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Third party research

Medicover: Improved operating leverage and growth - ABG

Medicover

This is a third party research report and does not necessarily reflect our views or values

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8%/9% adj. EBITDA vs ABGSCe/cons in Q1
Cons estimates likely up low to mid single digits on adj. EBITDA '25e
Margin improvements driven by operational leverage


Q1 results

Medicover reported an adj. EBITDA beat in Q1 (8%/9% vs. ABGSCe/cons), with earnings in both segments beating expectations. Q1 sales of EUR 578m (2% vs ABGSCe 567m, 1% vs cons 574m). Total organic sales growth in Q1 was +14% (ABGSCe +14%). Adj. EBITDA in Q1 was 91m (8% vs. ABGSCe 84m, 9% vs. cons 83m), with a margin of 15.7% (ABGSCe 14.9%, cons 14.5%). Total NRI in Q1 was EUR -4m (ABGSCe -3m, cons -3m). The Q1 adj. EBITDA beat was driven by margin expansion in both segments as operating leverage continues to improve. The company highlights that Poland in particular, especially ambulatory, sports/wellness and fertility, is progressing well. As we flagged for in our preview, revenue growth in India was weak, but management highlights that it is seeing a return to growth in April and Q2'25e.
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