Paragon Care (PGC) investor relations material

Executive summary

• Revenue for the half-year reached $1.9 billion, up 2.9–3% year-over-year, with underlying EBITDA at $49.0 million, up 3.1%, and underlying NPAT at $13.3 million; statutory results were impacted by a full provision for Infinity Group debt, resulting in a statutory EBITDA loss of $0.4 million and a net loss after tax of $21.3 million.

• Strategic acquisitions, including AHP Dental and Somnotec, contributed positively, with further acquisitions post-period expected to enhance future results.

• The business demonstrated resilience by recovering lost revenue from the Infinity account and COVID drag, and continued to expand in Asia and contract logistics.

• The 3-2-1 integration strategy is on track for completion in FY26, with substantial transition and restructuring activities ongoing.

• Leadership transition with Carmen Riley moving to Managing Director role from March 1, 2026.

Financial highlights

• Underlying EBITDA margin held steady at 2.57% year-over-year, with solid margin maintenance despite integration and M&A costs.

• Net debt increased to $287.5 million, up 26.9% from June 2025, mainly due to acquisition financing and seasonal working capital needs; Net Debt/EBITDA (proforma) rose to 2.81x.

• Cash at period end was $30.9 million, up 42.5% from the prior year.

• Organic revenue growth was $114 million, with a 7.1% net organic growth rate after adjusting for Infinity and acquisitions.

• Cash flow from operations improved year-over-year, with seasonal inventory build-up peaking in December and expected to unwind in H2.

Outlook and guidance

• Full-year FY26 revenue guidance reaffirmed at $3.6–$3.7 billion, with underlying EBITDA expected between $97–$107 million.

• Net debt/underlying EBITDA targeted at approximately 2.0x by year-end, excluding further acquisitions and with no assumptions for Infinity debt recovery.

• No interim dividend declared; dividend policy to be reviewed at year-end.

• Strategic focus on integration completion, operational efficiency, and continued expansion in Asia and contract logistics.

• Acquisitions of Fisher Biotec and Pacific Medical Group in early 2026 are expected to support growth.