down 41% year-over-year, mainly due to working capital changes.

Outlook and guidance

• Expectation of stable trajectory in the short and medium term, with a prudent approach to investments and focus on operational efficiency.

• No major CapEx planned through Q3 and Q4 2025; focus remains on operational efficiency and resource allocation.

• Management confirmed sufficient liquidity and undrawn credit facilities (EUR 50 million) to support further acquisitions and organic growth.

• Ongoing monitoring of fiscal measures and potential impacts on demand for elective medical services.

• Management aims to fulfill the budget presented earlier in the year, despite macroeconomic headwinds.